Before you head over to your dealer to get a new car model home, it’s worth taking time to think about the effects the new car will have on your personal finance, as well lifestyle. Ever person has their dream car model, but it may not be the model that they really need- not to mention the effect it has on your insurance premium. If it’s a high-end car, your insurance company certainly will want more money to provide you with coverage. This is because it will cost them more in the event of an incident to have the car fixed or replaced. Most people often add collision and theft protection to their policy when buying a new car. This will increase your premium too. Thus, before deciding on buying a new car model, make sure to evaluate everything to see how the new car will change your financial situation. If you think the extra charges are too much, don’t rush into buying a car, especially if your old car is still working well. New models are released every year anyway.