Is car insurance cheaper if you lease or finance?
Car insurance is generally the same price whether you lease or finance a vehicle. Both lenders and lessors normally require that you carry full coverage to protect the car (their asset) until the loan is paid off or the lease term ends.
Full coverage typically includes collision and comprehensive coverage, and at least the minimum insurance coverage required by state law. Some lenders and lessors will also require that you carry gap insurance to cover the “gap” between what the car is worth and what you owe on the loan or lease if the car is totaled.
Cheapest Insurance for Leased / Financed Cars
|
Company |
Monthly Premium |
|
$129 |
|
|
$140 |
|
|
$160 |
|
|
$167 |
|
|
$168 |
*Premiums assume a full-coverage policy for a 45-year-old safe driver in California; actual premiums will vary.
For help finding the best deals on full coverage, check out WalletHub's guide to the cheapest full coverage car insurance.
