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Newer cars in general have had their cats moved up closer to the engine for a while now. I assume it is to get them to lite up quicker and retain more heat. Where as my 97 Paseo has the cat behind the engine bay, my 03 Matrix had the cat right off the exhaust manifold.
When you start a Prius up it runs for a set amount of time specifically to lite the cat. However, the new plugin Prius does not do this. If you need the power it'll kick the engine on for a few seconds and then shut off once the load is lower again. There is no insulation that I know of.
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