Most Expensive Countries in the World to Insure a Vehicle

(MENAFN- MENAFN.COM)

Car insurance is one of the most important things you need to make sure you sort out as a driver. There are a lot of reasons why this is a necessity, and one of the key ones is the fact that it is a legal requirement that will protect you on the roads and help you in the event of any sort of accident. This is why you have to sort your insurance and make sure you get the right premium sorted before you even take your car out on the road.

You need to know about the different types of car insurance that exist, as well as how much you can expect to pay for them. It is also important to factor in that there are plenty of different things that can impact your car insurance and how much you can expect to pay. So, you need to do as much as you can to get this right moving forward. There are a lot of things that play a massive role in this, and the more you can do to get it right, the better it will be for the future. Here are some of the most expensive countries in the world for car insurance, so you know what to expect.

1. United States

The United States has one of the highest insurance costs overall, but this is most likely due to the fact that it is such a large country. Also, it should be noted that Americans are perhaps not as great on the road as we like to think we are, and this all contributes! The average cost of insurance that Americans can expect to pay annually is $1,706.86. This is, of course, simply an average, and will not apply to everyone. A lot will depend on the insurance company you choose to insure with, as well as your age, the vehicle you have, and how good a driver you have been over time.

Of course, it should also be noted that the US has 50 states, and many of them have their own laws and governance. Some states have seen annual insurance premiums actually dip below $1,000, while in a few cases, some states saw premiums in excess of $2,000! Your rate could be massively impacted by where you live, and this is something you need to bear in mind.

2. Austria

Perhaps it’s the Austrians’ love of fast, exotic cars that means they have one of the most expensive rates of auto insurance in the world. But, due to high quality of life, mostly they have no issue making these payments on a monthly basis. So it’s something of a cycle. Due to paying higher insurance premiums, the people of Austria are in a position to be able to afford pricier and flashier cars. Also, due the high earnings and good quality of life, they are able to meet these payments. So this is perhaps one of the key reasons for it being so expensive in Austria versus a lot of other countries. 

3. Germany

Germans can expect to pay around €1,400 per annum for their car insurance rates, an amount not dissimilar to what Austrians pay. Now, the reasons for this are largely due to high quality of life meaning that more people can afford to pay these sorts of amounts. But, they are also necessary because Germany has pretty laid back speed limits, and the country has a love of fast cars. The complexities of this can make it difficult to get the right car insurance premiums. Incidentally, it is interesting to note that despite the laxed speed limits and traffic laws, Germany actually has some of the lowest accident rates in the world.

4. United Kingdom

People in the UK have to pay an average of more than £1,000 in auto insurance, an amount that has risen in recent times. But, much like the United States, there are plenty of factors that can impact and change the amount that people are required to pay. For example, young people across the UK can face premiums as high as £2,500! While those living in London and Manchester are looking at some of the highest rates in the country! This might be to do with metropolitan areas being hotbeds for crime, and thus increasing the likelihood of car theft or damage.

5. Australia

Australia is a country that prides itself on economic stability, and it has done pretty well as the rest of the world has experienced turmoil. Australians also enjoy a pretty good quality of life and income, and this is why it is certainly advantageous for them that their average car insurance rates are lower than the others on this list. Those in Sydney can expect to pay close to $1,175, and most Australians should expect to spend around 1.5% of their annual income on car insurance costs.

As you can see, these are some of the more expensive nations in the world when it comes to insuring your vehicle. Now, there are a lot of reasons why this might be the case, and it is important to consider what can impact your car insurance premiums. There is a lot to keep in mind here, and there are so many elements that will impact your car insurance and the amount you’re going to need to pay to get the right rate for you. Make sure you look into budget before you actually commit to a policy, and understanding how costs can vary from country to country is very interesting.