Get access to the same vehicle valuation tool that dealers rely on. With Black Book, you’ll have insider data to accurately assess trade-in and purchase values—empowering you to negotiate the best possible deal.
Car insurance costs continue to rise in 2025, with the national average annual premium now reaching $2,895. However, not all vehicles are equally expensive to insure. Some models stand out for their lower insurance rates, making them excellent choices for drivers looking to save on total cost of ownership.
We’ve analyzed CarEdge insurance data to find the cheapest cars to insure in 2025. These models not only offer affordable coverage but also have solid reliability, reasonable maintenance costs, and strong safety ratings—all factors that contribute to lower insurance premiums.
Let’s dive into the cars with the cheapest insurance in 2025 and why they are such great choices.
The 10 Cheapest Cars to Insure in 2025
1. 2025 Mazda CX-5
Average Annual Insurance Premium: $1,877 ($1,018 below the national average)
5-Year Total Cost of Ownership: $39,836
MSRP: $29,990–$42,020
The Mazda CX-5 takes the top spot as the cheapest car to insure in 2025. This popular compact SUV combines strong safety ratings, a smooth ride, and a cabin with a premium feel. Its affordability extends beyond insurance, with affordable total ownership costs and a starting price around $30,000.
Average Annual Insurance Premium: $1,881 ($1,014 below the national average)
5-Year Total Cost of Ownership: $42,554
MSRP: $31,450–$37,850
In 2024, Honda sold 402,000 copies of the CR-V in America, earning fifth place in the sales charts. One reason for the CR-V’s loyal following is affordable insurance. Its advanced safety features and low theft rates contribute to its low insurance costs. With a reputation for durability, this SUV is a smart pick for long-term ownership.
Average Annual Insurance Premium: $1,890 ($1,005 below the national average)
5-Year Total Cost of Ownership: $38,911
MSRP: $25,745–$34,795
The Hyundai Kona is a fun-to-drive subcompact SUV that boasts a modern design, impressive fuel efficiency, and strong safety ratings. Kona drivers save about $1,000 per year on insurance compared to the national average.
Average Annual Insurance Premium: $1,893 ($1,002 below the national average)
5-Year Total Cost of Ownership: $45,002
MSRP: $30,290–$44,190
After 30 years on the market, the Subaru Outback remains a top-selling model for Subaru. The combination of all-wheel drive and top-tier safety ratings makes the Outback one of the cheapest cars to insure in 2025..
Average Annual Insurance Premium: $1,897 ($998 below the national average)
5-Year Total Cost of Ownership: $53,564
MSRP: $41,690
Minivans tend to have lower insurance premiums due to their family-friendly nature and strong safety features. The Chrysler Voyager is a budget-friendly alternative to the Pacifica, offering a practical and spacious cabin without breaking the bank on insurance.
Average Annual Insurance Premium: $1,897 ($998 below the national average)
5-Year Total Cost of Ownership: $37,923
MSRP: $27,115–$33,915
The Subaru Crosstrek is another insurance-friendly option, thanks to its all-wheel drive and standard safety features. The Crosstrek is a great choice for those who need a versatile compact SUV with low long-term costs.
Average Annual Insurance Premium: $1,905 ($990 below the national average)
5-Year Total Cost of Ownership: $45,136
MSRP: $29,750–$41,190
The Hyundai Tucson is a popular compact SUV that offers a balance of affordability, technology, and fuel efficiency. With Hyundai’s excellent manufacturer warranty and top safety scores, it’s no surprise that insurance costs remain low.
Average Annual Insurance Premium: $1,909 ($986 below the national average)
5-Year Total Cost of Ownership: $38,600
MSRP: $26,415–$38,370
Sporty, stylish, and packed with value, the Mazda CX-30 is one of the best small SUVs for budget-conscious drivers. Its strong crash test performance and reasonable repair costs keep insurance rates below the national average.
Average Annual Insurance Premium: $1,913 ($982 below the national average)
5-Year Total Cost of Ownership: $55,046
MSRP: $33,990–$101,890
Despite its rugged off-road reputation, the Jeep Wrangler is among the cheapest SUVs to insure. Its long-term durability, high resale value, and simple design contribute to reasonable insurance costs.
Average Annual Insurance Premium: $1,914 ($981 below the national average)
5-Year Total Cost of Ownership: $39,851
MSRP: $28,365–$42,165
For eco-conscious buyers, the Kia Niro offers hybrid and fully-electric options with low insurance rates. Its affordable maintenance costs and solid safety scores make it one of the cheapest cars to insure in 2025.
Our car insurance comparison study assumes a 40 year old good driver with full coverage and good credit that drives around 13,000 miles per year. They also assume a single-car policy on a brand-new vehicle, and won’t reflect any multi-car discounts.
What Makes a Car Cheaper to Insure?
Several factors influence how much you’ll pay for auto insurance, including:
Safety Ratings: Vehicles with high crash test scores and advanced driver assistance features typically have lower insurance premiums.
Repair Costs: The availability and price of replacement parts affect insurance rates. Cheaper-to-repair vehicles cost less to insure.
Vehicle Type: Affordable sedans and SUVs tend to have lower premiums compared to sports cars and luxury models.
Theft Rates: Cars that are frequently targeted by thieves may have higher insurance costs.
Bottom Line: The Best Cars for Low Insurance Costs in 2025
If you’re looking to save money on insurance in 2025, compact SUVs and hybrid models tend to be the best bets. The Mazda CX-5, Honda CR-V, and Hyundai Kona lead the pack, offering insurance rates more than $1,000 below the national average.
Following a strong December fueled by luxury sales and holiday promotions, the new year kicked off with a sharp decline in vehicle transactions. According to new data from Cox Automotive, new car sales dropped 25% month-over-month in January, leading to a notable increase in inventory levels. With year-end buying season over and interest rates still high, new car inventory is up 26% since the start of January.
For car buyers, this means increasing negotiability for February’s Presidents’ Day deals. Let’s take a closer look at how new car inventory, pricing, and incentives are shaping up for 2025.
New Car Inventory Builds, But Some Brands Face Bigger Challenges
As sales cooled off in January, total new vehicle inventory rose to 2.92 million units at the start of February, marking a 14.2% increase year-over-year. However, the biggest change is the sharp rise in days’ supply, which surged to 96 days, far above the industry norm.
Ford and Chevrolet have the largest share of new car inventory, accounting for 17% and 11% of available stock, respectively. Meanwhile, Toyota, Honda, Kia, and Hyundai continue to dominate overall sales, with strong retail demand keeping their days’ supply lower than competitors.
Some brands are carrying particularly high levels of unsold inventory, creating opportunities for buyers to negotiate better deals. Stellantis—home to Jeep, Dodge, Ram, and Chrysler—has seen a dramatic shift in its supply situation. After struggling with excessive inventory last year, aggressive discounting has helped normalize Stellantis’ stock levels, though some models still linger well above industry averages:
Dodge – 133 days’ supply
Jeep – 128 days’ supply
Ram – 120 days’ supply
Chrysler – 109 days’ supply
However, Ford and Lincoln now top the charts for the highest inventory buildup, with many 2024 models still sitting unsold. Ford’s lineup is particularly weighted down by last year’s models, with 63% of their inventory still 2024 models.
SUVs and Trucks Still Dominate Sales
Despite the slowdown in overall sales, compact SUVs and full-size pickup trucks continue to be America’s best-selling vehicles.
The Toyota RAV4 remains the best-selling SUV, making it one of the least negotiable vehicles on the market. With an average listing price of $38,403, buyers can expect strong demand and limited discounts on this popular model.
On the other hand, full-size trucks have significantly more inventory, leading to higher negotiability. The Ford F-150, America’s best-selling truck, has a staggering 141 days’ supply—far above the industry average. Buyers looking for a full-size truck may find bigger discounts and more dealer incentives as brands work to move inventory.
New Car Prices Are Falling
With demand cooling off, new car prices took a step back in January.
The average listing price for a new vehicle dropped to $48,637, a 2.5% decrease from December. While this still represents a 2.5% increase year-over-year, the decline is a welcome relief for shoppers who faced record-high prices in 2023 and 2024.
For budget-conscious buyers, more affordable new cars are still available:
Incentives Drop in January, But February Brings Big Sales
One of the biggest drivers of December’s strong sales was higher manufacturer incentives, but those deals dropped in January. In January 2025, new car incentives fell to 7.2% of the average transaction price, or approximately $3,486 per vehicle.
January’s slowdown has set the stage for some of the best Presidents’ Day car deals in years. With inventory climbing, buyers shopping for EVs, full-size trucks and slower-selling SUVs will have more leverage to negotiate. While incentives dipped slightly in January, they remain well above 2024 levels, and Presidents’ Day sales events are expected to bring even deeper discounts as dealers work through excess inventory.
Presidents’ Day weekend is shaping up to be a great time to buy a truck in 2025. With an oversupply of 2024 models lingering on dealer lots and automakers pushing aggressive financing incentives, truck buyers can take advantage of some of the biggest discounts we’ve seen in months. It’s almost like December’s clearance sales never ended. Whether you’re looking for a workhorse or a luxury-packed pickup, here are the best Presidents’ Day truck deals to take advantage of in February 2025.
Toyota Presidents’ Day Truck Deals
2025 Toyota Tacoma – Lease from $399/month with $0 Down
Best Offer:Lease from $399/month for 36 months with $0 due at signing (select markets only, check Toyota.com for availability). This offer expires on March 3, 2025.
The 2025 Toyota Tacoma is a popular midsize truck with legendary reliability. In fact, the Tacoma earned the #3 spot in our car reliability rankings. Although this zero-down truck deal is available in select markets, similarly compelling deals are available in other regions.
Offer:Lease from $389/month for 24 months with$3,609 due at signing (for returning GM lessees). See offer details. This offer expires on March 3, 2025.
GMC’s full-size Sierra 1500 continues to be a top contender in the pickup segment. If you’re a current GM lessee, you can take advantage of one of the lowest monthly payments on a full-size truck this February.
2025 Ram 1500 – 4.9% APR + Up to $13,000 Cash Allowance
Offer:4.9% APR for 72 months + up to $12,500 cash allowance for current FCA lessees on select V6 2025 Ram trucks. See offer details. This offer expires on March 3, 2025.
For truck buyers looking for big savings, Ram’s cash allowance is one of the best incentives available this Presidents’ Day. Current lessees of FCA vehicles can get up to $12,500 in savings, making it one of the strongest deals on a 2025 model.
2024 Chevrolet Silverado EV – 0% APR for 60 Months
Offer:0% APR financing for 60 months on the 2024 Chevy Silverado EV. See offer details. This offer expires on March 3, 2025.
With up to 440 miles of all-electric range, the 2024 Chevrolet Silverado EV is one of the longest-range electric trucks on the market. Chevy is offering zero-percent financing for 60 months, making this one of the best deals available for anyone looking to make the switch to an EV pickup. If you can charge at home overnight, this is a fantastic deal.
Offer:3.9% APR for 60 months + $3,350 bonus cash. The F-150 Lightning is available with 0% APR for 72 months and includes a free home charger with installation. See offer details. This offer expires on March 3, 2025.
Ford has 73,000 2024 F-150s left to sell, so it’s no wonder that they’re offering serious incentives in February. Buyers can get low financing rates on the gas-powered F-150, while those going electric can take advantage of zero-percent financing and a free home charger with installation for the F-150 Lightning.
February 2025 is a great time to buy a truck, with manufacturers offering deep discounts on pickups. Whether you’re interested in a low-payment lease, zero-percent financing, or massive cash discounts, these Presidents’ Day truck deals are worth considering before they expire in early March.
The key to maximizing your savings is shopping smart and negotiating with confidence. At CarEdge, we offer free and premium tools to help you get the best possible deal on your next truck purchase:
✅ CarEdge Car Buying Guide – Check local inventory levels, see dealer invoice pricing, and find the most negotiable trucks in your area. ✅ CarEdge Car Buying Service – Have an expert negotiate the deal for you, securing the lowest price and best financing terms. Home delivery is available.
Buying a car in 2025? Your location can have a big impact on how much you’ll pay. From state sales taxes to registration fees, the cost of a new or used car can vary by thousands of dollars depending on where you buy. So, where can you find the best deals this year? We’ve analyzed nationwide data to identify the cheapest states to buy a car in 2025. Whether you’re looking for a brand-new ride or a used car, knowing where to shop can help you save big on your next vehicle. Here’s where in America you’re most likely to drive home a great deal.
First, a Quick Look at Nationwide Price Trends
Nationwide, the average new car transaction price in 2025 is $49,740. However, that number only tells part of the story. The actual cost of a new car varies widely from one state to the next due to differences in sales tax, registration fees, and dealer charges.
By calculating the total out-the-door price for the average new car across all 50 states, we’ve pinpointed where car buyers will save the most – and where they’ll pay the highest prices. But first, an important note: When buying a car out of state, the sales tax you owe is based on where you register the vehicle, not where you buy it. Always check with your local DMV to confirm the exact process and avoid unexpected costs.
The 5 Cheapest States to Buy a Car in 2025
If you’re looking to save thousands of dollars on your next vehicle, your best bet is to shop in one of these five states.
1. Oregon Is the Cheapest State to Buy a Car
Why It’s the Cheapest: No state sales tax, low registration fees Total Additional Costs: $500–$700 🚗 Average Savings vs. Most Expensive States: $3,500+
Oregon is the absolute cheapest state to buy a car in 2025, thanks to its lack of a statewide sales tax and low registration fees. On top of that, dealership documentation fees (Doc Fees) are lower than the national average.
2. New Hampshire
Why It’s Affordable: No state sales tax Total Additional Costs: $650–$850 🚗 Average Savings vs. Most Expensive States: $3,000–$3,500
New Hampshire also has no state sales tax, keeping vehicle prices lower than in most other states. While registration fees in New Hampshire are slightly higher than in Oregon, the savings on sales tax still make it one of the most affordable places to buy a car.
3. Montana
Why It’s Affordable: No state sales tax, low registration costs Total Additional Costs: $500–$750 🚗 Average Savings vs. Most Expensive States: $3,000+
Montana has long been a go-to state for those looking to buy a car while avoiding extra fees. With no state sales tax and relatively low registration fees, Montana remains one of the cheapest states to purchase a vehicle in 2025.
4. Alaska
Why It’s a Great Deal: No state sales tax, reasonable fees Total Additional Costs: $650–$900 🚗 Average Savings vs. Most Expensive States: $2,000+
Alaska rounds out the top five with zero state sales tax and lower-than-average Doc Fees, making it one of the best states for keeping out-the-door costs low.
5. Delaware
Why It’s a Great Deal: No state sales tax, low fees Total Additional Costs: $700–$2,200* 🚗 Average Savings vs. Most Expensive States: $2,000+
Delaware is another no-sales-tax state, meaning buyers can avoid a hefty extra charge when purchasing a new or used vehicle. However, Delaware charges a Doc Fee that is 4.25% of the vehicle’s value, which in practice in similar to a sales tax. Still, Delaware is one of the cheapest states to purchase a car in 2025.
The Complete Rankings
Looking for your state? We’ve crunched the numbers for all 50 states, using the state sales tax rates, vehicle registration fees, and average Doc Fees to calculate the out-the-door price in each U.S. state. Feel free to sort the data by any of the variables to see how your state stacks up.
State
Cheapest States to Buy a Car
State Sales Tax
Average Doc Fee
Registration Fees
Average New Car Price (w/ tax and fees)
Car Prices Are Climbing Again in 2025
Following a brief decline in prices in 2024, car prices are climbing again in 2025. New car prices are back near record highs, while luxury vehicles now make up a larger share of the U.S. market than ever before.
While automakers are finally introducing more budget-friendly models, the average new car price remains out of reach for many buyers. That’s why shopping strategically is more important than ever. Where you buy your next car matters, and can make the difference between a fair deal and overpaying.
How to Save on Your Next Car Purchase
Whether you’re shopping for a new or used car in 2025, here are some smart ways to save:
Compare prices in multiple states: If you live near a low-tax state, buying there could save you thousands.
Negotiate fees: Some dealership fees, like Doc Fees and add-ons, can be negotiated.
Consider leftover 2024 models: Dealers are eager to move last year’s inventory, which means big discounts.
Use CarEdge Insights: Track real-time car price trends and get the best deal possible.
Stay Ahead of the Car Market in 2025
Buying a car this year? Knowing where to shop could save you thousands. Before heading to the dealership, make sure you’ve done your research and know what to expect. Stay on top of the latest car market trends, incentives, and deals with the free CarEdge Research Hub. Compare total cost of ownership, explore today’s best offers, and make the smartest car-buying decisions in 2025.
Looking for the best lease deals this February? You’re in luck. Presidents’ Day 2025 is shaping up to be one of the best times to lease a new car, with low monthly payments, zero-down offers, and attractive incentives from top automakers.
With new car prices still near record highs, leasing is a great way to avoid the hidden costs of depreciation while keeping your monthly costs lower. In February, automakers are rolling out limited-time lease specials on some of the most popular SUVs, trucks, and sedans. Whether you’re interested in zero percent APR leases, cash discounts, or low down payment options, here are the best Presidents’ Day lease deals in 2025.
Note that manufacturer lease incentives exclude taxes and fees. Not all dealers participate.
Buick – Amazing Lease Offers For Current Lessees
General Motors is rolling out its best Presidents’ Day lease deals for the Buick brand. Here’s a look at the best offers in February. Note that to qualify for the best terms, most of these incentives require that you’re a current lessee of a GM vehicle.
Ford is rolling out some of the best lease deals this Presidents’ Day, with attractive offers across its lineup of trucks and SUVs. Whether you’re eyeing an EV, SUV, or a durable work truck, Ford’s February incentives offer serious savings. Here are the best Ford lease deals right now:
GMC is offering some of the best lease deals this Presidents’ Day, particularly for returning GM lessees. If you currently lease a GM model, you’ll find low-payment options on popular GMC trucks and SUVs.
Mazda’s stylish SUVs are available with affordable lease deals this February. While some offers require more cash upfront, these lease terms are among the lowest-priced options available this Presidents’ Day.
Toyota’s best-selling SUVs, trucks, and hybrids are available with low monthly lease payments, including some rare zero-down lease offers in select markets.
2025 Toyota Tacoma – Lease from $399/month for 36 months with $0 due at signing (select markets only, check Toyota.com for availability).
With huge lease incentives from Buick, Ford, GMC, Mazda, and Toyota, Presidents’ Day 2025 is one of the best times to lock in a low monthly payment on a new car, truck, or SUV. Be sure to compare offers in your area, as some of the best Presidents’ Day lease deals are available in select markets!
States eligibile for below invoice pricing and 100% free delivery:
Alabama, Arkansas, Texas, Oklahoma, Florida, Georgia, Kentucky, Louisiana, Maryland, Delaware, Mississippi, North Carolina, South Carolina, Tennessee, Virginia, and West Virginia.
What if I don’t live in these states?
If you're outside these areas, don't worry! We're committed to making sure everyone can enjoy our deals. Although the delivery fee will not be waived, you can still purchase from CarEdge and either pay for shipping or coordinate pickup at a participating dealer.
Our concierge service costs $999 plus an optional shipping fee (based on distance or pick-up).
To get started, pay the one-time payment of $999 and a CarEdge concierge will start by negotiating the vehicles in your favorites.
Why should you let a concierge do the work?
Get the best deal
Our team of concierges and industry experts with 75+ years of combined experience with access to tools and data to leverage the best deal possible.
Convenience
Gone are the days of looking for a car and stepping into the dealership spending hours and hours of head banging only to get smooth talked into a higher price.
Expert assistance
We answer all questions you may have regarding the buying process, what the right car is, the deal itself, and more!
Who are the concierges?
Transparent when others aren't
Our commitment to transparency and honesty ensures that you make informed decisions, while our years of experience guarantee that we will be able to secure the best deal for you.
When you win, we win
We work for you, not the dealership, ensuring your interests are always our top priority.
CarEdge Insights
