The Subaru Outback is the cheapest vehicle to insure in the current market, with an average annual full coverage premium of $2,242. That’s about $455 less than the national average of $2,697 per year for full coverage. Several other midsize SUVs, crossovers, and one pickup truck round out the top of the list, all coming in well under that national average.
The 10 Cheapest Vehicles to Insure
Based on average annual full coverage premiums from November 2025 rate data, these models consistently cost the least to insure:
- Subaru Outback: $2,242
- Honda CR-V: $2,270
- Toyota Tacoma: $2,389
- Jeep Wrangler: $2,407
- Toyota RAV4: $2,420
- Honda Pilot: $2,430
- Ford Escape: $2,442
- Honda Odyssey: $2,446
- Acura RDX: $2,474
A clear pattern emerges: compact and midsize SUVs from Honda, Subaru, and Toyota dominate the list. These aren’t flashy vehicles. They’re practical, widely owned, and built with standard safety features, all of which keep premiums low.
Why These Vehicles Cost Less to Insure
Insurance companies set premiums based on how much they expect to pay out in claims for a given vehicle. Several factors work in favor of the models on that list.
Repair costs matter enormously. Vehicles with widely available parts and straightforward mechanical designs are cheaper to fix after a fender bender. A Honda CR-V or Ford Escape uses common parts that any body shop can source quickly, while a luxury SUV or sports car may need specialty components and trained technicians. That difference shows up directly in your premium.
Theft rates also play a role. Cars that are stolen more frequently cost more to insure. The vehicles on the cheapest list tend to be popular but not particularly targeted by thieves compared to high-end trucks or performance cars.
Claim frequency is another piece. Sports cars and high-horsepower vehicles are driven more aggressively on average, leading to more accidents per policyholder. Budget and midsize vehicles with strong safety ratings tend to have lower claim rates, which translates to cheaper insurance.
Vehicle Types That Cost the Most
On the opposite end of the spectrum, certain categories reliably carry higher premiums. A Dodge Challenger averages $3,691 per year for full coverage. A Cadillac Escalade runs about $3,744. A Tesla Model 3 comes in at $3,419, and a BMW 330i at $3,309. These vehicles share traits that push premiums up: expensive parts, specialized repair needs, and in the case of sports cars, higher accident frequency.
Electric vehicles deserve a special mention. EV insurance premiums run roughly 10% to 20% higher than comparable gas-powered models, and some EV drivers pay nearly 49% more. The culprit is repair cost. EV battery packs and integrated electronics are expensive to fix or replace, and fewer shops are equipped to handle the work. If low insurance cost is a priority, a gas-powered crossover or midsize SUV will almost always beat an EV of similar size.
Cheapest Trucks to Insure
If you need a pickup, the Toyota Tacoma stands out at $2,389 per year for full coverage. It’s the only truck that cracks the overall top 10 cheapest list. After that, there’s a meaningful jump: the Ford F-150 averages $2,630, the Chevrolet Silverado 1500 runs $2,687, and the Dodge Ram comes in at $2,748. Full-size trucks cost more to insure partly because they cause more damage in collisions due to their weight and height, which increases liability payouts for insurers.
How Safety Features Affect Your Premium
Many insurers offer discounts for vehicles equipped with advanced safety technology. Features like automatic emergency braking, blind spot detection, and forward collision warning reduce accident risk, and some crash-avoidance systems cut certain types of collisions by more than 75%. Rear automatic braking alone reduces backing-up collisions by nearly 80%.
There’s a catch, though. These same systems use cameras, sensors, and radar units built into bumpers and mirrors. When those components get damaged in even a minor accident, repair bills climb. A cracked bumper on a car with embedded radar sensors costs significantly more to fix than the same bumper without them. Insurers weigh both the reduced accident risk and the increased repair cost, which is why the discount doesn’t always offset the added expense of repairing high-tech components.
The vehicles on the cheapest-to-insure list hit a sweet spot: they include enough safety technology to earn discounts without packing in the kind of expensive, repair-heavy systems found on luxury models.
Minimum Coverage vs. Full Coverage
The figures above reflect full coverage, which includes collision and comprehensive insurance on top of your state’s required liability minimums. If you carry only minimum coverage (liability alone, with no collision or comprehensive), premiums drop substantially. A Subaru Outback averages $761 per year for minimum coverage. A Ford Escape runs about $806, and a Honda Odyssey about $772.
Minimum coverage makes the most sense on older vehicles where the car’s value doesn’t justify paying for collision and comprehensive. If your vehicle is worth less than a few thousand dollars, the premium savings from dropping to minimum coverage may outweigh the protection you’d get from a full coverage policy.
Other Ways to Lower Your Premium
Your choice of vehicle is one of the biggest levers you have, but it’s not the only one. Bundling your auto policy with homeowners or renters insurance typically earns a discount of 5% to 15%. Raising your deductible from $500 to $1,000 lowers your monthly premium, though it means paying more out of pocket if you file a claim. Maintaining a clean driving record for three to five years qualifies you for safe driver discounts with most insurers.
Shopping around matters more than most people realize. Rates for the same vehicle and driver profile can vary by hundreds of dollars between companies. Getting quotes from at least three insurers before buying a car gives you a realistic picture of what your total ownership cost will look like, not just the sticker price and monthly payment.