Are Minivans Cheap to Insure?
Last Updated on March 18, 2022
People say minivans are the cheapest vehicles to insure.
In many cases, it’s true: minivans have cheaper car insurance rates than the average vehicle. Minivans tend to have strong safety ratings. They also tend to be driven by safe drivers – like careful parents.
Are minivans cheap to insure? How much does it cost to insure an average minivan? Keep reading to discover everything you need to know about minivan auto insurance.
Table of Contents:
- Yes, Minivans Are Cheap to Insure
- What Are the Cheapest Minivans for Car Insurance?
- Why Are Minivans Cheaper to Insure?
- Minivans Aren’t Always Cheaper to Insure
- How to Save on Minivan Auto Insurance
- How Insurers Calculate Minivan Auto Insurance Rates
Yes, Minivans Are Cheap to Insure
Minivans are cheap to insure because they pose less risk to insurers. Insurance is all about risk, and insurers manage risk by charging higher or lower rates.
The average full coverage car insurance policy in the United States costs around $1,450 per year. For minivans, that price drops to around $1,347 per year. In some states, drivers pay under $1,000 per year for full coverage car insurance on a minivan.
In comparison, it costs around $1,729 per year to insure a sedan and $1,608 per year to insure an SUV. Sedans and SUVs have higher risk for insurers, so they have higher car insurance rates.
If you buy minimum liability insurance, then you’ll pay even less to insure a minivan. The average minimum liability insurance plan for a minivan in the United States is around $529 per year.
What Are the Cheapest Minivans for Car Insurance?
Some minivans are cheaper to insure than others. According to rates provided to our model driver profiles, some of the cheapest minivans to insure include:
- Chrysler Pacifica: $1,309 per year
- Chrysler Town and Country: $1,333 per year
- Toyota Sienna: $1,339 per year
- Dodge Grand Caravan: $1,342 per year
- Honda Odyssey: $1,403 per year
- Nissan Quest: $1,409 per year
- Kia Sedona: $1,413 per year
Why Are Minivans Cheaper to Insure?
Minivans are cheaper to insure for multiple reasons. Some of the reasons minivans are cheaper to insure include:
Higher Safety Ratings: Safety is important to everyone, but it’s particularly important for minivan drivers. Most minivans have great safety ratings and crash performance ratings, which makes them less risky for insurers to insure. When a vehicle has a good safety rating, it reduces the risk of serious injuries for occupants of the vehicle.
Safer Drivers: Minivan drivers tend to be some of the safest drivers on the road. Statistically, minivan drivers are most likely to be experienced parents with a long track record of driving safely. Insurers consider your demographic information, driving history, and driving experience when calculating rates. Minivan drivers tend to have a better risk profile than drivers of sedans or SUVs.
Lower Risk of Claims: Overall, minivan auto insurance is cheaper because there’s a lower risk of making a claim. Minivan drivers are less likely to cause serious accidents than, say, a driver of a Ferrari or a Hummer. They tend to be the safest drivers on the road, and they also tend to drive defensively. Instead of weaving in and out of traffic and driving at high speeds, minivan drivers tend to be safe and responsible. That means a lower risk of claims – and lower car insurance costs, on average.
Lower Value and Repair Costs: Minivans aren’t as expensive as SUVs or high-end sedans. Insurers consider vehicle value when calculating rates. Higher-end vehicles are expensive to repair. Most minivans are made by well-known domestic or foreign manufacturers. Auto repair shops can easily repair these vehicles and swap out parts. Because minivans have cheap repair costs, they cost insurers less money after an accident. That leads to lower auto insurance premiums.
Minivans Aren’t Always Cheaper to Insure
Minivans tend to be cheaper to insure than other vehicles. However, you’re not guaranteed to pay lower insurance premiums.
Some of the reasons minivans may be more expensive to insure include:
- You have a bad driving history or limited driving experience
- Someone in your household has a DUI or other serious driving violation
- You have made multiple collision insurance claims in the last 3 to 5 years
- You have a high-end, rare, or exotic minivan with higher repair costs
- Your insurer charges higher-than-average rates to minivan drivers
- You live in a ZIP code with high accident rates or high rates of vehicle theft
Generally, minivan drivers pay lower rates. However, you’re not guaranteed to pay lower rates just because you drive a minivan.
How to Save on Minivan Auto Insurance
Minivan auto insurance is already affordable. However, you can save even more money on minivan auto insurance.
Use the following tips to reduce the cost of minivan auto insurance even further:
Be Careful with Claims: It’s not always worth it to make an auto insurance claim. If you scrape your minivan along the side of your garage when pulling in, for example, then you might not want to make a collision claim. If you make a claim, then you pay your deductible (for $500 to $1,000), your insurer covers remaining repair costs, and your insurer may raise future rates. In this situation, you may want to pay for repairs out of pocket and avoid having a mark on your record. Otherwise, your insurer could increase rates 20% to 40% after a single collision claim on your minivan.
Take Advantage of Discounts: Minivan drivers qualify for plenty of car insurance discounts. Look for multi-vehicle discounts, multi-policy discounts, and discounts for paperless billing, being a good student, or signing up for a telematics (driver tracking) program.
Compare Rates: Some insurers love to insure minivan drivers because they balance the risk pool. Other insurers charge relatively high rates. If you’ve remained with one insurer for a long time, then consider comparing rates and changing insurers. You could save hundreds per year. GEICO, State Farm, and USAA are known for having particularly cheap minivan auto insurance rates, although other insurers may be a good fit depending on your location and demographics.
How Insurers Calculate Minivan Auto Insurance Rates
Insurers consider hundreds of factors when calculating auto insurance rates. Some of the main factors they consider for minivan auto insurance rates include:
- Age and Driving Experience: Teenage drivers pay some of the highest rates for auto insurance. However, older drivers who are inexperienced may also pay higher rates. If you are 30 and just received your license, then you could pay higher rates for minivan auto insurance. One reason minivan auto insurance is cheaper is because minivan drivers tend to be older, experienced drivers.
- Driving History: Do you have a history of causing multiple at-fault accidents? Do you have a DUI or other serious driving violation? Most minivan drivers do not, which is why minivans have cheap insurance rates. Drivers with a clean record always pay less for auto insurance than drivers with multiple incidents, all else being equal.
- Location: Some ZIP codes have dense populations and high rates of accidents. Other ZIP codes have higher rates of vehicle theft or vandalism. Insurers consider your ZIP code when calculating auto insurance premiums. The riskier your ZIP code is, the more you’ll pay to insure your minivan.
- State Insurance Laws: Drivers in Florida and Michigan pay over $2,000 per year, on average, for full coverage car insurance. In Maine and Idaho, drivers pay less than $1,000 per year. State insurance laws cause minivan insurance premiums to vary widely. If your state has high insurance requirements or high rates of accidents, then you’ll pay more to insure your minivan in that state.
Depending on how you fit into the factors above, you might pay higher or lower prices for minivan auto insurance.
Final Word on Insuring a Minivan
It’s cheaper to insure a minivan than it is to insure other types of vehicles. Generally, minivans are some of the cheapest vehicles to insure.
If you’re insuring a minivan for the first time, you could pay around $529 per year for liability insurance or around $1,347 per year for full coverage car insurance, making minivans cheaper than SUVs, sedans, and other types of vehicles.
Check minivan auto insurance rates today by comparing quotes online. By shopping around and taking advantage of discounts, you could save hundreds per year on minivan auto insurance.