Why Do Automobile Insurance Rates Vary?

When you look at average vehicle insurance prices by age and state, you might ask what else influences them. Auto insurance prices might fluctuate for a variety of reasons.

Filing a claim is the most prevalent reason for a rate rise. Over the next three years, an at-fault collision can increase your rate by up to 50%. Your premiums will increase much more if you were convicted of a DUI or committed a hit-and-run.

You don’t have to be in an accident to see your insurance rates rise. Car insurance, on the whole, tends to become more expensive over time.

Cars with modern safety features and smart technology are more expensive to maintain, and an inflow of these vehicles might drive up local prices. In addition, if your state experiences a string of natural catastrophes, prices will rise to compensate for the increased number of comprehensive auto claims.

Given the high cost of premiums, you might believe that automobile insurance firms profit only from the fees they charge drivers.

Mercedes-Benz S-Class

The Mercedes S-Class is expensive to acquire, with an average six-month rate of $1,871 (or $312 per month) – it has the highest list price of all the vehicles on our list, at over $173,000.

Consider starting your search for the best Mercedes S-Class auto insurance with Auto-Owners.

The lowest rate was $910 for a six-month coverage from this firm.

Nationwide ($1,014) and State Farm ($1,280) are two other companies worth considering.

Porsche 911

The Porsche 911 is a high-performance sports automobile that costs about $100,000 to purchase and $1,867 to insure for a six-month period ($311 per month).

At $748 or $124 a month, Nationwide may offer the best value, while Auto-Owners ($859) and Travelers ($1,067) are the second and third cheapest insurers for the Porsche 911, respectively.

Tesla Model S

With an average insurance premium of $1,810 every six months, the all-electric Tesla Model S has the lowest MSRP on our list and the ninth most expensive average insurance rate.

The most cost-effective insurers for the Model S were Nationwide, American Family, and Erie, with premiums ranging from $818 to $986 for a six-month coverage.

The BMW 7-Series

The BMW 7-Series is a premium sedan that costs $1,761 to insure over the course of a six-month policy, making it the tenth most expensive vehicle in terms of auto insurance rates.

At $891 for six months or $149 per month, American Family may be the most cost-effective option.

Nationwide isn’t that much more ($946), while Mercury is a little more ($1,256), but still less than the 7-Series’ total average insurance cost.

Maintaining a clean driving record is one of the best strategies to receive low car insurance premiums. Safe drivers demonstrate to vehicle insurance companies that they are unlikely to be involved in an accident. This means they will almost always be less expensive to insure.

Consider taking a defensive driving course to demonstrate your worth to insurance companies. You may potentially be eligible for discounts as a result of this. The provider’s and your location’s discounts will differ.

If you haven’t had any accidents or moving offenses, such as a speeding ticket, in the previous three years, you’ll also obtain a lower premium.

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