Why Your Car’s Make and Model Matter in Auto Insurance

When shopping for auto insurance, you might wonder why insurers ask for your car’s make and model. These details are crucial in determining your premiums, coverage options and potential discounts. Understanding how your car’s specifics impact your policy can help you make informed decisions and potentially save money.

How Make and Model Influence Premiums

The make and model of your car affect how much you’ll pay for insurance because they help insurers assess risk. High-performance sports cars, for instance, are often associated with higher accident rates and costlier repairs, leading to increased premiums. On the other hand, sedans and economy cars may carry lower risks and, as a result, lower insurance costs.

Luxury vehicles and newer models may cost more to insure due to their expensive replacement parts and advanced technology, which can be pricier to repair. Conversely, older cars with fewer technological features might be cheaper to insure but could lack modern safety features, which may also affect premiums.

The Impact of Safety Features

Texas insurers may reward drivers who own vehicles equipped with advanced safety features such as anti-lock brakes, airbags, lane departure warning systems and collision avoidance technology. These features reduce the likelihood of accidents or injuries, translating into lower insurance risks and discounts on premiums.

Risk of Theft

Certain car models are more likely to be stolen, and this can influence insurance rates. If your car is on a list of commonly stolen vehicles, you might face higher premiums to offset the increased risk to the insurer. Anti-theft devices may help reduce these costs.

State Requirements in Texas

Texas law mandates that drivers can prove financial responsibility after an accident. Most people satisfy this requirement by purchasing at least the minimum required levels of auto liability insurance. Your car’s make and model could affect how much additional coverage you might want beyond the state minimum to protect your financial interests.

Learn More

Understanding the impact of your car’s make and model can help you select a vehicle that aligns with your insurance budget. Consult with All-Integrity Insurance Agency LLC to find the best coverage for your needs and vehicle.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.