Insurance quotes don't vary that much between a £2000 car and a £7000 car?

Eternal1

I've been messing around with insurance quotes on comparethemarket and I'm a brand new driver (actually have not even passed my test yet) but on the £2000 cars it quotes me about ~£900 a year and on the £7000 cars it quotes me at £1,200. That's only £300 a year more for a care that's over 3 times as expensive, is this normal?

forgotmyname

No. Some insurers are cheaper with a new or almost new car.

Some insurers increase the premium substantially for older cars.

wgl2014

Bear in mind that a £2k or £7k car will cause just as much damage to a bus stop full of pedestrians or a £200k Ferrari. The payout for repairs to either value car you mentioned is likely to be a small chunk of any serious claim.

I've had quotes before where they don't ask for a cars value just confirmation it was under £35k.

Eternal1

wgl2014 wrote: »

Bear in mind that a £2k or £7k car will cause just as much damage to a bus stop full of pedestrians or a £200k Ferrari. The payout for repairs to either value car you mentioned is likely to be a small chunk of any serious claim.

I've had quotes before where they don't ask for a cars value just confirmation it was under £35k.

But I'm confused as a lot of people say don't get an expensive car because your insurance will be through the roof or whatever. When I got quoted £900 on a £2000 car I was expecting about a £2500 quote on a £7000 car (for a brand new driver).

I know the damage you do to another vehicle or bus stop is the same but surely a more expensive car is more expensive to fix? So the damage done to my vehicle as a result of a crash would cost way more to repair?

lopsyfa

Eternal1 wrote: »

But I'm confused as a lot of people say don't get an expensive car because your insurance will be through the roof or whatever. When I got quoted £900 on a £2000 car I was expecting about a £2500 quote on a £7000 car (for a brand new driver).

I know the damage you do to another vehicle or bus stop is the same but surely a more expensive car is more expensive to fix? So the damage done to my vehicle as a result of a crash would cost way more to repair?

That is a simplistic view on things. The insurance will depend on the insurance group, so an older less expensive group 25 car will be more expensive to insure compared to a newer, more expensive group 10 car. Also some newer cars may have features such as automatic emergency braking that make the insurance cheaper.

I think post number three is your answer. Insurance works in probability, they may assign a 10% (a guess) probability to the cost of replacing your car and 90% to third party. Remember, 3rd party liability will be the same no matter the car. So working on that assumption and assuming all other things are equal, the difference in insurance for a £2000 and £7000 car will be:

0.1*(7000-2000)=£500

The answer above will vary depending on the probability used and the specific cars and yourself.

F1F93

Take my 2 cars as an example. A brand new ibiza and a 15 year old rover.

The ibiza has modern safety equipment to help avoid accidents. It's far more expensive so I am likely to take more care of it, reducing the likelihood of a claim. If I do have to claim parts will be cheap and readily available.

Just a few reasons why the ibiza is cheaper to insure.

Scrapit

A 7k car isn't an expensive car. Try the same quite with a 60 grand motor.

AdrianC

Eternal1 wrote: »

But I'm confused as a lot of people say don't get an expensive car because your insurance will be through the roof or whatever.

"A lot of people" are sometimes wrong.

I know the damage you do to another vehicle or bus stop is the same but surely a more expensive car is more expensive to fix? So the damage done to my vehicle as a result of a crash would cost way more to repair?

Yes, it will. But that can be a relatively low part of the claim.

You don't mention your age, but I'm guessing you're older than 17. If so, then it may well be that older new drivers tend to have lots of smaller low-value bumps. If the damage to your car is <£2k, it doesn't matter if it's a £2k or £9k car. It's costing <£2k for the damage to yours. But it might cost £5k for the other driver's whiplash and £2k for the damage to theirs and £2k for the hire car they're in while their car's being straightened... So that's £2k of damage to yours, but £11k total claim.

jimbo6977

Cost to replace car = £2,000 or £7,000

Cost for rest-of life nursing care, adapted home etc etc, for the pedestrian you run over = £5,000,000

So the £5,000 difference in car values represents ~0.1% of the loss.

Car_54

If the cars are identical, except one is some years older and hence cheaper, the repair costs will be the same.

AdrianC

Car_54 wrote: »

If the cars are identical, except one is some years older and hence cheaper, the repair costs will be the same.

...subject to a cap of the write-off value.