Your car insurance premium isn’t just based on your driving history or credit score. One of the most significant factors influencing your rate is the make and model of your vehicle. From engine power and safety features to theft rates and repair costs, insurers analyze multiple aspects of your car before determining your premium.
In this guide, we’ll break down exactly how your car model affect insurance and what you can do to find the best rates.
Understanding Car Make vs. Car Model
What Is a Car Make?
A car’s make refers to the brand or manufacturer of the vehicle. Some of the most common car makes include:
- Ford
- Honda
- Toyota
- Chevrolet
- Nissan
Many automakers also have luxury divisions. For instance, Honda owns Acura, and Toyota owns Lexus—two brands that cater to different markets.
What Is a Car Model?
A car model refers to a specific type of vehicle produced by a manufacturer. For example:
- The Honda Civic (Make: Honda, Model: Civic)
- The Toyota RAV4 (Make: Toyota, Model: RAV4)
Most car models come with different trim levels, which affect performance, luxury, and safety features—each of which can influence insurance costs.
How Car Model Affect Insurance Rates
1. Market Value and Replacement Cost
Insurers consider the market value of your car when determining full coverage costs. A luxury model like a BMW 7 Series will cost more to insure than an entry-level Toyota Corolla, simply because replacement and repair costs are higher.
2. Vehicle Age
- Newer cars generally cost more to insure because their replacement costs are higher.
- Older cars may have lower insurance costs, but some models (especially classic or rare cars) might require specialty insurance.
- Some insurers offer discounts for new vehicles—typically those less than three years old.
3. Vehicle Size and Safety Ratings
Larger vehicles, such as SUVs and trucks, may have higher premiums because they can cause more damage in an accident. However, they also tend to be safer in crashes, which can offset some of the cost.
A study by the Insurance Institute for Highway Safety (IIHS) found that:
- Small SUVs, like the Honda CR-V, have 8% lower third-party damage claims than the industry average.
- Large SUVs, like the Ford Expedition, have claims 2% above the industry average.
- Large pickup trucks, like the Chevy Silverado, have 16% higher property damage claims.
4. Trim Level and Extra Features
While luxury features like leather seats, premium sound systems, and sunroofs enhance your driving experience, they can also increase your insurance premiums. Base trims usually have the lowest insurance costs.
However, some high-end trim levels include advanced safety technology, such as automatic braking and lane assist, which may help lower insurance rates.
5. Theft Rates
Cars that are commonly stolen tend to have higher insurance rates. According to the National Insurance Crime Bureau (NICB), Hyundai and Kia models without engine immobilizers were among the most frequently stolen vehicles in 2023.
6. Engine Size and Performance
- Sports cars and high-performance models tend to have higher premiums because they are associated with risky driving behaviors.
- A Dodge Charger Hellcat will cost significantly more to insure than a Toyota Camry because of its engine power and likelihood of being in an accident.
7. Safety Features and Insurance Costs
Cars equipped with safety features like electronic stability control, anti-lock brakes, and anti-theft systems often qualify for discounts. Some insurers even offer lower rates for cars with adaptive cruise control and collision avoidance technology.
8. Electric Vehicles (EVs) and Insurance Costs
While EVs are growing in popularity, they still tend to cost more to insure than gas-powered cars. This is due to:
- Higher repair costs
- Expensive battery replacements
- Limited historical data for insurers
According to the 2024 Auto Insurance Trends Report from LexisNexis Risk Solutions, EVs accounted for 1.5% of all vehicles but represented 2.3% of all insurance claim payouts.
Which Car Models Are the Cheapest to Insure?
Typically, midsize SUVs and safe, mass-market vehicles have the lowest insurance costs. According to Quadrant Information Services, here are the cheapest 2022 models to insure:
- Subaru Outback – $1,818 per year (27% below the national average)
- Honda CR-V – $2,116 per year
- Toyota RAV4 – $2,138 per year
- Ford F-150 – $2,163 per year
- Ford Escape – $2,204 per year
- Honda Civic – $2,277 per year
These vehicles tend to have strong safety ratings, lower repair costs, and good reliability, making them more affordable to insure.
How to Get the Best Insurance Rates for Your Car Model
If you’re shopping for insurance, follow these steps to get accurate quotes for your specific car model:
- Visit an insurance company’s website or work with a broker.
- Enter personal details, such as your name, address, and driver’s license number.
- Provide vehicle details, including year, make, model, VIN, and mileage.
- Select your coverage options, such as liability, comprehensive, and collision coverage.
- Compare quotes from multiple insurers to find the best rate.
Frequently Asked Questions
Does the car model affect insurance rates?
Yes. Factors such as market value, safety ratings, theft risk, and performance all influence your insurance premiums.
Why is my car so expensive to insure?
Your insurance may be high if your car is a luxury model, high-performance vehicle, frequently stolen, or has below-average safety ratings.
Can I get insurance quotes before buying a car?
Yes! Use a dealer’s VIN to get a quote on different models before making a purchase.
How can I lower my car insurance premium?
- Shop around for quotes
- Bundle auto and home insurance
- Take advantage of safety discounts
- Maintain a clean driving record
- Increase your deductible
Final Thoughts
Your car model affect insurance in many ways, from repair costs to theft rates and safety features. By understanding how insurers assess different vehicles, you can make informed decisions to find the most affordable coverage for your car. Before purchasing a vehicle, research its insurance costs and shop around for the best rates to ensure you’re getting the best deal.
By choosing a safe, reliable, and cost-effective car model, you can keep your insurance premiums low while enjoying peace of mind on the road.
Want to know more about other insurances, Read our latest articles.
