When it comes to car insurance, the make and model of your vehicle significantly impact your car insurance premium. In 2024, according to marketwatch.com, Dodge, Tesla, and BMW models are the most expensive to insure. This blog post will summarize the car insurance research from marketwatch.com to help explain why these car manufacturers are on the higher side to insure. .
Most Expensive Car Brands to Insure
1. Dodge
Dodge tops the list as the most expensive brand to insure, with a national average annual premium of $4,242. The high-performance nature of Dodge vehicles, combined with their increased risk of accidents, drives up car insurance costs.
2. Tesla
Tesla models come with an average insurance cost of $3,007 per year. The high repair costs associated with electric vehicle parts and the advanced technology in Tesla’s contribute to their high premiums.
3. BMW
BMW, known for its luxury and high-performance vehicles, has an average annual insurance cost of $2,337. The high value and expensive repairs of BMWs are key factors in their insurance rates.
4. Lexus
Lexus vehicles, though renowned for their safety, have an average car insurance cost of $2,273 per year. Their luxury status and high repair costs contribute to this figure.
5. GMC
GMC vehicles, particularly trucks and utility models, average $2,207 annually for insurance. Their size and utility nature add to their higher premiums.
6. Ram
Ram’s heavy-duty pickups average $2,101 per year in insurance costs, largely due to their association with higher accident risks.
7. Nissan
Nissan models, including sporty and electric options, have an average auto insurance cost of $2,004 per year, reflecting the diverse range of vehicles in their lineup.
8. Hyundai
Hyundai vehicles face higher insurance costs, averaging $1,973 per year, due to their popularity among car thieves.
9. Kia
Kia models, similar to Hyundai, have an average insurance cost of $1,968 annually, influenced by high theft rates.
10. Toyota
Toyota, known for its reliability, has an average insurance cost of $1,964 per year, slightly above the national average.
Cheapest Car Brands For Car Insurance
1. Mazda
Mazda tops the list of cheapest brands to insure, with an average annual premium of $1,658.
2. Volkswagen
Volkswagen vehicles have an average car insurance cost of $1,707 per year, making them an affordable choice.
3. Subaru
Subaru, known for its reliability, averages $1,752 annually in insurance costs.
Factors Influencing Insurance Costs
Several factors contribute to the high Auto insurance costs of certain car brands:
- Likelihood of Accidents: High-performance and luxury vehicles, like Dodge and BMW, are often associated with a higher risk of accidents.
- Expensive Repairs: Brands like Tesla and Lexus have high repair costs due to advanced technology and luxury features.
- High-Tech Features: Advanced safety and tech features can increase repair costs, influencing insurance premiums.
- Theft Rates: Vehicles popular among car thieves, such as Hyundai and Kia, face higher insurance rates.
Additional Factors Affecting Insurance Rates
While the vehicle’s make and model are significant, other factors also impact insurance rates:
- Location: Urban areas with high traffic density typically have higher insurance rates.
- Age: Younger drivers often face higher premiums due to inexperience.
- Credit History: A good credit score can help lower insurance costs.
- Driving Record: A clean driving record can significantly reduce insurance premiums.