How cheap Is Car Insurance If You Own the Car?

General
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Hey Pals…

I’m curious if owning a car outright makes insurance cheaper compared to financing or leasing.

  • Rates: Do insurance costs go down if you own the car?
  • Other Factors: How else does ownership affect premiums?

If you’ve got any info or personal experiences, I’d love to know.
Thanks a bunch…

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Owning a car outright can sometimes lower your insurance costs since you might not need full coverage like when you’re financing or leasing. However, other factors like your driving record, car model, and location also play a big role in determining premiums. So, while ownership can help, it’s just one piece of the puzzle

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Car insurance costs are based on your car’s value. Comprehensive insurance typically costs around 7% of the car’s value, but this can vary by insurer and may go as low as 3.5%.

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The sort of automobile you own, where you live, how well you drive, and the coverage you select can all have a big impact on how much car insurance costs. Although having a car of one’s own doesn’t always translate into lower insurance prices, it can have a different impact. In general, insurance premiums are influenced by the make and model of your vehicle. Because of increased repair costs and the possibility of theft, insurance for new or costly cars is frequently more expensive. An automobile loses value with age. In the event of a total loss, this implies the insurance provider will have less money to payout.

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I used to only have liability insurance for cars worth less than $5,000. If you had anything else, it was still a good idea to have full covering. I would definitely drop the Kia to risk. That depends on the value, that’s all.