When purchasing a car, most buyers focus on price, style, fuel efficiency, and features. However, one of the most overlooked but significant long-term costs is car insurance. Not all vehicles are treated equally by insurance companies, and choosing the right car can save you hundreds — even thousands — of dollars in insurance premiums over time. So, what car is the cheapest to insure? This comprehensive guide will walk you through everything you need to know to make an informed decision that balances affordability, safety, and savings.
Key Factors That Affect Car Insurance Costs
Before diving into specific recommendations, it’s crucial to understand the primary factors that influence insurance premiums. These criteria help insurance companies calculate the risk associated with a particular vehicle and, therefore, the cost to insure it.
1. Vehicle Make and Model
The car’s brand and type play a major role in determining insurance costs. Luxury and sports cars are typically more expensive to insure due to higher repair costs and performance potential. On the flip side, simple, reliable sedans from mainstream manufacturers often come with lower insurance rates due to reduced risk.
2. Safety Features
Modern cars equipped with advanced safety technologies like automatic emergency braking, lane-keeping assistance, blind spot detection, and adaptive headlights can qualify for insurance discounts. These features lower the chance of accidents, which means lower premiums for you.
3. Vehicle Age and Size
Older cars may be cheaper to insure because they have lower value. However, newer models with up-to-date safety tech often qualify for more discounts. Larger vehicles, like SUVs or trucks, may have better crash test ratings, which also affects insurance pricing in a favorable way.
4. Cost of Repairs and Availability of Parts
Insurers consider how much it will cost to repair or replace the vehicle. Cars with expensive components or rare parts will cost more to insure. Japanese and Korean brands typically offer better availability of parts and lower repair costs, which makes them more affordable in insurance terms.
5. Coverage Type and Deductible
The type of coverage you choose (liability vs. comprehensive) and the deductible amount can also affect the cost. Opting for liability-only insurance can reduce costs substantially, though it may leave you more vulnerable in the event of an accident.
The Top 10 Cheapest Cars to Insure in 2025
After reviewing data from leading insurance providers, we’ve compiled a list of the most economically insured vehicles you can buy today. These models are consistently among the cheapest due to their safety ratings, affordability, and repair-friendly design.
1. Toyota Corolla
| Model | Insurance Estimate (Yearly) | Key Features |
|---|---|---|
| 2023-2025 Toyota Corolla | $1,100–$1,300 | TSS 3.0, Great fuel economy, Reliability |
The Toyota Corolla has continuously ranked among the most reliable cars, with minimal incident reports and consistent insurance savings. It offers strong crash ratings and modern safety technology that appeal to insurers.
2. Honda Civic
The Honda Civic combines performance with affordable insurance. It’s a favorite among teens and young adults, and its strong engineering means fewer mechanical issues and lower insurance risk.
3. Mazda CX-5
Although it’s an SUV, the Mazda CX-5 has relatively low insurance rates due to its superior safety ratings and mid-size build. Its insurance costs are often on par with many compact sedans.
4. Subaru Impreza
Subaru vehicles come with standard all-wheel drive, which may reduce accident likelihood in bad weather. They also come with EyeSight® Driver Assist for accident prevention, which earns them insurance breaks.
5. Hyundai Elantra
The Hyundai Elantra is fuel-efficient, budget-friendly, and equipped with basic driver-assist features that make it attractive for insurance providers. Its reliability makes it a smart financial choice.
6. Kia Optima
The redesigned Kia Optima (now known as the K5) is considered an excellent value vehicle. It includes advanced safety tech and consistently ranks in the top insurance-friendly vehicles.
7. Mitsubishi Mirage
The Mitsubishi Mirage might not be flashy, but it’s consistently one of the cheapest cars to insure. With a modest design and low value, it’s especially appealing for budget-conscious drivers.
8. Chevrolet Spark
The Chevrolet Spark is an entry-level hatchback with minimal mechanical complexity. It doesn’t attract thieves and isn’t fast enough to entice reckless driving, both factors insurers appreciate when setting premiums.
9. Ford Focus (older models)
An older 2018–2020 Ford Focus can be an excellent and cheap-to-insure secondhand purchase. Just make sure it has not been flagged due to past mechanical issues.
10. Nissan Sentra
Known for its affordability, the Nissan Sentra consistently enjoys low insurance costs. It’s practical, safe, and not a target for theft, making it a stable performer when it comes to insurance rates.
How to Choose the Most Insurance-Friendly Car
Check Safety Ratings
Visit the Insurance Institute for Highway Safety (IIHS) and the National Highway Traffic Safety Administration (NHTSA) websites to compare safety scores. Vehicles with top ratings usually come with insurance discounts.
Consider Vehicle Weight and Crash Test Performance
Lighter cars are more prone to damage and injury in collisions, so heavier vehicles often have lower risk. However, modern engineering now makes smaller cars safer than ever.
Look at Theft Rates
Insurance companies consult National Crime Prevention Council data to determine theft risk. Cars that are rare targets of thieves can expect lower premiums.
Use Built-in Insurance Tools and Calculators
Many insurers offer online cost calculators. Enter a make and model to get real-time insurance pricing estimates before you even take a test drive.
Example:
- GeoTeknical Auto Insurance Calculator
- Progressive Instant Rate Quote
Demographics and Insurance Pricing
Age
Young drivers, especially teenagers, face significantly higher insurance premiums. However, choosing a safe and affordable car like a Toyota Corolla can help reduce rates for new drivers.
Location
City dwellers face higher insurance costs due to increased accident and theft risk. If you live in a high-risk area, it’s even more crucial to choose an inexpensive-to-insure make and model.
Driving Record
You can’t always change your driving history, but choosing the right car can offset higher insurance from a prior incident. Safer cars often receive preference in such pricing calculations.
Cheap Insurance Doesn’t Mean Compromised Safety
Top Safety Picks That Are Also Cheap to Insure
You don’t have to sacrifice protection for affordability. In fact, many reliable cars that cost less to insure also offer top-tier safety performance. Let’s look at three that lead the field:
Toyota Corolla (Again)
With TSS (Toyota Safety Sense) including pre-collision system, lane departure warning, and automatic high beams, the Corolla offers excellent protection at a budget-friendly insurance cost.
Subaru Forester
This SUV model enjoys top IIHS crash ratings and has an excellent safety record. Even though it’s a larger vehicle, its insurance costs remain relatively low due to safety and stability.
Honda Fit
Discontinued in 2021 but still a great used option, the Honda Fit was lauded for crash-test performance and efficient urban movement. These factors earned it relatively low insurance premiums for a compact hatchback.
Importance of Airbags and Electronic Stability Control
Modern vehicles with numerous airbags and electronic stability control (ESC) systems can earn you insurance breaks. These systems prevent rollovers and crashes, especially in low-traction situations, and insurers reward these features with premium discounts.
Newer Models with Accident-Avoidance Systems
Cars with forward-collision warnings, automatic braking, and lane-departure systems offer both driver protection and lower premiums. This trend will continue to rise as insurers recognize the value of accident avoidance.
Junking the Myths: Common Misconceptions About Cheap Insurance Cars
Myth 1: Older Cars Always Mean Cheaper Insurance
While vehicle value does lower insurance cost over time, older models lack modern safety features that actually work to reduce your insurance rate. In some cases, spending a bit more for a two-year-old Certified Pre-Owned (CPO) model with the latest safety tech can actually save you more money long-term.
Myth 2: Only Basic Cars Are Affordable to Insure
Some compact, well-equipped crossover vehicles (e.g. Toyota RAV4 LE) come with safety systems that reduce insurance costs enough to compete with sedans. The real key is to prioritize safety-rated tech, not vehicle class.
Myth 3: Red Cars Cost More to Insure
This has never been proven. Insurers do not consider vehicle color when calculating premiums. What matters is the model, history, and safety profile — not the hue.
Smart Shopping for Your Affordable, Low-Insurance Car
Dealerships With Discounts
Some dealerships offer bundle deals with insurance discounts. Be sure to inquire at point of sale whether purchasing through a particular dealership can net you a preferred driver discount or other perks tied to insurance.
Compare Multiple Insurers
Not all insurers price cars the same. It’s often worth getting several quotes (e.g., from GEICO, State Farm, Allstate, and even small local providers) to find which company offers the **lowest premium** for your chosen model.
Consider using aggregator sites like:
QuoteWizard, **The Zebra**, and **NerdWallet** that let you compare multiple insurer quotes quickly, all based on the car you want to buy.
Choose Your Deductible Wisely
A higher deductible can reduce your monthly premium, but make sure you have the financial means to cover a larger out-of-pocket expense when choosing this option. For drivers with limited emergency savings, it’s often wiser to choose a lower deductible and avoid the risk.
Buying Used: The Hidden Trick to Cheaper Insurance
The depreciation curve of a new vehicle is steep — losing up to 20% of value in the first year. Buying a one- or two-year-old certified pre-owned car allows you to enjoy modern safety features at a fraction of the cost, particularly in terms of insurance.
Here are some of the best CPO picks when shopping used for cheaper insurance:
| Car Model | Type | Average Annual Insurance |
|---|---|---|
| 2023 Honda Civic (1-year-old) | Sedan | $1,150 |
| 2022 Corolla LE | Sedan | $1,200 |
| 2022 Subaru Impreza | Hatchback | $1,300 |
Buying a well-maintained used car not only drops your premium but often allows you to get more features (e.g., backup cameras, smart connectivity, sunroofs) than a brand-new base model.
Conclusion: What Car Is the Cheapest to Insure?
If you’re asking, “What car is the cheapest to insure?” the answer boils down to a vehicle that’s safe, reliable, and not associated with high-risk behavior. Choosing cars like the Toyota Corolla, Honda Civic, or Subaru Impreza can provide peace of mind while saving you money on insurance year after year.
The best approach is to research thoroughly, check safety ratings, and speak with your insurer before purchasing. Whether buying new or used, paying attention to insurance-related features can drastically affect your long-term costs and driving satisfaction.
Now that you’re equipped with this detailed breakdown, you’re ready to find your next car — one that’s as easy on the wallet at the dealership as it is at the insurance office.
What factors determine the cheapest car to insure?
Insurance companies consider a variety of factors when calculating premiums, including a car’s safety rating, repair costs, theft likelihood, and engine size. Vehicles with high safety scores, advanced safety features, and lower performance capabilities typically cost less to insure. Additionally, cars with a strong reliability record and low accident rates also tend to be more affordable to insure in the eyes of insurers.
For 2025, these principles remain consistent, with manufacturers focusing more on safety technology and crash avoidance systems, which can dramatically reduce insurance costs. Compact family sedans, hybrid models, and electric vehicles with moderate power and high-tech driver-assist systems are often highlighted as top picks for cars with low insurance premiums due to the diminished risk associated with these models.
Which car models are expected to be the cheapest to insure in 2025?
In 2025, the Honda CR-V, Toyota Corolla, Hyundai Kona, Mazda CX-5, Subaru Outback, Tesla Model 3 (especially with Autopilot), and the Kia Niro are frequently cited as among the cheapest cars to insure. These models are known for their strong safety features, moderate repair costs, and high reliability ratings—factors that insurance companies reward with lower premiums.
The affordability of insurance for these vehicles is also influenced by their high safety ratings from organizations like the IIHS and NHTSA. Furthermore, models like the Tesla Model 3 benefit from advanced safety technologies that reduce accident risk, while Toyota and Honda have longstanding reputations for reliability, both of which can help lower overall insurance costs.
Why is safety important in determining car insurance rates?
Safety is one of the most critical factors insurers use to calculate premiums. Vehicles equipped with top-tier safety ratings and features like automatic emergency braking, lane departure warnings, and adaptive cruise control can reduce both the frequency and severity of accidents, which lowers an insurer’s risk. As a result, cars deemed safer are often associated with lower insurance premiums.
Advanced driver-assistance systems (ADAS) have further enhanced vehicle safety, making them desirable from an insurance perspective. In 2025, models such as the Subaru Outback and Mazda CX-5 integrate these technologies effectively, making them prime choices for those looking to minimize insurance costs by driving a vehicle that is less likely to be involved in a collision or costly incident.
Do electric or hybrid cars cost more to insure?
Electric and hybrid cars can vary in insurance cost, but many are surprisingly affordable to insure. While some early EVs commanded higher premiums due to expensive battery components and unfamiliar repair techniques, newer models like the Tesla Model 3 and Kia Niro Hybrid are seeing competitive insurance rates thanks to strong safety scores and more common repair infrastructure.
In 2025, insurance companies have become more adept at repairing EVs and hybrids, leading to lower associated costs. Furthermore, safety innovations in these models are often ahead of traditional internal combustion vehicles, which insurers take into account. This, along with government incentives and consumer demand, has helped make certain electric and hybrid vehicles among the most affordable to insure.
How can I reduce my insurance costs when choosing a new car?
Researching a car’s insurance cost before purchasing is one of the best ways to reduce your premiums. Insurance companies publish rate data based on vehicle identifiers, and third-party sites can help you compare the cost difference between models. Choosing cars with high safety ratings, excellent reliability, and budget-friendly repair costs ensures you’re selecting a model that is likely to carry lower insurance premiums.
Additionally, consider opting for a mid-range model instead of the top trim, since more powerful engines and luxury features can often result in higher insurance quotes. It’s also wise to consult with your insurance provider before purchasing a car and inquire about available discounts for specific models, especially those equipped with safety technologies that qualify for reductions in insurance coverage.
Are SUVs and crossovers cheaper to insure than sedans?
SUVs and crossovers can be competitively priced for insurance, especially when they feature good safety ratings and lower theft rates. While traditionally, larger vehicles have been involved in more expensive collisions, modern SUVs such as the Honda CR-V and Mazda CX-5 have advanced safety systems and better crash test scores that lower accident risk, making them equally affordable to sedans for insurance purposes.
In 2025, compact and midsize SUVs have become insurance-friendly due to their popularity with families and higher safety perception. They also tend to retain strong resale values and have growing standard safety technologies, meaning insurers are more willing to offer affordable rates. It’s less about the vehicle type and more about the model’s features and reliability—whether it’s an SUV or a sedan.
Will car insurance rates continue to decrease for newer models?
As vehicle safety technology improves and automakers incorporate features that make cars less likely to be involved in accidents, insurance rates for newer models have generally remained stable or declined. Though brand new vehicles can cost more upfront to insure due to their value, the enhancements in safety and driver-assist systems are increasingly counterbalancing this factor in 2025.
Also, with telematics and usage-based insurance becoming more common, drivers of newer cars have the opportunity to further lower their premiums through safe driving practices. Moreover, increased adoption and familiarity with hybrid and electric vehicles are driving repair cost and risk assessments down, which should lead to even more competitive insurance pricing for 2025 and beyond.