It’s no secret, Americans are obsessed with our autos! And chances are if you are expecting a nice tax return this year, you may be in the market for an upgrade. But before you drive that shiny hunk of metal off the lot, be aware that by choosing a car, you are also choosing your insurance rates. Here’s our list of factors that insurance companies use to help determine your rates.

  1. Take Me Away– Insurance companies determine your rates in part by determining the likelihood of whether or not your vehicle is a risk of being stolen or vandalized. Live in a neighborhood where car theft is common? You address may just raise your rates. While this often not the fault of the consumer, it’s a good thing to be aware of.
  2. Danger Zone- Your rate is also affect by the amount of damage that your vehicle is capable of causing in an auto accident. You may want to think twice about getting that diesle truck with a 6 inch lift. A monster truck may look cool, but it’s less cool if you can’t afford the insurance for it!
  3. Fix’er Upper- Another factor that auto insurance companies consider is the cost of how much your vehicle would cost to repair. You might want to consider a more common car where parts and trained mechanics will be easy to come by. In other words, don’t go with the DeLorean!
  4. It’s All About You- Your insurance company is concerned about you! (as hard as that may be to believe) Another factor that contributes to your rates is the projected amount of injury you and your passengers could received if you were ever in a serious auto accident. So be on the look out for vehicles with excellent safety ratings.

Make sure you do your homework when considering a new car. Be aware of the safety features that your dream vehicle offers. Also think about going used rather than new, as newer cars increase rates.

But if you do decide to splurge on that luxury car you’ve always wanted, don’t worry! Capital Insurance Service will do our best to get you the highest quality coverage at the lowest price!