Insurance of a used car is as important as the insurance of a new car. First of all, the owner of the car gets a policy of assurance; to protect himself from the civil responsibility in case there would be an RTI, or something would happen with his car, the passengers or other road users. The main difference is that if the used car was damaged, stolen or written-off, the potential expenses of the assurer are lower comparing with the assurance of a new car, as the insurance company pays out undervalued premium. However, a used car can also damage other people and cars as well as a new one. In this case insurance rates are not dependent from the age of the car.
Since used cars are cheaper, customers want to reconsider the insurance rates. For example, if you are buying a premium used car, you should be very attentive while choosing an insurance strategy (lower pays out with more cost-efficient insurance rate – is the best variant).
There is a sense of taking an insurance strategy with lower franchise if you are buying a new car. In the process of assuring of a used car there works another strategy. In this case owners of used cars don’t take notice of insignificant damage of the car and don’t inscribe it to the insurance contract. By doing this, the owners can save their money. The higher the franchise is, the more money you will loose in case there would be claims to insurance companies.
If you want to choose an insurance strategy which includes the entire spectrum of the basic services, you have to think over the rate of the initial instalments and the franchise.
Type of the transportation device plays an important role in insurance of the car. Your insurance contributions will be higher if you are an owner of the car with high-capacity (for example, Corvette, Honda Accord). One should remember that insurance companies monitor the statistics of accidents and propose you various insurance contributions. For example, one can ensure Nissan Maxima with a 20% discount comparing with Nissan Altima (10% discount).