Cars that insurers charge less to cover

Insurance companies charge less for vehicles that are cheap to repair, unlikely to be stolen, and statistically involved in fewer accidents. Sedans and wagons from mainstream manufacturers — Honda Civic, Toyota Corolla, Subaru Outback — typically fall into this category. Pickup trucks, sports cars, and luxury vehicles cost more to insure because parts are expensive, theft risk is higher, or accident claims tend to be larger.

The actual cost depends on your age, driving record, location, and the coverage you choose. A 25-year-old with a clean record in a rural area will pay less than a 19-year-old with a ticket in an urban area, even in the same car. But within any driver's situation, certain vehicles will consistently cost less to insure than others.

Insurance companies use data from millions of claims to build pricing models. They know which models show up in repair shops most often, which ones thieves target, and which drivers tend to buy them. A vehicle that is common, inexpensive to fix, and owned by cautious drivers will have lower premiums across the board.

Key Takeaways

  • Sedans and compact cars from Honda, Toyota, and Subaru typically have the lowest insurance costs because they are affordable to repair and have good safety records.
  • Sports cars, luxury vehicles, and high-performance trucks cost significantly more to insure due to higher repair costs and accident claim history.
  • Insurance rates for the same vehicle vary by your age, driving history, location, and the coverage level you choose — not just the car itself.
  • Checking insurance quotes before you buy a vehicle, not after, can save you hundreds of dollars per year on premiums.

Sedans and compact cars with the lowest premiums

The Honda Civic, Toyota Corolla, and Hyundai Elantra consistently rank among the cheapest vehicles to insure. These cars are produced in high volume, so replacement parts are inexpensive and widely available. Repair shops can fix them quickly, which keeps claim payouts low. Insurance companies reward this with lower premiums.

Subaru models like the Outback and Crosstrek also tend to have lower insurance costs. Subaru owners statistically file fewer claims, and the vehicles hold up well in accidents. The brand has built a reputation for safety and reliability, which translates to lower risk in the insurer's eyes.

Older model years of these same vehicles cost even less to insure because the replacement value is lower. A 2015 Civic will have cheaper premiums than a 2024 Civic, all else equal. However, older cars may need more comprehensive or collision coverage if you still owe money on a loan, which can offset some of the savings.

Why sports cars and luxury vehicles cost more

Sports cars like the Dodge Charger, Chevrolet Camaro, and Ford Mustang carry higher insurance premiums because they are involved in more accidents per vehicle on the road. Drivers of these cars tend to drive faster and take more risks. Insurance companies price based on actual claim history, not assumptions — and the data shows higher payouts for sports cars.

Luxury vehicles from BMW, Mercedes-Benz, and Audi cost more to insure because parts are expensive and specialized. A fender replacement on a BMW costs far more than one on a Civic. Even routine repairs require dealer-level service, which increases labor costs. Insurers pass these higher repair expenses directly to premiums.

High-end pickup trucks like the Ford F-150 Platinum or Ram 1500 Limited also carry higher premiums than base-model trucks. The more expensive the vehicle, the higher the replacement value, and the higher the potential claim payout. Theft risk also plays a role — luxury trucks and high-end vehicles are targeted more often by thieves.

How vehicle safety ratings affect your rate

Insurance companies review crash test data from the National Highway Traffic Safety Administration (NHTSA) and the Insurance Institute for Highway Safety (IIHS). Vehicles that perform well in these tests — meaning occupants are less likely to be injured — often may have access to for lower premiums. A car with a five-star NHTSA rating or a "Good" IIHS rating signals lower risk to insurers.

Safety features like automatic emergency braking, lane-keeping information, and blind-spot monitoring can also lower your rate. Some insurers offer discounts of 5 to 15 percent for vehicles equipped with these systems. Older vehicles without these features will have higher premiums, even if they are otherwise cheap to repair.

The relationship between safety and cost is not always straightforward. A very safe luxury car will still cost more to insure than a less safe economy car, because repair costs dominate the pricing model. But within a category — comparing two sedans, or two trucks — the safer vehicle will typically have a lower premium.

Theft risk and insurance premiums

Vehicles that are frequently stolen carry higher insurance premiums because theft claims are expensive. The Honda Civic and Honda Accord appear on the National Insurance Crime Bureau's most-stolen list nearly every year. Insurers know this and price accordingly, even though these cars are otherwise cheap to repair.

Pickup trucks, particularly older Ford F-150s and Chevrolet Silverados, are also stolen frequently. Parts from these trucks are valuable and straightforward to resell. If you own a vehicle on the most-stolen list, your comprehensive coverage (which covers theft) will cost more than it would for a vehicle rarely targeted by thieves.

You can reduce theft risk — and sometimes lower your premium — by parking in a garage, installing an alarm system, or using a steering wheel lock. Some insurers offer discounts for anti-theft devices. Parking in a high-crime area will increase your premium regardless of the vehicle, because the theft risk is higher.

Getting insurance quotes before you buy

The best time to check insurance costs is before you decide on a vehicle, not after you have already purchased it. Most insurers allow you to get a quote online by entering the vehicle's year, make, model, and trim level. You can compare quotes from multiple companies in an hour and see exactly how much each vehicle will cost to insure.

When you get quotes, use the same coverage levels across all vehicles so the comparison is fair. If you are comparing a Civic to a Mustang, quote them both with the same liability limits, deductible, and optional coverages. The difference in the quote is the actual difference in cost.

Keep in mind that quotes are estimates based on the information you provide. Your actual rate will depend on your driving record, age, location, and other factors. But the relative ranking — which vehicles are cheapest and which are most expensive — will hold true for your situation.

Used vehicles versus new vehicles and insurance cost

Used vehicles almost always cost less to insure than new ones, straightforward because the replacement value is lower. A used 2018 Honda Civic will have a lower premium than a new 2024 Honda Civic. The older car is worth less, so a total loss claim pays out less, and the insurer's risk is lower.

However, older vehicles may require comprehensive and collision coverage if you financed them, because the lender requires it. Newer vehicles with higher value also require this coverage. If you own a car outright and do not need to carry collision coverage, the savings on an older vehicle can be substantial.

The trade-off is that older vehicles may need more repairs, which increases your out-of-pocket costs even if insurance premiums are lower. A 10-year-old car with low insurance premiums might cost you more in maintenance and repairs than a newer car with higher premiums. Consider the full picture, not just the insurance rate.

Frequently Asked Questions

Do electric vehicles cost more or less to insure?

Electric vehicles typically cost more to insure than comparable gas-powered cars because battery replacement is extremely expensive. A damaged battery can cost $5,000 to $15,000 to replace, depending on the vehicle. As electric vehicles become more common and repair infrastructure improves, premiums may decrease, but for now they are generally higher.

Will adding safety features to an older car lower my insurance rate?

Some insurers offer discounts for aftermarket safety features like dash cams or GPS tracking, but the discounts are usually small — 5 to 10 percent at most. The bigger factor in your rate is the vehicle's age, repair cost, and theft risk. Adding features can help, but it will not make an expensive-to-insure vehicle cheap.

Does the color of the car affect the insurance rate?

No. Insurance companies do not use vehicle color in their pricing models. The myth that red cars cost more to insure has no basis in actual claim data. Color does not affect repair costs, theft risk, or accident likelihood, so insurers ignore it.

Can I lower my insurance by choosing a vehicle with a manual transmission?

Transmission type does not significantly affect insurance rates. Insurers care about repair cost, safety, and theft risk — not whether the car is manual or automatic. A manual transmission might lower the resale value slightly, which could reduce the premium marginally, but the difference is negligible.

What if I want a truck but need low insurance costs?

Base-model trucks from Toyota (Tacoma), Honda (Ridgeline), and Chevrolet (Colorado) have lower insurance premiums than luxury trucks or high-performance models. Older used trucks cost less to insure than new ones. Comparing quotes across different truck models and years will show you which options fit your budget.