Is Car Insurance Cheaper for a SUV or Sedan?

As SUVs have become more eco-friendly, comfortable, and safe, they've emerged as a popular alternative to sedans. If you're weighing costs and benefits in the SUV vs. sedan debate, it's worth diving into the numbers to see which vehicle will cost more to purchase and to insure.

While prices may vary by model, it’s more than $5,000 cheaper on average to buy a sedan than to purchase an SUV. Between the most expensive sedan (Nissan Altima) and the most expensive SUV (Ford Explorer), there’s a difference of more than $8,000.

If you’re looking for an SUV on a budget, consider the Chevy Equinox or the Subaru Forester. These vehicles' average list value of $24,047 is $2,307 more than the average sedan price, but approximately $2,800 less than that of the typical SUV.

While the average cost of an SUV far surpasses that of a sedan, car insurance costs may also differ substantially. Although rates will depend on your car insurance company and model, SUVs are typically $314 per year cheaper to insure than sedans.

If you're car-shopping on a budget, the Chevrolet Equinox (list price $23,800) is the cheapest option, with an average annual premium of $1,496. For a standard 6-month policy, you'd pay $748, or $124 per month with a payment plan. The Chevy Cruze (list price $17,995) is the cheapest option among sedans, setting you just over $1,600 per year or $802 for a standard 6-month policy.

Although finding cheap car insurance will be important once you've settled on a model, the list price should be your first concern when choosing between SUVs and sedans. If you’re looking for more information on top SUVs and sedans, including rates from actual car insurance companies, see our articles below. Already found the car of your dreams? Enter your zip code below to see which car insurance company offers you the cheapest quotes.