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The amount of your car insurance rate is based in different factors not only in your driving record. This also includes the model of the vehicle, the make, and the year when it was manufactured as well. For those who are shopping for a new car or planning to get one, it would be best if you would ask first a legit insurance agent about the potential cost of car insurance for the car that you are eyeing on. You can use these factors to let you have an idea if your car will get a high auto insurance rate or you can get a lower premium instead. More often than not, these are the cars that have sky-scraping rates.
1. Vehicles that are equipped with high-tech gadgets – Car insurance companies are considering the amount of the accessories or high-tech gadgets that are installed in your vehicle. The more high-tech it is, the more it is at risk of theft. And of course, the replacement cost will also be high as well resulting to a very high-pitched insurance rate.
2. Sports car – compared to the typical vehicles on the road, sports cars are more dangerous to everyone, may it be a pedestrian or vehicle. Aside from that, people who are driving sports cars have more violation tickets than the other drivers who are using average cars only. Because of the risk, most of the car insurance companies will ask you two to three times more for this kind of vehicle.
3. Luxury cars – by now, you have probably understood that the higher your car cost, the higher would be the expenses for the repair as well. That is why expensive cars, better known as the luxury cars, have the highest car insurance rates than the other vehicles.
4. Theft-prone vehicles – these are the vehicles that are hot on the eyes of the car thieves or “carnappers.” There are just some models that are so in demand in the black market that thieves will do anything just to get it and earn from it. You have a great chance of getting a high vehicle insurance rate if you own any of these vehicles that are commonly stolen because of the risk it poses.
5. Very small vehicles – you would surely love to have one of these because it can save a lot of gas while reaching a great mileage at the same time. However, it also has a potential to get huge damage just in case an accident happened while on the road. Therefore, the car insurance cost will also be high as well.
6. Vehicles with high horsepower – high performance trucks are likely to be driven with speed and danger. Many of the road accidents today involved these types of cars. Again, it poses a great risk especially for the insurance company that is why you will be given a high insurance premium.
7. SUV’s – large SUV’s may cause big damages particularly to the other vehicles when involved in a road accident. If in case that the accident is due to your negligence, the insurance company will have to pay huge amount as well.
Knowing what vehicles cost more to insure will help you make wise decisions when purchasing a new car – and help you secure affordable car insurance!
All drivers are aware that getting a car insurance is not just a serious matter but expensive at the same time. The cost of car insurance today is catching the customers by surprise because it rapidly increases from year after year. For those who are looking for a quick car insurance quote online, you can use the service of the Cheap-Car-Insurance-Tips.com and get up to five free car insurance quotes just by putting the relevant information in the forms. With these referral services, you can get as much as five car insurance companies to give their quotes to you.
There are numerous vehicle-related expenses that can influence the increase or decrease of your car insurance premiums. This includes the following:
1. Medical expenditures – at least three million vehicle accidents are happening annually which involves personal injuries. More often than not, it needs about $6,000 up to $9,000 to treat someone who became victim of road accident. But it can be more than that amount. The medical expenses are increasing and so does the car insurance rates for every vehicle owner as well.
2. Expenses for legal matters – the more road liability cases, the higher will be the rate of the car insurance companies. In 1994, the estimated amount of the vehicular liability cases was only more than $187,000. But six years after, it surged up to $269,000. Experts agree that if the figures for the auto liability case continue to grow, the car insurance premiums will no doubt increase in no time at all.
3. Road collisions and accidents – a main cause of deaths in America is accidents that are vehicle-related. It involves Americans starting from the age of 1 until 34. Every year at least $150 billion is spent for these road accidents. And more often than not, these drivers are over-speeding, driving under the influence of drugs or alcohol, and driving without seat belt are those who are involved in such accidents.
4. Theft – in 2001 alone, there are more than a million of cars that became a victim of theft. It increased by as much as 6 percent if you would compare it from vehicle-theft cases in 2000. Usually, it is the trendy vehicles and small vehicles that are stolen. But there are also buses , motors, and trucks that were stolen as well.
5. Fraud insurance claims – there are some consumers who are trying to take control of the insurance market by doing fraud claims in their insurance companies. The National Insurance Crime Bureau said that there are more than $30 billion worth of funds that are being swindled by the fraud insurance policy holders.
6. Driving under the influence of alcohol or DUI – did you know that there are at least 2 to 3 people who are injured or dying every 30 minutes because of road accidents due to DUI? Impaired driving actually eats up as much as 50 percent of the total number of deaths related to vehicles.
7. Expenses for the Auto Repairs – with the advancement in the technology, the cost of repairing a vehicle becomes very expensive as well.
Understanding the factors that contribute to rising car insurance rates will make you a more savvy consumer — helping you to find the most affordable car insurance out there!
Although there are a lot of car manufacturers who are trying to design and invent new features in the vehicles that would attract many car enthusiasts, the number of people who are getting interested with the old cars is rapidly increasing today. They are trying to appreciate the uniqueness and the value of the vintage cars which are truly considered as works of art.
Probably because of the sentimental reasons, owners of the vintage or classic cars get together to showcase their own collection and much treasured possession. Most of them have this unexplainable pride and joy especially when it is time to share about the different features and engine setup of their cars.
Collecting vintage cars is actually an expensive hobby. This is also considered as an investment since the rarity of these vehicles along with the cost of repairing and maintaining it is all part of the pastime. Because of this, it is also important that the vintage vehicles are covered by classic car insurance as well.
So what are the criteria before your car can be called classic or vintage? Car insurance companies use these standards in telling whether they would accept it for classic car insurance or not.
Once your car is considered as classic, the vehicle has already exceeded the average lifespan of most cars which is 10 to 15 years only. Therefore, you need extra effort to maintain the vintage car and keep it running. There are times that you would have a hard time looking for the parts since most of it is already out of date. This is one of the main reasons why insurance for a classic car is higher compared to the premiums of the typical vehicles today.
What really sets the classic car insurance apart from the other vehicle insurance that you can purchase in the market?
For one, there are several usage restrictions. One example is that drivers who are 21 years old and above are the only ones allowed to drive a classic car. The classic car must not be the primary vehicle used by the owner or the driver. Moreover, it can’t be used as the car for everyday use. Other than that, classic cars are only insured if it is driven towards a car show or other special events which require the presence of the vintage vehicle.
If you own one of these cars, you must consider getting an insurance that would protect it. After all, this is also a form of your investment and an asset that you must take care of.
There are just some drivers who love to play with speed. They always put their lives at risk and the lives of everyone else while they are on the road. This would not only result to a bad driving record but accidents as well.
But there are also those who drive carefully and safely. They obey the law and maintain a good driving record. Because of their cautious nature, they usually get a reward for this particularly in their car insurance rates. More often than not, they have the chance to lower their premiums which can be really a great help especially during this financial crunch. They have the chance to get cheap car insurance rates just by being a law abiding driver.
Because the care car insurance companies are also looking at your driving record history, a good record would help you get a discount that will be deducted on your car insurance premiums or rates. For them, if you have been a careful driver, you are not prone to accidents which make you an asset in their company. That is why they would give you a discount for your car insurance rates.
But who do they who is a good driver and who is not? Car insurance companies called them as the Preferred Risk Driver. Here are some of the criteria on how they consider a driver as a good one.
1. You abide by the law. You have no record of crime related to vehicles.
2. No tickets or moving violations for the past 3 years or even more. This depends on the state where you live in and the insurance company as well.
3. Great credit scores.
4. You are already in the mid-twenties or even older and already established a record.
Another option is completing the defensive driving course. This would also give you a change of getting a discount as a good driver from the car insurance companies. You are simply showing that you want to improve your skills as a driver.
But there are some inevitable situations where you get involve in an accident which is not your fault. Does that mean that you no longer have the chance to get a discount?
You must make sure that you consult your agent and ask more about the no-fault tickets. You should also inquire if you will lose your discount as a good driver if the accident is not your fault. It would be best if you are well-informed so you must ask the car insurance company beforehand so you would not have problems in the long run.
Driving safely has a lot of benefits including avoiding expensive repairs, the expenses for medical bills, and avoiding life-threatening accidents. Other people will also be safe from you as well. These are just some of the great benefits that you can get from driving carefully. But of course, one of the biggest advantages of this is getting a huge discount. A low rate on vehicle insurance would definitely help you and the needs of your vehicle at the same time
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