The Cheapest Cars to Insure in the U.S.
Of all of the new vehicles on the market, which are the cheapest cars to insure? That’s a complicated question to answer since the cost of your car insurance premium depends on a lot more than just the type of car you drive. All things being equal, we’ve estimated costs for each of these new cars so you can compare them. Regardless of whether you are looking for a family car, something more rugged, or perhaps something sportier, there are several options available in each category. Take a moment and compare the cheapest cars to insure in America.
What is the Cheapest Car to Insure?
Again, all things being equal, the cheapest car to insure is the Ford Edge. The Ford Edge, for an average driver with good credit and a clean driving history, averaged $1,128 for its annual auto insurance premium. That’s a little over $95 per month in auto insurance payments. Certainly not bad, but especially surprising since the Ford Edge is an SUV and those tend to have higher premiums. It used to be that minivans were the cheapest vehicles to insure, but in recent years the auto markets have seen a shift in sales away from minivans and toward SUVs and crossover vehicles. This is likely due to young families who see minivans as uncool remnants of the 80’s and 90’s. The trend hasn’t gone unnoticed by insurers, either, as insurance premiums are now reflecting. As a matter of fact, the 2013 Ford Edge wasn’t the only SUV on the low end of our list. It’s joined by the Jeep Grand Cherokee Laredo ($1,148), the Subaru Outback 2.5i Premium ($1,150), and the Kia Sportage ($1,157), which are all either SUVs or crossovers. So if you’re shopping for a car that offers a lot of space but you want to avoid a significant hike in your auto insurance payments, then these vehicles are your best bet.
Other factors affecting your car insurance premium
Going out and buying the cheapest car to insure sounds like a simple solution for reducing your auto insurance premium. Unfortunately, that may not be true for everyone. As we mentioned, a lot goes into figuring out how much each individual pays for their auto insurance. Some of these factors include your age, occupation, where you live, and even your credit history. It’s possible that even with the cheapest car to insure, you could end up paying a lot for car insurance. Don’t worry though, there are a few things you can do to reduce your monthly payments.
Get even lower auto insurance payments
The car you buy is definitely a major factor in determining how much you pay for car insurance and it’s one of a few things you have control over. Other than buying one of the cheapest cars to insure, what can you do to reduce the cost of your auto insurance payments?
Improve your credit score
If you don’t have stellar credit, or if you don’t have credit at all, then work on that. Your credit score plays a role in how much you pay for car insurance and it isn’t hard to improve. For tips on how to improve your credit score, we recommend reading the advice offered on sites like Wisebread.com.
Complete a driver safety course
Completing a driver safety course or “defensive driving course can drop your auto insurance payments by 5% to 20%. That’s a pretty significant discount and many states require your auto insurance company to offer you a discount for completing one of these courses. They are usually inexpensive and don’t take too much time. Learn more about driver safety courses by reading our article in our Resources section.
Where you live and how far you drive to work also have an impact on your auto insurance. Living in a high-crime area, on a busy street with no off-street parking, commuting more than 30 minutes to work, and regularly driving in or around high traffic areas can all make your rates jump. If you plan on moving to a new area, consider these factors to make sure your car insurance rates don’t go up.
Cheap car insurance
Maybe you’ve got it together and none of these things apply to you. Perhaps you have great credit, a clean record, and you never file an insurance claim. If you’re also in the market for a new car and your auto insurance payments are a major concern or they are a specific budgetary concern, then we’d highly recommend one of these vehicles as they are the cheapest cars to insure in the U.S. Just keep in mind that if you’re buying on a budget, a new car may not be the best idea. A new car, on average, will depreciate at least $5,000 in the first year alone. That’s a lot of money to throw away. To learn more about how to get the most out of a new car purchase, read our article on how to buy a car on a budget. To find the savings you need, compare quotes now at compare.com.
Car Comparison Guide
Buying a new car isn’t easy. Make sure to get all the facts before you make a decision. Our Car Comparison Guide will lay it all out for you – best trucks, best cars, best SUVs, all at a price you can afford.