An available CVT offers the convenience of an automatic transmission, with fuel efficiency comparable to that of the manual transmission. Additional benefits include a lighter, more-compact and less-complicated design with no shift shock (there are no gear changes since the CVT uses a steel belt driven between two steel pulleys to deliver engine torque under acceleration and deceleration).

Honda engineers improved on the basic strut design by installing a high-mounted steering rack with long tie-rod links. These links move in long arcs that, in turn, effectively govern the front-wheel toe angles throughout suspension movement. The result is a big improvement in handling and stability versus a conventional strut system.

The Integrated Motor Assist System (IMA) is composed of a gasoline engine and an electric motor, and has several important functions. Located between the engine and transmission, the electric motor supplies additional power during acceleration. It also functions as a high-speed starter and as a generator for the charging system during regenerative braking.

The IMA™ electric motor works in conjunction with the gasoline engine, and supplies additional torque in assist mode. The motor's ultra-thin design allows it to be mounted between the engine and the transmission. The motor also functions as the generator for the IMA™ System during deceleration, and as a starter, quickly spinning the engine up to idle speed.

The Honda Insight accelerates well and is extremely fuel efficient—two important qualities made possible by weight-reducing technologies. Lightweight aluminum is a key ingredient in the vehicle body; and the Insight is built using innovative fabrication techniques.

Primary power for the Insight is supplied by a lightweight, 1.0-liter, VTEC 3-cylinder gasoline engine.

Under certain operating conditions and with the Insight at a stop, the IMA™ System's idle-stop feature temporarily stops the engine to save fuel and minimize emissions. Idle-stop occurs when the driver stops the Insight, places the gear selector in neutral and releases the clutch pedal (MT model). A green idle-stop indicator on the instrument display indicates when the feature is operating. When the driver pushes the clutch pedal and engages the transmission, the IMA motor immediately restarts the gasoline engine.

Honda engineers designed the Insight engine to have a high power output and to meet the SULEV standard using the Continuously Variable Transmission CVT, and the ULEV standard in the manual transmission model. Precision fuel and spark control are at the heart of reduced emissions, augmented in the Insight by a honeycomb catalyst.

The Insight engine uses individual direct ignition spark coils at each cylinder. This design offers several advantages over a more conventional ignition coil and distributor, including a hotter, more consistent spark and great latitude in spark timing.

Honda engineers designed a special 5-speed manual transmission for the Insight, built to be as lightweight and as compact as possible, in order to optimize the power delivered by the IMA™ System. The transmission weighs just 91 pounds.

Honda engineers developed new body-construction technologies that take advantage of the weight savings offered by aluminum. Die-cast aluminum joints connect the extruded aluminum-frame components together, to which the roof, body and door panels are added to complete the construction.

In place of a hydraulically assisted power-steering system, the Insight uses an electric power-assisted rack-and-pinion system called Electric Power Steering, or EPS. The system has several advantages, including simplicity, compactness and high efficiency due to the system's low power consumption. Other benefits include its smooth steering feel and responsiveness to driver input.