There are many myths about what makes a vehicle cheap or expensive to insure. Below are the three most common myths about finding a cheap vehicle to insure.
MYTH 1: The smaller the vehicle, the more cost effective to insure – totally untrue. In order to understand this one, you have to spin it around and look at it from the insurance carriers mindset – if a small vehicle is in an accident, it will most likely suffer greater damage than a larger vehicle. Chances are, the amount paid out on a claim would be greater thus making small compact cars potentially more expensive to insure.
MYTH 2: The older the vehicle, the more cost effective to insure – this is somewhat untrue. Older vehicles can sometimes have better statistics on safety and performance in an accident. This can have an affect on rates (obviously in a good or bad way, depending on how the pendulum swings.) On the other side of that, older vehicles are often no longer produced meaning it is harder to come by replacement or new parts. This can impact rates by making the vehicle more costly to insure.
MYTH 3: Color has an effect on rates – totally untrue. Color has no effect on rates and that is all.
Keep these myths in mind the next time you purchase a vehicle. If you are concerned with what your potential new vehicle will cost to insure, contact Heather Mosher | 906.315.7235 | firstname.lastname@example.org. Happy looking!