The small and maneuverable smart car is beloved by many owners, and although Mercedes no longer sells the smart Fortwo in the U.S., you can still buy pre-owned versions. According to Kelley Blue Book, a 2019 smart Fortwo Prime is valued at $14,848. Insuring a Fortwo can be affordable: the average annual cost of full coverage insurance for a Fortwo Prime is $1,865, according to rates sourced in 2023 from Quadrant Information Services. This is about 7 percent below the national average. Bankrate’s guide to smart car insurance can help you understand how much insurance is for a smart car, and the factors that play a role in determining rates, so you can choose the best option for your coverage.
How much is insurance for a smart car?
Bankrate’s insurance editorial team examined two different styles of smart Fortwo to help give you a starting point as you shop for car insurance.
Models included in this review:
- smart Fortwo EQ Prime
- smart Fortwo EQ Pure
The average cost of car insurance is affected by many things — and a vehicle’s make and model are two of the most significant. Smart Fortwo vehicle-specific factors that could affect insurance rates include:
- Crash rate stats per make/model: Smart Fortwos received a rating of “basic” to “good” from the Insurance Institute for Highway Safety. Although they are fairly safe, their size may not provide as much protection in a crash as a larger vehicle. Previous models of the smart Fortwo received a four-star safety rating from the National Highway Traffic Safety Administration, but the most recent model was not rated.
- Price of parts: The smart Fortwo has higher-than-average repair costs, with an average expense of $751 per year. The cost of parts, as well as the limited number of mechanics familiar with the model, may be contributors to the cost of insuring smart Fortwo vehicles.
- Safety features: Smart Fortwos have a number of safety features. For example, the Tridion safety shell is a steel cage in the shape of a hemisphere that encompasses the car. The vehicles also come equipped with side and knee airbags, anti-lock brakes and smart seatbelts capable of detecting changes in motion.
Car insurance for a smart car by model
Car insurance rates for smart cars can depend on many factors. The vehicle’s age, value and model can affect rates in similar ways as your location, driving record and average mileage. Bankrate collected quote data to bring you an average cost of auto insurance for small cars to use for comparison. To get a more accurate rate based on personal circumstances, you can get online quotes from a handful of car insurance companies to compare.
Car insurance for smart Fortwo EQ Prime
The Prime is smart Fortwo’s upper trim level. At the time of manufacturing, it was also available as a Sports or BRABUS Sports package. The model’s higher value may cause premiums to be slightly higher than lower trim levels.
| Minimum coverage | $571 |
| Full coverage | $1,865 |
Car insurance for smart Fortwo EQ Pure
The Fortwo EQ Pure is the most affordable, entry-level trim. Full coverage is slightly less expensive than the Prime model.
| Minimum coverage | $573 |
| Full coverage | $1,792 |
Cheapest car insurance companies for smart cars
Choosing the right insurance company could make the most significant difference in the cost of car insurance for smart cars. Bankrate collected quote data from five of the best car insurance companies with the largest market share to show you how rates may vary based on the carrier.
Average annual premium for full coverage by model
Car insurance rates for the Prime and Pure are closely priced. However, premiums can vary significantly for the same level of coverage from one car insurance company to another.
| Amica | $1,423 | $1,330 |
| Erie | $1,031 | $1,056 |
| Geico | $1,105 | $1,056 |
| State Farm | $1,856 | $1,747 |
| USAA | $1,160 | $1,117 |
Smart car features that impact insurance costs
Some smart car features could lower insurance costs, especially safety equipment, which may be the most important component that keeps insurance rates affordable. The smart Fortwo’s safety features are designed in layers to protect the passenger and driver:
- Tridion steel cage: The outer safety shell of a smart Fortwo makes up for the vehicle’s small size, which could otherwise be vulnerable in a crash with a larger vehicle such as an SUV. The hard, crumple-resistant steel helps protect the driver and passenger in case of a collision.
- Airbags: Smart Fortwos come equipped with dual front, side and knee airbags. They work together to reduce the risk of serious injury in case of a serious collision.
- Smart seatbelts: The seatbelts are motion-sensing. They adapt before a crash occurs to restrain the driver and passenger shortly before a collision.
Other car insurance coverage for a smart car
Nearly all states require drivers to carry a minimum level of vehicle insurance. However, a state’s minimum may not be enough. It is likely that you will need liability coverage to drive legally. However, liability insurance only helps pay for damage you cause to other vehicles and property or for injuries you cause to others who were not in your vehicle. If your car is damaged, liability insurance will not cover repair or replacement costs for your car. The following optional coverage types could expand your protections:
- Comprehensive and collision insurance: Together, the two coverage options make up full coverage, providing reimbursement up to policy limits for damage to your vehicle after an approved claim for such causes as collisions, theft, fire, flooding, hail damage and vandalism.
- Medical payments: Adding medical payments coverage can help pay for you and your passenger’s medical bills in case of an accident, regardless of who is at fault.
- Original equipment manufacturer (OEM): This add-on helps ensure repairs will be made using the original manufacturer’s parts.
How to save on car insurance for a smart car
While smart car insurance is typically more affordable than standard auto insurance, there are a number of ways that you can save, including shopping around for cheap smart car insurance. Here are three ways to reduce insurance costs:
- Compare quotes: The best way to find affordable smart car insurance is by requesting quotes from multiple insurance providers and finding the coverage that best fits your desired coverage level and budget.
- Utilize discounts: You can qualify for a number of insurance discounts for your smart car, including safety feature discounts. You can also bundle your policies to save, and opt for savings through billing options like autopay.
- Consider usage-based insurance: Some insurance companies offer policies that base premiums on actual driving behavior, potentially resulting in lower costs for safe drivers or those who don’t frequently use their vehicles.
Frequently asked questions
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Average rates for smart car insurance tend to be lower than the average cost of car insurance nationwide. However, how much you pay for smart car insurance will differ based on several variables including the age, value and model of your vehicle. Other factors such as your driving record, location and annual mileage also play a role, as do the insurance provider and coverage level you choose.
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There’s no single company that is always the best option for every driver, all the time. Finding the best company for you means looking first at your priorities to see what you need and want in a policy. If you have a teen driver in your family, for example, you may want a company known for writing affordable policies for young drivers. If you have a military connection, a company focused on robust coverage for this demographic may be a better option. If you have a few marks on your license, on the other hand, high-risk car insurance may be your best bet. Some companies are known for writing cheap policies, or for the high quality of their customer service. Think about what matters most to you when you are shopping for insurance to find the best company for your situation.
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Smart cars can be relatively cheap to run — especially compared to larger vehicles. Typically, smart cars have good fuel efficiency and cheaper-than-average insurance costs. However, it’s worth noting that because smart cars are less common than standard vehicles, parts for repairs can be more expensive.
Methodology
Bankrate utilizes Quadrant Information Services to analyze 2023 rates for ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted based on the population density in each geographic region. 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 base profile drivers own a 2019 smart Car of the following model types, commute five days a week and drive 12,000 miles annually:
- smart Car Fortwo EQ Prime
- smart Car Fortwo EQ Pure
These are sample rates and should only be used for comparative purposes.
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