J.D. Power Study: Resale Value and Vehicle Quality Important to Car Owners

Posted in Auto Insurance , Compare Auto Insurance

December 14th, 2009

A new report released by J.D. Power and Associates reveals that the resale value and quality of a vehicle are important reasons that new-vehicle buyers remain loyal to a particular brand. In its seventh year of measuring this concept, J.D. Powers found that the components have been important to car buyers for some time.

Car Ownership Study Findings

According to the study, owner loyalty had a great deal to do with a number of factors, including:

• Resale value: The study found that owner loyalty increased by 12 percentage points in 2009 for those owners who found that the resale value for their vehicle was high.
• Vehicle quality: The importance of vehicle quality for car owners saw an increase of six percentage points from 2008 for those who felt they were driving a high-quality car.

Some other factors the study found influenced loyalty were vehicle safety, fuel economy and deals/incentives.

What Cars Retain the Most Owners

The study also listed 2009 cars that maintained high owner loyalty. Some of the top ranking vehicles for their retention rates included:

• Mercedes-Benz – 67%
• Honda – 64%
• Toyota – 61%
• Lexus – 57%
• Subaru – 57%
• Ford – 56%
• Nissan – 55%
• Chevrolet – 52%

Some other high-ranking vehicles that landed above the industry average of 48% included BMW (52%) and Porsche (52%).

Vehicle Quality and Auto Insurance

As you may know, the vehicle quality is important to how much an insurance company may charge for coverage. If the vehicle offers high safety ratings, the insurance rates will likely be lower. So as you choose your vehicles in the new year, it’s good to keep in mind the quality of a vehicle before purchasing it.

If you already have some vehicles in mind, you could begin comparison shopping for auto insurance now at Go Insurance Rates. This way, when it’s time to choose your vehicle, you will have an idea of the costs insurance could add.