Cheapest Cars to Insure

Buying a car? Your guide to the cheapest cars to insure in Canada.

The cheapest cars to insure in Canada

When it comes to auto insurance in Canada, many factors determine your annual premium. One of the most influential factors is the car you drive. The top two things insurers take into consideration when it comes to your vehicle are its safety rating and the likelihood of it getting stolen.

Which cars are the safest to drive?

Each year, the Insurance Institute for Highway Safety (IIHS) analyses the relevant data, drawn from driver fatalities, crash test results, headlight ratings and other metrics to draw up a list of the safest cars.

Vehicles are divided into the following categories: small cars, midsize cars, midsize luxury cars, large cars, large luxury cars, small SUVs, midsize SUVs, midsize luxury SUVs, large SUVs and large pickups. The list is updated each year. Here is a selection of the most recent winners in each category:

  • Small cars 2019-20 Honda Insight 4-door sedan
  • Midsize cars 2019-20 Toyota Camry 4-door sedan
  • Midsize luxury cars 2019-20 BMW 3 series 4-door sedan
  • Large cars 2019-20 Kia Stinger 4-door hatchback
  • Large luxury cars 2019-20 Audi A6 4-door sedan
  • Small SUVs 2019-20 Toyota RAV4 4-door SUV
  • Midsize SUVs 2019-20 Volkswagen Tiguan 4-door SUV
  • Midsize luxury SUVs 2019 Mercedes-Benz GLC 4-door SUV
  • Large SUVs 2019 Audi e-tron 4-door SUV
  • Large pickups 2019-20 Ram 1500 Crew cab pickup

The full list is available on the IIHS website.

Driving one of these vehicles typically means lower insurance rates, as long as your personal driving record shows that you’re a safe a driver.

When it comes to your vehicle: size matters

Heavier vehicles offer more protection than smaller ones, so insurance companies will save the cheapest rates for midsize and large cars. These cars possess very durable frames and are unlikely to collapse in on themselves following a collision, ultimately keeping the occupants safer than the lighter frames found on smaller cars.

There is an intervening connotation here too; insurance companies consider mid-range SUVs and minivans to be family cars, and thus more likely to have a sensible, cautious driver than a “souped up” sports car, for example. In the eyes of insurers, the vehicle you choose says a lot about you!

Aside from the make and model of your car, insurers also consider the age of the car when assessing its safety. Newer cars have the most safety features, but they also cost the most money to repair and replace. Each insurance company will assess the likelihood of you needing to make a claim, and how much that claim is likely to cost, before giving you a quote for car insurance.

Which cars are at greatest risk of theft?

It is not a secret that where you live affects your insurance premium. If you live in an area with a high rate of auto theft, car insurance coverage will cost more.

Each year, the Insurance Bureau of Canada releases its list of the 10 most stolen vehicles. If your car is on this list, even if you live in an area with a low crime rate, you could face a higher insurance premium. In 2019, the most stolen vehicles in Canada were:

  1. 2007 FORD F350 SD 4WD
  2. 2006 FORD F350 SD 4WD
  3. 2005 FORD F350 SD 4WD
  4. 2004 FORD F350 SD 4WD
  5. 2006 FORD F250 SD 4WD
  6. 2003 FORD F350 SD 4WD
  7. 2018 LEXUS RX350/RX350L/RX450h/RX450hL 4DR AWD
  8. 2005 FORD F250 SD 4WD
  9. 2002 FORD F350 SD 4WD

Look at the most stolen vehicles in your province, and consider other makes and models when buying a new vehicle to get the cheapest insurance.

The most expensive cars to insure in Canada

Based on internal data, here are of some of the most expensive cars to insure in Canada. If you’ve got your eye on one of these vehicles, understand the heightened risk that can come with owning them and make sure you purchase the appropriate additional insurance just in case.

Honda Civic SI Coupe

Despite its economy class rating at around $25,000, the Honda Civic SI is highly sought out by thieves that are looking to strip down the V-Tech Engine and sell it for parts. This car is popular amongst import tuners and street racers. An unprotected Civic will quickly find its way to the parts yard without proper protection. Upgrading the anti-theft device is recommended as well as additional coverage, which includes premium theft replacement.

Porsche Cayenne

As spicy as its namesake, the Porsche Cayenne is the luxury sports utility vehicle people dream about. Despite its poor fuel rating and average sticker price of $75,000, the Cayenne is often the choice of celebrities and professional athletes. The Cayenne carries a special status symbol among SUVs with its subtle design and expensive parts. The on board security is sufficient, but a little extra protection is never a bad thing. Additional insurance coverage to allow for auto rentals is suggested since repairing the Cayenne is labour intensive and the parts are difficult to acquire.

Ford F-250 Super Duty

This beast of a work truck may not seem like one of the most sought out vehicles by thieves, but it's not what's on the outside that they are looking for.

The $35,000 work truck is often found on construction sites, work lots, farms and just about anywhere heavy-duty work is being performed. This often translates into access to storage keys, high-end electronics, and possible equipment resting in the back of the truck itself. Everything else is a bonus. It's not easy to be conspicuous driving a 3/4-ton behemoth so protecting that beast from intrusion should be high on the owner's list.

Acura TL

The Honda equipped TL may rest on the lower end of the luxury bracket at a median price of about $37,000, but it's this low sticker price that catches most people off guard. Prone to the same security woes as its economy class cousin, thieves gravitate to this vehicle for parts.

Since the TL is considered a luxury class car, this makes it even more appealing for an outright boosting. The Type S and its upgrades are highly regarded by parts dealers. The low sticker price often deters budget-minded buyers from taking out additional coverage. This is a true mistake that is often realized after the fact.

Saving on car insurance

Vehicles equipped with the most safety features, best crash ratings, and best theft deterrents are the cheapest to insure in Canada. If your car checks these boxes, you can be confident insurance companies will deem it safe and be more willing to offer a cheap insurance premium.

However, there is no substitute for safe, defensive driving. A bad driver in a safe car is still an insurance risk! For the very best deals on car insurance, stick to the rules of the road, maintain a clean driving record, and compare quotes on RATESDOTCA.

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