There’s no doubting that the car you drive has a significant impact on your insurance rates. Higher horsepower ratings, in instance, might result in much higher rates and possibly even higher deductibles. Today on the blog, we’ll be talking about what horsepower means to insurance companies.
Let’s begin with a simple example: sports vehicles. If you drive a Ford Mustang instead of a Honda Civic, your California auto insurance rates will be higher. Because the Mustang’s engine is significantly more powerful than the Civic’s, it could be a faster car to drive.
If you choose a Toyota Camry over a Mustang or Civic, you won’t be able to choose between a four and a six-cylinder engine. What’s the difference between the two insurers?
The distinction is palpable. The power of the car’s engine is directly proportional to the insurance quotations you’ll receive. A car with fewer cylinders will almost certainly have reduced insurance prices. They’re not counting the number of cylinders; instead, they’re counting the horsepower.
One measure of an engine’s potential power is horsepower. When your car has more horsepower, it accelerates faster, and you don’t have to press the accelerator foot all the way down. To dramatically raise the speed of a car with a lot of horsepower, all it takes is a tiny nudge on the gas pedal.
If you’re still undecided about whether you want to buy a sports car or a sedan, get an estimate on both before making a decision. Many people fail to compare vehicle insurance rates between different models when shopping for a new automobile, which can make a significant difference.
At Breathe Easy Insurance, we understand that you want the greatest vehicle insurance coverage at a reasonable price. Please contact our staff today to learn more about our competitive rates and to receive advise on what to look for while shopping for a new vehicle. We’ve been in the business for a long time and can quickly tell you which cars seem to attract the highest car insurance prices.
Does engine size affect car insurance?
Security devices such as alarms and immobilizers are frequently offered discounts by insurers; your insurer can inform you which devices they accept. Leaving your car in a garage overnight rather than on the street or in your driveway can help you save money on your insurance price.
Limit your vehicle’s use
Your annual mileage will be requested by insurers. You can lower your insurance price by reducing your overall mileage.
The addition of ‘business use’ coverage to your policy might potentially raise your rate. You may keep your insurance costs down by just using your vehicle for domestic, social, and recreational purposes.
Drive a lower powered car
One of the elements used by insurers to determine the cost of your insurance is the engine size of your car. Low-powered vehicles are less expensive to insure than high-powered vehicles.
To estimate the anticipated insurance rates for different car types, the insurance industry use a system known as ‘group rating.’ Thatcham Research administers this on behalf of the industry. On Thatcham’s website, you may learn more about the group rating procedure.
A ‘pay as you drive’ coverage, sometimes known as ‘telematics’ or ‘black box’ insurance, may be available from your insurer. These insurance policies use GPS technology to track your speed, mileage traveled, time of day you drive, type of road you generally travel on, and how you brake and take curves. Your insurer may offer you a lower rate if you achieve a good “driving score.”
Build up a no claims discount
Your insurance claims history (the number of claims you’ve made on your policy) has an impact on the cost of your car insurance. Your insurer will reward you with a no claims discount if you have a claim-free record, which increases with each year you go without filing a claim. No-claims discounts vary per insurer, however they can be as high as 30% for one year without a claim and 60% for five years without a claim. You should shop around to discover the best value.
Does insurance increase with engine size?
The difference between a 1.9 and a 1.6 might be over £1,000 in some cases. The larger the engine, the more likely you are to have an accident statistically, especially if you are a beginning driver.
Top Tip: Save up for a year and acquire a 1.4-litre engine instead of the car you’ve always wanted (or smaller).
Where you live
You’ll pay more for insurance if you live in a region with a high percentage of car-related crime or insurance claims.
If you reside in an area where your automobile is more likely to be stolen, broken into, or vandalized, the insurance company sees you as a higher risk.
Top Tip: While we wouldn’t urge you to relocate away only to save money on car insurance, if you’re a student living in an area with a higher crime risk than at home during the school year, you might want to consider leaving your car at home.
Age
If you’re 18 years old, you’re considerably more likely to be in an accident than if you’re 25 years old.
Top Tip: Unfortunately, there isn’t much you can do about this variable other than drive safely and considerately so that future generations don’t have to spend as much as you did.
Stealability of your car
This factor determines how vulnerable your vehicle is to theft. So it depends on the type of protection your car has and how many of those types of cars are stolen or broken into.
Are smaller engines cheaper to insure?
The Group Rating Panel has created 50 vehicle insurance groups, and each car belongs to one of them. The lower the insurance group number, the less it costs to insure the car. Because they are smaller, more fuel-efficient, have less powerful engines, and are cheaper to fix, cars in insurance group 1 will likely be the cheapest to insure.
Cars are divided into classes based on a variety of features. One of these is repair costs, which are calculated based on the cost and time it would take to fix a car. Another consideration is the cost of 23 of the most frequent car parts; the lower the cost of car parts, the lower the insurance group number. The car’s new value is used to estimate how much it will cost to repair or replace it.
Another influence is the car’s performance (including top speed and acceleration), as faster cars are more likely to be involved in accidents. The insurance group and, as a result, the insurance cost are also determined by the car’s security. The cheapest automobiles to insure have security systems built in, such as high-security locks, alarms, or immobilizers, that prevent the car from being hot-wired. A car’s safety rating is either E (exceeds), A, P, D, or U. (unacceptable). Cars with an E or A rating will fall into one of the lower insurance classes.
Is car insurance more expensive for bigger engines?
The size of your engine is significant since it determines the power of your vehicle. Your automobile will be more powerful with a larger engine, putting it in a higher insurance group. Most of the time, the higher your insurance group, the more expensive your insurance.
You can use our easy checker to determine your insurance group (shameless plug, but it is very handy).
That isn’t to suggest that automobiles with little engines can’t be powerful; turbocharged engines are often smaller but pack a lot more punch. A turbocharged engine in a modern 1.0l engine is common.
Turbocharged engines are more expensive to insure since they are more powerful. Some insurance companies will refuse to cover you if you installed a turbo on your own.
Is a 1.6 liter engine good?
If you like a bit more power under your feet, or if you make a combination of short trips and highway trips, an engine with a displacement of 1.4 to 1.6 litres may be the ideal choice for you.
Is a 1.6 liter engine good for first car?
I’ll admit that I’m a little biased because this was my first car. If you want something that focuses on style and brand appeal, the Mini One is a terrific alternative, and the first generation of BMW Minis (the R50) from 2001 to 2007 is a great place to start for your first automobile. The Mini One is the cheapest trim, but it’s impossible to tell the difference between it and the Mini Cooper, and I’ve driven both of them from the same year. The 1.6l engine delivers 90bhp, and at 1,050kg, it’s the ideal lightweight car for having a little fun while staying inside the speed restrictions. For a higher mileage example, around the 75,000-90,000 mile mark, the Mini can be acquired for roughly £1500-2000. It’s not the most affordable car on the list, but it’s a wonderful choice if you want a car with a rich history and attractive styling.
Unfortunately, because it’s based on a BMW, parts aren’t cheap to replace if something goes wrong, and because it’s a mishmash of multinational parts, it’s likely to break down. I’ve experienced some strange gear shifts and electrical troubles in my car, and just replacing a window motor costs around £50 second-hand. So, if you’re considering a Mini, make sure it has a solid service history and has been well-maintained; otherwise, you may find yourself continuously nagged by minor difficulties.
Closing Words
These are only a few of the cars that would be suitable for you as a car, but the final decision is yours. Everyone has different tastes, and that’s good; get the car you want. These are just a few ideas to help you save money on insurance and learn to drive before you go out and buy fast vehicles and huge SUVs. It’s critical to understand that whichever car you choose is yours. Your device to go wherever you want, whenever you want. You don’t have to be a vehicle aficionado like me to appreciate the core notion of freedom that comes with owning a car. Everyone, please drive safely!
Looking for a place to begin? Why not check out our friends at Not 2 Grand’s classifieds page, where you won’t find a car worth more than £2000!
What is the best size engine for a first car?
When choosing on the make and model of the car you want to buy, there are a number of factors to consider. Here are the most important:
- When it comes to engine size, it truly does matter. To save money on insurance and taxes, Richard recommends keeping the engine size small, such as 1200cc or less.
- Age brand new cars are typically out of reach for first-time car purchasers, so check the mileage if you’re buying a used car. Richard suggests looking for a car with a low annual mileage of 12,000 or fewer, a clean service history, and a long MOT.
- Fuel type – in general, petrol cars are preferable for persons who only drive for short distances. Diesel automobiles are better suited to people who drive a lot of miles per year since they offer greater fuel efficiency, which helps you to save more money the more miles you drive. Diesel engines, on the other hand, usually come with a cost. Take a look at the most frequent fuel kinds in the UK and the rest of Europe.
- Features Examine the vehicle’s safety features. Richard suggests shopping for a car with a high Euro NCAP rating, which means the vehicle has been crash tested to see how it handles impact. Also, make sure it has ABS (anti-lock braking system), which aids steering while braking hard.
Shop around
Prices differ from one provider to the next, so comparison shopping is a good idea. Obtain three pricing quotes at the very least. Companies can be contacted directly or information can be found on the Internet. Your state insurance department may also be able to give price comparisons between big insurers.
Obtain quotations from a variety of insurance companies. Some people sell their own properties using their own agents. The insurance company’s name is the same as the name of these agencies. Some sell through independent brokers who sell plans from a variety of insurers. Others do not employ the services of agents. They sell to customers directly over the phone or on the internet.
Don’t shop just on the basis of pricing. Request recommendations from friends and family. Check with your state insurance department to see if they keep track of consumer complaints per firm. Choose an agent or corporate representative that is willing to answer all of your queries. You can compare quotations from insurers using the checklist at the back of this booklet.
Ask for higher deductibles
Deductibles are the amounts you must pay out of pocket before your insurance coverage kicks in. You can significantly reduce your costs by asking larger deductibles. Increasing your deductible from $200 to $500, for example, might save you 15 to 30% on collision and comprehensive coverage. Changing to a $1,000 deductible can save you up to 40%. If you choose a larger deductible, be sure you have enough money set aside to cover it if you ever need to file a claim.
Buy your homeowners and auto coverage from the same insurer
If you get two or more forms of insurance, many insurers will give you a discount. If you insure more than one vehicle with the same company, you may be eligible for a discount. Some insurers offer discounts to customers who have been with them for a long time. However, it’s still a good idea to shop around! When compared to a multipolicy discount, buying from several insurance companies can save you money.
Maintain a good credit record
Having a good credit history can help you save money on insurance. The majority of insurers utilize credit information to determine the cost of auto insurance coverage. People who efficiently manage their credit have fewer claims, according to research. Pay your bills on time, don’t take out more credit than you need, and keep your credit balances as low as possible to safeguard your credit score. Regularly review your credit report and repair any problems as soon as possible to ensure that your record remains accurate.
Take advantage of low mileage discounts
Some companies provide discounts to drivers who drive fewer miles per year than the average. Drivers who carpool to work may be eligible for low-mileage discounts.
Ask about group insurance
Some firms provide discounts to drivers who purchase insurance through their employer’s group plan, professional, corporate, and alumni groups, or other associations. Check with your employer and any groups or clubs you belong to to determine if this is possible.
Seek out other discounts
Companies give policyholders who haven’t had any accidents or moving offenses in a long time discounts. If you take a defensive driving course, you may be eligible for a discount. You may also qualify for a lower premium if you have a young driver on the policy who is a good student, has completed a drivers education course, or is away at college without a car.
*Not all discounts are available in all states or from all insurance companies.
The final price, not the reductions, is the key to saving money. Even if a company only offers a few reductions, the entire price may be lower.
Does a V8 cost more on insurance?
Despite popular belief, the size of your car has no bearing on the cost of your monthly premium. To decide your rates, insurance companies consider a few aspects of your car in relation to its size. When it comes to accidents, larger vehicles, such as SUVs, are often safer than smaller automobiles. SUVs are designed for families, so their size and included safety features give them a higher safety rating than most cars. Lower premiums are associated with a higher safety rating.
Insurance companies, on the other hand, do not judge books (or cars in this case) by their covers. Insurance will be more expensive for vehicles with more powerful engines, such as a V8, than for vehicles with smaller engines. Providers believe that more powerful automobiles indicate the driver will be more likely to speed, resulting in more speeding charges. As a result, in the case of the engine, size does have an effect on rates.