If you think insuring an old car always costs less than insuring a new car, you’re not quite right.

On the one hand, newer vehicles with safety features like back-up cameras and automatic braking do a better job of preventing accidents. On the other hand, it typically costs more to repair and replace a car with the latest technology.

If your car was made overseas and parts will have to be shipped to you if they need replaced, that can also drive up the cost of your insurance.

Does Insuring A Newer, Safer Vehicle Cost Less Than Insuring Old Cars That Lack Extensive Safety Features?

There are a lot of variables that determine a driver’s insurance rates, and it’s impossible to pinpoint one specific factor. Essentially, a person’s driving history has a major impact on their insurance rates. The vehicle they drive may not impact their rate as much as you might think.

So, What Other Factors Really Impact A Driver’s Car Insurance Rates?

Auto insurance underwriters pay attention to vehicle usage, driving history and claim history. They may also consider an individual’s age, marital status and gender (not in all states the insurance companies are allowed to use these factors). Younger drivers typically have higher insurance rates because statistically they are more likely to cause an accident.

Who Typically Has the Lowest Rates?

It’s typically middle-aged married people without children of driving age who have to pay the least for auto insurance.

What Drivers Can Do to Keep Their Policy Price Lower?

The most important is driving safely, obeying posted speed limits and traffic laws, and selecting higher deductibles.

Important when shopping for new car insurance is to not to settle for the cheapest coverage. The reason is, that it probably excludes key coverages you might need down the line. Talking to an insurance professional like your agent can help you get the right coverage.

Bundling your auto coverage with your homeowners or renters insurance can help you get discounts and lower your insurance premiums, too.

The Bottom Line: Safe Driving Matters More Than the Car You Drive.

While the car you drive can influence your insurance rates, your driving habits affect it even more. By practicing safe driving habits, you will keep yourself and other drivers safe while also saving money. To help avoid rate increases, consider ERIE Rate Lock®. This policy endorsement freezes your auto premium year after year, until you add or remove a vehicle or a driver from your policy or change the location where your car is garaged. Talk to your agent to learn more and get a free quote.