SUVs: Goldmine for Automakers, Cheap to Insure

0:00It's March 24th from your city to your ears. This is Durham News today powered by AI. I'm Cori with the story Americans are snapping of sport utility vehicles like never before Making up 52% of new car sales in 2025 a big jump from 46% just four years earlier Full-size models have doubled their slice of the market since 2016 This boom is a gold mine for car makers who rake in 10 to 20% higher profits on these bigger rides Compared to smaller cars thanks to shared parts and steeper price tags big three American automakers are dialing back on Electric vehicles for now and wrapping up production of these high-margin trucks in SUVs Analysts at Bank of America see this as smart business especially with looser regulations letting companies chase bigger profits They recently slapped to buy ratings on Ford and General Motors betting on stronger earnings ahead for buyers There's a surprise perk SUVs are now among the cheapest vehicles to ensure

1:02The top spots go to models like the Subaru Cross-track at about $1,150 for a six-month premium followed closely by the Jeep Wrangler and Honda CRV in fact 16 out of the 20 lowest insurance costs belong to SUVs beating out most sedans by 10 to 15% Insurers love these vehicles for their solid safety records lower pair bills and sturdy bills that hold up well and crashes Have your weight and higher seating protect occupants better in head-ons or side hits though taller profiles raise Roll-over risks and can hurt handling in quick maneuvers as SUV demand keeps climbing and costs stay by our friendly expect more drivers to trade up without the wallets thing reshaping roads and showrooms for years to come