Choosing the Best Car for Insurance in 2025: Smart Tips to Save Money and Stay Protected
When purchasing a new or used vehicle, most people focus on fuel efficiency, brand reputation, or technology. However, one crucial factor often overlooked is how a specific car for insurance performs in terms of premium cost. Choosing the right car can significantly affect how much you’ll pay in insurance over the years. In 2025, as insurance premiums continue to rise, selecting a car that is insurance-friendly is more important than ever.
Why the Type of Car Matters for Insurance
Insurance providers consider various factors when calculating premiums, and the type of car is a major one. Cars that are expensive to repair, easy to steal, or involved in more accidents statistically will typically cost more to insure. In contrast, cars with high safety ratings, low repair costs, and strong theft deterrent systems usually come with lower insurance rates.
Top 5 Factors That Affect the Cost of Insuring a Car
- Safety Ratings: Vehicles with excellent crash test results usually have lower premiums.
- Repair Costs: Luxury or imported cars often cost more to fix.
- Theft Rates: Some models are targeted more often by thieves.
- Size and Power: Sports cars and SUVs can lead to higher premiums.
- Driver Profile: Age, credit score, location, and driving record also matter.
Best Cars for Insurance in 2025
According to recent industry data, the following cars are considered among the best car for insurance in 2025 due to affordability, safety, and reliability:
- Subaru Outback: Excellent safety ratings and moderate repair costs.
- Honda CR-V: Widely available parts and strong reliability scores.
- Hyundai Elantra: Affordable to repair and loaded with safety tech.
- Mazda CX-5: Compact SUV with low theft rate and high safety.
- Volkswagen Jetta: Efficient and relatively inexpensive to insure.
Vehicles That Cost More to Insure
Some cars are simply more expensive to insure. Avoid these if you’re trying to save:
- Dodge Charger SRT: High-powered sports vehicle = higher risk.
- BMW 7 Series: High-end luxury cars come with higher repair costs.
- Ford Mustang GT: Popular among young drivers and accident-prone groups.
- Tesla Model S: Expensive tech components increase repair bills.
- Range Rover Sport: Higher theft rate and pricey repairs.
How to Choose a Car for Low Insurance Premiums
To get the best rates, consider the following when choosing a car for insurance:
- Research Insurance Costs: Use online calculators or get quotes before buying.
- Buy Used, But Not Too Old: A 3–5-year-old car balances value and safety.
- Stick to Mainstream Brands: Toyota, Honda, Hyundai are cheaper to repair.
- Avoid Mods: Customizations often increase insurance rates.
- Consider Telematics: Usage-based insurance can reward safe driving habits.
How Much Can You Save by Choosing the Right Car?
On average, switching from a high-risk to a low-risk car can save you between $300 and $1,200 annually on premiums. Over 5 years, that's up to $6,000 in savings—just from smart car selection.
Don’t Forget These Hidden Factors
Even if you find the perfect car for insurance, remember to check:
- Deductibles: Higher deductibles lower monthly costs but increase out-of-pocket expenses.
- Coverage Types: Liability only vs. full coverage makes a big difference.
- Mileage Plans: Low mileage discounts could apply if you don’t drive often.
- Multi-Car Discounts: Adding a second vehicle might lower total costs.
Top Insurance Providers Offering Low Rates for Certain Cars
- GEICO: Known for competitive rates and discounts for safe cars.
- Progressive: Offers good rates on sedans and older vehicles.
- State Farm: Bundle-friendly and generous for compact SUV owners.
- Allsta