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Automobile insurance for a teen driver isn’t cheap, that’s nothing new. But did you know that putting your young one on the family policy can double your monthly premium?
10. Arizona - $1,227 Average Annual Premium
Thinking of moving to another state and curious what insurance premiums might run you?
Insure.com has released its 2013 study that compared state-by-state annual insurance premiums based on insurance for a single, 40-year-old male who commutes 12 miles to work each day. Policy limits were set at $100,000 for injury liability for one person, $300,000 for all injuries, and $50,000 for property damage. The rates assumed the driver has a clean record and good credit and includes uninsured motorist coverage with a $500 deductible on collision and comprehensive coverage.
Kicking off the list is Arizona, with an average annual premium of $1,227. Nearly 6.5-million people live in the state, with its largest city being its capital, Phoenix. Public transportation is plentiful in the major metropolitan areas including Phoenix and Tucson while a light rail system known as the Valley Metro Light Rail connects Central Phoenix with the nearby cities of Mesa and Tempe.
10. Kentucky - $1,725 Average Annual Premium
Interested in how your state ranks in terms of car insurance premiums?
Each year, Insure.com does a state-by-state comparison of insurance costs, ranking all 50 states plus Washington D.C. by the average annual premiums. The rates are based on insurance for a single, 40-year-old male who drives 12 miles to work each day. Policy limits are $100,000 for injured liability for one person, $300,000 for all injuries, and $50,000 for property damage in an accident. The deductible is $500 on collision and comprehensive coverage. It also includes uninsured motorist coverage and assumes the driver has a clean record and good credit.
Kicking off the top 10 list of most expensive states to insure a vehicle is Kentucky with an average annual premium of $1,725. According to the most recent data from the United States Census Bureau, Kentucky has a state population of 4.38 million and is home to Louisville, Bowling Green, and Lexington.
Back in 1965, the Beatles sang “Baby you can drive my car.” We bet if they were to write that song today, they would encourage their baby to not drive their car, because not only are gas prices becoming outrageous, but insurance premiums keep getting higher and higher.
According to the Bureau of Labor Statistics (BLS), insurance rates in North America have climbed 4.5% in January, 2011 compared to the same period in 2010. In the last year, insurance rates have seen a climb by at least 0.2% every month, and some months the rates climbed much higher.
The National Association of Insurance Commissioners in their most recent report mentioned that back in 2008, the National average was $902 a year. That figure is now closer to $1000 a year.
With the cost of driving constantly going up, the auto industry would have another hurdle to get over to bring people into showrooms.
[Source: PR Newspire]
Check out our Auto Insurance pages to get insurance quotes from insurance companies.
It may cost more money to purchase and fill up, but SUVs , trucks and mini-vans are cheaper to insure. This information is coming from a recent government report that based its findings on the fact that some vehicles cost less to fix, and therefore reflects how much it will cost to insure.
Based on losses of insured vehicles for the model years 2007 to 2009, work van Ford E350 Econoline tops the list as the cheapest vehicle to insure. It’s followed by the Mercury Mariner, a small SUV, and the Chevrolet Traverse.
Due to the fact that so many of the company’s vehicles made the list, Ford has no issues about tooting its own horn. “Vehicle affordability continues to be the most important purchase consideration for car and truck buyers, rivaled only by fuel economy,” said Frederiek Toney, a Ford vice president. “We design our vehicles to be easier and more affordable to repair because we know this saves our customers money in insurance premiums and repair costs over the long term.”
The only car to make the list is the Smart ForTwo microcar. The basic idea behind the list is that some vehicles are cheaper to fix if you crash them, and that difference is reflected in their insurance So that Econoline van is 61% cheaper to insure than the average vehicle. The Mariner is 59% cheaper to insure. Traverse is 57%.
Other cheap vehicles to insure, and their percentage they are cheaper than average:
Ford E350 Econoline: 61%
Mercury Mariner: 59%
Chevrolet Traverse: 57%
Ford Escape: 50%
Jeep Wrangler: 53%
Smart ForTwo convertible: 52%
GMC Acadia: 47%
Saturn Outlook: 46%
Ram 1500: 45%
Ford F-150 Supercab: 44%
Kia Sorento: 44%
Dodge Grand Caravan: 40%
Ford F-250: 40%
[Source: Kicking Tires]