mandatory factor

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02(a), which was added in 1988 by Proposition 103, 'miles driven' is the second mandatory factor in an insurer's auto rate calculation.
After those three mandatory factors will come a series of 16 other voluntary factors, including ZIP code, marital status and school grades.
In addition to the three mandatory factors required in Proposition 103 -- miles driven, safety record and years of driving experience -- insurers are allowed to factor in the accident frequency and severity in different regions of the state," explained Dan Dunmoyer, president of PIFC.
If the three mandatory factors were all that could be used in rating auto insurance, good drivers in 51 of California's 58 counties would experience a 3 percent to 85 percent increase in their auto insurance rates according to the Personal Insurance Federation of California (PIFC).
The optional factors may be calculated into an insurance rate only after the three mandatory factors are considered.
The new rules require insurers to first consider three mandatory factors in accordance with Proposition 103 before calculating rates: the insured's driving safety record, the number of miles driven each year and the extent of driving experience.

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