Buying car insurance can be a daunting task, but it doesn't have to be. In fact, if you're willing to learn a little bit about the industry, you can pick up a few tips that can help you make a more informed decision. Here are five of the cheapest car insurance companies in the US.
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Erie Insurance
Whether you're looking for home insurance, car insurance, or business insurance, Erie Insurance offers you a wide variety of coverage options. And they have the financial strength to stand up to your claims.
For example, their first accident forgiveness endorsement means that you don't have to pay a surcharge after your first accident. And they also offer a discount for safe driving. You can get a reduction of your deductible if you don't file any accidents or traffic violations for three years.
Erie is also an affordable option if you're a teen driver. They offer a special discount for young drivers ages 21 and under who live with their parents. This means that you can save up to $11 a month when you buy an auto insurance policy from them.
USAA
Whether you're a veteran, a military member, or a civilian driver, USAA is one of the cheapest car insurance companies. It is also a reputable company with excellent financial strength. Its headquarters are in San Antonio, Texas.
USAA offers several types of insurance policies, including auto, life, property, and commercial. It also provides a discount for those who bundle several policies. Using a mobile app, you can access information about your policy, report a claim, or make a payment. Among its other features are banking, real-time stock quotes, and a digital voice assistant.
For good drivers, USAA offers a discount that can save you 30% on your insurance bill. They call it the SafePilot program. It tracks your driving habits via a mobile app. You can use it to track your braking, time of day, and miles driven.
GEICO
GEICO is a top-rated car insurance company in most states. They offer competitive rates and a wide array of discounts and products. It's worth shopping around to find the best deal.
Depending on where you live, the cheapest insurer will be different. For example, drivers in a small town will pay less than those in Miami.
The cheapest car insurance company also varies by state. For example, in Michigan, Chubb will cost $585 a year for minimum coverage. However, GEICO's state-minimum coverage is only 38% cheaper than the national average.
Insurers evaluate your risk by looking at your credit score and financial strength of your credit account. If you have a poor credit score, you'll likely pay more for your policy. You can lower your premium by raising your credit score.
Hugo
Using a telematics device is a great way to save money on car insurance. There are many insurance companies that offer a discount for telematics users. Depending on the company, you could earn multiple discounts.
It's a good idea to compare quotes from multiple companies. This can save you a lot of time.
You should also consider your zip code to determine which insurance company will give you the best price. If you live in a large metro area, you may pay more for your car insurance. This can be due to heavier traffic and an increase in uninsured motorist claims. In general, if you have a good driving record, you'll likely pay less for full coverage insurance.
Commonwealth Casualty
Located in Phoenix, Arizona, Commonwealth Casualty provides affordable car insurance coverage. The company also offers a variety of other products and services.
The company is a relative newcomer in the insurance industry. It was founded in 2010 and primarily serves Arizona. Despite this, the company has received an A+ rating from the Better Business Bureau.
Commonwealth Casualty car insurance is sold through faceless websites and agents across Arizona. However, the company also operates in Texas and Ohio. This may make it a good option for people who prefer to work with an agent.
The company offers standard car insurance policies with a few discounts. The company also offers a multi-policy discount, which lowers your auto insurance rates. In addition, it has a vanishing deductible program. This program lowers your deductible by $100 each year you do not file a claim.
Dairyland, Clearcover, and Mercury
Having been in business for over 60 years, Dairyland is a Midwest-based auto insurance company. It offers affordable car insurance for drivers in 37 states. It also has a wide range of discounts, as well as solid add-on options.
Although it is a smaller insurer, Dairyland offers a variety of services that make it stand out. This includes a mobile app, a 24-hour call center, and a list of available discounts. It also has a decent selection of add-ons, including roadside assistance, medical payments, and anti-theft devices.
It's important to keep in mind that while Dairyland is a great company, it does have a reputation for high rates and customer service issues. While it may not be the best company for high-risk drivers, it is certainly worth considering if you're having trouble finding insurance.