Top 10 Most Expensive Cars To Insure

October 11th, 2016 by admin

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Buying a new car is an expensive proposition in its own right. One thing that many people fail to consider when comparing the costs from one car to the next is the insurance costs involved in the purchase. The truth is that some cars are more expensive to insure than others. Choosing wisely can help you keep your car payments and insurance costs well within budget.

Insurance Center of North Jersey believes that it is always best to make informed decisions when making major purchases, like new cars. These are the most expensive cars to insurance in 2016 according to a report released on Insure.com.

  1. Audi RS7 Quattro Prestige
  2. BMW M6 Gran Coupe
  3. Dodge GT Viper
  4. Land Rover Range Rover SV Autobiography Black LWB
  5. Mercedes S600 BI-T
  6. Mercedes S63 AMG 4Matic
  7. Mercedes SL65 AMG
  8. Nissan GT-R Nismo
  9. Porsche 911 Carrera GT3 RS
  10. Porsche Panamera S Executive

 

The average insurance rates for these vehicles for a 40-year old driver with a clean driving record is between $3,200 to just over $4,000 per year. This is in comparison to the 10 vehicles with the lowest insurance costs that are priced between $1,100 and $1,200 by contrast. As you can see the costs can easily triple if not quadruple based on the car being purchased alone.

What Factors into the Insurance Costs?

These are things that impact the base costs of the insurance alone and don’t include any blemishes on your driving record or other indications (such as credit history hiccups, address, average daily mileage, etc.) that might indicate you’re a bigger risk than your driving record alone reveals. Understanding these factors can help you make purchasing decisions that are appropriate for your insurance budget.

Value of the Car

In accidents where a vehicle is totaled, the higher the value of the vehicle, the more, in many cases, it will cost to insure the vehicle. The Nissan GT-R Nismo, for instance, has an MSRP of nearly $150,000. It makes sense that this car would cost more to insure than your average Nissan Altima, which has an MSRP of $22,500.

Safety Ratings of the Vehicle

Vehicles with a higher safety rating are less likely to have major injuries in the aftermath of an accident. Many of the newer vehicles with high safety ratings also have onboard equipment designed to help prevent accidents as well as to minimize the damage to the humans inside when accidents occur. This helps to reduce the costs of insurance greatly.

Average Cost of Repairs for the Vehicle

This involves not only the costs of repairing the vehicle being insured, but also the damage the vehicle is likely to cause to other vehicles. For instance, SUVs and heavy trucks tend to cause more damage to lighter cars that are lower to the ground than is done to them in the crash. These factor into insurance cost determinations as do the costs of repairing the vehicles themselves.

Insurance Costs You Can Control

Aside from buying different vehicles that carry lower, all-around insurance costs, there are actions you can take that will help you keep your insurance costs under control when purchasing a new vehicle. The steps below are sure to help.

Purchase Certified Pre-Owned Rather than New

Not only will this significantly reduce the costs of the car (a bulk of depreciation occurs when you drive off the lot in a new car), but it also helps to reduce the costs of insuring the car while promising you the benefit of owning a car that is mechanically sound.

Improve Your Driving

Clearing up your driving record can help your insurance costs in a really big way. Failing to do so, can bring them higher still. Consider taking driver safety courses as a way to learn more about defensive driving and improving your overall driving skills. The benefits can save you hundreds of dollars a month if you’re purchasing a vehicle that costs more to insure.

Bundle Your Insurance Policies

Chances are that you have insurance for more than just your car. Even if you rent your home, you need to invest in renters insurance to protect your possessions and your financial future. Bundling insurance products, such as renters insurance and auto insurance can reduce the monthly costs of both – making your auto coverage much more affordable.

Consider Raising Your Deductible

A larger deductible can help you keep your yearly insurance premiums much lower, but it increases your financial burden should an accident occur. This is the amount of risk you share with the insurance company and is often an incentive for you to drive more defensively and take fewer risks while on the road. The insurance providers reward you for that shared risk with lower premiums.

Improve Your Credit Score

Insurance companies use your credit score, along with other factors, in order to properly assess your risk potential. Your credit score represents your likelihood to pay back debt, whether that’s a credit card debt or an auto loan. In other words, it is a measure of your creditworthiness, and the higher your credit score, the more advantageous it can be for lowering your insurance costs.

Insurance Center of North Jersey is here to help you navigate the insurance buying process when you’re in the market for a new vehicle.  Please call us at 201-525-1100 or email info@icnj.com for more information.