More expensive and high-performance cars cost more to insure than less costly vehicles, and the differences can be significant.
May 21, 2006 (Press Release) --
More expensive and high-performance cars cost more to insure than less costly vehicles, and the differences can be significant. Usually, the choice of vehicle will affect premiums for collision and comprehensive coverage more than liability protection. "New car buyers should know that the make and model they choose does affect insurance premium," says Radigan.
According to Progressive, some of the costliest cars to insure are the Dodge Viper, Jaguar XKR and BMW M5, while the Saturn SL and Chrysler PT Cruiser were among the least expensive to insure.
Progressive samples a 35-year-old couple living in Laguna Beach, Calif. If they chose to insure a BMW 525i, their premium for six months of insurance will be $846.90. If they choose a Volkswagen Passat GL instead, that premium drops to $690.
Among other factors insurers consider are your vehicle's history for theft, the cost of repairs and the car's overall safety record. As Ruiz put it, "If your car hits the list of vehicles most likely to be stolen every year, you'll pay more."
Other Considerations
Fraud is a major problem for drivers of more expensive cars. "High-priced vehicles are often targeted," Cotter said. "Nobody wants to stage an accident with someone who only has a small policy. When they see a decent vehicle, they assume the driver has more coverage."
In other words, you stand a better chance of becoming the target of a staged accident while you are driving your Mercedes-Benz than when you are behind the wheel of a Chevrolet Cavalier.
Source: http://search.msn.com
Posted by James MacPherson
According to Progressive, some of the costliest cars to insure are the Dodge Viper, Jaguar XKR and BMW M5, while the Saturn SL and Chrysler PT Cruiser were among the least expensive to insure.
Progressive samples a 35-year-old couple living in Laguna Beach, Calif. If they chose to insure a BMW 525i, their premium for six months of insurance will be $846.90. If they choose a Volkswagen Passat GL instead, that premium drops to $690.
Among other factors insurers consider are your vehicle's history for theft, the cost of repairs and the car's overall safety record. As Ruiz put it, "If your car hits the list of vehicles most likely to be stolen every year, you'll pay more."
Other Considerations
Fraud is a major problem for drivers of more expensive cars. "High-priced vehicles are often targeted," Cotter said. "Nobody wants to stage an accident with someone who only has a small policy. When they see a decent vehicle, they assume the driver has more coverage."
In other words, you stand a better chance of becoming the target of a staged accident while you are driving your Mercedes-Benz than when you are behind the wheel of a Chevrolet Cavalier.
Source: http://search.msn.com
Posted by James MacPherson
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