Cheapest Cars To Insure & Factors Affecting It (2025)

About Car Insurance

No one enjoys paying for auto insurance. However, it’s not only required in most states to drive on public roads but can also keep you from suffering a financial loss if you hit another driver or object or your car is damaged or stolen. Finding the right coverage for your vehicle is essential, but you don’t have to pay more than you need.

Factors That Influence Your Car Insurance Rate

What you pay for car insurance is influenced by many personal factors, including your age, location, driving record, vehicle use, coverage selection, marital status, payment method, credit score, and whether you’ve had continuous coverage.

However, the vehicle you drive also plays a significant part in how auto insurance companies determine what to charge you for a six- or 12-month policy. They tend to focus on the following factors:

Value

If you have an expensive vehicle, you’re more likely to pay more for insurance. The cost to repair and replace parts on a high-price model presents a higher risk for the insurer.

Type and Model

Wondering how the model affects insurance? Sports and luxury-model vehicles are considered high-performance vehicles. They come with a higher premium because they’re statistically more likely to be involved in an accident or be stolen.

Size

Larger vehicles typically cause more damage when in an accident. Conversely, smaller, lighter vehicles tend to offer less protection to occupants in a crash.

Safety Rating

For insurers, it’s all about risks. Cars, trucks, and SUVs with lower rates of accidents involving damage and injuries to occupants generally receive lower premiums.

Theft Rate

If your car or truck is more likely to be stolen, insurers will seek to offset that risk. How do they know? Each year, the Insurance Institute for Highway Safety and Highway Loss Data Institute (IIHS-HLDI) releases a list of vehicles most likely to be stolen based on the previous year’s claims.

Replacement Parts

A lot of technology goes into vehicles nowadays. It can be costly to replace parts, even for non-sports or luxury models.

That might seem like a lot of variables to account for, and it is. But understanding how these factors interact can help you select a vehicle that reduces the overall cost of ownership and operation.

Cars With the Cheapest Insurance

Here’s a list of the top 10 cheapest cars to insure:

1. Subaru Outback: $1,603
2. Honda CR-V: $1,635
3. Honda Pilot: $1,726
4. Ford Escape: $1,734
5. Honda Odyssey: $1,735
6. Ford F-150: $1,753
7. Jeep Wrangler: $1,820
8. GMC Sierra 1500: $1,867
9. Toyota Rav4: $1,869
10. Nissan Rogue: $1,880

These vehicles rate well with the IIHS and the National Highway Traffic Safety Administration, with fewer reported claims and lower costs for repairs. Driving one of them could potentially save you money on your auto insurance.

Cheapest Cars to Insure by Vehicle Type

Based on the five top-selling models in each category of vehicle, AAA found that the average cost of full coverage in 2023 was the cheapest for compact and midsize SUVs and midsize pickup trucks.

Full coverage includes liability insurance, collision insurance, comprehensive insurance, uninsured/underinsured motorist insurance, and personal injury protection (PIP) or medical pay.

Cheapest Cars to Insure by Vehicle Make

There are many factors that impact your average car insurance cost per month, and vehicle make is one of them. Here’s a look at the current top 10 cheapest makes to insure:

1. Subaru: Average $2,224/year, $185/month
2. Ford: Average $2,299/year, $192/month
3. Honda: Average $2,395/year, $200/month
4. Toyota: Average $2,456/year, $205/month
5. Chevrolet: Average $2,513/year, $209/month
6. Nissan: Average $2,603/year, $217/month
7. Hyundai: Average $2,625/year, $219/month
8. Kia: Average $2,721/year, $227/month
9. GMC: Average $3,062/year, $255/month
10. Tesla: Average $4,098/year, $342/month

These averages are for full coverage insurance. If cost is of paramount concern for your situation, you may be able to reduce your coverage.

Cheapest Cars to Insure Among Popular Models

The following best-selling models boast the cheapest full-coverage insurance:

• SUV: Subaru Outback
• Sedan: Toyota Corolla
• Truck: Ford F-150

Overall, the Subaru Outback is the cheapest type of car to insure. That said, many factors influence the cost of insurance, including where you live, which may also serve to determine the type of vehicle you drive.

What Models to Avoid if You Want Cheaper Insurance

If you’re looking for cheap full-coverage auto insurance, you may want to steer clear of these vehicles:

• Dodge Charger
• Tesla Model Y
• Mercedes C 300
• Cadillac Escalade
• Tesla Model 3

This list includes a sports car, two luxury vehicles, and two electric cars, all of which qualify as expensive to insure because of the “high performance” label or the steep cost to repair or replace.

What Makes a Car More Expensive to Insure?

You likely already know that getting into accidents can raise your insurance premiums significantly. Your driving record is just one factor of many that influence the total cost to insure a car, though. These are some of the vehicle-specific factors that can influence the cost to insure a car:

Vehicle Size

Pickup trucks and SUVs are larger—and often more expensive—than sedans, so it might seem like they would be more costly to insure. But the opposite is typically true. Bigger vehicles are less likely to be seriously damaged in an accident, so insuring them is generally less expensive.

Vehicle Age

The age of a vehicle can influence premiums in a couple of different ways. Older cars tend to be worth less, which generally makes them cheaper to insure. However, they also have fewer modern safety features, and a lack of safety features can raise your premiums.

Trim Level

Even among cars of the same age, make, and model, premiums can still vary based on trim level. Upgraded trim levels generally come with high-tech components that are costly to repair. Even after a repair, these components often must be recalibrated, and that drives up claim costs even more.

Safety Rating

Car insurance companies often do all they can to avoid paying accident claims or paying the plaintiff in a car accident lawsuit, so they tend to charge higher premiums for vehicles that are more likely to be involved in crashes. The lower your car’s safety rating, the higher your premium may be.

Tips to Get a Lower Car Insurance Rate

To get the lowest car insurance rates possible, start by looking for the safest or most reliable vehicles at the lot when you’re buying a new or used vehicle. If you already own a vehicle, here are some other tips that can potentially decrease what you pay:

• Get multiple quotes
• Ask for a higher deductible
• Drop some coverage on an older car
• Bundle your auto with other insurance
• Seek a low-mileage discount
• Ask about group plans
• Ask about other discounts

Many cars come equipped with safety devices, such as anti-lock brakes and anti-theft devices. Built-in safety features like these can help you qualify for discounts. Additionally, if you are a senior, we encourage you to choose a car that could help lower your already high car insurance costs.

Talk to a Knowledgeable Professional About Auto Insurance

If you’re in the market for a new car insurance policy or you’re looking to buy a new or used car, reach out to the experts at ConsumerShield. We enjoy sharing our knowledge to help consumers make better buying decisions. Contact us today to find out more.