Does AWD and 4WD affect auto insurance?

Why AWD and 4WD vehicles may cost more to insure

• Higher purchase prices: AWD and 4WD vehicles often carry a higher purchase price than comparable two-wheel drive models. Because insurers may pay up to a vehicle's actual cash value if the vehicle is stolen or totaled, you may pay more for an auto policy with collision coverage and comprehensive coverage for an AWD vehicle compared to a vehicle with only front-wheel (FWD) or rear wheel drive (RWD).
• Additional mechanical parts: AWD and 4WD systems also include additional mechanical components that standard two-wheel drive vehicles don't have. When those parts are damaged in an accident, repairs typically cost more.

Does 4WD cost more to insure than AWD?

There's no rule that makes a 4WD vehicle more expensive to insure than an AWD vehicle or vice versa. The overall value of the vehicle and the cost to repair or replace it is more important to insurers than the type of drivetrain. The best way to compare is to get quotes on the vehicles you're considering. The types of coverage available are also the same regardless of whether your vehicle has AWD or 4WD.

How can you save money on auto insurance for an AWD or 4WD vehicle?

You may lower your rate on auto insurance for an AWD or 4WD vehicle the same way you do on any auto policy:

• Shop around and compare quotes: Rates vary between insurers for the same vehicle, so it's worth comparing before you buy.
• Adjust your deductible: Choosing a higher deductible on your policy lowers your premium, though it means more out of pocket if you have a claim.
• Find discounts: Many insurers offer discounts for safe driving, bundling policies, and more.
• Maintain a clean driving record: Your history behind the wheel has more impact on your rate than your car's drivetrain.

Get affordable auto insurance for your AWD vehicle