UPDATED: APRIL 27, 2023 | 3 MIN READ
Finding the best auto insurance in your area is just a matter of getting auto insurance quotes from car insurance providers, and you can do it online. The best rates will depend on several factors, such as what type of coverage you need, who’s driving, whether they have clean driving records and your credit score.
All of these factor into auto insurance policies. Check online reviews for customer satisfaction rates too.
Minimum insurance coverage options
Be aware of your state’s minimum coverage requirements. Minimum coverage on auto insurance policies means that it just covers property damage liability and sometimes personal injury protection for you. It will not cover damages to your vehicle.
Property damage liability
Property damage liability will cover the other vehicle and occupants if you’re in an at-fault accident. Liability coverage will include payment for the damaged property and bodily injury liability coverage for injuries sustained in the accident. Property damage liability is the minimum coverage requirement in most states that only covers the other person but not yourself.
Personal injury protection
Some states also require that a minimum coverage car insurance policy includes PIP. Most no-fault auto insurance states have this requirement. PIP will cover your injury in any accident. It does not matter who is at fault in the accident.
Full coverage insurance options
Full motorist coverage, referred to as full coverage car insurance, will include coverage limits that will pay for damages to your vehicle if you’re in an accident and any injuries to you when you’re at fault.
The coverages include property damage, personal injury protection, collision coverage, and comprehensive coverage. You can also add rental cars, roadside assistance, and uninsured or underinsured coverage.
Collision and comprehensive coverage
Collision and comprehensive coverage is part of the auto insurance policy that pays for your vehicle’s damage after you meet the deductible.
Uninsured and underinsured coverage
Uninsured auto coverage will pay for your vehicle’s damage if you’re in an accident with an uninsured motorist. Underinsured coverage pays for your vehicle’s damage over and above if the other motorist at fault doesn’t have high enough auto insurance limits to pay for all of the damage.
Who is driving?
There are several factors that auto insurance providers look at when covering drivers. Do you have a clean driving record? Were there speeding tickets or accidents in your driving history in the last three to five years? Do you have young drivers or teen drivers? Your credit score also plays a factor in getting the cheapest car insurance. Do you have good credit or poor credit?
Driving history
If you have had any speeding tickets or accidents, they will impact your car insurance premiums for several years, depending on the state where you’re getting auto insurance. Most can stay on your driving record for up to five years. However, it can be much longer if you have had a DUI.
Teen drivers and young drivers
Young drivers are considered more high risk than older, more experienced drivers. Policyholders will pay a higher auto insurance premium for drivers under twenty-five years old. Once a driver reaches twenty-five years old, you will receive lower affordable rates.
Credit score
According to Equifax, credit scores from 580 to 669 are generally considered fair; 670 to 739 are considered good; 740 to 799 are considered very good, and 800 and up are considered excellent. Auto insurance companies will review your credit score and use it to decide your auto insurance rates.
Ways to reduce your auto insurance premium
- Discounts – bundle your homeowners’ insurance or renters’ insurance policies with the same company as your auto insurance. If you have a newer model car, list all of your vehicle’s safety equipment for more discounts.
- Choose the highest deductibles you can easily afford if there is an accident.
- Take a driver safety course.
- Review your car insurance policy limits with an auto insurance agent to get the best coverage for you.
FAQs
How do I choose the best car insurance?
You should check online for the car insurance company’s reviews. You will be able to find their customer satisfaction ratings as well as get auto insurance quotes.
Which car insurance company has the lowest prices?
Basically, all car insurance companies claim to have the lowest prices. Geico, USAA, and State Farm have ranked as the auto insurance providers that consistently seem to have the most affordable rates.
What’s the most reliable car insurance?
USAA has the highest ratings for reliability. However, you must be either active or retired military personnel or directly related to them to purchase USAA auto insurance policies. If you don’t meet these requirements, State Farm is a close second.
These companies are more likely to renew policies and are referred by their policyholders to others. GEICO, Progressive, and Allstate follow them in the rankings, according to a 2022 survey.
How do I get the best auto quote?
Compare the auto insurance companies by getting quotes. Ensure that each auto insurance provider uses the same coverage limits, deductibles, and discounts when getting quotes.
How do I find the best car insurance company?
By reviewing their history of customer satisfaction and reading the comments left by other auto insurance policyholders, you will get a good idea of whether the insurance company would be the best for you.
How much does car insurance cost?
Car insurance cost is dependent on coverage limits, who’s driving, credit score, type of vehicle, and location. Basically, there are no average rates; auto insurance can range from $60.00 a month to hundreds per month per vehicle. The auto insurance rates vary with each person insured.
What are the differences between liability insurance and collision insurance?
Liability insurance is the amount paid to others for damage and injury for which you’re found responsible. For example, the coverage of 25/50/25 will cover $25,000 per person in property liability damage up to $50,000 total per incident.
It also covers up to a total of $25,000 for injuries per incident. Collision coverage insurance is the amount paid to cover your vehicle (minus the deductible) in an accident.
In conclusion, to find the best auto insurance near you, you must research. All auto insurance providers will claim to have the cheapest car insurance rates, but are they the most reliable?
You should compare several car insurance quotes and make an informed decision before settling on affordable car insurance for your family. You can start with our online tools today!
