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.
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While many states have adopted the new pay-as-you-drive insurance option to its drivers as an affordable, energy-saving coverage option, key insurance regulators are shying away from making it a standardized option across the nation. This decision falls in contradiction to other environment movements like the Energy Star appliance standards and the green building code called Leadership in Energy and Environment Design (LEED).
About Pay-As-You-Drive
The pay-as-you-drive program has become a popular option in various states around the country. Several insurance companies like Progressive are offering their versions of this program, which allows drivers to pay for their insurance based on the number of miles they drive, rather than other deciding factors like driving record or city of residence.
Expanding the Program Nationwide
So far, 19 states have agreed to participate in this program with the latest being California. However, the popularity among numerous states has not convinced the National Association of Insurance Commissioners that this option should become an industry standard. One reason that it hasn't been pushed nationwide is because the association believes that other environment options should be left open for consideration as well.
Also, some drivers are deterred from the program because of the "Big Brother" element involved of tracking miles driving through digital devices.
All in all, the program is still in its beginning stages and isn't developed enough to push to the masses. However, if you live in a state that offers this unique coverage option, you could save a lot of money on your insurance. To learn about the basics of PAYD insurance, the Environmental Defense Fund (EDF) offers interesting information and tips.
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A new report from insurance website Insurance.com revealed that car insurance rates have dropped dramatically in 2009. According to its RateWatch report, insurance rates across the nation have dropped 3.5 percent in $1,803 per year.
Better than the Last Few Years
Last year's RateWatch report...
Read full article: Insurance.com Says Car Insurance Rates Dropped in 2009
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Sixty-eight families nationwide were given free vehicles on Monday, Nov. 23 as a part of a program called Recycled Rides. The program, which was created by the National Auto Body Council and other community members of various areas around the country, recently received funding from AAA Insurance...
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One of the biggest considerations that many car owners forget when purchasing a new vehicle is how much it will cost to insure different types of cars. A survey released by LowerMyBills.com in Oct. 2009 revealed that many consumers don't deem auto insurance significant when making important...
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For most of 2009, various Michigan residents and organizations have been pushing for more affordable auto insurance premiums for state drivers. Recently, we reported that a coalition was pushing for a 20 percent discount in rates to be placed on the 2010 ballot. Now, legislative officials are...
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According to recent research revealed by the National Association of Insurance Commissioners according to 2007 data, the average U.S. auto premium rate dropped by nearly three percent from 2006. According to the findings, which is the most recent data available from the association, Washington,...
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Recent information released by the U.S. Department of Labor may leave some consumers scratching their heads about increases in their auto insurance premiums. According to data from the Labor Department, the Consumer Price Index, and indicator that measures the cost of what consumers buy and use,...
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