Select your next place of residence wisely. Your monthly premium you pay for insurance is impacted by the city you live in.

The part of the country you live in, the town, even the zip code could be impactful. It may help or hurt you when it comes to the rating for certain types insurance policies. Factors such as population density, theft statistics and the amount of snowfall can affect the number of claims your insurance provider expects to pay. Because of that these factors could make a large difference in the amount you pay for your insurance plans.

The types of coverage most affected by your where you reside include:

Auto and Truck insurance

Real estate insurance

Renters insurance

Health Care insurance

Automobile Insurance

Generally there will be more automobile accidents in towns where there are more automobiles and people per square mile. More cars and trucks, means more automobiles, to hit you and more car, that can crash into you. What this means is the auto and truck insurer has to write more checks for claims and the rest of us pay more for our policies. The crime rate, including the rate of vandalism and vehicle thefts per capita also has an impact. Severe weather, means more car accidents and higher insurance rates also.

Real estate insurance

House coverage is also affected by the weather. People who live in areas that are in hurricane zones are really hurt by this. Other weather events have an impact on insurance prices as well. Snow, wind and high temperatures cause more claims and also higher costs for coverage.

The cost of construction in a given city is yet another factor that makes prices for insurance go upward or downward. If building materials have higher prices or the cost of labor is higher in your area when compared to the one next door, your rates may be much higher.

Apartment insurance

The crime rate could make a big difference in what we pay to cover our rented homes. Theft is one of the major things that an apartment renters insurance policy protects us against and therefore if there are more break-ins in your zip code your apartment renters insurance carrier may pass those higher prices on to you and other policy holders.

Medical insurance

The location of your residence has less to do with the frequency of sickness and accidents than it has to do with the cost of that treatment. The cost to set a leg in a small hamlet in Oregon will be much lower than the cost to set the same broken bone in Los Angeles, California. When physicians and hospitals cost more, insurance carriers charge more and we pay more to the carriers. We can expect that insurance carriers will charge the residents of the pricier region a much higher rate because of this.

What to Do?

Of course no one expects you to move solely based on the size of your insurance premiums. However, when you're looking for a new place to home, you should take this into account along with the other issues you and your spouse would generally consider about when selecting your next house.

Tell your story to an agent who works with people in an zip code that you are considering moving to and ask him or her to estimate costs for different insurance plans. The insurance lines ones that are most affected by geography are vehicle, homeowners, renters and health insurance.

Usually, a more expensive home will be associated with lower insurance premiums. This can mean that you can afford the overall costs of a nicer place to live.