Different companies offer different car insurance quotes as it suits them and packages that come with the coverage plan. To this end, we have researched car insurance prices across the country for different driver profiles and coverage levels to source the cheapest rates.
The best cheap car insurance for 2020 will typically have the following characteristic: carry the minimum coverage required in your state. This implies the liability insurance only, which covers property damage and medical bills for others due to accidents caused by you. Some states may also require uninsured and underinsured motorist coverage, which pay for your injuries or damage if an at-fault driver does not have enough insurance.
Which is the cheapest car insurance company?
The seven-card insurance companies we will be reviewing in this article Allstate, Farmers, Geico, Liberty Mutual, Progressive, and State Farm. These seven car insurance companies make up more than 65% of the U.S. market for individual auto policies and are available to anyone, and USAA, the insurer for active military members, veterans as well as their families.
The cheapest large car insurance companies – Best Car Insurance Rate
Geico is one of the cheapest car insurance companies, with an annual rate of $1,198 per year for good drivers. It also is one of the cheapest insurers for drivers with a recent at-fault accident at an average rate of $1,888 per year, drivers with bad credit, with an average annual rate of $1,748, and minimum coverage insurance, with an average rate of $478 per year.
Allstate is also an affordable car insurance company with an average annual rate of $1,834 for good drivers. It is also the cheapest for drivers with a recent at-fault amongst the largest car insurance companies, at an average of $2,904 yearly.
Liberty Mutual is also a cheap car insurance company with an average rate of $1,778 per year for good drivers and is also the cheapest insurer for drivers with bad credit, displaying an average rate of $2,497 per year.
Farmers is one of the most expensive of the large car insurance company with an average rate of $1,865 per year for good drivers who are purchasing full coverage. It is also the most expensive of the large insurers for minimum coverage, displaying an average rate of $926.
Progressive comes with an average rate of $1,766 per year for good drivers which makes it one of the cheapest car insurance companies. It’s average rates for drivers with an at-fault accident, $2,980 per year, and for those with poor credit, $3,238.
With an average annual rate of $1,511, State Farm is one of the cheapest car insurance companies in our list. It is an ideal car insurance company for drivers with a recent at-fault crash with an average annual rate of $1,968.
This car insurance company is only available to active military, veterans as well as their families. USAA is also one of the cheapest car insurance company out there with an average rate of $1,925 per year, and an average annual rate of $1,023 for good drivers, $1,482 for drivers with a recent at-fault crash and $415 for minimum coverage.
How to compare quotes to get the cheapest possible insurance
Here are tips that can help you save on your policy;
Scout for companies that offer discounts or ask for one. There could be discounts you are not taking advantage of which might get you a low-mileage discount. Ensure you ask for all available discounts when you are getting car insurance quotes, to save more on your policy.
Knowing when to cut coverage also matters, as you will be needing full coverage car insurance to satisfy the terms of an auto loan, and you will need it as long as your car would be a financial burden to replace.
You can also think of a higher collision and comprehensive deductible which might come in handy if you rarely drive or are comfortable with the financial risk.
Take advantage of major life changes for certain life events which could translate to cheaper car insurance.