The Cheapest New Cars To Insure That Consumer Reports Recommends

Owning a vehicle comes with several recurring expenses far beyond the upfront cost. With the price tag of new vehicles on the rise, it's easy to overlook the more subtle, routine bills. For reference, the manufacturer's suggested retail price (MSRP) — the industry standard for assessing vehicle prices — recently reached an all-time high of $52,627, as reported by Kelley Blue Book (KBB). The Federal Reserve Bank of St. Louis' Consumer Price Index for All Urban Consumers shows the cost of new vehicles in cities across the U.S. rising 22% over the previous five years. This official metric doesn't track MSRP directly, yet it provides an accurate idea of how much prices have risen over the years.

While these rising purchase prices are apparent to most consumers, the concomitant increase in routine costs often gets overlooked. Bankrate highlights insurance as the single largest hidden transportation cost for Americans, often comprising almost 40% of these repeat bills. Alarmingly, an NPR analysis of the Bureau of Labor Statistics found that auto insurance has ballooned by 55% since 2020, with the largest spikes occurring in the past few years, suggesting the trend is bending in the expensive direction.

Although consumers are encouraged to think twice before buying a new car, that doesn't automatically mean you have to opt for a used model. It's more about getting an accurate assessment of total costs rather than avoiding new vehicles altogether. Fortunately, Consumer Reports has put together a list of new cars that are the cheapest to insure. That way, you can unlock all the perks that come with the latest model without suffering from punitive insurance costs. Let's look at how these insurance premiums compare with the national average and what about each vehicle leads to these competitive rates.

The Subaru Forester is often considered one of the cheapest cars to insure, a label it maintains for its 2025 edition. Consumer Reports estimates that drivers pay $2,184 per year to insure the vehicle with full coverage. For reference, the average annual insurance premium for 2025 models is $2,638, according to Bankrate's assessment of Quadrant Information Services data. That means Forester drivers are saving around $454 or roughly 17% per year compared to the national standard. These insurance savings are compounded by this model's relatively affordable price tag. Even on the upper range, the 2025 Forester goes for $33,300, nearly 37% more affordable than KBB's reported average of $52,627. The vehicle's above-average fuel efficiency of 28 miles per gallon compounds these savings.

The Insurance Institute for Highway Safety (IIHS), an industry-leading research nonprofit focused on independently assessing vehicular safety, awarded the 2025 Subaru Forester with its Top Safety Pick recognition — an award that demonstrates robust crashworthiness and efficient crash prevention. The 2025 Forester's inclusion in this sought-after category marked the model's 18th consecutive year among tested vehicles.

Notably, the Top Safety Pick designation applies to all variations except for the Wilderness trim. IIHS gave the Forester its highest crashworthiness ratings of Good for small-overlap front and side tests, along with an Acceptable rating for the moderate-overlap front test. Furthermore, the model achieved the highest grading for front crash prevention for vehicles and pedestrians, important elements for insurance companies. IIHS pointed out Forester's stock lane departure warning and prevention and optional rear automatic braking and blind spot detection as important safety features.

The Ford Bronco Sport is a modern spin on the classic SUV, which was discontinued in 1996. After a quarter-century hiatus, the Bronco model was relaunched to popular acclaim. That demand is backed up by relatively cost-effective average annual insurance costs. Consumer Reports suggests full coverage on the 2025 model is $2,279. Policyholders pay about $359, or 14% less than the average vehicle owner. Recently, it became a lot harder to buy a new Ford under $30,000, but the 2025 Bronco Sport just skirts under this threshold. Consumer Reports estimates the price range for this celebrated model rests between $24,600 and $29,775. If you're paying closer to the upper limits, you're still saving $22,852 or about 43% compared to the average for new cars. Despite technically being labeled as an SUV, the Bronco Sport achieves respectable fuel efficiency at 25 miles per gallon, helping to augment the savings drivers get on insurance.

The 2025 Ford Bronco Sport received mixed results in the IIHS crashworthiness category. The small and moderate-overlap front crash tests resulted in a Good and Marginal score, respectively. The side crash test fell in the middle with an Acceptable rating. In terms of avoiding crashes, this model achieved a Good label for its headlights and pedestrian avoidance. On the other hand, vehicle crash prevention landed an Acceptable score. Unlike other vehicles where many important safety features aren't automatically included, the 2025 Ford Bronco Sport comes equipped standard with blind-spot warnings, lane-departure warning, and rear automatic braking.

Subaru is tied with Kia as the most represented vehicle brands among the cheapest new cars to insure, underscoring their commitment to reliability and safety while maintaining competitive prices. The 2025 Crosstrek costs about $2,283 per year for full coverage, per Consumer Reports. This below-average premium saves policyholders 13.5% or about $355 per year. If you're looking for more savings, check out the car insurance discounts you might qualify for. Even on the higher side of the estimated price range near $30,000, the 2025 Crosstrek is much more affordable than the typical car. More specifically, owners of this Subaru model can save a staggering 43% out of the gate. Similar to other vehicles from the same company, the Crosstrek boasts high fuel efficiency, getting an average of 28 miles per gallon.

The IIHS gave the 2025 Subaru Crosstrek a mixed crashworthiness report card. The small-overlap front test garnered the highest rating. On the other hand, the moderate-overlap front and side crash test earned a Marginal and Acceptable rating, respectively. The model was only tested on pedestrian front crash prevention, under which it scored Good. The headlights were given the best rating, as well. The model comes standard with lane-drift notifications, helping drivers stay in their lane and avoid merge-related incidents. However, rear automatic braking and blind spot detection are only available on certain trim varieties. Generally, opting for more safety features results in a lower monthly insurance premium as insurance providers assess the vehicle as lower risk.

Cadillac has some of the most affordable luxury cars of recent years. With an off-the-lot price range of $31,125 to $42,675, the 2025 Cadillac XT5 can be added to that list. Even the most expensive versions net buyers about $10,000 in savings compared to the typical new car. To sweeten the deal even more, the insurance to cover this Cadillac is very reasonable, especially given its luxury status. On average, owners should budget about $2,309 annually for full coverage. For perspective, that yearly fee is $329 or 12.5% lower than the national norm, saving drivers a decent amount in premiums. The 2025 Cadillac XT5 leaves a bit of a financial mark from fuel economy, with an average efficiency of 23 miles per gallon.

Unlike most of the other cheapest new cars to insure, the 2025 Cadillac XT5 doesn't have a complete safety profile from the IIHS. Instead, the rating agency carries over results from the last year tested. This yields the vehicle a Good rating on the small-front overlap test, showing positive results for all body parts measured on the driver. Furthermore, the XT5's headlights were rated Marginal. IIHS highlights the model's built-in lane keep assist, and its optional rear automatic braking and blind spot detection systems. Edmund's suggests the 2025 Cadillac XT5's average resale timeline is beyond average, usually waiting on the market for 162 days. If you're wondering how quickly a car's value can depreciate after you buy it, you should ensure this model is the right choice for you before making the purchase.

Consumer Reports has heralded the Kia Soul as one of the best cheap and reliable cars. A quick glance at the upfront and ongoing costs, along with the model's robust safety features, makes this assertion ring true. First and foremost, the 2025 Kia Soul is a bargain, only costing between $20,490 and $24,790 brand new. For reference, that's a solid $27,837 below the national average for a new vehicle, even on the higher range of the Kia Soul's price spectrum. Put another way, you could save about 53% before driving off the lot with this cost-effective model. Yet, the savings don't start there. As Consumer Reports points out, the 2025 Kia Soul is one of the most affordable new cars to insure, only costing $2,336 per year. This is $302, or about 11.5%, lower than the nationwide norm. The vehicle's compact size and efficient engine design also lead to a higher-than-average fuel economy. At 28 miles per gallon, drivers can save a considerable amount on fuel expenses.

The 2025 Kia Soul has a dearth of testing results from the IIHS, compared to other models with a plethora of information. Still, the model scores well where it was tested. For instance, the vehicle received a Good score on the small-overlap test, not only for the 2025 model year, but for the past six years of production. All passenger injury measures, such as head and neck, chest, and hip and thigh, achieved a Good rating in this particular crash test. The model's child restraints and seat belts received an Acceptable score, ranking well on being easy to spot and maneuver, but losing points for being anchored too low in the seats.

Some of the most expensive Ford recalls in history have occurred in the not-so-distant past, involving serious safety mishaps and production oversights. However, that checkered history doesn't preclude individual and modern models from achieving high safety standards. The 2025 Ford Maverick embodies this possibility. Consumer Reports lists it as one of the cheapest new cars to insure, with a reasonable average annual full coverage cost of $2,363. In other words, policyholders can save up to 10.4%, or about $275 annually, when owning a 2025 Ford Maverick. Those budget-conscious shoppers will also appreciate the truck's lower-than-average price tag, which can hover anywhere between $23,450 and $38,125. If you're paying on the upper range, you'll still save $14,502, or about 27.6%, lower than the country norm for a brand-new vehicle. Ford Maverick stands out from the truck crowd with an impressive fuel efficiency of 25 miles per gallon.

Forbes calls the 2025 Ford Maverick a "truck-like car," and the IIHS safety results back up that description. IIHS awarded this model a Good rating on the side crash test, yet a Marginal score on the moderate-overlap front test. Notably, no test results were provided for the small-overlap front crash simulation. Seat belt reminders received the highest score, too. IIHS points out that the rear automatic braking and blind spot detection systems don't come standard. Drivers would have to choose a specific trim version with these important safety features. All 2025 Ford Maverick models do come with lane departure warning systems, though. If you're looking for the power of a truck and the affordability of a car, the Maverick is a solid choice.

The Hyundai Palisade is the only 2026 model on this list, since Consumer Reports has completed its assessment of the newer version. It's also the sole Hyundai vehicle ranked among the cheapest new cars to insure. With a typical yearly insurance cost of $2,363, Palisade owners would save around 10.4% or $275 annually compared to the average model on insurance costs alone. Notably, this vehicle is considerably pricier than others on this list, owing in part to it being a 2026 model. A Hyundai Palisade ranges between $39,435 and $56,560 brand new, placing it squarely around the average new car price of $52,627. The fuel efficiency also falls closer to the average, at around 21 miles per gallon.

The IIHS awarded the newest Palisade with its Top Safety Pick award. The model achieved Good ratings on both small-overlap front and side crash tests, and an Acceptable rating for the moderate-overlap front test. This highest score was also received for the vehicle's pedestrian and vehicle crash prevention, along with its headlights. The 2026 Palisade comes standard with advanced safety systems, including rear automatic braking, lane keep assist, and blind spot detection. IIHS ratings showed a marked improvement between the Palisade's 2025 and 2026 models, suggesting the model is improving in safety features and crash prevention — both factors that help reduce insurance costs. In addition to looking for the cheapest premium, drivers of the 2026 Hyundai Palisade should also seek insurance companies that are the most trustworthy.

If you're wondering when to buy new, used, or to lease, insurance costs can play a major role in the decision-making process. For the 2025 Kia Telluride, lower-than-average coverage expenses make the choice a bit easier. On average, policyholders are only paying $2,376 annually for complete coverage, which is about $262 less, or about 10% lower than the typical amount. Purchasing a Kia Telluride off the lot would set you back between $30,950 and $45,750. That's higher than many other models on this list, yet still far below the national average cost of a new car at $52,627. A fuel economy of 22 miles per gallon won't save you tons at the pump, either. As long as you're avoiding the states with the absolute highest gas prices, though, your budget should remain intact.

The 2025 Kia Telluride holds the coveted title as a 2025 Top Safety Pick+ from the IIHS. This is one level above the already impressive Top Safety Pick class, indicating above-average safety features. Virtually all components of the model's results across crashworthiness, crash avoidance, and safety mechanisms received the highest Good rating. Both small and moderate overlap crash tests, along with the side crash simulation, received Good marks, translating to lower risk for insurance companies. Furthermore, these models come standard with various protective systems, including active lane control, rear automatic braking, and blind-spot monitoring. When looking at IIHS safety ratings, the 2025 Kia Telluride scored the highest out of any other on this list of the cheapest new cars to insure.

Aside from Subaru, Kia is the only model to appear three times, suggesting that the brand reliably produces vehicles that are cost-effective to insure. The 2025 Seltos is no exception to the rule. Consumer Reports reports that the average annual cost of covering this model is $2,381. Compared to the national average, Kia Seltos owners are saving $257, or about 10% per year on full coverage. This vehicle's lower-than-average costs extend to its price tag, which sits somewhere between $20,650 and $25,600. You could pay the full amount for the 2025 Kia Seltos, and you would still be paying less than half of the average 2025 model, which goes for $52,627. With a fuel economy rating of 29 miles per gallon, the Seltos can save drivers on fuel costs, too.

IIHS assessed the 2025 Kia Seltos for crashworthiness, giving the vehicle a varied score. The best rating of Good was applied to the small-overlap front test, while the moderate-overlap front test got an Acceptable rating. A lower Marginal result was given for the side crash test. Depending on the type of trim, the 2025 Seltos' headlights vary in quality and performance from Acceptable to Poor. In terms of front crash prevention, the model received a Poor score for the vehicle and an Acceptable score for the pedestrian test. Active lane guidance is included standard in this model, although blind spot detection and rear automatic braking are optional, based on the model you choose.

The 2025 Impreza secures Subaru's third placement on this list of the cheapest cars to insure, reflecting the manufacturer's commitment to safety. Consumer Reports estimates that the average annual cost for full coverage on this new model is $2,382. That's about $200 more per year than the 2025 Forester, but still considerably lower than the national average. Compared to the typical policyholder, Impreza owners will save $256 or nearly 10% each year. While slightly more costly to insure than its Forester cousin, the 2025 Impreza comes with a cheaper price tag. You're looking at a range of $21,425 and $25,150 to drive the car off the lot. The upper end of this spectrum is half the cost of the average model, signifying considerable savings. The Impreza also impresses with a healthy fuel efficiency of 29 miles per gallon. Even as one of the least popular cars, the Impreza is one of the most reliable cars overall.

Continuing the comparison, the 2025 Impreza's crashworthiness closely mirrors that of the Forester: Good ratings on small-overlap front and side tests. The only departure is a Marginal rating on a front overlap test. As the second-to-lowest rating category, this represents a weakness in the model's crash safety. The highest rankings were also achieved for pedestrian crash prevention and headlights, highlighting the model's crash avoidance systems. The 2025 Impreza comes standard with a capable lane monitoring system, helping to prevent drivers from drifting on accident or merging when there's an obstruction. Optional upgrades that can help boost insurance savings include blind spot detection and rear automatic braking. Despite not having the most affordable insurance premium among these cheap new cars to insure, the Impreza's highlights in other areas make it a consideration for budget-conscious shoppers.