by Administrator
5. August 2014 08:32
Before buying a car, people usually consider features like style, comfort, fuel economy etc. but forget to consider the costs of auto insurance. Car insurance is an expense every vehicle owner has to live with. And if you have not considered auto insurance for your car, you may be at risk of losing on your vehicle’s total ownership. The amount of insurance depends on the type of car, whether it is a small car, sedan, SUV, sports or luxury car. It is not surprising to know that foreign cars are expensive while domestic cars are cheapest. Below are given some factors that can help you decide the least and most expensive cars to insure:
- Sizing up the costs: People who usually presume that smaller cars are safer and have a higher rate of accident avoidance perhaps need to know that this is a common misconception. Since small sports cars are driven by young and reckless drivers, they are at higher risk of accidents which in turn makes them expensive to insure. Larger vehicles like SUV’s can easily cover up liability premiums if they are involved in an accident. Therefore, cars in mid-size category like mini vans, mid-size SUV’s or sedans should be considered.
- High Premiums on High End Cars: The cost of vehicle is an important consideration before deciding on a policy. More expensive cars have higher costs of insurance because replacing and repairing the expensive parts or vehicle cost more than other brands.
- High rates for big motors: Vehicles that have higher horsepower have costlier insurance. This is because people tend to drive such vehicles at high speeds and are more prone to accidents. However varying engine sizes can also bring a difference in insurance costs.
- Personal Records: Driving experience matters a lot and therefore, young drivers have to pay more for insurance than old ones. Also, drivers who have been involved in accidents in the past are liable to pay more than who are not. The area in which the driver lives, such as urban, semi-urban or rural, is also considered. If there is a high frequency of theft and accidents in his area, the driver has to pay more for insurance than the one living in another area.
- Increase in costs due to thefts: Cars that are durable and have higher demand of its parts are commonly targeted by thieves. If the car to be insured is a target for thieves, then it will incur higher premiums.
- High insurance for sports car: Sports cars have the tendency to go at higher speeds which makes them more vulnerable to accidents. Due to this, their insurance costs are very high.
Before deciding on a policy for your vehicle, the insurance company takes into account all factors including the make of the car, its price, horsepower, your age, driving records etc. One should research the vehicle carefully before going ahead with the purchase to avoid higher costs of premium on auto insurance. For more information about auto insurance, please contact us at Shawn Camp Insurance Agency, Inc at (800) 212-2641.
