Shopping for a new ride is exciting. If it’s time to shop for a new car, taking the extra expenses into account will help determine if that car of your dreams can be made into a reality with the budget that’s available.
One of the largest expenses that go along with car ownership is insuring cars. Auto insurance can increase the cost of car ownership substantially, and which type of car you choose can play into how much the auto insurance will cost. You’re probably familiar with the urban legend that auto insurance companies charge higher rates for red cars. In fact, your insurance company probably doesn’t even know what color your car is. But it is true that some cars are cheaper to insure than others.
In this guide, we’ll walk you through the cheapest cars to insure, according to insure.com, so you can make a more informed decision while car shopping.
Cheapest cars to insure
|Honda Odyssey LX||$1,298||$649||$108.16|
|Jeep Wrangler Sport||$1,304||$652||$108.66|
|Subaru Outback 2.5i||$1,306||$653||$108.83|
|Mazda CX-3 Sport||$1,307||$653.50||$108.91|
|Honda HR-V LX||$1,325||$662.50||$110.41|
|Honda CR-V LX||$1,333||$666.50||$111.08|
|Jeep Renegade Sport||$1,338||$669||$111.50|
|Ford Escape S||$1,344||$672||$112|
|Subaru Forester 2.5i||$1,347||$673.50||$112.25|
|Jeep Compass Sport||$1,349||$674.50||$112.41|
- Honda Odyssey LX
- Jeep Wrangler Sport
- Subaru Outback 2.5i
- Mazda CX-3 Sport
- Honda HR-V LX
- Honda CR-V LX
- Jeep Renegade Sport
- Ford Escape S
- Subaru Forester 2.5i
- Jeep Compass Sport
How car models affect insurance rates
Insurance companies price their policies with a number of factors in mind—and one of the most important factors is the car model. Different auto manufacturers are associated with different types of drivers, so choosing a model that is known for safe driving will usually reduce the cost of the insurance premium.
When people think about Honda minivans, families come to mind. Insurers like covering Hondas because they are a family-oriented brand, which means that parents will be driving safely with their kids in the back seat.
If a manufacturer is known for integrating strong safety features in vehicles, insurance companies take notice. Brands like Subaru that focus on driver and passenger safety features are usually awarded lower premiums.
Insurers also factor in how much it costs to replace parts after an accident, so insurance companies like to insure cars built from parts that are easy to replace. Jeeps are known as a rugged brand with parts that are easily interchangeable, so insurance companies might insure the vehicle at a lower rate when taking the maintenance cost into account.
Other factors of that affect car insurance rates
When looking into insurance comparison for cars, the year of the model might affect your premium. A good rule of thumb is the newer the model, the more the insurance will cost. Newer cars cost more to fix and replace, so they will also cost more to insure. However, some newer models come with advanced safety features that insurers love, so even if the model is recent, the safety features could offset the additional cost of insuring a newer car.
All told, one-third of insurance payouts go toward theft, and the most stolen cars in America are Honda Accords and Civics. Others in the top 10 include Toyota Corollas and Nissan Altimas — not exactly luxury cars. While Chevy Impalas, Ford F-150s, Dodge Ram pickups, and Jeep Grand Cherokees aren’t what you’d call discount cars, they, too are among the most stolen vehicles—and companies keep this in mind when insuring cars. If you’ve got one of these popular targets for car thieves, you will likely pay more for car insurance.
Types of vehicles to avoid
Luxury and sports cars are often expensive for drivers to insure. In fact, among the top 10 most expensive cars to insure in 2019, according to Insure.com, every one of them was either a luxury car, sports car or both. Seven models of Mercedes made the top 10. The most expensive car to insure — the Nissan GTR — costs $3,941 a year in premiums, more than three times as much as the cheapest models.
When it comes to auto insurance, bigger isn’t always better. Despite the feeling of safety you might get from driving a giant SUV, your insurance company may consider a bigger car to be costlier than a smaller one. That’s because while a huge vehicle might actually make you safer, it’s less safe for anything else you might crash into. Remember that your insurance isn’t just covering you — it’s covering you and the damage that you do to others. So when you drive a vehicle that’s likely to cause more damage, that can cost more every month to insure.
Insurance companies love to offer insurance on vehicles they think are safe bets. The types of cars insurers are more likely to price with lower premiums are usually known as family-ordinary brands and focus on safety and easily replaceable parts. To find the best car for insurance rates, ask about these kinds of features at the car lot.
Each car insurer determines the risk it believes is associated with each car make and model. This means that no two insurers will set the same rate for the same car. To get the cheapest insurance for your car, shop around with different providers and compare rates. Give each provider the same information and ask for the same level of coverage to make comparison easier.
To find cars that won’t break the bank to insure, we looked at Insure.com’s list of the cheapest cars to insure. After digging into the different makes and models, we researched which factors those cars shared, and why those factors made them the cheapest cars to insure.