Modified reality: What car modifications affect your insurance premiums?

There are certain aspects of a vehicle that have an impact on its car insurance premium. One of them is modifications. When you modify your car, you change its basic design and structure, leading to a change in the car insurance premium. Look at this article to learn more about what type of car modification affects the insurance premium and what does not.

What is a car modification?

Let us begin by understanding what car modifications mean. The smallest changes you make to your car are counted as a modification. A small alteration like attaching a sticker or a mirror modifies the original design of the car, and hence, is counted as modification. While some car modifications don’t affect insurance, other bigger and more significant ones have an impact on your motor insurance premium. The most common types of car modifications include:

1. Changes to the colour of the car

2. Tyre alterations

3. Changes to the engine

4. Brake alterations

5. Changes to the interiors of the car

The impact of car modification on the insurance premium

As stated, some types of car modifications have an impact on motor insurance rates. They include:

1. Changes to the exterior:

   There are some modifications like a change in the paint colour. If the colour is a usual colour like black or white, your insurance provider may not charge an extra premium. However, a striking neon green will call for extra premium as the car will stand out and be more vulnerable to thefts. Other exterior modifications such as attacking fancy mirrors, attractive lights, etc will change the design of the car and increase the premium.

2. Tyre alteration:
   It is very common to modify a vehicle’s tyres. This is done to enhance the look of the car and also to alter its performance. Depending on the extent of the modification, the insurance provider will change the car insurance premium.

3. Engine alteration:
   Engine alterations are also quite common. In such cases, the performance of the car is greatly affected and so the insurance provider in all likelihood, changes the insurance premium as well.

4. Brake alteration:
   Many motorists alter the breaking and suspension systems of their vehicles to enhance the speed, safety and comfort factors. Since these alterations have a direct impact on the car’s performance, they push up the motor insurance premium.

5. Interior modification:
   Any interior alteration, such as installing an expensive music system, can make the car more vulnerable to break-ins. This will make it riskier for your insurance provider to cover the vehicle. Other modifications such as changing the seat covers may not be so significant and will not affect your car insurance premium.

The bottom line

If you have made alterations and now have a modified car, you need to inform your insurance provider. There are certain implications and while some won't cause a price change in your insurance policy, others will. Get a good car plan from a reputed insurer like Zurich Kotak General Insurance, pay the correct insurance premium and keep your modified car safe and secure at all times.