Most drivers know that their driving record affects their insurance rate. Fewer realize that the car itself plays an equally important role. Insurers evaluate your vehicle carefully before setting your premium — and the reasons go beyond simply how much it costs.
Your car's make, model, trim level, and year all factor into your rate. Insurers look at historical claims data for each vehicle — how often cars of that type are involved in accidents, how costly those accidents tend to be, and how frequently they are stolen. A sports car with a high theft rate and expensive parts will carry a higher premium than a mid-size sedan with a strong safety record.
Safety ratings matter too. Vehicles with high crash-test scores from the IIHS or NHTSA tend to cost less to insure because they reduce the likelihood of serious injury claims. Advanced driver assistance systems — like automatic emergency braking and lane-keeping assist — can also work in your favor.
Repair costs are another major factor. Luxury and imported vehicles often require specialized parts and labor, which drives up claim costs and, in turn, your premium.
Even two similarly priced vehicles can have very different insurance costs based on parts availability and repair complexity.
