Reader’s Question:

Is it necessary to know the car insurance group of the vehicle I am planning to purchase?

Hannah

Atlanta, GA

Yes, this factor is very necessary especially if you want to save on your insurance payments. Even before purchasing a car, knowing which car insurance group it belongs in will help you be prepared on how much you should allot for car insurance expenditures.

Typically, cars that belong in the highest groups are more expensive to insure as insurance providers will have to pay more for car insurance claims. These are usually high-performance vehicles such as sports cars. The higher the horsepower, the more likely it will get into accidents. These types of vehicles also require much longer and more special repairs once damaged in accidents, which essentially means bigger costs to the insurers. Bulky or heavy vehicles such as SUVs also get to be charged with much higher car insurance rates as the possibility of inflicting damages to persons and/or properties is much greater than a regular sized sedan.

Now, whatever vehicle you plan to acquire, it would be good to acquire one that has been fitted with safety features as standard equipment. This way, your Collision and Comprehensive Insurance payments won’t shoot up the roof. It is also important to note that if you will be able to pay your insurance upfront, then do so. Spreading your payments will cost you more as interests will be assessed on top of the actual car insurance premiums.