The car with the best insurance rates fluctuates from year to year depending on the ages of the cars, their likely drivers, and how much they are likely to cost the insurance company to repair should the be in an accident. Therefore, there is no hard and fast answer to the question of which car is the cheapest to ensure, and even when there is a particular year or model that is unusually inexpensive to insure, different insurance companies will still have different rates.
Although insurance companies are typically insuring a car, as opposed to a driver or group of drivers, the listed drivers are still one of the largest determining factors in how much a car is going to cost to insure. Teenage drivers, for instance, are always more expensive to insure in comparison to all but the most wreck or ticket happy adults. The elderly used to be among the cheapest to insure, no matter the vehicle, but that has been slowly changing as insurance companies have begun to change their views on that group of drivers.
The type of car that is insured can have either a negligible, or huge effect on the total cost of the insurance premium. Extremely expensive cars, for one, will always raise rates on any comprehensive insurance policy since the insurance company will have to pay to have that car repaired should the driver wreck it, or should an uninsured driver hit it. Adding a high risk driver to an expensive vehicle can lead to astronomical insurance rates and, in some cases, insurance companies may actually deny coverage. Generally this only happens when the driver is high risk due to tickets or accidents, but different insurance companies’ policies differ on the matter. SUVs also carry a fairly high premium due to their high risk of rollover, especially when combined with younger drivers.
How Do Insurance Companies Determine A Car’s Rates?
Although insurance companies are typically insuring a car, as opposed to a driver or group of drivers, the listed drivers are still one of the largest determining factors in how much a car is going to cost to insure. Teenage drivers, for instance, are always more expensive to insure in comparison to all but the most wreck or ticket happy adults. The elderly used to be among the cheapest to insure, no matter the vehicle, but that has been slowly changing as insurance companies have begun to change their views on that group of drivers.
But Don’t They Base Insurance Rates On The Car, Too?
The type of car that is insured can have either a negligible, or huge effect on the total cost of the insurance premium. Extremely expensive cars, for one, will always raise rates on any comprehensive insurance policy since the insurance company will have to pay to have that car repaired should the driver wreck it, or should an uninsured driver hit it. Adding a high risk driver to an expensive vehicle can lead to astronomical insurance rates and, in some cases, insurance companies may actually deny coverage. Generally this only happens when the driver is high risk due to tickets or accidents, but different insurance companies’ policies differ on the matter. SUVs also carry a fairly high premium due to their high risk of rollover, especially when combined with younger drivers.
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