What if one insurance company charged a driver $39 per month while another company charged $255 per month?
Finding the cheapest auto insurance can be difficult, but we’re here to help you find a great deal.
What is cheap car insurance? Is it the one with the lowest monthly payment? Or one that offers the most coverage for your dollar?
One thing is for certain, cheap auto insurance nowadays is easier than ever to find – even if you have had an accident or a ticket on your driving record.
So if you decide to drive without car insurance, it is a criminal offense. Driving without car insurance is a serious crime that could put an end to your driving career if you are caught.
So, whether you are a new driver, just bought a new car, or are renewing your car insurance, you need to know the best way to get cheap auto insurance.
In this blog post, we will cover the best cheap insurance companies you might consider before buying a new car.
Who has the Cheapest Auto Insurance?
Here you go for a well-researched foundation that provides you the base to have the cheapest rates by the insurer.
The Cheapest Car Insurance Company – An Economical One
Our research has brought astonishing results where State Farm and USAA are among the list of affordable ones insurer in the country. The cost of State Farm is about $532 annually whereas USAA constitutes about $432 annually.
As far its level below the national average is concerned, the former is almost 26% low and the latter about 40%.
Though USAA is considered economical yet the active members of the military and families of veterans can be eligible for a policy.
Lower rates are being offered by smaller insurance companies as they share a level of competition with the bigger companies. Those based in your own community or state deliver more local touch.
| Company | Annual Rate | Monthly Rate |
| USAA | $432 | $36 |
| Farm Bureau | $472 | $39 |
| Auto-Owners | $484 | $40 |
| Erie | $503 | $42 |
| State Farm | $532 | $44 |
| American Family | $634 | $53 |
| Geico | $667 | $56 |
| Progressive | $884 | $74 |
| Shelter | $885 | $74 |
| Allstate | $916 | $76 |
| Nationwide | $916 | $76 |
| Farmers | $959 | $80 |
| Travelers | $1035 | $86 |
- It costs you $532 annually with State Farm:
It is the leading insurance company of auto in the country. It offers the cheapest rates in 29 states. It claims an additional service to be provided to its customers in comparing rates globally.
- It costs you $667 annually with Geico:
It is the second-largest leading in the highlighted sphere. It operates in D.C. and 50 states. It has one of the finest tools in the market, providing an edge of being accessed with an instant online comparison shop.
- It costs you $667 annually with USAA:
It is the fifth-largest and operates in a pattern similar to Geico and serving only to the active members of the military and veterans and serving customers as Allstate and Progressive do.
For comparing the average annual rates for 13 of the biggest auto insurers in the country: www.valuepenguin.com/best-cheap-car-insurance
How Cheapest Rate Insurers might Alter Depending on the Profile of Driver?
Car insurance is affected by a number of the following factors:
● Age Group
● Location
● History of Driving
● Financial Profile
● Vehicle
● Coverage
The ones with a history of driving and young drivers have to pay more as compared to the ones with a clean record or old drivers.
For more information visit: www.usnews.com/insurance/auto/cheapest-car-insurance-companies
Hitherto, a minimum policy of coverage can be opted for receiving respective savings on the premiums. However, the risk caused in the case of a major accident is not covered fully in it. The rates comprise full coverage in the case of an annual policy rather than providing coverage minimal level.
How to get cheap car insurance
It’s essential to compare quotes from at least three car insurance companies in order to find the best deal. Your insurance plan may be the most affordable right now, but that can change, so review it roughly once a year.
You might be able to reduce your auto insurance rates by following these tips:
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Request a discount. Chances are you aren’t taking advantage of all the savings available. Perhaps you no longer drive because you work from home and drive less than when you first purchased your policy. Tell your insurance agent that you do not drive and you may qualify for a reduced premium.
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Consider increasing your deductible. If you rarely drive or are comfortable with the financial risk, you may want to raise your collision and comprehensive deductibles. In the event of a comprehensive or collision claim, you’d owe more out of pocket if you raise your deductible.
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Be aware of when to cut coverage. If you want cheap auto insurance, don’t slash coverage. The coverage can be dropped if your car is over ten years old. A policy of this type pays out only up to your car’s current value, less your deductible.
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Take advantage of major life changes. When you undergo major life changes, you might be able to get cheaper car insurance, so shop around every time something significant occurs. Companies often offer lower rates for married couples or domestic partners.
You might also live in a neighborhood with fewer accidents and crimes. Shop around for car insurance even if you live in an area where it is more expensive.
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Obtain new quotes when your driving record improves. After an accident, a ticket, or a moving violation, shop for cheap auto insurance quotes online. These items may be removed from your driving record.
Conclusion:
Your best choice will heavily depend on your personal needs and financial situation.
Consider your car insurance needs and how they might change in the coming year. Then, choose the cheapest car insurance policy that meets those requirements.
With this guide as a starting point, you’ll be well on your way to getting the cheapest car insurance companies available.
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