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Insurance Companies have a lot of interest in various factors that involve their clients.

What some don’t think is important is the type of work that they do. Yet, this can play an important role in the cost of vehicle insurance. A lot of people get surprised when asked some questions by their Insurance agent.  Such as when the insurance agent asked what type of employment they are in. The first thought is what does this have to do with insurance. They are not asking for the sake of being curious. They are asking because it can relate to the vehicle insurance they are going to provide you with.

Does Where I Work Affect My Insurance Premiums?

The answer to this question depends on a lot of variables.

The Distance You Travel To Your Job


How far you are going to have to travel to your job may relate to the type of work that you are doing.It means that for every moment that a car is on the road it is creating a risk for the insurance company. They are all about mitigating their wrists. Even if you do not use your car for business, it can still be important to the insurance companies. Some individuals are using their vehicle for business and may not realize it.

For example, an individual may tell the insurance company they work in real estate. It could create a red flag. The insurance company is going to want to know if they are a real estate agent. If they are then chances are they are using their vehicle during the work day for their business. It is going to need a different type of insurance. It would most likely mean that the insurance shopper needs business insurance.

Variations Among Insurance Companies

Contrary to the belief of many, insurance companies do vary in several different ways. Insurance companies in Canada will vary among the different provinces. They will also vary from one country to another. The way insurance companies look at customers in the US may be different than those in Canada. It can be difficult to discern exactly how an insurance company views what is important. There are some standards that they all follow. Aside from this, there are some variances that may be more important to some than others.

It can be that the Canadian insurance companies will use some of the same metrics. Such as those that the US insurance companies too. It may be more so if they are an international insurance company.

US Insurance Entities

Some of the insurance companies in the US emphasize the type of employment their clients take part in. There is a consensus is that a librarian has a more relaxed job. As such this person it may not be as attentive when driving. Compared to others that work in high-risk situations. Or,  those who are under a great deal of stress during their workday. It’s perceived that this may carry over into their driving abilities. It comes down to looking at low risk versus high-risk professions.

It is difficult to say whether a Canadian insurance company would apply the same metrics. One may only become aware of this if their particular insurance Company were to question them. In regards to their employment. It would be normal for the insurance company to ask if they were using their vehicle for business purposes. Again it is important that the insurance shopper answer in a truthful manner.  They may be getting a car allowance from their company. If so then most they are using their vehicle in some way for business purposes.

Paying Attention To The Insurance Questions

it is important to listen to the questions in a careful way. To be able to discern what is important to an insurance company.

Not only to give proper answers but for other reasons. The type of questions they ask is going to give a heads up to what may be important to them. One of the important questions that may arise is the distance you drive. It can be related to your employment situation.

In Canada, this may be the most prominent question. In regards to being related to employment. It is because they want to know the distance of travel time. It has become common for many individuals to live in rural areas and work within the downtown core of the city. This means that they do more highway driving. Some insurance companies may see this as an increased risk.

One needs to respond to the Insurance questions. But they can ask questions back. If a question seems unusual the insured shopper can ask the purpose of the question. One of the mistakes that many insurance shoppers make is not asking enough questions. Another mistake they make is not doing enough insurance comparisons.

There are quality sites that offer insurance quotes. So doing insurance comparisons has become easy. Many are finding that it is providing a great advantage to them. By taking these quotes and comparing them it can mean some great insurance savings.

Can I Work at Anything Without it Affecting My Car Insurance Costs?

Insurance companies cannot dictate where you work. In order for one to be eligible for vehicle insurance. There are no constraints put on insurance shoppers in this regard. In the majority of cases, individuals can work at anything. They can do so without it affecting their insurance costs. Provided again that they are not using the vehicle for work purposes.

Using Your Employment To Your Advantage


There are a lot of people now that are full time employed. They may be self-employed. Often they may be working from home. It may mean that they are not using their vehicle a great deal of time. One can use this form of employment to their advantage. They may want to consider looking at insurance companies that offer discounts. Such as those for low mileage. There are many different types of discounts that insurance companies offer. It is important to review each one in a careful way to see if it is applicable to the individual. The low mileage discount could create some significant savings on the premiums. This is one instance where your employment can be important to the insurance company.

Honesty Is The Best Policy


There are circumstances where employment situations can change. Sometimes these changes could have an effect on the insurance for the vehicle. It may only be slight changes or occasional changes. It could involve having to use the vehicle for some type of work responsibility. One should not take for granted that the insurance company would cover a claim even for a one-time business use. If there is any doubt at all the insured should talk to their insurance company about the change. They will advise whether this is going to make a change in the premium. If it is they will make the change immediately so that the proper coverage is in place.

About the Author: Ashley Miller

Ashley is an insurance content professional and very knowledgeable on all related subjects. Ashley has over 12 years of insurance content writing experience working with various insurance companies throughout her career.