Quote:
Originally Posted by JohnnyCanuck
More complicated than that. The collision and comp on the same vehicle will drop over time (or increase more slowly) because the cost of repairs drop as more replacement parts become available (ie. non-OEM or salvage). But that has no impact on liability or accident benefits or hit/run or underinsured coverage.
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Insurance companies price for the typical claim for most of the premium and for the max claim on a small part. This is why the rate doesn't drop as the car ages.
So the typical claim is left front fender, head light and hood. $3500 on a new car.
Guess what? same thing costs $3500 on a 10 year old car.
The newest cars are becoming a huge issue. The cost of the electronics stashed in the bumper and grill are astronomical and don't always prevent a claim. This is raising rates right now.