If you’re in the market for a new or used car, consider how much the vehicle will cost to insure. Forgetting to factor car insurance into the monthly costs of owning a car can be a huge mistake. Fortunately, finding a vehicle that is inexpensive to insure isn’t difficult if you know what to look for.
Luxury is more expensive than you think
Expensive vehicles have more expensive insurance premiums because if the car is totaled or stolen, your insurance company will have to pay out a lot of money when you make a claim. Another reason is that the cost of the parts needed to repair luxury and imported cars can cost a lot more than with other cars.
Look for cars that thieves don’t like
Cars that have a high risk of being stolen cost more to insure, for obvious reasons. Take the time to research which cars thieves like to steal. If you choose a car that is near the top of the list, be sure to let your insurance company know of any anti-theft features on the vehicle.
Investigate the safety of the vehicle
Insurance companies look at how safe your car is. If the car has a higher safety rating, you are less likely to suffer an injury that the insurance company will have to cover. The National Highway Traffic Safety Administration rates cars on safety. Look at the ratings before purchasing your vehicle.
Powerful cars come with a reputation
If you go for a sports car with a supercharged engine, expect to pay more for your auto insurance. Simply put, insurance companies assume that drivers who have cars with a lot of horsepower are tempted to drive recklessly, and rates are adjusted accordingly.
Bigger really is better
If you get an SUV, truck or van, you will generally pay lower premiums than if you get a car. In an accident, drivers and passengers have a greater chance of being injured in smaller cars.The cars will usually sustain more damage, too.
Choose an older vehicle
Unless you choose a classic vehicle, older vehicles will have less value, which means you will pay less for your auto insurance. You don’t have to buy a clunker, but choosing a car that is a little bit older can help you save on your insurance premiums.
Know how much you want to pay
Perhaps the most important thing is to know how much you are willing to pay for auto insurance. If you want a sports car with high horsepower, buying one that is older and worth less will help you keep your insurance costs lower than if the car was new.
You can mix and match these factors in order to negotiate lower insurance rates for your wheels. Whatever your choice, you will be able to make an informed decision when it comes time to make your vehicle purchase, and you will save money in the long run.