Performance car insurance
Key takeaways
High-performing cars come with extra-expensive car insurance policies, but there are ways of cutting costs
The cost of car insurance is influenced by the car insurance group your vehicle falls into and factors like your age, claims history, and excess
To bring down the cost of car insurance, consider adding a named driver, reducing your mileage, or investing in security measures
What is performance car insurance?
Performance car insurance is cover for drivers of top-of-the-range sports cars or powerful off-road SUVs. It's a specialised type of insurance that caters to the unique needs of high-performance vehicles, which are often targets for theft and can be costly to repair or replace.
Given the increased risks associated with these cars, insurers typically charge higher premiums to cover potential claims.
What counts as a performance car?
A performance car is defined as any lightweight car with a fast and powerful engine. This includes high-value supercars, such as a Porsche, Lamborghini, Aston Martin, or Ferrari. But many other car makes and models are also classed as performance cars by insurers, and their owners face higher premiums when buying car insurance.
📣 Did you know? The definition extends beyond the exotic to include high-performance versions of standard models, which might surprise some drivers when they see their insurance quotes.
Why is performance car insurance so expensive?
Performance car insurance is undeniably pricier than standard car insurance. These cars are more likely to be involved in high-speed accidents, they're attractive to thieves, and when they do get damaged, they're expensive to fix.
Insurers take all of this into account, viewing performance car drivers as having a higher risk profile, which in turn drives up the cost of insurance.
What influences the cost of performance car insurance?
Cars are placed into one of 50 car insurance groups, and those in higher groups cost more to insure than ones in the lower groups. This rating is worked out based on factors including engine size, rate of acceleration, top speed, and the cost of repairs.
It's not just the flashy sports cars that find themselves in the upper echelons of these groups; many manufacturers release high-performance versions of their ordinary cars, meaning a Ford Focus RS might be in the same insurance group as some BMW sports cars.
As well as the vehicle itself, many other factors will impact the cost of your insurance. Insurers will usually take into account:
✔ Your age
✔ Your driving history, including accidents and any driving convictions
✔ Your claims history and if you qualify for a no-claims bonus
✔ Where the car is usually parked and driven
✔ Security, such as alarms and immobilisers
✔ Annual mileage
✔ The excess amount you’re willing to pay
✔ The level of cover you need — more comprehensive cover will incur higher premiums
✔ Any optional extras you choose, such as breakdown cover
How can I reduce the cost of performance car insurance?
Despite the high costs, there are strategies to help make performance car insurance more affordable:
Add a named driver
A young person driving a performance car could add a named driver to the policy who is an older and more experienced driver, which will bring down costs.
However, it's crucial to ensure that the main driver of the car is correctly identified on the policy to avoid insurance fraud.
Boost your security
Enhancing your car's security with alarms, immobilisers, and secure parking arrangements can lead to reductions in your insurance premiums. Insurers are more likely to offer better rates if they believe your car is less likely to be stolen or broken into.
Reduce your mileage
If you can manage to lower your annual mileage, you could see a decrease in your insurance costs. Agreeing to a limited mileage means a lower chance of accidents, not to mention savings on fuel and maintenance.
Comparing performance car insurance
One of the most effective ways to find the right insurance for your performance car at a competitive rate is to use a price comparison site. Sites like MoneySuperMarket allow you to compare car insurance quotes from various providers, ensuring you get the coverage you need without paying over the odds.
In the fast-paced world of performance cars, insurance is a necessary pit stop. While it may seem like a costly addition to your driving experience, understanding the factors that affect your premiums and knowing how to navigate them can help keep your costs in check.
Whether you're a young driver or an experienced enthusiast, there's always a route to more affordable performance car insurance. Remember, the goal is to enjoy the ride without financial speed bumps slowing you down.
Frequently asked questions
Can I get cheap performance car insurance?
It is possible to get affordable performance car insurance, depending on your budget. It’s always best to compare quotes and make sure that you’re getting the best deal.
How much does performance car insurance cost?
The cost of performance car insurance will vary depending on many different factors. It’s always best to compare quotes to make sure you’re getting the best deal possible on your insurance.
Is there performance insurance for young drivers?
Young drivers can still get high-performance car insurance, but may find that insurance premium costs are very high.
Insurers usually quote higher premiums for car insurance for young drivers because of their inexperience, and the higher likelihood that they will be involved in an accident. Younger drivers are also more likely to have an accident with lots of people in the car and are more likely to make a claim for theft or vandalism. Consequently, young drivers with a penchant for performance cars can expect to see some eye-watering figures on their insurance quotes.
You can still bring down the cost of high-performance car insurance by adding a named driver, reducing mileage, and investing in security measures, but you should expect premiums to be high if you’re a young driver looking to insure a sports car or other high-performance vehicles.
Can I get performance car insurance for modified cars?
Yes, if your high-performance car has been modified you should still be able to get insurance — however the insurance provider will take into account the modification when providing you with a quote, and premiums may be higher.
If you fail to tell your insurer about any modifications your cover might be invalidated, and your insurance claim could be rejected, so it’s important to be upfront about any changes you make to your car, even if they’re done after your insurance has been purchased.
You can compare insurance for modified cars here.
What insurance do I need for a sports car?
If you have a sports car, you’ll likely need high-performance car insurance. Entering the make and model of your car into a car insurance comparison tool can help you see what insurance you need, and give you an idea of costs.
What insurance do I need for a classic car?
Most classic cars will fall under a type of insurance known as classic car insurance. Classic car insurance is designed for cars primarily used for leisure, and so is often cheaper than standard car insurance. You can compare quotes to find the best deal for your classic car insurance.
Author
Sara Newell
Commercial Director
Sara Newell is the Commercial Director for Motor & Home Insurance at MoneySuperMarket. With almost 20 years of experience in insurance, Sara has built a reputation as a results-driven leader who...
Reviewer
Katie Bishop
Insurance writer
Katie Bishop is an author and journalist with a decade of writing and editing experience. She has previously worked as an economics editor at Oxford University Press, and her business and finance...
