Insurance for Sports Cars | Bankrate

Sports cars may offer attractive, high-performance features and a sleek design, but what motorists may not consider before making a purchase are the specific insurance requirements for sports cars.

While the exhilarating ride backed by extra horsepower may appeal to drivers, auto insurance companies represent the other side of this equation as they recognize the risks associated with insuring sports vehicles. Because of this, sports car insurance may be higher than standard economy vehicles as your carrier requires special protection. However, motorists can take steps to lower the cost of their sports car insurance.

What do insurance companies understand by sports cars?

Every insurance company is different and vehicle classification standards can vary from insurer to insurer. While high-end models from world-famous companies like Porsche or Jaguar are easier to describe as sports cars, companies like Subaru or Honda produce models that can sometimes be a gray area. As a general guideline, insurance companies typically classify vehicles with the following characteristics as sports cars:

• Smaller and lighter than a standard sedan
• Two seats
• Soft back
• High horsepower
• More than 350 cubic inches of engine
• Turbo engine

Ultimately, your auto insurance company can make this decision by entering the VIN into the insurance system, which takes into account the vehicle make, model, horsepower, number of cylinders, size and weight.

The threshold your insurance company uses to separate standard vehicles from sports cars as what they consider sports cars may not fit your definition. For example, you may not think your Toyota is a sports car, but if its horsepower is higher than what your insurance company considers “standard”, you may have to pay rates that are compatible with what is called sports car insurance.

What coverage do you need for a performance car?

The rule of thumb with auto insurance is that you consider your assets and what financial risk you want to take. Since sports cars typically have higher quality features, specialty parts, and other costly components, you may need more solid coverage to protect the vehicle financially in the event that you are responsible for repairs or damage. The following coverages can be taken into account when taking out your sports car insurance:

• Collision and Comprehensive Insurance: These are two of the most important types of coverage you need to insure your sports car. In the event of an insured damage, these will protect you financially against the cost of property damage to your sports car. It also covers damage caused by things outside of a collision, such as natural disasters, dropped items, or theft.
• Personal injury or health insurance: With personal injury or health insurance, your insurer covers the medical costs for you and your passengers, regardless of who is at fault.
• Gap or New Car Replacement Insurance: Gap coverage can be interesting for drivers who are financing their brand new sports car as it covers you if you owe more for the car than your insurance company would pay for the replacement. With New Car Replacement Insurance, you can cover the cost of buying a replacement vehicle of the same make and model.

Other than the minimum insurance requirements set out in your state policies, there are no specific sports car insurance requirements that drivers must meet. Instead, it’s up to the sports car owners to make sure they have the coverage they need to protect their assets. Always contact your insurance agent to find out what covers and accessories are available to further protect your luxury vehicle.

How much does sports car insurance cost?

In general, sports car owners are likely to pay a higher premium for insurance. A Corvette is insured for $ 2,220 per year for full coverage based on the annual premiums listed. By comparison, the national average cost of auto insurance for a basic sedan is $ 1,674 for full coverage. The higher cost of sports cars is likely due to the fact that they are typically associated with speeding or other unsafe driving behavior, which poses a higher risk for transportation companies. Additionally, insurers are also realizing that sports cars are at higher risk for:

• Collision damage
• General security
• Parts exchange
• Vehicle theft

In addition to a higher risk profile, sports cars have a higher intrinsic value compared to standard sedans. The higher insured value (IDV) for sports cars can make the premium more expensive. How much higher your premium will be than the national average for a standard sedan depends on your geographic location, marital status, specific vehicle make and model, credit history (in most states), and driving history.

How can you save money on sports car insurance?

Sports car insurance is usually more expensive than a standard economy sedan, but there are a few ways that drivers can reduce their premiums. By taking advantage of the discounts available from your insurance carrier, you can secure lower rates without having to forego your insurance coverage. The following are the main discounts to look out for when taking out your sports car insurance:

• Good ride: Safe driving programs are common with many insurance carriers, offering discounts to those who have avoided traffic violations and accidents for a period of driving history. Other providers allow drivers to install a telematics monitoring device to make specific savings based on their current driving behavior.
• Multiple Policy Discounts: If you take out home insurance from the same company in addition to your car insurance, most insurers offer a bundle discount with the savings applied to both policies.
• Safety devices: Some insurers give discounts if your vehicle is equipped with special safety features. Check the list of eligible safety features to see if your car is eligible for a discount. While these may not be as common with sports cars, ask your insurer if the characteristics of your vehicle allow you to qualify for a unique safety discount.

In addition to the discounts, drivers could also save on premiums by assuming a higher deductible. While this lowers your premium, it also means that you take on more financial responsibility in the event of a claim.

How is exotic car insurance different?

Even if they may look similar to the untrained eye, sports cars differ from exotic cars in that exotic vehicles are rarer and have a higher vehicle value. As a result, many insurance carriers will not insure them. For example, Progressive will not insure your vehicle if it is worth over $ 150,000. Drivers of a Lamborghini Aventador, Porsche Taycan Turbo S, or any other vehicle valued at more than $ 200,000 will likely need to seek out specialist auto insurance or those that cover collector’s vehicles. There are a few providers that offer this type of insurance coverage, including:

• American collectors
• Geico
• Grundy worldwide
• Hagerty
• Heacock
• JC Taylor

With a special car or collector’s insurance, you get more robust insurance coverage to protect your exotic vehicle financially. Some specialty insurers may even offer rebate programs similar to standard insurers to policyholders to help lower the cost of insuring your exotic car.

frequently asked Questions

Which cars are the most expensive to insure?

In general, the higher the value of your vehicle, the more financial protection you need and the higher your premium for this coverage. Sports, luxury or collector’s vehicles are among the most expensive insurances, measured by the average premiums.

How do I know if my vehicle is a sports car?

Although some features may be common to both sports cars and regular sedans or SUVs, the former usually has a few different features. Turbocharged engines, a 350cc or greater engine, above average horsepower, two seats, and a low design are typically unique to vehicles that are considered sports cars.

Is sports car insurance different from regular insurance?

The biggest difference between insuring a regular car and a sports car is the value of the vehicle, which affects premiums and eligibility. Because the financial risk of a sports car is high, not all providers offer insurance coverage for some sports car brands and models. If you’re looking to insure a sports car worth more than $ 150,000, few providers may offer this specialty coverage option.

methodology

Bankrate uses Quadrant Information Services to analyze 2021 rates for all zip codes and airlines in all 50 states and Washington, DC Coverage Limits:

• $ 100,000 personal injury liability per person
• $ 300,000 liability per accident
• $ 50,000 property damage liability per accident
• $ 100,000 personal injury from an uninsured motorist per person
• $ 300,000 personal injury to an uninsured driver per accident
• $ 500 deductible in case of collision
• $ 500 deductible

To set the minimum coverage limits, Bankrate used minimum coverage that meets the requirements of each state. Our drivers with a basic profile own a 2019 Toyota Camry or a 2019 Chevrolet Corvette, commute five days a week and drive 12,000 miles a year.

These are sample rates and should only be used for comparison purposes.

source https://outdoorsportsnews.com/insurance-for-sports-cars-bankrate-2/