Which Cars Cost Less to Insure and Why

Car type and safety features matter more than price

The cheapest cars to insure are usually older sedans and small hatchbacks with high safety ratings and low repair costs — not necessarily the cheapest cars to buy. A five-year-old Honda Civic or Toyota Corolla typically costs less to insure than a new sports car or luxury sedan, even if both cost the same amount to purchase. Insurance companies price based on what they pay out in claims, not on the sticker price of the vehicle.

The main factors that lower your insurance rate are: how much damage the car sustains in a crash (determined by its size, weight, and safety features), how much it costs to repair, how often that model gets stolen, and whether it has built-in safety technology like automatic emergency braking. A heavy, well-built sedan with cheap parts and good crash test scores will cost less to insure than a lightweight sports car, even if the sports car costs half as much to buy.

Your own age, driving record, location, and coverage choices affect your rate far more than the car itself. A 16-year-old in a Honda Civic will pay more than a 45-year-old in a Dodge Charger. But within any driver's situation, certain cars are consistently cheaper to insure than others.

Key Takeaways

• Insurance cost depends on repair costs, safety ratings, and theft rates — not the car's purchase price.
• Older sedans and hatchbacks from Honda, Toyota, and Mazda typically have the lowest insurance rates.
• Sports cars, luxury vehicles, and high-performance models cost significantly more to insure because repairs are expensive.
• Safety features like automatic emergency braking and electronic stability control can lower your rate by 5 to 15 percent.
• Getting quotes from multiple insurers for the specific car you are considering is the only way to know your actual rate.

Sedans and hatchbacks with low repair costs

Honda Civic, Toyota Corolla, Mazda3, and Hyundai Elantra are among the most affordable cars to insure. These models have several things in common: they are built in high volume, so replacement parts are cheap and widely available; they have good crash test ratings from the National Highway Traffic Safety Administration (NHTSA); and they are not commonly stolen. Insurance companies know that a fender-bender on a Civic costs $800 to fix, while the same damage on a BMW costs $2,500.

Older model years of these same cars are even cheaper to insure because the replacement cost is lower. A 2018 Civic will cost less to insure than a 2024 Civic, all else equal. However, very old cars with poor safety ratings (pre-2010 models without electronic stability control) may not save you money because the insurer factors in higher injury risk.

Pickup trucks like the Ford F-150 and Chevrolet Silverado fall into this category too — they are common, parts are cheap, and they are not high-theft targets. Full-size trucks cost more to insure than compact sedans, but less than sports cars.

Why sports cars and luxury vehicles cost more

Sports cars, performance vehicles, and luxury brands carry higher insurance rates because repair costs are steep. A Dodge Charger, Chevrolet Corvette, or BMW M-series car has expensive parts, requires specialized mechanics, and often has custom body work. A single accident can cost $5,000 to $15,000 to repair, compared to $1,000 to $3,000 for a Civic.

Theft is another factor. Some models — particularly older Dodge Chargers, Chevrolet Camaros, and Jeep Wranglers — are stolen frequently because parts are valuable or the vehicles are straightforward to strip. Insurance companies charge more because they expect to pay out theft claims more often.

High-performance engines also raise rates. A turbocharged or supercharged engine costs more to repair than a standard four-cylinder, and drivers of performance cars statistically file more claims. The insurer's data shows that a Subaru WRX gets into accidents more often than a Subaru Outback, so the WRX costs more to insure even though both are Subarus.

Safety features that lower your rate

Modern safety technology can reduce your insurance cost by 5 to 15 percent, depending on your insurer. Automatic emergency braking, lane-keeping information, blind-spot monitoring, and electronic stability control all reduce accident frequency and severity. Some insurers offer discounts for these features; others straightforward charge less for cars that have them as standard equipment.

Cars with high NHTSA crash test ratings cost less to insure than cars with poor ratings, even if they are the same age and model. A 2020 Honda Accord with a five-star overall rating will cost less than a 2020 Nissan Altima with a four-star rating. Check the NHTSA website (safercar.gov) to compare crash test scores for any car you are considering.

Anti-theft devices — both factory-installed immobilizers and aftermarket alarms — can also lower your rate, though the discount is usually small (1 to 5 percent). Most modern cars have immobilizers as standard, so this matters mainly for older vehicles.

Vehicles to avoid if insurance cost matters

Avoid sports cars, muscle cars, and high-performance variants. A Dodge Challenger, Chevrolet Camaro, Ford Mustang, or Nissan 370Z will cost significantly more to insure than a standard sedan. Luxury brands like BMW, Mercedes-Benz, Audi, and Porsche have expensive parts and repair labor, so insurance is higher across the board.

Vehicles with high theft rates include older Dodge Chargers, Jeep Wranglers, Honda Civics (particularly the Si and Type R), and Chevrolet Silverados. If you live in an area with high vehicle theft, these models will carry a theft surcharge. You can check theft rates for specific models on the National Insurance Crime Bureau (NICB) website.

Exotic and rare cars — anything with limited production or specialized parts — will be expensive to insure because the insurer has little data on repair costs and may have to order parts from overseas. A Tesla or other electric vehicle may also cost more because repair shops are less common and parts are proprietary.

How to compare insurance costs for a specific car

The only way to know what a car will cost to insure is to get a quote from your insurer or from multiple insurers. Tell them the exact year, make, model, and trim level you are considering. Insurance rates vary by insurer, so a car that is cheap to insure with one company may be expensive with another.

When you get quotes, keep your coverage limits and deductibles the same across all quotes so you can compare fairly. A $500 deductible comprehensive and collision policy will cost more than a $1,000 deductible, but the difference tells you how much you are paying for that extra protection.

Some insurers offer discounts for safety features, good credit, bundling home and auto insurance, or completing a defensive driving course. These discounts can be 10 to 30 percent, so they may matter more than the base rate for the car itself. Ask each insurer what discounts you are may have access to to before you decide.

Used versus new: which is cheaper to insure

Used cars are almost always cheaper to insure than new cars of the same model, because the replacement cost is lower. A 2019 Honda Civic costs less to insure than a 2024 Honda Civic. However, very old cars (pre-2010) may cost more to insure if they lack modern safety features, because the injury risk is higher.

The sweet spot for insurance cost is usually a car that is 3 to 8 years old. It has modern safety features, parts are still affordable, and the replacement cost is low enough that the insurer's risk is manageable. A 2018 or 2019 model-year sedan will cost less to insure than a brand-new one, but more than a 2010 model.

If you are financing a car, your lender will require comprehensive and collision coverage, which costs more than liability-only insurance. If you own the car outright, you can choose liability-only coverage, which is much cheaper. This is one reason why buying a used car outright (if you can) saves money on insurance.

Frequently Asked Questions

Does the color of the car affect insurance cost?

No. Insurance companies do not charge different rates based on color. This is a common myth. The only factors that matter are the car's make, model, year, safety features, repair costs, and theft rate — not its appearance.

Will a hybrid or electric car cost more to insure?

It depends on the model. Some hybrids and electric vehicles have high repair costs because parts are specialized, which raises the insurance rate. Others, like the Toyota Prius, have low repair costs and cost less to insure than comparable gas-powered cars. Get a quote for the specific model you are considering.

Can I lower my insurance by choosing a car with a higher deductible?

Yes. Raising your deductible from $500 to $1,000 will lower your premium, sometimes by 15 to 30 percent. But you will pay more out of pocket if you have an accident. Choose a deductible you can actually afford to pay.

Do minivans and SUVs cost more to insure than sedans?

It varies. A Honda Odyssey minivan costs about the same as a Honda Civic to insure. A Toyota 4Runner SUV costs more because it is heavier and repairs are more expensive. Compare quotes for the specific model, not the vehicle type.

What if I want a sports car but need cheap insurance?

You will pay more no matter what. If a sports car is important to you, look for older model years (which cost less to insure), choose a base model rather than a high-performance variant, and shop around with multiple insurers. Some specialize in sports car insurance and may offer better rates than others.