Cars with high performance engines and a high price tag are often put into their own category when it comes to car insurance. The quickness with which your car can reach a high speed is both a potential safety hazard and something that makes your car attractive to thieves. Both of these factors are red flags for insurers, who want to insure cars with a low risk of needing a theft claim and low repair costs. You can certainly shop for discounts, but prepare to be held to a high standard. If you're new to the world of performance car ownership, here are some key considerations regarding insuring your valued car.
1. Security is a Large Factor
If an insurance company sees your high performance car as an easy target for theft, your insurance premium will almost certainly increase. A performance vehicle is not inexpensive to replace, making security measures an important upgrade if they are not already factory fitted. Features like an immobiliser will give your insurance more peace of mind. An immobiliser makes it impossible to start your car without the key inserted. A chip inside the key is needed to active two of the three essential start up systems, including the fuel system. This means an end to hotwiring your vehicle. To enjoy cheaper premiums, improve the security system of your car.
2. Repair Parts May be Hard to Come By
A performance vehicle may be difficult, or at least expensive, to insure because your insurance company knows that repair claims will be expensive. A single part on a high performance car can take time and labour to track down, and the expense of the equipment itself is likely to have a high price tag. With that in mind, your performance car insurance rate will be increased to help your insurer offset any potential future repair costs. If you can prove that your particular model doesn't require particularly expensive repairs, you may be able to get a lower insurance rate.
3. You Can Still Get Discounts
Despite their notoriously higher rates, premium car insurance plans are not ineligible for discounts. If you add a security modification to stave off would-be thieves, for instance, you can often get a discount on your monthly premium costs. Likewise, parking your car in a locked garage overnight will usually allow you to enjoy cheaper premium rates than when you park on the street. Taking a certified safety test can also encourage your insurer to offer you lower premiums, such as the courses offered by Any Driver and PassPlus. Ask your potential insurance company about which modifications or testing it recommends you to take in order to benefit from discounts.
4. Modifications May Be Penalized
While safety modifications will be rewarded by your insurer, some modifications may make you ineligible for coverage or increase your costs. For instance, if you modify your engine to boost your speed, your insurer may increase your costs. Some modifications are allowed and won't necessarily increase your rates, but your insurer won't be willing to replace their value in an accident. When you add an upgrade to your car, then, it's important to notify your insurance company and ask if you need additional insurance. If you get like-for-like insurance on modifications, your insurance provider will replace it when it's damaged in an accident. Otherwise, your insurer is only responsible to repair your car as it was when it left the factory. You could lose hundreds or thousands of pounds of modification expenses because you did not get the upgrades properly insured.
Only your insurance company, or the provider who will hopefully provide your coverage, can offer a detailed picture of what you need to do to achieve the least expensive rates. While online insurance rate search engines can offer a big picture, your specific car may have variables that either increase or decrease your rates. Remember that your insurance company will also evaluate you as a driver. Even if your vehicle is very safe, if you have a history of being liable for accidents you will be penalized with higher rates. Also know that not all performance car insurance policies are available in all postcodes.