Are Hybrid Cars More Expensive to Insure

Are Hybrid Cars More Expensive to Insure?

Cost of ownership of a vehicle is not only the buying cost. It is just the primary cost. The total ownership cost includes registration, different kinds of tax, insurance, and price of the car. The total ownership means all the cost that you have to bear from buying the car to put it on the road with proper paper works.

Why Considering Hybrid Cars Over Conventional Ones?

The main reason for choosing hybrid is for lower fuel cost. These cars can run up to 120 miles per gallon of fuel. On the other hand, this car good for nature as it emissions rate of CO2 is pretty low. And ownership of the hybrid car is cheaper than gas run vehicles.

Is Hybrid Car Insurance Premium is Better than Conventional Ones?

We have look through different car insurance companies quotes. After comparing them we have found some evidence that hybrid cars are charged more than conventional ones. Here is the average rate of different insurance companies’ yearly premium on different cars.

Hybrid Gas Difference
Honda $1810 $1870 $-60
Sabaru $1765 $1575 $190
Toyota $1895 $1643 $252
Hyundai $1945 $1773 $172

As you can see from the chart only Honda’s hybrid car’s insurance premium is less than its conventional car’s insurance premium. The premium difference is more than $170. So, after the observation, we can say that the hybrid car’s insurance premium is higher than gas operated cars.

Why is This Insurance Premium High?

There are some reasons behind this high premium. The parts of hybrid cars are expensive. So, if anyone hits your car than comprehensive payment will be higher. As it will take more money than regular cars to get repaired. Same things go for the faulty parts in the car. All the expire parts of the cars are pretty expensive, these are the reasons for the insurance company to put a higher premium rate on them.

But as you see why the Honda’s hybrid car premium is low on cost. Well, it is very easy to understand. The prices of the parts are reasonable. So the insurance company put a low premium on Honda Company’s cars.

The engine of the hybrid car is known to the mechanics as state of art engine. This is highly functioning electrical engine needs a pair of well-trained hand. So you can easily get that the mechanics who are expert in a hybrid car will charge more.  As insurance company is responsible for the repair, they charge extra for coverage.

How to Minimize the Coverage?

The car insurance does not depend on only the vehicle. There are lots of other factors to consider as well. If you have an excellent driving record and your financial statement is very good you will get a good discount. If you are married and have another policy under the same insurance company then you will definitely get a discount.

In the end, I think you should go for hybrid cars. They are more nature-friendly and fuel cost is very low.  Insurance coverage is a small amount of money compared to the money it will save on fuel in the long run.