The words “economical” and “auto insurance” really shouldn’t be used together, especially when searching for the cheapest coverage for low income drivers. To save some money, let’s lead off by showing you a few of the factors that have a considerable impact on insurance premiums, and see if we can help you lower the price of your next policy.
The make and model of vehicle on the policy is one of the biggest factors when comparison shopping for affordable car insurance for low income drivers. Vehicles with economical engines, excellent safety ratings, or a low likelihood of liability claims will cost quite a bit less to insure than higher performance models. The next list features coverage premiums for a number of the most economical automobiles to buy coverage for.
|Make, Model, and Trim Level||Estimated Cost for Full Coverage|
|Dodge Grand Caravan SE||$1,204|
|Ford F-150 XLT Super Cab 4WD||$1,228|
|Honda CR-V LX 2WD||$1,234|
|Ford Focus S 4-Dr Sedan||$1,244|
|Ford Edge SEL AWD||$1,249|
|Toyota RAV4 2WD||$1,270|
|Chevrolet Malibu Hybrid||$1,277|
|Toyota Tacoma Double Cab TRD Off-Road Package 4WD||$1,293|
|Hyundai Elantra GLS Touring Station Wagon||$1,317|
|Honda Accord EX 4-Dr Sedan||$1,327|
|Jeep Wrangler Unlimited Sahara 2WD 4-Dr||$1,317|
|Toyota Corolla LE||$1,336|
|Ford Escape XLT 4WD||$1,348|
|Chevrolet Equinox LTZ 2WD||$1,359|
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Data rating is based on single female driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and North Carolina minimum liability limits. Discounts applied include homeowner, claim-free, safe-driver, multi-vehicle, and multi-policy. Estimates do not factor in zip code location which can raise or lower coverage rates noticeably.
Based upon the table data, we can presume that makes and models like the Toyota Prius, Dodge Grand Caravan, and Ford F-150 are likely to be the most economical vehicles to insure for poor drivers.
One of the more important considerations that are looked at to help calculate the amount you pay for auto insurance is where you choose to live. More populated areas likely pay more, whereas areas with less people or fewer weather incidents benefit from having to pay less for coverage.
The illustration below sorts the priciest cities in North Carolina for low income drivers in which to buy car insurance. Durham is ranked #5 having an annual price of $797 on average, which is approximately $66 monthly.
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Rate information is estimated as the specific geographic location can increase or decrease coverage prices substantially.
How to get discounts on Durham car insurance
Insurers that offer cheap quotes for low income drivers may also provide special discounts that could lower prices by as much as 30% if you meet eligibility requirements. The best auto insurance companies and a selection of discounts can be read below.
- GEICO includes discounts for multi-policy, seat belt use, military active duty, anti-theft, and federal employee.
- Mercury Insurance policyholders can earn discounts including low natural disaster claims, accident-free, good driver, location of vehicle, multi-policy, anti-theft, and annual mileage.
- Farmers Insurance offers premium reductions for alternative fuel, teen driver, youthful driver, homeowner, and pay in full.
- Auto-Owners Insurance may have discounts that include multiple vehicles, paperless, anti-theft, air bags, and good student.
- Liberty Mutual has discounts for multi-policy, new vehicle discount, new move discount, multi-car, hybrid vehicle, preferred payment discount, and good student.
- SAFECO may offer discounts for safe driver, accident prevention training, teen safety rewards, homeowner, bundle discounts, and anti-theft.
- Progressive discounts include good student, multi-vehicle, online signing, homeowner, online quote discount, and multi-policy.
- USAA has savings for defensive driver, loyalty savings, annual mileage, multi-vehicle, and new vehicle.
The information below illustrates the comparison of insurance costs with and without discounts applied. The rates are based on a male driver, a clean driving record, no at-fault accidents, North Carolina state minimum liability limits, comprehensive and collision coverage, and $250 deductibles.
The first bar for each age group shows the price with no discounts. The lower bar shows the rates with homeowner, safe-driver, multiple policy, accident-free, multiple vehicle, and marriage discounts applied. When these discounts are applied, the average amount saved each year on auto insurance for low income drivers is 27% or $398.
Violations and accidents raise rates
In a perfect world, the best way to receive cheap auto insurance premiums in Durham for poor drivers is to be a careful driver and avoid accidents and traffic citations. The chart below demonstrates how speeding tickets and at-fault fender-benders can influence insurance costs for each different age category. The data is based on a married male driver, full physical damage coverage, $1,000 deductibles, and no discounts are taken into consideration.
The chart shows that the average cost of a car insurance policy in North Carolina per year with no accidents or violations is $897. Get written up for two speeding tickets and the average cost hikes up to $1,227, an increase of $330 each year. Now throw in one accident along with the two speeding tickets and the annual cost of auto insurance for low income drivers goes up to an average of $1,562. That’s an increase of $665, or $55 per month, just for not being a responsible driver!
Comparing rates can save you money
Durham auto insurance rates are impacted by many factors which can significantly increase or decrease the cost of your policy. Simply having a birthday, moving across town, or getting a speeding ticket may generate price changes that can now make some companies more affordable than the competition. In addition to those changes, insurers modify rates at least once a year in order to be able to pay unexpected claims. Unexpectedly high claims may cause additional premium costs, while a better claims history may produce cheaper Durham car insurance rates.
The data below demonstrates which company has the cheapest car insurance in Durham, NC for a 30-year-old female driver with no prior accidents, a clean driving record, and excellent credit. If we compare prices based on her personal risk profile, Utica National offers the most affordable car insurance rates in Durham at $748 each year. This is $124 less than the average premium paid by North Carolina drivers of $872. Progressive, Liberty Mutual, NC Farm Bureau, and Penn National are also included in the top five cheapest Durham, NC auto insurance companies.
In the next rate comparison, we’ll give the driver in the first example an at-fault accident, slightly worse credit, and a few traffic violations. Due to the fact that every insurance company has a different formula for determining rates in each state, comparing prices may now show a slightly different list of the cheapest companies as shown below.
Titan now has the cheapest rate in Durham, NC with State Farm, Auto-Owners, National General, and Allied also being competitive. This example demonstrates why Durham drivers need to shop around with many companies when trying to get the most budget-friendly auto insurance rates for low income drivers. Rates are made up of many different factors and change frequently, so the most economical option the last time you shopped around may now be quite expensive.
How to find cheaper car insurance for low income drivers
It is possible to find better rates, and here are some penny-pinching ideas that can help Durham drivers quote cheaper auto insurance.
- Multi-policy discounts save money
- Good credit scores may make rates cheaper
- Do not get tickets or violations
- Avoid preventable accidents
- Higher deductibles mean lower rates
- Avoid price increases by not filing claims
- Comparison shop at least every other year
That last piece of advice is especially valuable, as was pointed out in this piece. Insurance prices in Durham can change significantly in a year, so drivers shouldn’t be reluctant to change insurance companies if a better deal can be had.
Staying with the same company for years is fine, but it’s not a great idea if that dedication is costing money that could be spent on other things. Now is a great time to compare rates to find cheaper car insurance for low income drivers.
If you aren’t sure which coverage to buy and prefer to have a little guidance when comparing insurance rates for poor drivers, the agents listed below can probably help you decide which insurance coverage will be best for you.
To find an agent by location nearest to you, click the button at the bottom of the list or click here to compare prices now.
- Triangle Insurance Alliance
2530 Meridian Pkwy #300 – Durham, NC 27713 – (919) 322-3640
- Tracey Stidham – State Farm Insurance Agent
3622 Shannon Rd #102 – Durham, NC 27707 – (919) 401-6147
- Allstate Insurance Agent: Ella Latreille
2005 N Pointe Dr Ste 3 – Durham, NC 27705 – (919) 479-2077
- Shawn Cockerham – State Farm Insurance Agent
5518 NC-55 – Durham, NC 27713 – (919) 316-3276