5 Reasons why Car Modification impact your insurance rates
Just like when you have to call your insurance company because of a change in contact information or mailing address, you need to notify your insurer of any modifications that you make to your vehicle.
While it is very common for drivers to modify their vehicles to better fit their personal style or driving preferences, auto insurance rates are based on the features of factory built cars. Therefore, any changes that you make to your vehicle can have an impact on your rates.
So, before you start turning your car into something that rivals a car from Fast and the Furious,talk to your insurance company, so you know how the changes you want to make will impact your rates.
Common car modifications
There are countless ways that drivers can modify their vehicle. Some of the most common include:
Adding custom rims
Adding a body kit
Adding a spoiler to the rear of your car
Tinting your windows
Installing a new stereo style
Modifying your engine to improve performance
Adding a performance exhaust and muffler
Lowering the suspension of your vehicle
Why do modifications impact your auto insurance rates?
Modifications can increase the risk of your car being stolen
Performance modifications increase the risk of injury if you are in an accident
Modification can increase the value of your car
Modified cars generally cost more money to maintain
Modified cars can be more expensive to repair
In most cases, any low cost upgrades or modifications to your vehicle will not impact your rates, but you still need to report then to your insurance provider. Before you make any changes, talk to your insurance provider to make sure you are clear about the ramifications of making changes to your car. Sometimes, the modifications are not worth it in the long run.