What Are The Least Expensive Cars To Insure

Published by author on May 24th, 2009 - in Car Models Affect Rates

Reader’s Question:

What is the cheapest car to insure? My dad will buy my car and I would like to know what vehicles I should avoid getting.

Charles

Cambridge, MA

Car insurance companies refer to statistics from the Insurance Institute for Highway Safety and Highway Loss Data Institute (IIHS-HLDI) to approximate your car insurance rate. The computation done by IIHS-HLDI is based on the following factors:

Type of Car

Insurance rates for muscle and sports car and other luxury SUV’s are higher compared to regular vehicle because their cost of repair is more expensive.

Four-door cars are charged lower rates compared to two-door car because statistics shows that four-door cars have up to 93% lower claims. Car insurance companies, generally, refer to previous claim data for charging new holders.

Full-size family sedans are statistically safer and are, therefore, charged lower. They are also generally cheaper.
If you don’t want to have high insurance rates, you may have to avoid these models:

  • Cadillac Escalade
  • Chevrolet Corvette Convertible
  • Lincoln Navigator
  • or any car that has the name Mercedes, Maybach, or Porsche in it.

Level of Risk

Car models that are more prone to theft are given higher rates. Today’s list of most theft-prone cars includes:

  • Acura Integra
  • Ford F-150
  • Honda Accord
  • Nissan Sentra
  • Toyota Camry
  • Toyota Corolla
  • Toyota Pickups

Cars that have costly stereos (e.g. Volkswagen) and similar accessories are also charged more.
ON the other hand, the cars which are least prone to and are there given lesser rate for theft coverage are:

  • Buick LeSabre
  • Buick Park Avenue
  • Mercury Grand Marquis four-door
  • Volvo V70 Station Wagon

Cost of Repair

More expensive vehicles are, of course, costlier to repair. The list includes:

  • Kia Rio 4-door
  • Kia Spectra 4-doors
  • Mitsubishi Mirage 2-door
  • Suzuki Esteem 4-door

(The lists above are based on statistics and similar data. However, you are not discouraged form buying them. You are only informed so you won’t be surprised if you are given greater car insurance rates.)

Luxurious cars are not only expensive to drive; they are also costlier to insure. But if you have lots of money, go ahead and pick the one that you really want.

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Where is The Best Place To Get Auto Insurance Quotes

Published by author on May 23rd, 2009 - in Online Quotes

Reader’s Question:

Where can I get car insurance quotes?

Gary

Anchorage, AK

Being impulsive in acquiring auto insurance quote is a big no-no. Any practical shopper would definitely take some hours to compare prices and quotes. They will also take time to look into the policy and understand them. Doing all of these things will not only help you obtain the ideal deal at a lesser price; it will also relinquish you from future problems by the time you’ll make claims.

That is why shopping around for car insurance is a wise decision. There are so many ways you to do this. Here are tips on how to shop for it:

  • Browsing the yellow pages. Doing this will give you an idea what insurance companies are available locally. You can pick up the phone, speak with an agent. Get an idea about their offers and their coverage. This will also give you an idea what companies to should you do background checks in order to narrow down your list.
  • Visit local establishments. If you’re not contented with the phone conversations, do it the old-fashioned way.
  • Make use of the internet. If you don’t want to waste your time, sitting around waiting for agents to accommodate you, then surf the web. The quickest way to do it is to use search engines like Google or Yahoo. Put in the word of insurance you ought to purchase and together with your location.
  • If you’re too busy, you ask an insurance broker to represent you. They can help you find great deals for all sorts of insurance, especially if you want to bundle your insurance services in from one company. But take note, seeking help from them shouldn’t influence your rates.

Among all of the options, the practical one is shopping online. It’s hassle-free and it is also great ways to earn discounts on your auto insurance.

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How Car Insurance Rates Are Determined

Published by author on May 23rd, 2009 - in Auto Insurance Questions

Reader’s Question:

I am just confused why this insurance company gave me a very expensive quote for my car insurance policy? How do they determine the car insurance rate?

James

Dallas, TX

You might be confused why you insurance company came up with a hefty $1,200 after computing your car insurance rate. Here are the major factors that led you to that sum:

1. Age

You might be old enough to drive but perhaps you aren’t old enough yet to acquire lesser insurance rates. Many teenagers die of road accidents annually so they are charged higher than drivers 25 and above. The least rates given in relation to age are to drivers between 50 and 65.

2. Marital Status

Single individuals file claims more often than their married counterpart. Hence, they are given higher premiums. Car insurers will change your rates as your status change. Expect your rates to either go down or up if you get divorced or become widowed.

3. Residence

You might be asking why your friend in Maine pays so little while you always end up paying expensive premiums. If you are staying in New Jersey, that’s only natural. New Jersey is the second most expensive place to insure a car—just a little below DC. North Carolina, Indiana, and Maine are the three least expensive, respectively.

People staying in fire, theft, and natural disaster prone areas are given higher rates. Rates can change if you move a few blocks away or even across the street. Make sure you let your insurers know about your every move as they might forfeit your claims.

4. Gender and Occupation

If you are a male doctor, do not wonder why that female teacher across the street pays lower for her insurance. Males are more probable to file claims merely because they drive more frequently than women. In terms of occupation doctors are the second most probable to get involved in accidents, just next to students.

5. Your Car

You might enjoy driving your BMW, but you definitely won’t enjoy paying its premium. Your car type, make, model, and history will also affect your rates. If you are driving a sports car that has get involved in a traffic accident last year, expect your car insurance rate to be higher next time.

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What Auto Insurance Coverage Should You Buy

Published by author on May 23rd, 2009 - in Need auto insurance

Reader’s Question:

Im having a hard time deciding on what car insurance coverage to choose. I need some help on how to determine what car insurance coverage to choose.

Carl

Kansas City, MO

On purchasing insurance, one of the first few things you have to decide on is the auto insurance coverage. The coverage you will opt of must comply with your state’s least requirements. However, you may decide to go above the requirements and obtain further coverage which might serve you well in the future. Reflect on how much you will call for before picking any of the following auto insurance coverage:

1. Bodily Injury Liability

This covers you if you initiate an accident that result in other people’s injury or death. This will also covers you from charges should the injured party choose to take legal actions against you. Since this coverage involves persons, it is quite expensive.

2. Property Damage Liability

This covers you when you damage another person’s vehicle. Same goes if you plow a fire hydrant, a tree, a fence, or any other non-moving object.

3. Collision Coverage

This settles your bills when you car gets damaged in a crash with another automobile and immobile objects as well. You are not obliged by law to obtain this. However, it will help to have personal protection for your vehicle, especially if you are driving a Ferrari.

4. Comprehensive Coverage / Other than Collision

This shields you should your car get damaged from causes other than collision. This covers damages caused by natural phenomenon such as storms, earthquakes, hale, etc. This also protect you from fire and theft. If you are residing in a neighborhood that is prone to theft or natural disasters, expect your premium to be high on this one.

5. Uninsured Motorist Coverage

Assists you if the uninsured passenger in your car obtains injury during an accident.

There are further car insurance coverage but these are the most common and important. Take time to do research and decide prudently which coverage you will avail.

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Simple Car Insurance Money Saving Tips

Published by author on May 23rd, 2009 - in Auto Insurance Saving Tips

Reader’s Question:

I want to save on my car insurance. Can you give me some tips please.

Halley

Lincoln, NE

We all think of better ways to spend our money. Bottom line is we do this because we want satisfaction. Moreover, we want savings. That is why whether we are purchasing a piece of jewelry or a common commodity like auto insurance, we always find ways to save money.

You read it right. There are multiple ways to save money in auto insurance. Here is how you can do it:

1. Discounts- There are so many ways to get discounts in purchasing auto insurance. You can get automatically qualified for it if you meet their conditions. Most of the time, they are granted to people who have been religiously practicing safe driving thus, having no violations on their driving record. They are also given if you have additional driving courses or training, anything that makes you a safe driver. You can also have discounts if you have maintained good grades as school. Or as simple as installation of anti-theft devices in your car can help you earn the discounts.

2. Deductibles- You always has the option to shoulder a portion of your liabilities. The higher you assume, the lesser your premiums can be. However, you have to be smart in choosing the amount. There is always a catch in here. You might be in trouble if you don’t have the money by the time it will be needed. Therefore, you have to be certain that you can afford what you have assumed.

3. Shopping around- This alone can get you to save a lot of money. Getting into the wrong company can cost you a lot. You do not want to end up purchasing insurance and finding that the other company has a better deal right? Remember, car insurance cost is never alike. Companies have their own ways of computing them.

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Need Advice on First Time Driver Car Insurance Coverage

Published by author on May 23rd, 2009 - in Auto Insurance Saving Tips

Reader’s Question:

This is my first time to shop for car insurance and I am really confused with what coverage to choose and what is best offer for me. Can you help me decide?

Mike

Lexington-Fayette, KY

For first time diver car insurance shoppers, they would most likely muse on how much insurance to get. This can be confusing, especially when insurance companies have promising offers.

When you read the coverage of their plans, you will be most likely be tempted to purchase them all. It is understandable since all of us want to be fully covered by the time accidents happen. Who doesn’t want to be liberated from the financial burden brought by accidents? From the looks of it, everyone wants this freedom.

However, when you think about your budget, the chances of being fully covered as in zero dollars spent for accidents may decrease. Most of us are average income earners. Considering today’s economic problems, not all of us will have the opportunity to spend much money getting full coverage for insurance.

For first time auto insurance buyers, here’s what you can do to get great insurance deals, that your money could buy:

  • Learn your state limits. Every state has a requirement for the minimum insurance to purchase. This will serve as your baseline data for purchasing car insurance. Most insurance companies have tailored fit their insurance package according to the state’s requirements
  • Evaluate the kind of activities you do with your vehicle. You might need more coverage if you use your car more often compared to cars stored in your garage for most of the time.
  • Assess the worth of your car. If you have expensive cars, then don’t settle for less.
  • If you carry valuable assets in your auto at all times, you might want to get coverage for that. This way, in cases of theft or other unfortunate events, you will be insured for it.
  • If your budget permits you, go for higher limits but evaluate the coverage included.
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Choosing The Right Vehicle For Cheap Car Insurance

Published by author on May 23rd, 2009 - in Car Models Affect Rates

Reader’s Question:

I dont want to pay more for my car insurance just because I have the “wrong vehicle”. Which cars are cheapest to insure?

Andrea

Aurora, CO

You have to admit, auto insurance is one of the commodity most sought after in our times today. Not only will it save us from financial burden that accidents may bring, but it is also one of the requirements of almost all of the States for us to drive.

People always have problems in acquiring auto insurance. One of the main problems is the price itself. Premiums might be too expensive for some especially when you are categorized as high-risk driver.

People fail to recognize that insurance cost can be lowered in many ways. One of which is by knowing what car to purchase.

You might have been dreaming for 4WDs built with suspension lift kits to make your car look tough and hardcore. However, these babies would cost you more in terms of your premiums. If you ask why? The answer would be simple. It is accident-prone and more susceptible to rollovers.

Your auto insurance cost are most affordable when you choose cars that are safer to drive. So what then is a safe car? It is a car that can protect you, whether you are the one seated on the driver’s wheel, beside the driver or the one at the back. Most vehicle considered safe by insurance companies are backed up with data derived from research and statistics.

You can also achieve affordable car insurance cost if the repair cost of your vehicle is inexpensive. Vehicles that are less susceptible to theft lower your car insurance rates too.

Highway Loss Data Institute has shown the latest list for safety cars. Examples of safety cars for this year are Subaru Legacy, Volkswagen Jetta and Audi Q7. National Insurance Crime Bureau has also released their top 10 most stolen vehicle. You might want to check these websites before buying vehicle to lower car insurance.

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Need Lower Car Insurance Rates

Published by author on May 23rd, 2009 - in Need auto insurance

Reader’s Question:

Can you give me some tips on how to lower my car insurance rates? I feel like I am overpaying for my insurances.

Gene

Indianapolis, IN

Car insurence may not be a basic human need but it is indispensable since most of us own cars. It is a basic requirement of the state for you to legally operate your vehicles. Despite being mandatory, some people still don’t purchase them. Times are hard and people barely afford to put food on the table. That is why it seems easy for them to eliminate this expense to allot their money on more important things.

However, car insurance isn’t pricey at all times. Just like purchasing other products, there is always a way to buy better deals at a lower price. Knowing these methods will help you pay for a more affordable insurance and get you out the risk of driving without them.

One method to use is by comparing the prices or quotes from various insurance companies. Check the prices versus the coverage. Seek opinions from other people you can trust. Then make a decision.

Second method is by choosing your car wisely. Always remember insurance companies also base their rates on the type of car you have. Safe cars have lower car insurance rates. For fancy cars, expect higher premiums.

Have you ever heard of bundled services for your internet, phone and cable? People have left their dial-up services to consolidate their services from one provider. The reason behind it: services are cheaper. This is the third method that you can use in order to get lower car insurance rates. Get all your insurances (life, homeowners, renters and car insurance) from one company.

Fourth method is to avoid getting in trouble with your creditors. Ensure that you will always be responsible in paying your debts and maintain low credit balance. Doing so will lower your car insurance rates.

Last but not the least; learn other means to discount your car insurance premium. Do not forget to ask your agents about it.

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What Happens To Car Insurance After a DUI Conviction

Published by author on May 23rd, 2009 - in DUI / SR22 Insurance

Reader’s Question:

What will happen to my car insurance after DUI conviction?

Terrence

Baton Rouge, LA

Alcohol equates problems. It doesn’t only bring physiologic problems but it can also cause mess in highways. In United States, over 250,000 people died of car accidents correlated to alcohol intoxication. Moreover, Center for Disease Control and Prevention ascertained that 36 people die in US daily due to drinking and driving. If you do the math, over 12,000 lives can be lost in a year.

If you created accidents like this, not only will you snowed with guilt but you will also be decked with financial problems. Your license will be suspended and by the time you restore it, it’s going to cost you more.

Yes, it is true. Having your license restored will be costly. You have to pay the fines, your DUI car insurance costs would go up and lastly, you would be to file an SR22 car insurance.

So what’s an SR22? If you have not been convicted of driving violations like DUI, then you will not need this. This is just a document reinstate by the state to remove your suspension. Just as long as it is on file, you will be eligible to drive again; granted that your car insurance has not been removed.

Yearly maintenance of SR22 can be expensive; what more if you have to maintain it for 3 years (the very least). That is why it is most important that you shop around to compare the costs. SR22 can be provided at a decrease price basing on the elements that affect car insurance.

After getting SR22 car insurance, you can easily have your license restored. Certain companies can handle it for you overnight but with a certain fee of course.

Isn’t all of this a total annoyance? Therefore, the next time you drink and drive, think of the SR22,the fines and the DUI insurance that you have to shoulder.

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Tips For Buying Car Insurance

Published by author on May 23rd, 2009 - in Auto Insurance Saving Tips

Reader’s Question:

What do I need to know before I buy car insurance?

Mel

Cincinnati, OH

A prudent car insurance buyer would never believe everything a salesman would pitch-in. Should you be a wise buyer in purchasing car insurance, then never let insurers tell you what’s best for you. You might just get ripped-off. To determine the right amount of coverage for your insurance, imagine of what you want to happen at times of accidents. Then ask yourself if it is a practical choice.

In a world where accidents are possible, the best choices for any person to do is to be insured. No matter how safe you think your driving skills are, you can never tell what meets you on the road. This clearly denotes how needed a vehicle insurance is at all times.

People have been buying car insurance. Having been explained repetitively, we still have uncertainties on how much insurance should be obtained. Despite the minimum requirements established by the state, we still wonder if this is adequate to cover for our liabilities at times of accidents.

If you get a lowest coverage required by the state, would this be enough to pay the cost of repairs for your vehicle after a terrible collision. If at fault, will the minimum liability be enough to cover those who you have greatly inconvenienced? Would you assets be sufficient to provide for your shortage? Will I have sufficient to pay for my medical expenses in a worst-case scenario? On the other hand, will I able to cover for the medical expenses of my victims? Is it practical to let the company pay for everything without you having to shell out a single cent?

Simple questions like this can help you evaluate how much car insurance you should be getting. The bottom-line is to make sure that the amount you get puts you in a win-win situation at all times.

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