The WSJ has a piece on a hidden cost of smaller cars: higher insurance premiums. Why? Well, smaller cars are involved in more accidents, incur bigger claims (especially for injuries) and they are stolen more often. You don't read that in a Yaris brochure, do you?
How much money are we talking about? According to the evidence in the WSJ article the difference between larger and smaller models is are $400/year. However, I wasn't really happy with the author's comparisons. How do you equate a Mini and a Toyota Sienna? Why wouldn't you quote Corolla verses Camry or Cobalt verses Malibu? Seems more logical to me, but the numbers probably aren't as impressive (that's my guess anyway). I suppose I could do my own investigation, but I'm much happier to armchair quarterback this one.
Read the whole darn article for yourself and see what you think.
Thursday, October 23, 2008
Small Car, Large Insurance Bill
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3 comments:
That is an awesome looking car though...
Maybe everyone should drive smaller cars so people don't get hurt by those big unnecessarily large SUVs
It looks like a toy!
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