Buying a used car from Joe’s Auto Sales is a smart and practical decision. It saves money and can give you the opportunity to own a car that might have been beyond your budget if purchased new. But what about insurance? Does buying a used car impact your insurance rates? The simple answer is yes, it does, but the good news is that it’s not always negative. So, let’s look at what factors go into your used car insurance.

How A Used Car Impacts Insurance

Age, Make, & Model

The age, make, and model of a used car impact insurance in many ways. Generally, newer cars cost more to insure because they are more expensive to repair or replace. However, older cars can also be costly to insure if they are not equipped with modern safety features and have a higher risk of accidents.

Vehicle History Report

When buying a used car, it’s essential to obtain a vehicle history report before purchasing it. Insurance companies also consider this report when determining your insurance rates. If the car has a history of accidents or has been written off in the past, your insurance rates may be higher. On the other hand, if the car has a clean history report, your insurance premium may be lower.


The higher the mileage on a used car, the lower the insurance premium. This is because cars with high mileage are less valuable and typically need more maintenance as they age. Lower mileage cars are more valuable and, hence, have higher insurance premiums.


Your location plays a significant role in determining your insurance premiums. Some areas are considered high-risk zones, while others are safer. If you live in an area with high car theft rates or high accident rates, your insurance rates will be higher. Similarly, if you live in a rural or suburban area, your rates may be lower than those who live in a city or an urban area.

Deductibles & Coverage

The amount of deductible and coverage you opt for can also affect your insurance premiums. The higher the deductible, the lower the premium. But this also means that you may have to pay a higher out-of-pocket amount if you file a claim.

Make a Confident Purchase with Joe’s

Buying a used car can have both positive and negative impacts on your insurance rates. However, by keeping the above factors in mind, you can make an informed decision and purchase the right used car from Joe’s Auto Sales in Indianapolis, IN. Want to explore our Pendleton Pike inventory? Browse our great selection of used cars, trucks, and SUVs. Need financing? Let’s get you squared away! Give us a call at (317) 405-8545.