Exotic Cars And How To Insure Them


Possibly the most expensive type of car to insure is one that falls into the category of “exotic car.” Insurance for these cars can be as expensive as the cars themselves, and is often very difficult to get.

For a car to be considered “exotic” it usually has to be a sports car, and has to have an extra-ordinarily high market value. This can be due to mechanical capabilities such as high speed and rate of acceleration, or to relative rarity, which most drivers feel brings them a certain type of flair. Most car insurance companies feel that the higher the value of the car, the higher the risk they take, and consequently, the higher they have to make their premiums. So you can imagine how extremely high insurance costs for exotic cars can be. Yet, like any other vehicle you own, insurance is mandatory. So how are you supposed to find good coverage, or even any coverage, when there are so few companies willing to take on the risk of insuring such a valuable possession?

Finding a willing insurance company is just the first hurdle; even harder is getting a good deal on an insurance policy. The companies that are willing to ensure exotic cars are counting on you feeling like your options are limited, and can use that to their advantage; playing hard ball with you to ensure higher premiums than necessary. You should always obtain all of the information that you can before looking for exotic car insurance, such as what rates any competitor may charge, and what going insurance for vehicles similar to yours is.

One important question to ask a potential insurance company is why the insurance will be so expensive. Exotic cars are very valuable and, therefore, can represent a greater risk financial loss to the company should something happen, and they are forced to pay out on the resulting claim. Exotic cars are generally very capable vehicles, in terms of speed. As such, they carry a statistically proven higher risk of accident. This is often due to misuse of the vehicle by over-zealous drivers, so having a clean or minimal accident record will give a potential insurance company greater confidence in your ability to handle a sports car safely and responsibly.

Also, the more experienced a driver you are, the better a position this puts you in to get a smaller premium. After all, the smaller the risk associated, the less they will have to charge you. In addition, as with most types of auto insurance, it will be better if you plan to drive your exotic car less. A second car for little things, like trips to the grocery store, is a great idea. Better to save the use of the exotic car to special occasions, car shows, and similar events. This will not only reduce your mileage, but also your premiums!

Having an exotic car is certainly fun, and can be a great experience but, as equally important as the financial resources to buy one, is the necessity to be informed about the special category that such a car would fall into. The best ways to save money on insurance is to know the facts before you ever enter the insurance companies office. So long as you have that knowledge, then you have the power to get the insurance that you need and deserve.

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