Cars That Cost More to Insure

Posted in Auto Insurance

February 27th, 2009

Are you on the market for a new car, but you’re wondering how much you can afford? Not just in terms of the car’s price, but also its maintenance and the auto insurance rates you’ll be paying? If so, you need to know that some cars do indeed cost more to insure than others, and if you’re budget-conscious, then that will most likely be a factor in your purchasing decision.

Why Do Some Cars Cost More to Insure?

Some cars cost more to insure than others. It’s just a simple fact. As you would imagine, expensive cars like Mercedes, Rolls-Royces, BMWs and Ferraris cost more to insure than a used Ford Taurus sedan. These cars cost more to insure because they’re so expensive, and the auto insurer would be stuck with a hefty bill if you get into an accident or if it’s stolen. As a general rule of thumb, the more expensive the car’s sticker price, the more expensive it will be to insure.

Other Reasons Auto Insurance Rates May Be High

Other cars that generally cost more to insure are sports cars and convertibles, regardless of their purchase price. That’s because nine times out of ten, they’ll be driven faster and hence run a greater risk of getting into an accident. The more accident-prone a car is known to be, the higher the auto insurance rates will be.

It’s also generally true that cars driven by teenagers and less experienced drivers cost more to insure than other cars. Teenagers and other new drivers just don’t have enough experience, and are statistically more likely to get into an accident. Accidents mean more costs to the insurance company, so they charge higher auto insurance rates.

So in order to enjoy lower auto insurance premiums, avoid these types of cars:

• sports cars and exotics
• convertibles
• high-publicity cars
• cars with high theft rates
• cars with two doors and two seats
• cars with high accident rates
• cars with high horsepower ratings
• premium luxury cars

Another reason your car insurance rates may be so high might have nothing to do with the car itself, but you. Most people don’t know that your credit history plays a big role in the type of rates you pay, as insurance companies will be looking at your responsible credit usage to gauge your risk level. Don’t know what your credit score is? Get your FREE credit report and score before you get your next car insured. You’ll be glad you did.

Questions About Auto Insurance Rates?

If you have questions about cars that will lower your auto insurance, or any other aspect of car insurance, be sure to meet with a qualified representative of the auto insurance industry and ask as many questions as you need in order to feel comfortable.