Auto Insurance Premium Factor for New and Used Car

New and expensive cars cost more to insure than older or previously owned/used ones.

The greater a car's value, the more expensive it is to insure because of the car's higher repair/replacement value makes it a greater risk to the insurer.

Conversely, used cars typically cost far less to insure and might not even require collision coverage. As time goes on, it will make less sense to have too much coverage simply because the car's value is less than what it costs to insure.

The only exception to this is if the car you are purchasing is a classic or antique vehicle.