Insurance for sports cars

While sports cars may be attractive due to their high-performance features or sleek design, drivers should remember that they have specific insurance requirements.

While the exhilarating ride backed by added horsepower may appeal to drivers, car insurance companies represent the other side of this equation, recognizing the risks associated with insuring sports vehicles. Because your insurance company will require you have certain protections, sports car insurance can cost more than standard cars. Drivers can reduce the cost of their sport car insurance by taking action

What are insurance companies’ definitions of sports cars?

Each insurance company is unique and the vehicle classification standards can vary between insurers. It is easier to classify higher-end models from world-famous companies like Porsche and Jaguar as sports vehicles. However, models produced by companies like Subaru or Honda can sometimes be classified as a grey area. Insurance companies classify vehicles with these traits as sports cars.

  • It is smaller and lighter than a standard sedan
  • Two seats
  • Soft back
  • High horsepower
  • Motors larger than 350 cubic inches
  • Turbo-charged engine

Your car insurance company might make this decision by entering the VIN into their system. This will include the vehicle make, make, model, horsepower and number of cylinders.

Your definition of a sport car might not be the threshold used by your insurance company to distinguish standard vehicles from sports cars. You may not consider your Toyota a sports car. However, if the Toyota’s horsepower exceeds what your insurance company considers standard, you could end up paying rates that are consistent with sports car insurance.

What coverage is required for a performance vehicle?

When you’re looking for auto insurance, it is important to consider your assets and the financial risk you are willing or unable to take. You may need to purchase more comprehensive coverage in order to financially protect your vehicle. This is because sports cars have more expensive features and specialty parts. When purchasing sports car insurance, you should consider the following:

  • Comprehensive and collision insurance are the two most important coverages that you can get for your sports car. In the event of a covered loss, these coverages will protect you financially from any physical damage to your vehicle. This also covers damage not caused by a collision like theft, natural disasters, falling objects, or theft.
  • Personal injury protection or medical payments insurance: With personal injury protection or medical payments insurance, your insurer will cover the cost of medical expenses for you and your passengers, regardless of who is found to be at-fault.
  • Gap or new car replacement insurance: Gap coverage may be of interest to drivers financing their brand new sports car, as it will cover you if you owe more on the car than your insurance company would pay to replace it. With new car replacement coverage, you are able to recover the cost of buying a replacement vehicle of the same make and model.

Except for the minimum insurance requirements in your state guidelines there are no requirements that sports car drivers must comply with. It is up to the owners of sports cars to make sure they have sufficient coverage to protect their assets. To further protect your luxury vehicle, consult your agent.

What is the cost of insurance for a sports vehicle?

Sports car owners are likely to pay a higher insurance premium. Insuring a Corvette costs $2,220 a year for full coverage, based on quoted annual premiums. In comparison, the national average cost of car insurance for a basic sedan is $1,674 for full coverage. The steeper cost for sports cars is likely attributed to the fact they are typically associated with speeding or other unsafe driving behaviors, which presents a higher risk to carriers as a result. Insurance companies also acknowledge that sports cars pose a greater risk to:

  • Collision damage
  • Safety general
  • Replacement parts
  • Vehicle theft

Sports cars are more risky than standard sedans and have an intrinsic value that is higher than standard sedans. Premiums can be more expensive due to the higher Insured Declared Valu (IDV) for sports cars. Your driving record, marital status, and credit history will all influence how much your premium is higher than the national average for a sedan.

How can you save on your sports car insurance rates

Although sports car insurance is more expensive than standard sedans, there are ways that drivers can lower their premiums. You can get lower rates by taking advantage of discounts offered by your insurance company without having to sacrifice your coverage. These are the key discounts you should be looking for when buying your sports car insurance policy.

  • Many insurance companies offer discounts to drivers who are good drivers. Others allow drivers to purchase telematics monitoring devices to get specific savings based upon their driving habits.
  • Multi-policy discounts: Most insurers offer multi-policy discounts, which allows you to save money on both your home and auto insurance policies.
  • Safety features: Insurers may offer discounts for vehicles with certain safety features. Check the list to determine if your vehicle qualifies for a discount. These discounts are not as common for sports cars. Ask your insurance company if your vehicle features qualify you for a special safety discount.

Drivers could save premiums by choosing a higher deductible in addition to the discounts. This will lower your premium but it also means that you will be responsible for any claims.

What makes exotic car insurance different?

Although they look very similar, exotic vehicles have higher vehicle values and are more rare than sports cars. Many insurance companies won’t cover them. Progressive won’t insure vehicles with a value exceeding $150,000. If you own a Lamborghini Aventador or Porsche Taycan Turbo S or any other vehicle worth more than $200,000, you will need to find a specialist auto insurance company that covers collector vehicles. This type of insurance is offered by a few providers, including:

  • American Collectors
  • Geico
  • Grundy Worldwide
  • Hagerty
  • Heacock
  • J.C. Taylor

A collector or specialty car insurance policy will provide more protection for your exotic vehicle. To help lower the cost of insurance, some specialty insurers might offer discount programs similar to standard insurers.

Questions frequently asked

Which cars are the most costly to insure?

The general rule is that the greater the vehicle’s value, the better financial protection you will need and the higher your premium for that coverage. Based on average premiums, sports and collector vehicles are the most expensive to insure.

How can I tell if my car is a sportscar?

While some features are common to both sports cars as well as regular sedans and SUVs, there are a few distinctive traits that distinguish the former. Sports cars are usually distinguished by turbocharged engines, higher horsepower and 350cc motors, as well as two seats and a low-built design.

What is the difference between sports car insurance and regular insurance?

The most important difference between an insured regular car and a sport car is its value, which has an impact on eligibility and premiums. Some providers do not offer coverage for certain sports car models and makes because of the high financial risk. Only a few providers might offer this special coverage option if you have a sports vehicle worth more than $150,000.