Rate Methodology
Last updated: 2026-09-09
Dollar figures across Qoverd — on state and city pages, the calculator, and comparison tables — come from a single, transparent estimation model, not from real quotes or aggregated market pricing data. This page explains exactly how it works so you can judge it for yourself.
What this model is — and isn’t
It is a simple, published formula: a base state rate multiplied by a handful of illustrative factors for age, coverage level, vehicle age, and driving record. It is not a reflection of any carrier’s actual underwriting or rating algorithm, it is not built from real customer quotes, and it is not a guarantee of what you’ll pay. Real premiums depend on dozens of variables — your exact address, credit-based insurance score where allowed, claims history, vehicle make and trim, annual mileage, and each carrier’s own pricing model — that this illustrative tool does not attempt to replicate. The only way to know your actual rate is to get a real quote.
The formula
Every illustrative monthly estimate is calculated the same way:
estimated monthly = state base rate × age factor × coverage factor × vehicle-age factor × driving-record factor
The state base rate is a starting full-coverage monthly figure we set per state. Each factor below then adjusts that base up or down.
Age factor
| Age band | Factor |
|---|---|
| Under 21 | ×1.7 |
| 21-25 | ×1.35 |
| 26-39 | ×1 |
| 40-59 | ×0.92 |
| 60+ | ×1.05 |
Coverage-level factor
| Coverage level | Factor |
|---|---|
| State minimum | ×0.55 |
| Standard | ×0.8 |
| Full coverage | ×1 |
Vehicle-age factor
| Vehicle age | Factor |
|---|---|
| New (0-3 yrs) | ×1.15 |
| Mid (4-8 yrs) | ×1 |
| Older (9+ yrs) | ×0.85 |
Driving-record factor
| Driving record | Factor |
|---|---|
| Clean | ×1 |
| 1 incident | ×1.25 |
| 2+ incidents | ×1.6 |
Why the state and city pages only show one number
The full coverage and budget figures on state and city pages use fixed, representative inputs (a standard adult driver profile) so the numbers are comparable across every location. Your own estimate will differ once you enter your real age, coverage preference, vehicle, and driving record in the calculator.
The illustrative range
Wherever we show a range instead of a single figure, it’s calculated as roughly 18% below and 22% above the point estimate — a rough band meant to communicate that real carrier pricing varies more than any single number can capture, not a statistical confidence interval.
Where the state base rates come from
State base rates are informational starting points set with reference to publicly available industry data, including figures published by the Insurance Information Institute and the NAIC. They are not derived from Qoverd’s own quote volume, because Qoverd does not itself write policies — see our editorial policy for how we’re compensated.
When this will change
If Qoverd ever builds a large enough base of real, aggregated quote data to responsibly replace this illustrative model, we’ll relabel every figure it produces from “illustrative estimate” to something reflecting real data, and update this page to explain the new methodology. Until then, every dollar figure on this site is labeled as an illustrative estimate and links back here.
Questions about this methodology? Email us at sales@qoverd.com.