Why Do My Insurance Premiums Increase, Even Though My Vehicle’s Value Decreases?
The answer to this question is that most insurance claims are small claims. This is when a bumper, a door, or a side panel are damaged in a minor accident. Parts for older cars are scarcer and more difficult to find if you must replace something.
Your vehicle may be worth a lot less than it was when it was brand new, but the insurance company must pay more every year to cover those small claims. So even though a total loss payout would be much less than when your car was brand new, all those small claims [that are more likely to happen] cost your insurance company more annually. This causes your premium to stay the same or slightly go up.