Black Friday saving continues 🥳

Get the biggest bargains of Cyber weekend

Cheapest cars to insure

Compare car models with the cheapest car insurance rates.

Posted

Fact checked
Man Driving Car With Dog Looking Out Passenger Window

Your premium is the product of many factors, and the car you drive is a huge part of the equation. While there are plenty of ways to cut the cost of car insurance, the best way to save is by choosing a car that’s cheaper to cover. Compare car models that are cheap to insure.

Which car models are cheapest to insure?

Insurance rates not only reflect the car’s sticker price, but its safety and reliability, claims history and estimated repair costs. With that logic, cheaper cars usually have lower premiums because they cost less to repair or replace if they’re totaled after an accident.

You can also expect to pay cheaper rates for models that score top marks in crash tests conducted by the National Highway traffic Safety Administration (NHTSA) and the Insurance Institute for Highway Safety. And models with a positive claims history, which includes the likelihood and cost of claims, tend to be cheaper to insure.

Some of the cheapest car models to insure

Your location is a major factor in determining car insurance rates. Even a change in postal code without leaving the province can affect your premium. Keep that in mind when comparing quotes for any of the models we ranked in your area.

Here, we’ve zeroed in on rates in a densely populated area in Ontario. These are the premiums a driver with good credit and an accident-free driving record can expect to pay for insuring a 2020 model with full insurance coverage.

RankMake and modelAverage monthly premium
1Mazda MX-5$136
2Hyundai Accent$156
3Acura RDX$160
4Volkswagen Golf$161
5Subaru Impreza$166
6Volkswagen Jetta$170
7Chevrolet Malibu$172
8Honda Civic$173
9Ford Focus$180
10Dodge Grand Caravan$181
11Nissan Sentra$183
12Chevrolet Cruze$186
13Toyota Yaris$184
14Audi A3$188

Why did these cars make the list?

Safer cars get lower rates. Some of the cars on our list were chosen as Top Safety Picks by the IIHS. The safer a car is, the less likely a insurer will have to pay out a large claim to cover a lot of damage. The other factor that plays a big part in determining insurance costs is the starting MSRP. Cheaper cars usually correspond to cheaper replacement parts.

There are other factors car insurers consider too. Fore example, the Dodge Grand Caravan is a minivan, so it’s likely to be driven by parents with children who are typically cautious drivers. This means fewer accidents and fewer claims, which is music to an insurer’s ears.

Which car brands are cheapest to insure?

Let’s talk about car makes. In Canada, these popular car brands tend to have cheaper insurance:

  • Acura
  • Chevrolet
  • Chrysler
  • Ford
  • Honda
  • Hyundai
  • Infiniti
  • Jeep
  • Kia
  • Mazda
  • Mitsubishi
  • Nissan
  • Ram
  • Subaru
  • Toyota

Keep in mind that these are averages, and some models are exceptions. For example, Nissans are among the most cost-effective cars to insure, unless you have a Nissan GT-R Nismo — a high-performance sports car with over 500 horsepower.

For luxury cars, BMW and Mercedes-Benz vehicles are surprisingly cheap to insure, until you get to the convertibles and very expensive models.

Which car types are cheapest to insure?

In general, this is where car types sit on the cost-of-insurance spectrum.

Cheap

  • Hatchback
  • Minivan
  • Sedan
  • Station wagon
  • SUV

Expensive

  • Classic and exotic car
  • Convertible
  • Diesel car
  • Luxury car
  • Mini car
  • Modified car
  • Sports car

What types of cars are cheapest to insure?

What goes into those rates? Cheaper cars to insure will generally cost less to buy, maintain and repair. Switching cars is one of the best things you can do for your car insurance rates.

Cheap car insurance factors

  • Safer. Cars with more safety features cost less to insure because they hold up better in accidents.
  • Good fuel economy. You might get a break on your rates if you drive electric or hybrid cars.
  • Lower claims risk. Sedans and minivans tend to be involved in less crashes, which means they’re lower risk cars.
  • Cheaper MSRP. Cheaper cars are less expensive to repair and replace.
  • Less powerful engine. Generally, the higher the horsepower, the more you’ll pay for your car insurance.
  • Easy to repair or replace. The more it costs to repair your car after an accident, the more risk it presents to an insurer.

Expensive car insurance factors

  • High-theft vehicle. Some cars are targeted by thieves because they’re easier to steal or sell.
  • Diesel cars. Diesel cars often cost more to repair than cars that use gasoline.
  • Convertibles. Convertible roofs tend to need more repairs than standard car roofs, and they can be easier to break in to.
  • Luxury cars and sports cars. If your car is expensive or has a higher crash risk, you’ll usually see higher insurance rates.
  • Modified cars. Cars with modifications like more horsepower or tinted windows can have higher rates.
  • Vintage cars and exotic cars. Spare parts can be much harder to track down for vintage, classic cars and imports.

Which car models are more expensive to insure?

Some cars are automatically slapped with higher insurance rates. Typically, the most expensive models to insure are high-performance, luxury and sports cars. They’re powerful and designed to be driven fast, so insurers compensate for that risk by charging higher premiums. Also, they’re expensive to repair or replace in the event of an accident

Most expensive cars to insure

We compared rates for some of the most common cars that are the priciest to insure. Convertibles and luxury cars are typically more pricey to insure because they’re more prone to theft and robberies and they also tend to cost more.

The price of insurance varies between states, so factor in your location when you’re shopping around. We used the same driver profile as above to source these rates for some of the costliest cars to insure in Ontario.

RankMake and modelAverage monthly premium
1BMW i8$367
2Nissan GT-R$342
3Audi A5$339
4BMW 3 Series$327
5Audi Q5$301

Which car brands are more expensive to insure?

In the US, the most expensive car brands are those that manufacture luxury, sports and specialty cars. These cars have sky-high sticker prices, usually in the six-figure bracket, and a high cost of insurance to match. Why? It all comes down to risk. These brands attract enthusiasts: those drivers who are likely to test the speed and power of their rides, as well as thieves who want to do the same. And if something happens, their cars are costly to repair or replace.

These brands tend to have the priciest premiums.

  • Ferrari
  • Maserati
  • Aston Martin
  • Alfa Romeo
  • Mercedes
  • Porsche
  • BMW
  • Audi
  • Dodge
  • Land Rover
  • Jaguar

What can I do to save on car insurance?

Though car insurance is an investment in your safety, it’s still a monthly expense. These strategies may help you get cheaper car insurance.

  • Choose market value. Unless you’re driving a classic, modified or luxury car, it’s worth insuring your car for market value over agreed value.
  • Maintain your car. Your policy won’t cover you for damage caused by age, negligence and improper maintenance, so be sure to have your car serviced regularly.
  • Install extra antitheft devices. For instance, steering wheel lock bars and electronic immobilizers deter thieves, so you’ll most likely be rewarded with a percentage discount off your premium.
  • Equip your car with advanced safety features. The safer your car, the less risk it presents to your insurer. Adding features like antilock brakes and pretensioners can cut down on your premium.
  • Park in a safe location. For a cheaper premium, store your car in a locked, covered garage rather than on the street.
  • Drop collision coverage. Buying full-coverage car insurance is the sensible choice for new and expensive cars. Once your car has depreciated in value, consider dropping collision coverage or extras.
  • Avoid the most stolen car models. These include the Honda Civic, the Ford F-Series pickup trucks and the Lexus RX Series. Every year stolen cars cost insurance companies across Canada $542 million to fix or replace.
  • Switch to pay-per-mile insurance. If you rarely drive, consider only paying for the time you’re behind the wheel. This is also known as pay-as-you-go insurance. Otherwise, ask your insurer about low-mileage discounts.

Bottom line

Generally, the cheapest cars to insure are practical, safe, conventional and affordable — both to buy and repair. In addition, they typically have fewer claims and accidents. To cover their own risk, insurers usually jack up the rates for expensive, luxury and high-performance cars.

While the car you drive affects your insurance rates, it’s not the only factor. Shop around and compare rates with different companies to get the best value for your coverage.

Common questions about cheap cars to insure

More guides on Finder

Ask an Expert

You must be logged in to post a comment.

Go to site