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| 17 Surprisingly Cheapest Cars to Insure |
If you've ever wondered what is the cheapest car to insure or what car is cheapest to insure, you're not alone. Insurance can be one of the biggest ongoing expenses when owning a vehicle—especially for teens, families, and budget-conscious drivers. The good news? Some cars are naturally cheaper to insure due to their design, safety, reliability, and cost to repair.
This detailed guide highlights the cheapest cars to insure in 2025—both new and used. We'll explore what makes a vehicle insurance-friendly and give you smart tips to cut costs further.
Understanding Car Insurance Costs
Vehicle Type and Insurance
Insurers look at more than just your driving history. The kind of car you drive plays a huge role in determining your premium. For instance:
- Sedans and compact cars generally have lower repair costs and are cheaper to insure.
- SUVs with strong safety ratings also enjoy lower premiums.
- Sports cars and luxury vehicles usually cost more due to higher repair expenses and theft rates.
Impact of Safety Ratings and Features
A car loaded with safety features like automatic emergency braking, adaptive cruise control, and lane-keeping assist will not only keep you safer but also reduce your premium. Cars with top safety ratings from the IIHS (Insurance Institute for Highway Safety) and NHTSA typically receive lower insurance quotes.
What Makes a Car Cheap to Insure?
Several factors make certain vehicles more affordable to cover:
Role of Engine Size and Power
Lower-powered engines reduce accident risk statistically. That’s why a Toyota Corolla will be cheaper to insure than a Mustang GT.
Manufacturer Reputation and Reliability
Brands like Honda, Subaru, and Toyota are known for reliability and low-cost repairs—something insurance companies love.
Other Key Factors
- Low theft rate
- Inexpensive parts
- High resale value
- Simple designs (less electronics to break)
Top 17 Cheapest Cars to Insure in 2025
Here are the most insurance-friendly cars this year, ranked based on national premium averages, safety ratings, and repair costs:
#1 – Subaru Outback
A perennial favorite. With excellent safety features and a low claim rate, it’s one of the most affordable SUVs to insure.
#2 – Honda CR-V
Reliable, family-friendly, and fuel-efficient. It also holds its value well, which appeals to insurers.
#3 – Mazda CX-5
Sporty yet practical. The CX-5’s moderate horsepower and excellent safety features keep costs low.
#4 – Hyundai Tucson
Hyundai's budget SUV balances affordability, tech, and a strong crash test record.
#5 – Toyota Corolla
Possibly the cheapest car to insure among sedans, the Corolla is known for durability and low maintenance.
#6 – Honda Civic
Compact, efficient, and backed by a strong reputation for safety and longevity.
#7 – Chevy Equinox
American-made SUV with strong ratings and affordable repair costs.
#8 – Kia Forte
This compact car is loaded with safety features and one of the lowest average premiums.
#9 – Ford Escape
Another SUV favorite among families and insurers alike.
#10 – Nissan Rogue
Great resale value and modern safety tech make it a smart pick.
#11 – Toyota Camry
Mid-size comfort without the hefty insurance bills.
#12 – Subaru Forester
Similar to the Outback, it offers rugged capability and stellar safety records.
#13 – Volkswagen Jetta
Compact with European flair—surprisingly budget-friendly for insurance.
#14 – Hyundai Elantra
Another Hyundai that scores for affordability and low average premiums.
#15 – Buick Encore
Smaller SUV that’s comfortable and insurance-friendly.
#16 – Jeep Compass
An economical crossover that appeals to younger buyers and budget insurers.
#17 – Ford Edge
Spacious yet affordable to insure with strong safety ratings.
Cheapest Used Cars to Insure
Buying used? Here are the cheapest used cars to insure in 2025:
- 2018-2021 Toyota Corolla
- 2016-2020 Honda Civic
- 2017-2020 Subaru Outback
- 2015-2019 Ford Escape
- 2017-2020 Mazda3
Tips for Buying Low-Insurance Used Cars
- Avoid models with a history of theft.
- Check safety recalls and crash test ratings.
- Lower mileage and fewer previous claims = lower premiums.
What Car is the Cheapest to Insure for Teens and New Drivers?
Teen drivers pay some of the highest premiums due to risk. However, these vehicles are excellent for safety and cost:
- Honda Fit
- Subaru Impreza
- Toyota Prius
- Hyundai Elantra
- Mazda3
Parental Policies vs. Individual Coverage
Adding your teen to your existing policy is almost always cheaper than a solo policy. Also, make sure they qualify for:
- Good student discounts
- Driver training discounts
Cheapest Cars to Insure by Category
Cheapest Sedans
- Toyota Corolla
- Honda Civic
- Hyundai Elantra
Cheapest SUVs
- Subaru Outback
- Honda CR-V
- Mazda CX-5
Cheapest Trucks
- Ford Ranger
- Toyota Tacoma
Cheapest Hybrids
- Toyota Prius
- Honda Insight
Insurance Discounts That Affect Affordability
Don’t forget these money-saving options:
- Multi-policy bundling (home + auto)
- Good student discounts
- Safe driver programs
- Low-mileage usage plans
- Defensive driving course discounts
Frequently Asked Questions (FAQs)
Q1: What is the cheapest car to insure in 2025?
A1: The Subaru Outback ranks as the cheapest car to insure due to its top-tier safety and low accident rates.Q2: Is a used car cheaper to insure than a new one?
A2: Often yes, especially if it’s several years old and has a low market value.Q3: Do SUVs cost more to insure than sedans?
A3: Not always. Safe and midsize SUVs like the Honda CR-V can be cheaper to insure than some sedans.Q4: What car is cheapest to insure for a teenager?
A4: The Honda Fit and Subaru Impreza are among the cheapest and safest choices for teen drivers.Q5: Does engine size affect insurance cost?
A5: Absolutely. Cars with smaller engines usually have lower premiums.Q6: Can safety features really lower my insurance rate?
A6: Yes, features like lane assist, collision warnings, and blind spot monitoring can all reduce your premium.| Car Model | Avg. Annual Premium (USD) | Safety Rating | Engine Size | Theft Rate |
|---|---|---|---|---|
| Subaru Outback | $1,204 | 5-Star (IIHS/NHTSA) | 2.5L | Very Low |
| Toyota Corolla | $1,180 | 5-Star | 1.8L | Low |
| Honda CR-V | $1,230 | 5-Star | 2.4L | Low |
| Mazda CX-5 | $1,260 | 5-Star | 2.5L | Moderate |
| Hyundai Elantra | $1,150 | 4-Star | 2.0L | Moderate |
| Honda Civic | $1,240 | 5-Star | 2.0L | Low |
| Ford Escape | $1,270 | 5-Star | 1.5L Turbo | Moderate |
Conclusion: Drive Smart and Save Big
Finding the cheapest cars to insure doesn’t mean compromising on quality, safety, or style. Whether you’re shopping for a new vehicle, buying used, or helping a teen get behind the wheel, the right car can save you hundreds—sometimes thousands—every year. Always compare insurance quotes before you buy, and remember: the safest car is often the most affordable to cover.