If you’re shopping around for a sedan, you need to budget for more than a car payment. You should know how much it will cost to insure the car and then, of course, where you can find the cheapest insurance.
But finding the cheapest insurance isn’t always an easy task. There are many types of sedan models and styles and consumers need to understand premiums will vary for various sedan features.
The number of variables factored into your car insurance rate can make your head spin, says Chris Hardesty, an insurance expert and senior advice editor for Kelley Blue Book.
“Driver-assist technologies can make your car safer on the road and potentially avoid a crash,” Hardesty says. “At the same time, those electronic features are more expensive to repair or replace following an accident. It’s good that insurance companies have tremendous amounts of data to help them predict risk and cost.”
CarInsurance.com put together the following guide to give sedan buyers and owners a better understanding of rates and what they’re likely to pay for insurance.
We start with a list of the cheapest sedans to insure and the insurance companies offering those policies.
- What are the cheapest sedans to insure?
- Which companies provide the cheapest car insurance for sedans?
- How has the cost of sedan insurance changed over time?
- What leads to higher car insurance costs for sedans?
- Sedan vs. SUV: Which is cheaper to insure?
- What are the car insurance requirements for sedans?
- How can you save money on car insurance for sedans?
- Final thoughts on cheap insurance for sedans
What are the cheapest sedans to insure?
The Mazda 3 Select had the cheapest average annual premium for insurance from State Farm at $1,034, according to 2022 data. State Farm also had the second- and third-lowest rates for a Subaru Impreza and Toyota Corolla.
- No. 1: Mazda Mazda 3 Select :- Cost: $1,034 per year; $86 per month
- No. 2: Subaru Impreza 2.0l :- Cost: $1,040 per year; $87 per month
- No. 3: Toyota Corolla L :- Cost: $1,045 per year; $87 per month
Which companies provide the cheapest car insurance for sedans?
The average annual premium for sedans in 2022 is $2,306.
State Farm offers low rates for compact cars such as the Mazda Mazda3 Select and the Subaru Impreza, as well as the lowest rates for mid-size sedans like the Subaru Legacy and Toyota Camry.
See the table below for the cheapest average annual sedan premiums from top insurance companies, according to 2022 CarInsurance.com data.
Learn more about what are the best car insurance companies in 2022
How has the cost of sedan insurance changed over time?
While the cost of car insurance is on the rise overall, there was a slight dip in cost between 2020 and 2021 because of the Covid-19 pandemic. The cost of car insurance continues to climb in 2022 and will continue as claims frequency and severity is increasing, according to Mark Frielander of the Insurance Information Institute.
“Risky behavior means more speeding tickets and fatal crashes,” Hardesty says. “Higher risk means higher insurance premiums.”
See the table below to compare the cost of car insurance for a select number of sedans from 2018 to 2022.
What leads to higher car insurance costs for sedans?
SUVs made up the lion’s share of car sales in the first half of 2022, according to a Kelley Blue Book report. This has safety implications since sedans are so much smaller than trucks and SUVs.
Here are some factors that lead to a higher insurance cost for sedans:
Car make and model: The price tag of your insurance hinges on the specific car make and model. Luxury vehicles, larger cars, more powerful engines and models with more bells and whistles mean more expensive insurance.
Higher potential for theft: One downside to the popularity of sedans is that they are also attractive to car thieves, Hardesty says. In fact, data by the NICB reveals that 5 of the top 10 most stolen cars in the U.S. are sedans.
“And it isn’t necessarily fancy new sedans that thieves want most,” he says. “Some criminals target older sedans only for the car’s parts, which are in high demand.”
Cost to repair: Sedans with more features, electronic components or expensive parts will cost more to repair. In turn, the insurance premium will be higher.
Market value: Sedans with a higher market value – or resale value – will come with a higher insurance price tag.
Safety features: Sedans with safety features such as brake assist, airbags, anti-lock brakes and backup cameras can bump down the odds of getting into a car crash, lowering your insurance cost.
Sedan vs. SUV: Which is cheaper to insure?
According to our research, a sedan is more expensive to insure than an SUV. The average insurance premium for an SUV is $1,729 while a sedan is $2,306, according to 2022 data. As you can see, on average, it costs $383 more to insure a sedan than a SUV.
Why’s that? Well, it has to do with safety considerations.
“Those SUVs and trucks have grown heavier and taller, while sedans are comparatively petite and close to the road,” says Hardesty. “The difference in weight and stature can put sedans at a disadvantage, leading to higher insurance rates.”
Learn more about which SUVs are the cheapest to insure
What are the car insurance requirements for sedans?
The insurance requirements for sedans are the same as for other types of vehicles.
Here are your insurance options when you have a sedan, but keep in mind that these are not all legal requirements:
- Liability: If you injure another person or damage their property while at the wheel of your sedan, bodily injury liability and property damage liability will help cover damages up to your policy’s limits. Liability coverage is required in most U.S. states.
- Collision: If your car is damaged or destroyed after a collision with another car, collision coverage will cover damage.
- Comprehensive: Should your vehicle be damaged or destroyed by something other than a collision – fire, flooding, vandalism, theft, weather events or an animal strike – comprehensive coverage comes to the rescue.
- Uninsured motorist/underinsured motorist: If your car is damaged in a crash with a driver who’s uninsured or underinsured, UM/UIM coverage will help foot the repair bill.
How much you’ll pay for car insurance for a sedan depends on a number of factors:
- Insurance company
- Age, make and model of the vehicle
- Address where the vehicle is garaged
- Coverage amounts (the more extensive the coverage, the more expensive)
- Deductible (a higher deductible means a cheaper premium)
- Individual driving history
- State of residency
The cheapest type of insurance for sedans that is currently available is liability-only insurance. But if you’re leasing or financing your car, you need comprehensive and collision insurance in addition to liability insurance.
How can you save money on car insurance for sedans?
To save on car insurance, understand that an older car is also going to be cheaper to insure than a newer luxury model. And the higher your deductible, the lower your premium and vice versa.
Take these steps before buying a car insurance policy for your sedan:
Research to see what type of coverage you need: As mentioned before, you’ll want to see what types of insurance and coverage amounts you’ll need. Each state has different requirements, and most states require liability. If you are leasing or financing a car, you’ll most likely need full coverage, which includes comprehensive and collision insurance.
Comparison shop: To save on car insurance for your sedan, it’s important to do your research to get an idea of the rates. Get a few quotes from a handful of lenders for the same types and amounts of coverage. The beauty of car insurance is that you can hop on a new policy with a different insurance company at any time.
Look for discounts: You’ll also want to see if there are any discounts. Common discounts for car insurance include a good driver discount, a membership discount if you’re affiliated with a certain organization, a multi-vehicle discount and bundled discount if you purchase both a homeowners insurance and auto insurance policy with the same company.
Final thoughts on cheap insurance for sedans
When shopping around for insurance for a sedan, consider what you use your car for and how often you drive, as well as your personal budget. If you want cheaper car insurance rates, opt for a used car with less features.
If a luxury model or a sedan with more advanced features is a better fit for your needs and lifestyle, then there’s no reason to deprive yourself – just know it will cost more to insure.
Resources & Methodology
- Cox Automotive. “10 Takeaways from U.S. Auto Sales: Q2 2022.” Accessed September 2022.
- National Insurance Crime Bureau. “Top 10 Most Stolen Vehicles By State.” Accessed September 2022.
CarInsurance.com commissioned Quadrant Information Services in 2022 to pull rates for a 40-year-old male driver with a 12-mile commute to work and full coverage insurance. The rates were compiled using more than 2,500 vehicle models looking at rates from insurers Allstate, AmTrust, Farmers, Geico, Nationwide, Progressive and State Farm.