What Are Some Used Cars that Are Cheap to Insure?
Last Updated on January 30, 2023
When buying a used car, it’s important to consider the cost of car insurance. Some used cars are cheaper to insure than others.
By picking the right used car, you could pay just a few hundred dollars a year for liability insurance. Even if you buy full coverage car insurance, you might pay under $1,000 per year for an older used car.
What are the best used cars for cheap auto insurance? Which used car should you buy? Keep reading to discover some of the best used cars that are cheap to insure.
- Top 10 Cheapest Used Cars to Insure
- Other Cheap Used Cars to Insure
- How to Find a Used Car with Cheap Auto Insurance Premiums
- How to Save Money on Used Car Insurance
- Other Tips for Saving Money On Used Car Insurance
- Best Car Insurance Companies for Used Cars
- Final Word on Used Cars that Are Cheap to Insure
Top 10 Cheapest Used Cars to Insure
The cheapest used cars to insure are cars that have strong safety ratings, low repair costs, and strong accident performance ratings.
The less value your car has, the less risk your insurer is absorbing. That means your insurer can charge cheaper rates on older used cars.
According to sample quotes provided to our model driver profiles, here are some of the cheapest used cars to insure based on average full coverage car insurance premiums:
- Honda Odyssey: $983 per year
- Honda CR-V: $993 per year
- Honda Fit: $1,002 per year
- Toyota Camry: $1,013 per year
- Volvo V70: $1,039 per year
- Subaru Outback: $1,042 per year
- Subaru Forester: $1,099 per year
- Kia Spectra: $1,111 per year
- Toyota Sienna: $1,121 per year
- Hyundai Elantra: $1,137 per year
These cars are cheap to insure for different reasons. However, most of these cars are common vehicles with strong safety ratings. The cars are cheap and easy to repair, and they perform well in crashes. Plus, by buying a used vehicle, you’re buying a car worth thousands less than a new model year vehicle, lowering car insurance further.
Other Cheap Used Cars to Insure
Based on our research, the used cars above are among the cheapest in America to insure (due to their strong safety ratings). However, there are plenty of other cheap used cars to insure, including all of the following:
- Toyota Avalon
- Subaru Legacy
- Volkswagen Golf
- Mini Cooper
- Chevrolet Suburban
- Ford Expedition
- Ford Edge
- Chevrolet Silverado
- Mazda 3
- Toyota Scion
- Honda Pilot
- Ford Fiesta
- Honda Fit
- Saturn SL1
- Mercury Sable
- Honda Civic
- Honda Accord
- Toyota Prius
- Volvo S60
- Hyundai Accent
- Ford Escort
- Pontiac Grand Am
- Pontiac Sunfire
Depending on the model year of your used car, you could pay under $1,000 per year for full coverage auto insurance on all of these vehicles. Plus, by shopping around for auto insurance and taking advantage of discounts, you could save even more.
How to Find a Used Car with Cheap Auto Insurance Premiums
When shopping for used cars, you should consider the cost of auto insurance. Even if you’re buying a used vehicle, you could pay significantly more or less for car insurance.
To find a used car with cheap auto insurance premiums, consider all of the following:
Safety Features: A significant amount of your car insurance payment goes towards liability insurance, which protects you, other people, and passengers from damage. If you have a safer vehicle with strong accident and crash safety ratings, then it’s less risky for insurers to insure. Some of the cheapest used cars for auto insurance are cars with strong safety features.
Anti-Theft Features: If you buy full coverage car insurance, then your insurer covers the cost of replacing your car after it’s stolen. Vehicles with strong anti-theft features are cheaper to insure because they either deter thieves or make the vehicle easier to recover.
Value of the Vehicle: How much did you spend on your used car? How much is your used car worth today? You buy auto insurance to cover the full value of your vehicle. If your used car is worth $30,000, then you’ll pay more for auto insurance than you would with a used car worth $10,000.
Type of Vehicle: Sports cars are more expensive to insure than minivans. The type of vehicle impacts car insurance premiums. Insurers look at statistics to calculate premiums. Statistically, minivans are involved in fewer accidents than sports cars.
Repair Costs: Some of the cheapest vehicles to insure are domestic or common foreign models. These vehicles have something in common: they’re easy to repair. However, older cars or rarer cars could be much more expensive to repair, even if they’re used, which increases average insurance premiums.
How to Save Money on Used Car Insurance
When shopping for used cars, you have plenty of ways to save on car insurance. In fact, by dropping to minimum liability insurance on a used car, you could spend less than $500 per year on auto insurance in most states.
Here are the best ways to save money on used car insurance:
Shop Around and Compare Quotes: Every major insurance company offers free quotes online. Enter your ZIP code and car type into the online form, then get a free estimate. You can easily compare quotes in your area. Some insurers like to insure older, used cars. Other insurers prefer newer vehicles with modern safety features. By shopping around, you can find the insurer that best matches your unique needs.
Drop to Liability Coverage: If you have a less valuable used car, then you might want to drop collision and comprehensive coverage. States only require liability coverage (including bodily injury and property damage liability coverage). They do not require collision or comprehensive coverage. These coverages protect your own vehicle after an accident. However, a used vehicle might only be worth a few thousand dollars, which means even a minor accident can lead to a total loss (if it costs more to repair your vehicle than the vehicle is worth, then your car is considered a total loss). Dropping full coverage car insurance and switching to liability coverage can save you $1,000 per year on used car insurance. Depending on your state, you could pay just $300 to $500 for liability insurance per year.
Take Advantage of Discounts: Some insurers are upfront with discounts, while others make you work for them. You may qualify for more discounts than you realize. You can bundle your policies together, take advantage of good student discounts, or take a defensive driving course to save money on car insurance.
Compare Quotes Before You Buy: If you’re shopping for used cars, then check insurance quotes before you buy. You might assume that used cars have cheaper insurance premiums than your current vehicle. However, cars have different insurance rates for many reasons. You don’t want to save thousands on a used car only to spend hundreds more per year on auto insurance.
Other Tips for Saving Money On Used Car Insurance
Want to get the cheapest possible rates on used car insurance? Consider the following tips:
Avoid Sports Cars: Sports cars are more expensive to insure than other vehicles. Statistically, they’re involved in more serious accidents than other vehicles. Sports car drivers also tend to be younger and cause more accidents, increasing the cost of insurance further.
Avoid Electric Vehicles: Electric vehicles are more popular than ever, but they’re expensive to insure even on older models. Replacing an EV battery in a used electric vehicle can cost thousands of dollars. Electric vehicles also tend to have higher repair costs and higher values, all of which can drive up the cost of insurance.
Check Vehicle Theft Rates: Some used cars are a target for thieves. Some used cars have few safety features or are easy to break into, for example. Thieves know this, and they target these vehicles more often than others. Insurers also know this, and they’ll use vehicle theft rates when calculating insurance premiums.
Consider Trim, Model Type, and Extra Features: Up above, we mentioned the cheapest used cars to insure based on make and model. However, you also need to consider trim, model type, and extra features. If your used car is a higher-end model, for example, then you could pay hundreds more than the average rates listed above. Moving to a higher trim level could significantly increase car insurance premiums.
Best Car Insurance Companies for Used Cars
Certain companies are known for charging cheap rates on used cars. If shopping for used car insurance, consider requesting a quote from the following insurers:
State Farm: State Farm is America’s largest car insurance company, and they offer cheap rates on used cars across the country.
GEICO: GEICO is the second-largest car insurer in the country, and they’re known for offering some of the cheapest rates in the country (even cheaper than State Farm in many areas).
USAA: Backed by top ratings for customer service and claims satisfaction, USAA is frequently picked as the best used car insurer in the country. However, membership is restricted to military personnel and their families.
Progressive: Progressive insures drivers in every state, and the company offers competitive quotes on used car insurance.
Allstate: Rounding out the top five, Allstate is one of the leading car insurance companies in the country based on premiums written. They offer competitive prices on used car insurance in many states.
Consider requesting a quote from Farmers, Nationwide, American Family, Travelers, and smaller insurers in your area, as they could offer discount rates on used car insurance.
Final Word on Used Cars that Are Cheap to Insure
Buying a used car is a great way to save money. However, the cost of used car insurance varies widely.
By shopping around for used car insurance and finding a car that’s cheap to insure, you can save hundreds per year on car insurance.
Consider any of the used cars listed above to find used cars that are cheap to insure.