Mustang Podiums on Insurance Rate List
The cheapest car to buy doesn't necessarily come with the cheapest insurance rate, according to a new analysis by the Automobile Club of Southern California.
Neither is the reverse true, showed the study comparing car prices with estimated insurance premiums from its insurance affiliate.
The analysis, conducted by the Auto Club's Automotive Research Center, lists the ten least expensive and ten most expensive new cars to insure with an MSRP of under $50,000 as well as SUVs, pickup trucks and minivans.
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Vehicle premiums are determined by collision costs, component replacement costs and how often certain vehicles are involved in crashes. Generally speaking, sportier vehicles are driven more quickly than pickup trucks or sedans, so they are more expensive to insure.
Bigger vehicles do better in crashes, so their collision costs are less. However, they tend to do more damage to the other vehicle, which results in higher liability premiums.
Not unexpectedly, power and excitement come with a price. The 2007 Ford Mustang GT convertible sells for 30 percent less than the sporty Acura RL Technology, but costs 16 percent more, or an additional $323, to insure.
All Mustang models ranked third on the list of most expensive passenger cars insurance rates, falling behind only the Chevrolet Corvette and BMW 5-series cars.
Add-ons such as sound systems, fancier paint, trim and wheels, add on to the price of insurance. For example, the Chevrolet Silverado C1500 insures for about $1,300 while its fancier cousin, the Silverado C1500 LTZ, insures for about $500 more.
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