Savvy shoppers know to compare prices and features when buying a new (or used) car, but also understand that choosing auto insurance is a significant component of the cost of car ownership. Insure.com, a comprehensive resource for insurance information, releases its 12th annual ranking of the most and least expensive new vehicles to insure. Each year, Insure.com compares car insurance rates in every state for approximately 3,000 different vehicle models.
The new report, Ranking the most expensive and cheapest cars to insure for 2021, finds the Chrysler Voyager minivan peeling into first place this year, with the lowest national average insurance premium of $1,272 annually.
The top five least expensive new cars to insure in 2021
1. Chrysler Voyager L: $1,272
2. Honda CR-V LX: $1,285
3. Mazda CX-3 Sport: $1,294
4. Fiat 500X Trekking: $1,301
5. Honda HR-V LX: $1,322
“SUVs and CUVs continue to dominate the list of cheapest vehicles to insure,” notes Penny Gusner, senior consumer analyst for Insure.com. “Every vehicle in the top 10 is in the utility category, except for the top-place Voyager. These results support the depth of the SUV trend that continues to dominate.”
High-end luxury and sports cars tend to attract more aggressive drivers, say experts, with cars marked by big engines and flashy finishes speeding to the top of the most-expensive-to-insure list. This year’s most costly to insure is led by Maserati, with the top five spots commanded by only three automakers. In a major shift, no Mercedes models made the top 10; last year, three of its vehicles were in the top 10.
This year’s five most expensive new cars to insure
1. Maserati Quattroporte S GranSport: $4,823
2. Maserati Ghibli S Q4 GranSport: $4,208
3. Tesla Model S Performance (Plaid): $4,143
4. Tesla Model X Performance (Plaid): $4,025
5. BMW M760i xDrive: $3,914
“It behooves consumers to factor insurance costs into the overall financial figures when buying a new car,” explains Gusner. “It’s critical to research and compare insurance rates because they often vary significantly between vehicles, increasing the overall cost for owning a car. Of course, car insurance rates are also affected by things such as the driver’s record, credit, age and other factors.”
Insure.com’s car insurance comparison tool, included in the report, allows readers to review insurance rates for nearly 3,000 new models. They can find national auto insurance premiums for 2021 vehicles and view state-specific average rates to compare costs for up to 10 vehicles at a time.
I had a chance to learn more in this interview with Penny Gusner, senior consumer analyst for Insure.com.
What factors affect the cost of insurance for different types of cars?
The factors that are directly related to the type of car you have and affect the cost of insurance generally are: the value of the vehicle, the cost of repairs, the claims data the insurer has for that vehicle and rate of theft. A luxury vehicle loaded with all the bells and whistles of modern technology will be much more costly to repair when damaged than a base line vehicle . A cheaper vehicle that sells better will mean having readily available parts, which can help keep both repair costs down and insurance rates. Insurers look at the claims data they have regarding the type and model vehicle and if one shows historically to have higher claims, your rates will be a bit higher. The opposite is also true if a vehicle is shown to have cheaper repair costs, it will have cheaper insurance. Then there are vehicles you’d think would be cheaper to insure but happen to be one of the top stolen vehicles. That will bump up the cost of insurance (but only on your comprehensive coverage which covers theft).
Why do consumers need to factor in the cost of insurance when planning a car purchase?
It’s wise to factor in the cost of insurance when planning a car purchase because you don’t want to have your heart set on a certain vehicle or even buy it only to find out the insurance puts the cost of the ownership over your budget. By shopping for the car and insurance at the same time, you’ll know the car payment and insurance premium both fit your monthly car budget.
If you start early in the process checking car insurance costs, it may help steer you towards the best vehicle for your wallet.
How can people be sure to get the best value coverage while still having complete coverage?
Shop around. That is my best piece of advice always. Comparison shop with at least three car insurance companies but more if you have the time. Make sure you’re comparing like policies (meaning same coverages and limits on each) so you can see who is the cheapest. For any new car you will want full coverage, meaning state required coverages plus comprehensive and collision. Comp and collision are what cover your car if you’re in an accident or it if sustains damage from fire, theft or severe weather. And it is smart to up your liability coverages to at least 100/300/100 if you can afford it because more car insurance helps protect your assets. If you’re not sure if you can afford to up your liability limits, get rate quotes for lower and then higher limits to see the difference in cost as typically it doesn’t cost that much more for better protection.
Penny Gusner is Insure.com’s senior consumer analyst. She is an expert on insurance procedures, rates, policies and claims. She has over a decade of experience answering consumer questions as an analyst, and has been featured in numerous major media outlets, including the Washington Post and Kiplinger’s. She has three active children and a husband with a zeal for quirky cars. Follow her on Twitter: @AskPennyAuto
About Insure
Insure.com is owned and operated by QuinStreet, Inc. (Nasdaq: QNST), a leader in providing performance marketplace technologies and services to the financial services and home services industries. QuinStreet is a pioneer in delivering online marketplace solutions to match searchers with brands in digital media. The company is committed to providing consumers with the information and tools they need to research, find and select the products and brands that meet their needs. Insure is a member of QuinStreet’s expert research and publishing division.
For more than 20 years, Insure has served as a comprehensive consumer resource for insurance information, offering expert advice, articles, news, and tools about car, home, health, and life insurance. Consumers have access to free car insurance quotes and guidance on finding the right insurance policy, saving money and solving claims problems.
Twitter: @InsureCom
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