A new car usually costs more to insure than an older one, but the relationship is not as simple as age.
Why new cars cost more
- Higher value means a larger payout if totaled.
- Expensive sensors and tech make repairs costlier.
- Lenders require collision and comprehensive coverage.
Why used cars can cost less
- Lower replacement value lowers collision and comprehensive premiums.
- You may be able to drop those coverages entirely on an older car.
When a used car costs more
- Older models without modern safety features
- High-theft models
- Cars with expensive or hard-to-find parts
The takeaway
Always get an insurance quote before you buy. Two cars with similar prices can have very different premiums based on theft rates, repair costs, and safety ratings.