High-Performance Vehicles and Auto Insurance in 2023

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High-Performance Vehicles and Auto Insurance: What You Need to Know in 2023- High-performance vehicles, known for their superior speed and handling, are often a symbol of luxury and power. These automobiles, which include sports cars and supercars, are typically equipped with high-power engines and sophisticated driving technologies. While exhilarating to drive, owning a high-performance vehicle comes with unique challenges, particularly when it comes to insurance.

High-Performance Vehicles and Auto Insurance: What You Need to Know in 2023

Understanding High-Performance Vehicle Modifications

Modifications to a high-performance vehicle can significantly alter the car’s value, performance, and safety features – factors that directly influence the insurance premium.

From performance-enhancing upgrades like turbochargers and engine swaps to cosmetic changes like custom paint jobs, each modification can potentially raise your insurance rates. Some modifications, particularly those related to safety enhancements, might be viewed positively by insurance providers, but in general, you should expect your premium to increase.

It’s crucial to inform your insurer about any modifications to ensure they are included in your coverage. Failure to disclose this information could lead to policy cancellation or claims being denied.

The Link Between High-Performance Vehicles and Insurance Rates

Owning a high-performance vehicle usually translates to higher insurance rates. Insurance companies calculate risk based on several factors – vehicle type being a significant one. High-performance cars are statistically more likely to be involved in accidents due to their high speed and are attractive targets for theft. Furthermore, they are usually more expensive to repair or replace, pushing insurance rates higher.

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Sometimes, high-performance vehicle owners might find themselves classified as high-risk drivers due to a combination of factors such as their driving record, age, or the nature of the vehicle. High-risk auto insurance is a category of insurance intended for drivers who pose a higher risk to insurers.

If you’re considered a high-risk driver, finding affordable coverage can be challenging, but not impossible. Several insurance providers specialize in high-risk coverage. It’s also beneficial to improve your driving habits, maintain a clean driving record, and consider driving a less risky vehicle to eventually move out of the high-risk category and enjoy lower insurance rates.

The Role of Credit Score in High-Performance Auto Insurance

Your credit score, a reflection of your creditworthiness based on your financial history, can significantly impact your auto insurance premium, including insurance for high-performance vehicles. Insurers use credit-based insurance scores to predict the likelihood of filing a claim. Those with good credit scores often receive lower premiums.

While this practice is standard in most states, some have restrictions or don’t allow credit scores to influence insurance rates. It’s worthwhile to understand how your credit score may impact your insurance premium, especially for high-performance vehicles.

Insurance Companies Specializing in High-Performance Vehicles

While many mainstream insurance providers cover high-performance vehicles, some companies specialize in this area. They understand the unique needs and risks associated with insuring these types of cars.

  1. Hagerty: Known for insuring classic and collector cars, Hagerty offers policies for performance cars, including agreed value coverage, which guarantees you’ll get the car’s full insured value if it’s totaled.
  2. Grundy Worldwide: Grundy specializes in collector car insurance, including coverage for high-performance vehicles. They offer agreed value coverage, unlimited mileage for hobby use, and coverage for spare parts.
  3. Chubb: Chubb offers a Masterpiece policy for collectibles and valuable vehicles, including high-performance cars. It offers agreed value coverage and choice of body repair shop.
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Tips on Insuring Your High-Performance Vehicle

Insuring a high-performance vehicle can be costly, but understanding how to navigate the process can help manage the expense.

Shopping Around: It’s essential to get quotes from several insurance companies to ensure you’re getting the best deal.

Consider Specialized Insurance Companies: As mentioned above, some insurance companies specialize in insuring high-performance vehicles. They might offer more competitive rates and better coverage options for these types of cars.

Increase Your Deductible: If you can afford a higher out-of-pocket cost in case of an accident, increasing your deductible can lower your premium.

Maintain a Clean Driving Record: Drivers with clean records are more likely to get better insurance rates, even when insuring high-performance vehicles.

Security Measures: Equipping your vehicle with security features such as an alarm system or a tracking device can sometimes lower your insurance cost.

Limited Usage: If your high-performance car is not your daily driver, some insurance companies offer limited-use policies, which can be more affordable.

Training and Experience Discounts

Insurance providers often consider the driver’s experience and training when calculating insurance premiums, particularly for high-performance vehicles. Completing a recognized advanced driving course could lower your insurance rates.

Courses that enhance defensive driving skills or teach advanced driving techniques can be particularly beneficial. Insurers appreciate such initiatives as they demonstrate the driver’s commitment to safe handling of their high-performance vehicle.

Bundling Policies for High-Performance Vehicles

Insurance companies often provide discounts to customers who purchase multiple policies. This practice, known as bundling, can result in significant savings. If you own more than one vehicle, including your high-performance car, insuring all under the same provider can be beneficial. The same applies to combining your auto insurance with home or life insurance policies.

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  1. Why are insurance rates higher for high-performance vehicles? High-performance vehicles are statistically more likely to be involved in accidents due to their high speed, are often targets for theft, and are more expensive to repair or replace – all factors that result in higher insurance rates.
  2. Can I lower the cost of insuring my high-performance vehicle? Yes, several strategies can help reduce the cost, including shopping around for the best insurance quote, maintaining a clean driving record, installing security features on your vehicle, and considering limited-use policies if you don’t use your high-performance car daily.
  3. Are there insurance companies that specialize in high-performance vehicles? Yes, some insurance companies, such as Hagerty, Grundy Worldwide, and Chubb, specialize in insuring high-performance vehicles. They may offer more competitive rates and better coverage options for these types of cars.
  4. Do all high-performance vehicles have the same insurance rates? No, insurance rates can vary greatly depending on factors such as the vehicle’s make, model, year, value, and safety features, as well as the driver’s record and location.


Owning a high-performance vehicle is a thrilling experience, but it comes with its share of responsibilities – one of which is securing the right auto insurance. It’s important to understand why insurance rates for these cars are higher and what you can do to manage the cost. With research, careful comparison, and some strategic steps, insuring your dream car doesn’t have to break the bank.

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