• Tue. Nov 29th, 2022

Cars with the Cheapest Auto Insurance Rates (2022 Guide)

ByElla E. Kidwell

Jun 14, 2022

Nobody likes to pay too much for car insurance, but getting great coverage at reasonable prices can be difficult. However, you can tip the balance in your favor by choosing one of the cars with the cheapest auto insurance rates.

In addition to reviewing the best car insurance companies, Home Media’s review team researched the most popular vehicles in the country to determine which ones might offer you the lowest car insurance rates. possible.

Although a variety of factors affect car insurance premiums, certain vehicles generally have affordable coverage. We’ve got car insurance quotes for the 25 most popular vehicles in 2021 to determine which models have the most affordable car insurance.

The rates below are based on a 32 year old North Carolina driver with a clean driving record and good credit. Each premium shown in the table corresponds to full motor vehicle insurance. These estimates are based on the average of Geico and Progressive quotes.

Generally, drivers get the most cost-effective protection when choosing smaller SUVs and minivans. The types of cars with the cheapest auto insurance rates generally have these characteristics:

  • Easy to drive
  • Have basic components
  • Good performance in safety tests
  • Causes little damage to others
  • Offer considerable protection in the event of an accident

Vehicle-related factors that affect car insurance rates

Even if you don’t select one of the cheaper models listed above, it is possible to find affordable rates. Below, we’ll go over the critical things auto insurance companies consider when setting coverage premiums.

  • vehicle age: Most people assume that older cars have cheaper auto insurance coverage, but that’s not always the case. Some new cars receive lower premiums due to added safety features, although this is often offset by higher repair costs.
  • Vehicle type: Small SUVs and minivans generally have lower car insurance rates, while sedans and large SUVs cost more to insure. Cheap auto insurance is hard to come by for those who own electric vehicles, luxury models, and sports cars.
  • Trim level: The better your car’s trim level, the more expensive your car coverage is likely to be. This is because higher-end models have features that cost more to replace.
  • Safety devices: If your car scores well in safety tests from the National Highway Traffic Safety Administration and the Insurance Institute for Highway Safety, it will likely have lower rates. Safety features such as airbags, anti-lock brakes, and seat belts will also lower your car insurance costs.
  • Car theft rate: Certain car models are stolen more frequently than others, according to an annual study by the National Insurance Crime Bureau (NICB). Vehicles commonly targeted by thieves will likely have more expensive car insurance policies.

Choices That Affect Car Insurance Rates

Certain decisions a driver makes can influence the cost of their car insurance. Here is an overview of some of these factors:

  • Cover level: Minimal coverage on your vehicle will cost less than comprehensive car insurance. However, you will receive very little protection for your car in the event of an accident if you opt for the state’s minimum coverage limit.
  • Deductible amount: Those with high deductibles receive lower car insurance rates, but they also pay more out of pocket when damage occurs.
  • Bundled policies: You may pay a lower price if you purchase other types of insurance, such as homeowners or renters coverage, on the same policy as your auto coverage.
  • Annual mileage: Insurance companies generally charge lower rates to policyholders who don’t drive as much, because spending less time on the road makes them less likely to have accidents.

Personal Factors That Affect Car Insurance Rates

Even cars with the cheapest auto insurance rates can be expensive to insure if personal factors indicate you’re a high-risk driver. Here are some features that often cause drivers to increase their car insurance premiums:

  • Driving record: If your driving history contains a recent accident, speeding ticket or DUI, expect to pay a lot more for car insurance. The cheapest fares are usually given to those with no recent traffic violations or insurance claims.
  • Age, sex and marital status: Teenage drivers, young male drivers and single men of both sexes generally pay more for car insurance. As men move into their twenties, the rates decrease and level off with what female drivers pay.
  • Credit score: Those with bad credit receive extremely high auto insurance quotes because providers consider them high-risk drivers. Drivers with low credit scores often pay even higher rates than those with speeding tickets and at-fault accidents.
  • Location: You will pay more if you live in an area with high crime, high rates of uninsured drivers or a high number of accidents. Those in urban areas like New York or Southern California generally pay higher rates than residents of rural areas.

Having good credit and a good driving record can make it easier to get cheap car insurance. Although cars with the cheapest auto insurance rates may have lower costs, coverage will likely cost more than the national average if your record indicates potential risks.

Car insurance discounts to help lower rates

You may find cheaper premiums by carefully reviewing car insurance discounts offered by providers. Below, we’ll look at some ways policyholders can save money.

Should I choose the cheapest auto insurance rate?

It’s a bad idea to automatically pick the cars with the cheapest car insurance rates or choose providers who offer cheap car insurance policies. Incredibly low rates could indicate that an insurer offers below-average coverage and targets drivers who want to save money.

Although you’ll spend less by selecting your state’s minimum required coverage, consider your options and needs. Auto insurance quotes will be cheaper if you reject comprehensive coverage and collision coverage, but bodily injury liability and property damage liability will not cover your costs after an accident.

The cars with the cheapest auto insurance rates generally perform well in crash tests, but they’re not necessarily the right models for everyone. Balance your needs with the potential costs mentioned by insurance agents before choosing a car.

Our recommendations for car insurance

If you’re looking for cars with the cheapest auto insurance rates, you might also be wondering which providers offer affordable coverage. Based on our research, we have found that it is easy to find competitive auto insurance premiums from Geico and Progressive.

Geico: Editor’s Choice

AM Best financial strength rating: A++
Rating from the Better Business Bureau (BBB): A+

Drivers looking for one of the most comprehensive auto insurance coverages should take a close look at Geico. The company is known for its cost-effective coverage options and superb financial strength, so your car will be well protected in the event of an accident.

However, Geico’s customer satisfaction scores were near average in most regions of the 2021 JD Power U.S. Auto Insurance Study.SM. Our team contacted Geico for a comment on their customer satisfaction ratings, but did not receive a response.

Keep Reading: Geico Insurance Review

Progressive: reduced rates for high-risk drivers

AM Best financial strength rating: A+
BBB rating: Unclassified

It’s not easy for motorists with bad credit or less than perfect driving histories to get great car insurance, but Progressive may be a good choice for them. Although it probably doesn’t have the cheapest coverage, Progressive insures many drivers who are ignored by other providers.

One downside to Progressive is that it was ranked the nation’s second-worst provider in the JD Power 2021 US Auto Claims Satisfaction Study.SMwith a score of 862 out of 1000. Our team reached out to Progressive for a comment on their complaints satisfaction score, but did not receive a response.

Keep Reading: Progressive Insurance Review

Our Methodology

Because consumers rely on us to provide unbiased and accurate information, we’ve created a comprehensive rating system to formulate our ranking of the best car insurance companies. We’ve collected data on dozens of car insurance providers to score companies on a wide range of ranking factors. The end result was an overall score for each provider, with insurers who scored the most points at the top of the list.

Here are the factors taken into account by our assessments:

  • Cost (20% of total score): Auto insurance rate estimates generated by Quadrant Information Services and discount opportunities were both taken into consideration.
  • Coverage (20% of total score): Companies that offer a variety of insurance coverage choices are more likely to meet consumer needs.
  • Reputation (20% of total score): Our research team considered market share, industry expert ratings, and years in business to assign this score.
  • Availability (20% of total score): Auto insurance companies with greater state availability and fewer eligibility requirements scored higher in this category.
  • Customer experience (20% of total score): This score is based on volume of complaints reported by the NAIC and customer satisfaction ratings reported by JD Power. We also considered the responsiveness, friendliness and helpfulness of each insurance company‘s customer service team based on our own customer analysis.

*Data correct at time of publication