Supercars can Cost $100,000 a Year to Insure

Next time you complain about your car insurance bill you should think about the dilemma the owners of supercars such as the $4 million Lamborghini Venemo or the $2.6 million Bugatti Veyron face. Some of them have to pay up to $100,000 a year just for car insurance.

The Bugatti Veyron 6

The Bugatti Veyron 6

The main reason supercar insurance is so expensive is that supercars themselves are incredibly expensive. Simply increasing the price of a car raises the insurance premium. The more expensive the vehicle, the more the insurance will cost.

Pagani Zonda Cinque Roadster

Pagani Zonda Cinque Roadster

So how expensive is the insurance for supercars like the $1.8 million Pagani Zonda Cinque Roadster anyway? Well, it’s so expensive that most insurance companies won’t touch those cars.

Custom Insurance for Supercars

Instead, supercar owners have to do what ship owners have done for centuries. They have to go to an insurance broker, who then approaches underwriters and creates a custom insurance policy just for that vehicle. Not only is the supercar itself a custom, handcrafted piece of machinery, but it has to have a custom insurance policy.

That’s also part of the reason why the insurance is so expensive. Each policy has to be specifically tailored for the vehicle. If the vehicle is unique and extremely valuable that cost can quickly add up; the Lamborghini Venemo or Venom custom built for the legendary Italian company’s 50th anniversary in the sports car business could cost up to $100,000 a year to insure.

Lamborghini Venemo

Lamborghini Venemo

That figure is based on the standard rate for supercar insurance, which is $25,000 a year for each $1 million in value. That’s another reason why supercar insurance is so expensive; you cannot buy it on a monthly basis.

How Supercar Owners Can Cut Their Insurance Premiums

There are some ways that supercar owners can reduce their insurance premiums. Interestingly enough, these methods are the same techniques that the rest of us take advantage of.

A great way to cut the premium is simply to drive the vehicle less. Insurance companies will give the owner a break if the car is not driven on a daily basis. If it’s simply used on the track or taken out only on the weekends, the driver can get a serious discount. Many average people don’t realize that they can take advantage of this discount too by simply telling their insurance company how much they drive.

Having a good driving record helps too. An unnamed Hollywood star that kept racking up tickets in his supercar found his insurance premiums went up.

Another discount that the rich can take advantage of is bundling. A wealthy person that insures all of his or her vehicles with one policy can save quite a bit. Insuring several supercars can actually be cheaper than insuring just one.

Finally, supercar owners can shop around for car insurance and look for policies from several different companies. They usually do this through an insurance broker, but average people don’t need to go to a broker. You can go online and get quotes from several different car insurance companies.

Doing an online search for car insurance can help you save money because you can locate custom policies tailored for your needs just like wealthy people get for supercars. For example, you can buy a special policy designed for a collector car or a policy without collision for the broken down old beater your teenaged son drives.

Supercars Are Super Expensive

Okay, supercars, as all Top Gear fans know, are a lot of fun, but they’re also super expensive. Most of us probably couldn’t afford the insurance let alone the vehicle itself.

However, it is fun to dream about supercars and look at pictures of them. These speed machines are marvels of modern engineering, design, technology, and craftsmanship that do deserve our praise even if we cannot afford the insurance premiums.

[author] [author_image timthumb=’on’][/author_image] [author_info]The Car Insurance Samurai is a guy who loves cars and saving money on car insurance. His mission is to have fun and show you how to reduce your car insurance premium.[/author_info] [/author]

 

This article has 1 comment

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