A Mustang may be your dream car, but is the cost of insurance a nightmare? You’re not alone. Mustang owners pay $339 a year more in insurance premiums than the average driver, money that many would rather put towards improving their vehicle. We did the research to see why insurance companies charge such high rates – and found out how you might be able to save.
How much does having a Mustang influence your car insurance rate?
Comparing rates across the country, Mustang owners pay about $2,077 per year in insurance premiums. This comes out to 24% more than other car owners, who can expect to pay $1,674 per year on average. So why the difference?
The answer likely lies in crash data. Insurance companies use these reports to assess which models are more likely to be involved in an accident. Unfortunately, a 2017 report by the Insurance Institute for Highway Safety found that Mustangs have some of the country’s highest death rates. This indicates that the higher premiums charged may be insurance companies’ way of offsetting a higher risk of bodily injury claims, which cost them $18,417 on average.
How much is insurance for a Mustang?
The cost of insurance for your Mustang will depend on many different factors, not the least of which is the specific model you own. For example, a Shelby GT500 may cost quite a bit more to insure than an EcoBoost due to its much higher replacement cost.
With that said, here’s the average price of auto insurance premiums across all models of Mustangs:
|Average annual minimum premium||Average annual full coverage premium|
Insurance costs also vary by insurer. Every company uses different criteria to determine rates, and some may charge more or less depending on the type of car you own. According to our insurance company data, Mustang owners tend to find more favorable rates from USAA, Amica and Erie, while MetLife charges the highest premiums.
See the table below for a list of the average cost to insure a Mustang with popular carriers.
|Avg min premium||Avg full premium|
What factors influence your car insurance other than your car?
Owning a Mustang can make your auto insurance premiums higher than average, but that’s not all the insurance companies look at to determine risk. Your car is just one contributing factor to your overall insurance rates. Here’s a list of other criteria that can affect your premiums:
- Miles driven
- Marital status
- Driving history
- Credit score
- Policy type
- Coverage amount
How can you save money on Mustang car insurance?
Getting insurance for your Mustang doesn’t have to be expensive. Here are a few ways to reduce the cost of coverage:
- Follow the rules of the road. One of the best ways to help keep insurance rates low is to maintain a spotless driving history. Avoid speeding and follow traffic laws; tickets may increase your rate, and too many infractions may even cause your insurer to drop you.
- Practice safe driving. Mustangs are associated with above-average crash rates, which means getting in an accident could send your rates skyrocketing. Most insurers give safe driving discounts to those who stay claim-free. Many even offer safe driving programs that track your habits and can fetch you a lower rate if you avoid unsafe behaviors like fast acceleration and hard braking.
- Build your credit. Having a good credit score may help lower your insurance rates by demonstrating financial responsibility. Consider using your credit sparingly, pay down existing balances and make future payments on time to help raise your score.
- Avoid custom parts. Custom parts can be expensive to insure. Standard auto insurance policies don’t typically cover any modifications you make to your Mustang, which means you’ll likely have to buy extra insurance to cover them. At the very least, talk to your insurer and get a quote for the additional coverage before you start making changes – even seemingly minor ones.
- Shop around. You might want to compare rates from multiple carriers before choosing the company that is best for you. You may be surprised by the difference in prices.
Are Mustangs expensive to insure?
Mustangs are about 24% more expensive to insure than the average car, costing about $2,077 per year compared to the $1,674 national average premium.
Why is insurance more for a Mustang?
Insurance may cost more for Mustangs because this type of car is generally associated with higher rates of traffic fatalities. However, your auto insurance rate is determined by many additional factors that may make your policy more or less affordable.
Where can I find cheap insurance for my Mustang?
On average, Mustang owners may get cheaper rates from USAA, Amica and Erie. However, it would help if you compared quotes from multiple providers as your actual rates may differ.
Bankrate utilizes Quadrant Information Services to analyze rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our sample drivers own a 2019 Mustang, commute five days a week and drive 12,000 miles annually.
These are sample rates and should be used for comparative purposes only. Your quotes may be different.
Rates are determined based on 2021 Quadrant Information Services data.