Why Some Cars Cost More To Insure Than Others

27 May 2018
 Categories: Insurance, Blog

If you are in the market for a new car, you should know that the make and model you choose will have a serious bearing on your auto insurance rates. Here are some of the factors that make some cars more expensive to insure than others:

Driver Profile

The profiles of drivers who drive your type of car will determine your rates. Yes, you read that right – the driving habits or general characteristics of others determine your coverage rates. For example, if car X is popular with first-time drivers who love to race, then you may have to pay above-average insurance rates for car X even if you don't love to race. This is because, in as much as insurance companies love to customize insurance packages for their clients, they also can't ignore statistics and trends.

Claim History

Some cars are so problematic that they easily get damaged even where other cars would have survived. Have you ever seen a head-on-collision where one car only has a few scratches while the other one looks like it was driven headlong into a brick wall? Well, cars with such dismal performances attract high coverage rates to shield insurance companies from the numerous claims they inevitably generate. Expect to pay comparable rates if you are buying a car with such bad claims' history.

Safety Ratings

There are multiple organizations that test and rate cars as soon as the cars are produced. Examples of such organizations include the Insurance Institute for Highway Safety (IIHS) and the National Highway Traffic Safety Administration (NHTSA). The organizations may not agree on the exact list when rating cars, but they will generally have the same cars in the worst and best pools (as far as safety is concerned) respectively. Picking a unit form the worst-safety-rating pool is likely to fetch you high insurance rates.


The value of a car is one of the primary factors that determine its coverage rates, and with good reason. For one, an expensive car will cost more to replace, in case it is stolen, than a cheap car. It also follows that expensive cars also tend to cost more to repair or service than cheap cars.

Theft Rates

Lastly, you may also find yourself shouldering high insurance costs if you buy a car that is considered a thief magnet. Some cars are stolen more frequently than others because they are easy to break into, easy to dispose of or their parts can easily be installed on other cars.

To learn more, contact an insurance agent near you.