1999 Rate Adjustments Make Car Buying a Snap for Minnesota Drivers
18 February 1999
1999 Rate Adjustments Make Car Buying a Snap for Minnesota Drivers
BLOOMINGTON, Minn.--Feb. 18, 1999--In the market for a new car? Call your insurance agent! Most people wouldn't think about including their insurance agent in that decision, but Farmers Insurance can help make car-buying decisions easier and may save you money.
Farmers' new comprehensive and collision rates for 1999 went into effect in January and many popular models received lower-than-average rates.
"We want to encourage customers to include their agents in the selection process when they're looking for a new car," said Paul Peterson, Farmers' Minnesota state executive director. "Consumers compare sticker prices and interest rates, but one of the most expensive aspects of owning a car is insuring it. So, before you drive off the lot, ask your agent what the insurance will be. It may affect your decision."
Farmers keeps track of how often certain vehicles are stolen and what it costs to repair them when they're damaged. These loss statistics help us determine insurance costs. A vehicle's comprehensive and collision insurance rates are set by using the car's Manufacturers' Suggested Retail Price (MSRP) and adjusting that rate up or down based on that model's loss experience. Vehicles that are safer, less likely to be stolen and less expensive to repair receive favorable adjustments and are less expensive to insure relative to their MSRPs and other cars in their class. This translates into lower-than-standard rates on full-coverage insurance.
This year a greater number of 1998-1999 trucks, sport-utility vehicles and family cars have seen favorable adjustments. The adjustments were primarily driven by loss results. "These autos have lower-than-average claims payments," said Peterson. "Some cars are simply better insurance values than others."
For example, a Ford Escort may be less expensive to insure overall than a Ford Explorer because of the difference in their MSRPs. However, if the Explorer's MSRP is $25,000 but it's rated as a $20,000 because of its better-than-average loss experience, it's a better value for your insurance dollar.
"Keep in mind that many characteristics affect your total premium," said Peterson, "including your driving record, driving habits and discounts."
Before you shop for a new car, contact a Farmers agent who can offer competitive rates for many makes and models you may be considering. Or visit Farmers' Web site at www.farmersinsurance.com for a complete list of vehicles that received lower rates.
Farmers is Minnesota's third-largest auto and home insurer, the nation's third-largest property and casualty insurer, and operates a life insurance subsidiary. With headquarters in Los Angeles and doing business in 31 states, Farmers' work force includes more than 31,000 employees, agents and district managers.
Farmers 1999 Auto Ratings Models with Lower-Than-Standard Rates Manufacturer Model Manufacturer Model ACURA 3.0 DODGE CARAVAN 3.2 DURANGO 3.5 GRAND CARAVAN SLX INTREPID MAXIVAN AUDI A4 RAM WGN A6 SEDAN STRATUS VAN BMW 740 750 EAGLE VISION BUICK CENTURY FORD CLUB WAGON LE SABRE CONTOUR PARK AVENUE CROWN VICTORIA REGAL ECONOLINE RIVIERA EXPEDITION SKYLARK EXPLORER F-SERIES PICKUP CADILLAC CATERA TAURUS DEVILLE THUNDERBIRD ELDORADO WINDSTAR SEVILLE GMC JIMMY CHEVROLET ASTRO PU SIERRA C1500 BLAZER 2WD / 4WD CHEVY VAN PU SIERRA C2500 EXPRESS VAN 2WD / 4WD LUMINA PU SONOMA 4WD MALIBU SAFARI MONTE CARLO SAVANA PU C / K SERIES SUBURBAN SUBURBAN YUKON TAHOE VENTURE HONDA ACCORD EX SEDAN V6 / WAGON CHRYSLER CIRRUS ACCORD LX SEDAN CONCORDE V6 / WAGON LHS CR-V SEBRING JX / ODYSSEY JXI CONV'T PASSPORT TOWN COUNTRY INFINITI I30 Q45 QX4 ISUZU RODEO NISSAN QUEST TROOPER OLDSMOBILE 88 ROYALE JAGUAR XJ6 98 REGENCY XJ8 AURORA XJR BRAVADA XK8 CONV'T CUTLASS INTRIGUE JEEP CHEROKEE 2WD / LSS/88 4WD SPORT SILHOUETTE GRAND CHEROKEE PLYMOUTH GRAND VOYAGER LAND ROVER DEFENDER 90 VOYAGER DISCOVERY RANGE ROVER PONTIAC BONNEVILLE SE / SSE LEXUS ES300 GRAND PRIX SC300 TRANS SPORT LINCOLN CONTINENTAL TOYOTA AVALON MARK VIII CAMRY NAVIGATOR PREVIA LE TOWN CAR SIENNA MERCEDES-BENZ 300D VOLVO 850 320 S SEDAN 960 500 S COUPE C70 / S70 / V70 600 S SEDAN/ S90 COUPE 960 GELAENDEWAGEN MERCURY COUGAR XR-7 GRAND MARQUIS MOUNTAINEER MYSTIQUE SABLE GS VILLAGER GS