How Does the Type of Car You Drive Affect Your Insurance Rates

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That an expensive car will attract a high insurance charge is common sense. However, there are many examples in the market of two equally priced cars attracting completely different insurance premiums. How does this happen? This is because certain car segments are associated with a typically riskier category of drivers. To put it simply, if your insurer’s records show that drivers with your car model have been in more accidents or filed more claims, your insurance rates will be higher.

Some other prominent factors that influence insurance rates are the theft rate of the car, the cost of repairs and safety test results. Cars with two seats, high-performance engines, and race tires generally carry a high insurance rate as they are categorized as sports cars. Not only do these cars attract high-risk drivers, they are also normally the target of car thefts.

Cars like BMW and Jaguar have very high repair costs, even though they are manufactured in the US,, and this in turn affects the insurance rates. On the other hand, Japanese brands like Toyota and Honda have been associated  with lower expenditure on repairs.

Also, every car is rated on a risk scale. You can choose a safer car by checking the preventive safety features it includes. However, avoid adding after-market safety features such as collision-warning systems. These additional safety features tend to be more expensive to replace and consequently attract a higher insurance rate.

Zimlon analyzed car insurance prices by car segment across the US and below are its findings.


Progressive Northern Insurance Company offers the cheapest premium for SUV cars, at $499. Two other insurance firms that charge low premiums are Progressive Universal Insurance Company, at $597, and Progressive Direct Insurance Company, at $698.

Cheapest Car Insurance Providers for SUV Cars

Insurance ProviderAverage Premium Rate
1. Progressive Northern Ins Co$499
2. Progressive Universal Ins Co$597
3. Progressive Direct Insurance Company$698
4. GEICO Advantage Ins Co$718
5. Progressive Specialty Ins Company$764
6. Auto Owners Ins Company$779
7. Horace Mann Insurance Co.$840
8. Peninsula Insurance Co.$844
9. Alfa Mutual Insurance Company$863
10. GEICO Choice Ins Co$863


Nodak Mutual is the cheapest insurance provider for sedans, offering a premium of $232. USAA General Indemnity follows with a premium of $242 and Unitrin Auto and Home Insurance is at the third spot, with a premium of $243.

Cheapest Insurance Providers for Sedan Cars

Insurance ProviderAverage Premium Rate
1. Nodak Mutual$232
2. USAA General Indemnity Company$242
3. Unitrin Auto and Home Insurance Company$243
4. Government Employees Ins. Co. (GEICO)$266
5. Metropolitan Property & Casualty Ins. Company$293
6. Progressive Direct$304
7. Pacific Indemnity Company$309
8. National Farmers Union$315
9. Island Premier Insurance Company, Ltd.$318
10. Phoenix Insurance Company$331


Zimlon found that Country Preferred Insurance Company offers the cheapest rate for crossovers and trucks, at $151. The second cheapest premium offered is by Progressive Direct, which is relatively costly at $422.

Cheapest Insurance Providers for Crossover Cars

Insurance ProviderAverage Premium Rate
1.Country Preferred Insurance Company$151
2. Progressive Direct$422
3. Nodak Mutual$450
4. GEICO Advantage Ins Co$498
5. Progressive NW$527
6. Atlantic States Ins Co$533
7. Country Mutual$544
8. USAA$546
9. USAA Casualty$547
10. American Family$560

Find a comprehensive analysis of all the ways to you can save on your car insurance, here.

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