Car insurance companies ask how far you travel to work to get an estimate of the number of miles you're going to drive each day. Although the distance to and from your job or school is not the greatest factor used to determine your car insurance rates, it does have an impact.

Why Distance Matters

The more miles you drive daily, the greater your risk of getting in an accident. A greater risk leads to higher rates. If you have a short distance to travel, you automatically have an advantage over someone has to make a long commute. In addition to the number of miles you drive for work purposes, insurance companies will also want to estimate the number of miles you drive for recreation to estimate your driving pattern.

Other Factors

Your driving pattern alone is not enough to result in low car insurance rates. You may end up paying more than a friend who travels further to work. More influential factors that affect car insurance rates include your age, gender, driving record and vehicle make, model and color.