Though often overlooked when shopping for a vehicle, it’s important to consider the costs of car insurance, which can vary widely from car to car. From the humble Hyundai Venue to the over $3 million Bugatti Chiron Sport, we have broken down the cost to insure some of the new vehicles coming later this year.
Ford Escape vs Lincoln Corsair: How Much More Expensive Is Insurance for Luxury Vehicles?
Ford Motor Co. is debuting two small SUVs at this year's New York International Auto Show: a redesign of one of its flagship small SUVs, the Escape, as well as the Lincoln Corsair, released under the company’s luxury arm. These vehicles will have many similarities—they are built on the same front-wheel-drive platform—however, their costs will be quite different when they go on sale later this year.
|2020 Ford Escape||2020 Lincoln Corsair|
|Down payment (10%)||$2,500||$3,500|
|Monthly loan payment*||$417||$583|
|Monthly insurance cost||$88||$134|
|Total five-year cost||$32,746||$46,514|
Based on our research, full-coverage auto insurance costs for the 2020 Corsair will be 50% greater than for the 2020 Escape. This is in large part due to the much higher MSRP of the Lincoln, as the Corsair is expected to cost around $35,000, which is $10,000 more than the cost of the Ford Escape. Assuming that drivers get a five-year car loan with a 10% down payment and an interest rate of 4.21%—which we found to be the average auto loan interest rate—the combined cost of financing and insurance amounts to a $13,768 difference between these vehicles.
Sporty SUVs In Vogue: 2020 Mercedes-Benz GLC 300 Coupe
As SUVs enjoy increasing popularity, many manufacturers are coming out with SUVs to target all market segments, even those traditionally dominated by sporty two-seaters. Mercedes' contribution to this expanding SUV market is the 2020 GLC 300 Coupe. With the utility of an SUV and the sloping roofline of a coupe, the GLC 300 Coupe aims to attract drivers who prioritize practicality but don't want to sacrifice styling.
|2020 Mercedes-Benz GLC 300 Coupe|
|Down payment (10%)||$5,000|
|Monthly insurance cost||$153|
|Monthly loan payment*||$833|
|Total five-year cost||$64,189|
In terms of insurance costs, Mercedes GLC 300 Coupe drivers can expect to pay quite a bit for auto coverage—with annual premiums reaching $1,842, according to our rate survey. This is 75% more expensive than the cost to cover the 2020 Ford Escape.
How Much Bugatti Chiron Sport "110 Ans" Owners Pay for Insurance
The special edition 2020 Bugatti Chiron Sport "110 ans" will likely be one of the most popular vehicles at this year's New York International Auto Show. This vehicle features a number of staggering figures, including a price tag of more than $3 million, a quad-turbocharged W16 engine capable of producing more than 1,400 horsepower, and only 20 units produced. However, we would like to submit another astronomical stat to this impressive list: $50,251 per year for auto insurance. That’s more than it would cost to buy two 2019 Hyundai Kona vehicles (with an MSRP of $19,240) and insure them for a year.
|2020 Bugatti Chiron Sport "110 ans"|
|Down payment (10%)||$326,000|
|Monthly insurance cost||$4,188|
|Monthly loan payment*||$54,313|
|Total five-year cost||$3,836,009|
Drivers fortunate enough to be able to purchase a hypercar, such as the Bugatti Chiron Sport "110 ans," will not be able to buy a standard auto insurance policy, and instead will have to get collector car insurance. The defining feature of these policies is that the insurer will cover the cost to repair or replace the insured vehicle up to an agreed value, as opposed to the actual cash value of the vehicle—which would be typical.
Hyundai's Pitch for Cost-Conscious Urban Millennials: the All-New 2020 Venue
Positioned as an entry-level subcompact SUV targeted toward millennials, the brand-new 2020 Hyundai Venue is one of the more practical vehicles debuting at this year's New York International Auto Show. In the landscape of Hyundai's crossover offerings this vehicle aims to be smaller and cheaper than the Kona. Preliminary quotes reveal that 2020 Hyundai Venue drivers can expect to pay $104 per month for car insurance, which is 40% more than the rate 2019 Hyundai Kona drivers can expect to pay.
|2020 Hyundai Venue||2019 Hyundai Kona SE|
|Down payment (10%)||$1,800||$1,924|
|Monthly insurance cost||$104||$74|
|Monthly loan payment*||$300||$321|
|Total five-year cost||$26,045||$25,616|
This vehicle—similar to the Ford EcoSport and the Toyota CH-R—is being hailed as an SUV built for the urban lifestyle, yet affordable enough for the entry-level vehicle market (its rumored starting cost is around $18,000). If this sounds appealing, then there is more good news: we have found that small SUVs have some of the lowest auto insurance costs of any body style.
Auto insurance rates represent the cost for a full-coverage policy for a 30-year-old male driver living in New York City, based on quotes collected from GEICO. For brand-new vehicle models, GEICO's quotes are based on the body style and expected price. Policies include the following coverages and limits:
|Bodily injury liability||$50,000 per person and $100,000 per accident|
|Property damage liability||$50,000 per accident|
|Personal injury protection||$50,000 per person per accident|
|Uninsured/underinsured motorist property damage liability||$50,000 per person and $100,000 per accident|
|Comprehensive coverage||$500 deductible|
|Collision coverage||$500 deductible|
Five-year cost estimates are based on the sum of the auto insurance rate for a full-coverage policy and the cost of a 60-month auto loan with a 4.21% interest rate and 10% down payment.