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Find What Type Car is Best for Low Insurance Rate

Woman excited about lowering her car insurance rates

Would you like to find what type car is best for low insurance rates? If you think car insurance rates are too high, then the answer is probably - yes! It may not be practical to sell your car and get a new one that has lower rates, but chances are you'll be in the market for a new car soon.

How are the Statistics Determined?

Before looking at the list of cars to find what type car is best for low insurance rates, it's helpful to understand how the numbers are determined.

It turns out that there are a couple ways to measure which cars are more affordable to insure.

One way is to study the actual premiums that people pay. This is definitely an accurate way of measuring, but it doesn't provide any clues as to why the cars made the list. The first table below is based on lowest premiums only. The study was done by Runzheimer International. They looked at premiums paid in 2004 and found the cars listed to be the cheapest.

The other method is to study collision losses. A collision means an accident, and that means your insurance company will be paying to fix your car, and other cars if you are at fault for an accident. The insurance industry keeps tabs on which cars have the lowest collision losses. If you are driving one of those cars, you rates may be lower. This doesn't imply that these cars are safer, just that the accidents they are involved in are not as costly for insurance companies. Most of them tend to be family cars that are thought to be driven more safely by the driver.

The second table below lists the least expensive cars to insure by calculating collision losses.

Find What Type Car is Best for Low Insurance Rates Charts

This chart shows the ten vehicles with the average lowest annual premiums.

Cars with the Lowest Annual Premiums
Car Model Annual Premium
Saturn Ion $1,127
Saturn L300 $1,158
Chevrolet Colorado $1,158
Chevrolet Aveo $1,216
Ford Escape XLS $1,216
Mazda 3 $1,216
Dodge Caravan $1,250
Honda Accord DX $1,250
Hyundai Santa Fe $1,250
Toyota Corolla $1,250

This next chart shows the vehicles with the lowest collision losses. While this does not guarantee that premiums will be lower for these vehicles, it does help.

Cars with the Lowest Collision Losses
Car Model
Volvo XC90
Chevrolet Malibu Maxx
GMC Safari
Buick LeSabre
Nissan Pathfinder Armada
Pontiac Montana
Mazda MPV
Ford Thunderbird
Pontiac Montana
Ford Taurus

Resources to Find Which Cars may Get Low Interest Rates

Other Ways to Lower Your Premiums

It may not be practical or affordable for you to buy a new car. However, there are things you can still do to help lower your monthly premiums.

  • Don't carry comprehensive and collision coverage. If your car is older and not worth much money, you are better off dropping your comprehensive and collision coverage. The reason is that you are unlikely to collect very much money if you file a claim on an old vehicle.
  • Improve your credit score. Insurance companies are starting to look at your credit scores. Sometimes they will base their premium charges more on your credit rating than any other factor.
  • Don't speed. The cleaner your driving record is, the lower your premiums will be. Even if you purchase one of the cars listed above, a poor driving record will keep your rates high.
  • Install a security system. Many insurance companies offer an anti-theft discount if you have a security system installed. If your car already has a system, contact your insurance company or agent to make sure you are receiving a discount.
  • Move closer to your job. Some of your insurance costs can be based on how much you drive, especially the distance of your daily commute. If you live close to your job, let your insurance company know and you may receive a small discount.
Find What Type Car is Best for Low Insurance Rate