When car shopping, there are many factors to consider. Be sure you are not just looking at style, gas mileage, and price. Check out the car insurance rates too. Car insurance can be influenced by many different facets of a car, such as repair cost, list price, and theft rates. Also, rates this year may not be so great next year. Just because you were getting the best car insurance rate last year on your new car does not mean you are still getting the best rate for you slightly used car now.
Factors in Car Insurance
Car insurance will vary for each vehicle and each person. Just as your driving record and experience affect the rates, so do the types of car insurance you choose to include on your vehicle. In addition, certain types of car insurance coverage are affected on certain cars, but not on others. It is a complex mix that will be constantly in flux.
Theft history is one of the strongest influencing factors in car insurance costs. The most stolen vehicles, such as the Cadillac Escalade, are going to have higher car insurance rates for theft coverage, but the rates for liability coverage should not change very much from other vehicles. Buying a high-theft vehicle will not only cost you more for car insurance, it may be one experience you would rather save yourself. Crash history is another big factor.
First Model-Year Cars
If it is the first model-year for a car, there is no historical crash or theft data for a car insurance company to go by, so they must use the list price when figuring out what to charge you for car insurance. They may look at the horsepower of the vehicle as well, since faster vehicles tend to be driven faster and crash more. This has an effect on the liability rates, but it can also impact the collision coverage cost as well. This does not only apply to first-year cars, though. In general, the less expensive the car, the less expensive the car insurance.
Top Ten Cheapest Cars to Insure
One way to car shop may be to insurance shop first. Low car insurance rates are reflected in safer cars that cost less to repair and are less likely to be stolen. Think mini-vans and foreign vehicles. Among the top ten least expensive new cars to insure are the Hyundai Sante Fe and Entourage as well as the Kia Sportage, Sedona, and Rio5. Additionally, consider the Honda Odyssey, Smart Fortwo, Saturn Vue, Mazda Tribute, and finally the Chrysler Town & Country.
In 2008, the cheapest cars to insure were mostly American-made. This is why it is important to get a car insurance quote before you go shopping.