Is SUV Insurance More Expensive? All-in-one Guide [2021]

by | Nov 10, 2021

It’s a never-ending debate among car enthusiasts whether SUV insurance costs more than other vehicles. In recent times, SUVs have managed to catch up with the budget of sedans, so they are much more affordable than before. If you want to compare and contrast the overall cost and insurance amount of SUVs and regular cars, it’s important to know which vehicle offers a better deal, and which insurance company you should opt for. 

In this article, we are going to discuss every detail you need to know about SUV insurance and evaluate whether it really costs more.

Is Suv Insurance More Expensive Than Other Vehicles? 

The insurance expense depends on the cost of the vehicle you are purchasing. If a sedan and an SUV are within the same price range, chances are that you will have to pay the same premium for both. Similarly, if your SUV is a luxury one, you will inevitably have to bear a higher insurance cost. 

While large SUVs are more expensive to insure than regular cars or sedans, crossovers and compact SUVs can fetch you pretty cheap deals. Users generally assume SUV insurance to be highly-priced, but the fact is, when you look for all the available options, you can find lucrative deals that won’t burn a hole in your pocket. 

What Are the Suv Insurance Rates?

SUV insurance rates primarily depend on the company, and the model of SUV you have purchased. The rates also fluctuate based on the type of coverage you would opt for. Some of the popular coverage types to consider are: 

  • Comprehensive coverage 
  • Auto liability coverage 
  • Uninsured and underinsured motorist coverage
  • Medical expense coverage 
  • Personal injury coverage 
  • Collision coverage

In general, insurance for a small SUV costs around $2700 on average, whereas for a midsize, it goes up to $3120. (Source: ValuePenguin) 

How Do Insurers Calculate Your SUV’s Insurance?

The premium amount for your SUV is determined by the insurance company, after considering certain factors. Different insurers have different sets of parameters, but the general points that everyone considers are the year of manufacturing, your location, your previous driving record, and your daily car usage. 

Year of Manufacturing 

When you approach a car insurance company, they will enquire about the year of manufacturing of your vehicle. If it’s a new model, you will have to pay a higher amount, because new vehicles come with a high market value and resale value. Their parts are also more expensive as compared to vehicles that are a little older. 

Location 

If you’re based in the suburbs or the countryside, you will be charged lower than those living in the urban areas. Why? Because more cases of accidents and thefts are recorded in the city, and the rural areas are expected to be considerably safer for your vehicle. If you have an anti-theft mechanism installed in your car, and you park your car in a safe and enclosed place, your insurance cost would go down. 

Driving Record

Insurance companies check your past driving records before determining the amount you will pay for insurance. If you are someone who always obeys traffic rules and drives safely, you will be rewarded with a low insurance cost. And in case you don’t have a driving history because you have just obtained your license, expect to pay a higher amount. 

Car Usage 

Whether you use your vehicle frequently or occasionally is another factor that your insurer will look at. For example, if you use your SUV for daily commute and long-distance traveling, companies will assume that your vehicle will be more at risk to meet with an accident. As a result, you will be charged a high cost for insurance. 

Additional Insurance Factors

Besides the factors we mentioned above, your auto insurance company will also look for the following parameters: 

Driver’s Age & Gender

The age of the driver is a key element in your SUV insurance. While young drivers below the age of 25 are required to pay higher for insurance, experienced drivers can get some discounts, as they are less likely to get involved in an accident.

Your gender can also have an impact on your car insurance. As per studies, women tend to drive more safely and responsibly as compared to men. So if you’re a woman, you can expect to incur a lower cost. 

Rear Cross-Traffic Alert

When you’re taking your car out of a parking lot, a rear cross-traffic alert warns you about the presence of any other vehicle approaching. This driver-assist feature is included in most of the SUVs nowadays, and if your vehicle has one, you will be paying less for your insurance cost. 

Blind Spot Detection

Blind spot detection is a mechanism that alerts the driver if there is any other vehicle behind or on the side of it. It helps in safe driving and keeps the driver alert. The system consists of sensors, radar, and cameras to locate nearby vehicles. The notifications can be visual or audible. If your vehicle has this mechanism pre-installed, you can save money on your SUV insurance. 

Surround View 

Surround view refers to a system of cameras that capture views from the top, back, and every direction to assist the driver in parking. It helps you get a bird’s eye view of your vehicle’s surroundings, so there are fewer risks of collision. When your SUV has a surround-view system installed in it, you can expect to get a reduction in your insurance cost. 

It’s always a good idea to clearly communicate with your insurance agent, and see how you can get the best possible offer on your package. 

SUV With Lowest Insurance Rates This Year?

Honda CR-V is the SUV with the lowest insurance rates this year. The insurance cost stands at $2346, which is significantly lower than the average price of a typical SUV insurance. If a low insurance amount is what you’re looking for, you may also check out Chevy Equinox, Ford Escape, Toyota RAV4, and Chevy Tahoe. 

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How Much Is Full Coverage Insurance for an Suv?

Full coverage insurance for the SUV Honda CR-V costs $2975 on an annual basis. And if you take into account Honda HR-V and Chevrolet Traverse along with the CR-V, the average full-coverage insurance cost stands at $2703, annually. 

Full List of Car Insurance Costs For SUV Models

SUV Model Average Insurance Cost 
Honda CR-V$2346
Toyota RAV4$2475
Chevrolet Equinox$2560
Ford Escape$2834
Chevrolet Tahoe$2888
Chevrolet Traverse$3073
Toyota Highlander $3283

Source: Car and Driver

How Much Would Car Insurance Cost Go Up from a Car to a Suv?

As SUVs are much bigger in size than regular cars, expect a slight bump in your insurance cost. But here’s the catch– the price difference between sedans and SUVs is becoming slimmer day by day. This means the insurance costs are also not very different for the two. 

Truck vs. Suv Insurance Cost

A truck is more heavyweight and large as compared to a typical sports utility vehicle. But a truck’s price is not as high as an SUV’s. So between these two, the insurance cost for an SUV will be more. 

Sedan Car vs. Suv Insurance Cost

Both sedans and SUVs are available in different price ranges. The general rule is that the higher the price of the vehicle, the more will be the insurance cost. However, if we look at the overall insurance scenario of both these classes, you will be surprised to know that on average, the annual insurance cost for an SUV is $314 less than that of a sedan. 

Cheapest Insurance Companies

When you’re buying an SUV, it’s important to take note of some of the cheapest yet best-rated car insurance companies. You can get a good deal on your auto insurance by comparing and contrasting different companies. To get an exact quote, you have to provide details of the vehicle, and your location. 

UK Insurance Companies

If you’re in the UK and looking for an affordable SUV insurance company to be your guide, check out the following. 

LV=

With insurance premiums as low as £195, LV= is one of the most trusted auto insurance companies in the UK. Their comprehensive coverage takes into account accidental damage coverage, windscreen fixing and replacement, no claim discount, and so on. Whether yours is a classic car, an EV, or you own multiple vehicles, this company can help you save some bucks on your insurance. 

Churchill

Churchill is another auto insurance company you can consider if you’re based in the UK. Besides offering affordable SUV insurance, Churchill also promises a great customer experience. You will get guaranteed repair for 5 years, and if you choose a comprehensive coverage package, you will be given a courtesy car during the period your car is under repair. You will also retain your no-claim bonus in case of vandalism. And to top it all, their 24-hour helpline is always available for you to reach out to. 

Hastings Direct 

Hastings Direct allows you to choose your type of auto insurance coverage and offers an affordable deal for each cover. The available tiers or types of car insurance are Hastings Essential, Hastings Direct, and Hastings Premier, along with a Telematics policy. For all policies, you get a 24-hour helpline, courtesy car, and EU cover. Other benefits such as windscreen cover, vandalism cover, uninsured driver cover, and personal belonging cover vary from one package to another. You can also get some add-ons, such as key protection, enhanced personal accident coverage, and motor legal expenses for an extra cost. 

UK Car Insurance Companies 

Company NamePro Offers Defaqto Rating 
LV=Accidental damage coverage, windscreen fixing and replacement, and no claim discount5-star 
Churchill Guaranteed 5-year repair, vandalism protection, courtesy car, and 24-hour helpline5-star 
Hastings Direct Multiple tier options, 24-hour helpline, courtesy car, and EU cover available for all policies5-star

US Insurance Companies

Now, let’s take a quick look at the top-rated US insurance companies that offer cheap rates. 

Geico 

The first one is Geico, one of the most preferred insurance companies that have been in the business ever since the 1930s. Besides offering a wide array of coverage options, Geico also gives a discounted auto insurance rate for students, federal employees, military personnel, senior citizens, and more. On their website, you can get a personalized quote for your insurance, and also learn about the rules, regulations, and minimum coverage requirements in your state. 

State Farm 

If you want to be showered with a bunch of discounts, State Farm is yet another trusted car insurance company you can opt for. Their wide options of coverage include collision insurance, rideshare insurance (when your personal vehicle is used for a commercial ride-sharing company), rental insurance, and of course, comprehensive insurance. You can also avail different plans for sports cars, antique cars, and classic cars. 

Erie 

Here you can get excellent deals on your auto insurance, as they offer special discounts for safe driving, young drivers, multiple policies, and if you opt for an annual plan. The insurance rates in the market can fluctuate, but this company promises a fixed rate with the ERIE Rate Lock®. With this feature, your insurance cost will remain unchanged unless you shift your parking spot, or add/ remove a driver or a car. At Erie, you can also avail a range of added benefits for an extra cost, such as pet coverage, personal item coverage, auto glass repair coverage, as well as locksmith services. 

US Car Insurance Companies 

Company NamePro OffersJD Power Rating*
GeicoDiscount for students, federal employees, military personnel, and senior citizens879
State FarmWide insurance coverage options, different plans for sports cars, antique cars, and classic cars822
Erie Special discounts for safe driving, young drivers, multiple policies and annual plans; fixed insurance rate with ERIE Rate Lock®868

*On a 1000-point scale 

Other Popular Companies

If you want to explore more options, you can check out the policies offered by USAA, Progressive, Liberty Mutual, and Allstate (for those based in the US). In the UK, you can look for companies such as AXA, Admiral Group, Aviva, CSIS, or Bell. 

Bonus Tips: How to Save Money on Your SUV Insurance Cost? 

Here are a few sure-shot methods you can apply to pay less for your next SUV insurance plan: 

  • Invest in a vehicle with the latest safety features, and use a protected and covered parking area. 
  • If possible, do not buy the latest vehicle of a particular lineup– new vehicles cost the most to insure. 
  • Maintain a good credit score, as well as a good driving record. 
  • Increase your deductible amount. 
  • Choose the same insurance company for all your policies to get an added discount. 
  • If you own multiple vehicles, bundle them up into one policy. 
  • Add-ons cost extra, so choose them wisely. 
  • Compare multiple companies and their policies to fetch the best rates for your SUV insurance.

FAQs

What is the insurance for a 25 year old on a suv/truck?

For a 25-year old, the average auto insurance cost is around $3,348 per year. However, the amount can differ based on the vehicle class and models. 

What has cheaper insurance– an suv, truck, or sedan?

The insurance amount of vehicles are determined by multiple factors, such as the market value, the insurance company, the date of manufacturing of the vehicle, and so on. But in general, among suv, trucks, and sedans, trucks are the least expensive, and so they are the cheapest to insure.

What suv has the cheapest insurance?

Honda CR-V has the cheapest insurance. 

How much does compact suv insurance cost?

The average insurance cost for a compact SUV is $2700.

How to find the new suv with the lowest insurance premium?

Research is the key here. Find out the popular insurance companies before finalizing a new SUV. Look for vehicles that are loaded with safety features, and are available with low insurance costs.