Why over the course of time do insurance rates not accurately imitate the depreciating convenience of your sports car?

Answers: You can save money by increasing your deductable (making it less feasible that you will file a claim), or dropping collision and comprehensive altogether, if you are willing to assume the risk.

I enjoy 2 vehicles and am a good driver (autocross competition experience) and could procure by if one was totalled, so I dropped collision/comprehensive on my older motor and kept it on my newer Pathfinder that I need for winter (no loans).
Because the labor costs to fix the damages don't depreciate.

Also, most people don't KEEP a coup¨¦ long enough for it to depreciate low enough to mind a difference.

HOWEVER, if you insure a brand new 2008 Ford Focus, and you insure a 1998 Ford Escort (the equivelent back then), you'll spot a SIGNIFICANT difference in the collision and comprehensive rates. That IS the reflection of depreciating difference.

But if you're comparing a 2008 model and a 2007 model, you won't see much difference. You necessitate to look at a car at LEAST 5 years old to see the difference within rates.

See, this year labor might be $40 an hour. Three years from now, although your car is worth smaller quantity to fix, that dent is probably going to cost MORE to repair, not less.

The best way to cut costs on your coup¨¦ insurance, is to SELF INSURE. Yep, pay that car sour, delete the collision and comp, and then whatever happen to your car, YOU pay for it.

Unless, obviously, you can't afford to pay for it. Then you're stuck with a motor that's not drivable. Source(s): agent, 21+ years
The declining value of your sports car is just a fraction of the cost of insurance.The damage you can do or the injuries you can produce do not diminish if your car is showroom new, or 15 years aged.
The first answer is very right. But I will add that the biggest part of the cost is liability - not weaken to the vehicle. So you will only notice significant differences surrounded by price between a 1998 and a 2008 (like the example already given)
Because insurance premiums are not linked to the actual value of your sports car - Insurance premiums are linked to the INSURED value of your coup¨¦. If you want the premiums to go down, then you must lower the amount of insurance you are carrying on your car.
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