What Factors Influence SUV and Sedan Car Insurance Premiums?

SUVs have established themselves as a viable alternative to sedans since they provide the same luxurious ride and amenities as the latter. SUVs' prices have also grown competitive when compared to sedans. Some current SUVs are tiny, smaller, and have a cabin capacity comparable to that of a sedan. To drive on Indian highways, all car owners must get insurance, but the notion of vehicle insurance is growing increasingly confusing over time. The cost of automobile insurance is decided by a number of factors, including the driver's driving record, the existence of modern anti-theft equipment in the vehicle, the vehicle's optional deductibles, the driver's age, and so on. What's interesting about automobile owners is that the sort of vehicle they drive has an impact on their insurance prices. The greater the car's purchase price, the higher the insurance rates will be.

SUV Insurance vs. Sedan Insurance

The Indian automobile industry has grown over time to provide a wide range of vehicles at reasonable prices. They range in size from little automobiles to luxury sedans and SUVs, with a variety of engine capacity, styling, and extras. The cost of owning a vehicle (including auto insurance premiums) varies depending on the kind of vehicle, engine capacity, and amenities. As a result, keep the following considerations in mind when deciding between an SUV and a sedan, as they might affect your auto insurance rate.

• Type of Vehicle

Four-wheelers come in a variety of shapes and sizes, each with its own set of functions. Smaller hatchbacks, sedans with larger interior rooms, SUVs with off-road capability, and Utility Vehicles (UVs) with higher passenger capacity are all available. SUVs have traditionally been fitted with larger engines, complicated 4x4 mechanicals, and off-road-focused equipment that allowed them to traverse difficult terrains. They did not, however, provide a soft ride comparable to that of a sedan until it was an expensive and luxury SUV. In recent years, however, this has altered. The new SUVs are compact and smaller in size, but they offer a large cabin, luxury equipment, better ground clearance, and a pleasant ride for the same price as sedans. One of the most important aspects in determining the cost of car insurance coverage is the cost of the vehicle.

• Year of Production

The year your car was built tells you how old it is. When calculating the insurance premium, the vehicle's age is taken into account. Because of the depreciation component, this is the case. The wear and tear of motor components increase as the vehicle ages. Newer automobiles receive a higher premium since the market value is so important in establishing the insurance rate.

• Type of Fuel

Petrol automobiles are often less expensive than diesel ones. As a result, the cost of insurance for gasoline automobiles is cheaper. Whether you buy a gasoline, diesel, compressed natural gas, or liquid propane car, the cost of the vehicle is a major impact on the cost of your insurance coverage. A gasoline SUV's insurance rate is likely to be lower than that of a diesel car. In addition, if you put a CNG or LPG kit in your car (SUV or sedan), your premium will almost certainly rise.

Take Away

Having a high-end automobile in India is not only easy to fix and maintain, but it may also result in higher insurance costs for the owner. Holding such high-end variations, however, is a source of pride and self-satisfaction as long as it adheres to the owner's unique aesthetics.

Do read - Find More About The Many Types Of Car Insurance Policies Available In India.