J Wood Insurance Blog
Let's face it: Buying a car has never been easy.
If you're looking for a better way to shop for a new vehicle, you'll want to learn about recent trends in car-buying that may be changing the market for good.
Here's what to know about today's hot car market and what these changes can mean for your auto insurance policy.
3 Car-Buying Trends to Know
1. There's a chip shortage.
Computer chips, wiring harnesses, plastics and glass are in short supply — and some experts expect this shortage to continue through 2022. Prices may continue to be high because of the reduced supply in new vehicles.
2. Used cars are in high demand.
With fewer new cars available, used vehicles are becoming more popular. Prepare for a competitive market: You may have to search longer, pay more and make faster buying decisions compared to a couple years ago. If you have good credit, low-rate financing can help alleviate sticker shock.
3. It may be easier to buy a car online.
Online car sellers can spare you a trip to a dealership. Car vendors are increasingly offering to let you view detailed photos, make a purchase and fill out car-buying paperwork online. Some sellers even offer fixed prices, so there's no stressful negotiation process or uncertainty about what you'll pay. You may even be able to have your new car delivered to your home.
What does this mean for your auto insurance?
Since most cars are more expensive now, there's a possibility that your premiums could be a bit higher. Also, if you buy a car and already have auto insurance, you’ll have a short grace period to add your new vehicle to your policy.
Reach out anytime to update your coverage, ask questions about your insurance or discuss anything else.