Honda Prius Car Insurance – Does it Cost More?






Hybrid cars such as, the Honda Insight and Toyota’s Prius are rapidly becoming more popular. One of the reasons for this recent popularity is that these hybrid vehicles are much cheaper on gas, but prospective hybrid buyers wonder if insuring these eco-friendly vehicles is more expensive than insuring traditional gasoline-powered vehicles.

It is important to think about the cost of insurance whenever you purchase a new car, in addition to considering the asking price, the various safety aspects, available space and additional features. While every insurance company charges different rates, there are several trends in the insurance industry, concerning hybrid cars such as, the Toyota Prius. Therefore, hybrid vehicles not only help to save on money and gas, but Prius owners can also find incredibly low insurance rates, as well.

Factors that Drive the Cost of Insurance for a Toyota Prius

The type of vehicle being insured plays a definite role in the price of your premium.

Repair Costs

Currently, hybrid repair costs are higher than conventional gas-fueled vehicles. In addition, while this does affect the cost of insurance, the repair costs for the Prius are expected to decline dramatically over the next several years, due to special hybrid training that is becoming increasingly popular among mechanics.

Safety Ratings

In 2010, the Insurance Institute for Highway Safety named the Toyota Prius, the “Top Safety Pick”. This safety claim substantially decreases the cost of insurance because of the lowered risk of injury, in the event of an accident. In fact, throughout 2001 to 2007 the fatality rate of the Prius is approximately .64 for every 100 million miles — less than 1/2 of the national NHTSA average. It is possible that safety plays an even bigger role in the cost of insurance (as opposed to repair costs) because if the car is safer to drive — it lowers the vehicle’s risk of needing repairs.

Safety Features

  • ·The Toyota Prius has many different safety features that earn a discount in the eyes of insurance providers including:
  • ·Four-Wheel ABS
  • ·Anti-Theft System
  • ·Electronic Stability Control
  • ·Rear and Front Energy-Absorbing Crumple Zones
  • ·Side Impact Door Beams
  • ·Side, Passenger, Driver, Driver’s Knee and Rear Head Airbags
  • ·Traction Control 

In addition, many insurance companies offer considerable discounts to hybrid owners — which drivers should be aware of to ensure they are getting the cheapest insurance for their Hybrid. In 2006, Travelers Insurance Company was the first insurance provider to offer discounts to hybrid drivers. The Travelers discount: 10 percent off to Prius owners. The discount is not in appreciation for that fact that hybrid owners have gone “green”, but due to the fact that research shows that hybrid, drivers are in a preferred insured category, which results in lower premiums.

Some insurance companies do not choose to offer discounts for the simple fact that they do not want to make assumptions regarding a Prius owner’s driving habits. Prius and other hybrid drivers will automatically receive the discount because they do fall into the category of being a preferred driver. Not all insurance companies offer discounts to Prius drivers, but here is a list of some of the companies that do:

  • Farmers Insurance Group
  • GEICO
  • Travelers Insurance

Prius owners should contact their insurance company today to find out if they are getting the best deal and all of the available discounts for their hybrid.


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