Wouldn’t life be great if we could wave our magic wand and tell you the one best company that has the most affordable coverage for low mileage drivers? Unfortunately, it’s just not that easy, as there are a whole bunch of unknown factors like how old you are, if you have points on your license, whether or not your vehicle has good safety ratings, and your credit history. If you keep reading, we will teach you about the best ways to save money and will hopefully give you a good beginning to your search for cheaper coverage.
One of the more important factors that are used to help calculate the amount you pay for auto insurance is where you normally keep your vehicle. Cities with larger populations or higher claim trends tend to pay slightly more, whereas more rural areas receive better rates.
The illustration below lists the most expensive areas in Texas for low mileage drivers to purchase auto insurance in. Laredo is ranked #3 with the annual price of $1,889 for the average policyholder, which is about $157 monthly.
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Premium costs are approximated as the specific area where the vehicle is garaged can revise insurance rates considerably.
The make and model of vehicle requiring insurance is probably the largest consideration when trying to find cheap car insurance for low mileage drivers. Vehicles with more horsepower, a lack of advanced safety features, or a high likelihood of having liability claims will cost quite a bit more to insure than more economical and safe models. The data below shows coverage prices for a number of the cheapest automobiles to buy insurance for.
|Vehicle Insured||Estimated Cost for Full Coverage|
|Ford Escape XLS 2WD||$1,220|
|Honda Accord LX 4-Dr Sedan||$1,336|
|Honda CR-V EX 4WD||$1,366|
|Ford Focus S 4-Dr Sedan||$1,414|
|Ford Edge SEL 2WD||$1,422|
|Chevrolet Malibu Hybrid||$1,441|
|Jeep Wrangler Unlimited Sport 2WD 4-Dr||$1,458|
|Honda Civic LX 4-Dr Sedan||$1,493|
|Ford F-150 STX Regular Cab 4WD||$1,503|
|Dodge Grand Caravan SE||$1,493|
|Chevrolet Impala LTZ||$1,521|
|Chevrolet Silverado LS Extended Cab 2WD||$1,546|
|Jeep Grand Cherokee SRT-8 4WD||$1,548|
|Toyota Tacoma 4WD||$1,551|
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Data rating is based on single male driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include claim-free, multi-vehicle, safe-driver, multi-policy, and homeowner. Estimates do not factor in specific zip code location which can change prices greatly.
Based upon these rates, makes and models like the Ford Escape, Honda Accord, and Honda CR-V will definitely be the most budget-friendly vehicles to insure for infrequent drivers.
Comparing quotes for affordable insurance is not most people’s favorite thing to do, and finding out which company offers the most affordable insurance rates for low mileage drivers may require additional perseverance. Every insurance company uses different criteria for determining prices, so we’ll take a look at the most affordable insurance companies in Laredo, TX.
Find the Cheapest Car Insurance in Texas
|Rank||Company||Cost Per Year|
|3||Texas Farm Bureau||$1,235|
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Travelers may have some of the cheapest car insurance rates in Laredo at around $1,010 annually. This is $894 less than the average rate paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and California Casualty also are some of the cheapest Laredo, TX auto insurance companies.
As shown above, if you are a customer of Germania Mutual and switched to Travelers, you could earn annual savings of approximately $284. Policyholders with California Casualty could save as much as $372 a year, and Esurance insureds might see rate reductions of $397 a year.
Remember that these policy rates are averages across all drivers and vehicles in Texas and do not factor in a specific zip code for low mileage drivers. So the insurer that is best for you may not even be in the list above. That emphasizes why you need to get auto insurance quotes using your own specific driver information and vehicle.
The illustration below illustrates how choosing a deductible can impact insurance costs when searching for cheap insurance for low mileage drivers. The premiums are based on a married male driver, comprehensive and collision coverage, and no discounts are applied to the premium.
The data above shows that a 40-year-old driver could save $358 a year by increasing from a $100 deductible up to a $500 deductible, or save $540 by using a $1,000 deductible. Younger drivers, like the Age 20 chart data, have the ability to save up to $1,206 annually just by using higher deductibles. If you do make the decision to raise your deductibles, it is important to have enough savings set aside to be able to pay the extra out-of-pocket expense, which is the main inconvenience of larger deductibles.
Does it make sense to buy full coverage?
Buying cheaper insurance should be important to the majority of people, and one of the fastest ways to buy cheap insurance for low mileage drivers is to only buy liability coverage. The diagram below compares insurance prices with liability coverage only compared to full coverage. The data assumes no driving violations, no at-fault accidents, $100 deductibles, drivers are not married, and no discounts are applied to the premium.
If averaged out across all ages, full coverage on your policy costs an extra $2,922 per year more than just insuring for liability. A very common question is when is it safe to stop buying full coverage. There is no written rule to delete full coverage, but there is a general guideline. If the yearly cost for physical damage coverage is about 10% or more of any settlement you would receive from your insurance company, then it may be the right time to buy liability only.
There are a few situations where eliminating full coverage is not recommended. If you have an outstanding loan on your vehicle, you must maintain physical damage coverage to protect the lienholder’s interest in the vehicle. Also, if you can’t afford to buy a different vehicle in the event your current vehicle is totaled, you should not remove full coverage.
Discounts on Laredo car insurance rates
Insurance companies that sell policies for low mileage drivers could also offer special discounts that can lower rates by as much as 25% or more if you can meet the requirements. The best insurance companies and some of their more popular discounts can be found below.
- State Farm may have discounts that include Steer Clear safe driver discount, passive restraint, multiple autos, multiple policy, driver’s education, accident-free, and good student.
- GEICO has discounts for multi-policy, daytime running lights, military active duty, anti-theft, membership and employees, emergency military deployment, and anti-lock brakes.
- Progressive policyholders can earn discounts including homeowner, multi-policy, continuous coverage, online quote discount, multi-vehicle, online signing, and good student.
- 21st Century includes discounts for driver training, student driver, 55 and older, defensive driver, air bags, and automatic seat belts.
- American Family offers discounts for defensive driver, multi-vehicle, good driver, Steer into Savings, mySafetyValet, and air bags.
- The Hartford offers premium reductions for air bag, driver training, defensive driver, vehicle fuel type, bundle, good student, and anti-theft.
- AAA has savings for good driver, multi-car, pay-in-full, good student, AAA membership discount, education and occupation, and multi-policy.
The information below compares insurance rates with and without discounts being applied to the rates. The rates are based on a male driver, no violations or accidents, Texas state minimum liability limits, full coverage, and $250 deductibles.
The first bar for each age group shows the price with no discounts. The second shows the rates with vehicle safety, anti-theft, multiple policy, multiple vehicle, safe-driver, and defensive driving course discounts applied. When discounts are applied, theamount saved on insurance for low mileage drivers is 28% or $552.
How to find budget-friendly car insurance for low mileage drivers
The list below summarizes some of the recommended money-saving solutions that can help drivers quote lower-cost car insurance.
- Frequent claims will increase rates
- Bundle home or renters insurance to earn a discount on car insurance
- Do not insure for full coverage
- Do not get tickets or violations
- Avoid accidents
- Safer vehicles cost less to insure
- Comparison shop at least once a year
The last suggestion is extraordinarily critical, as we stressed in this article. Rates can change significantly in a year, so don’t be hesitant to buy a different policy if you find a better deal. Many consumers stick with the same company and that’s fine, but it’s not a great idea if that loyalty ends up costing thousands of dollars over the life of your policy. In just a couple of minutes you could compare prices and find cheaper insurance for low mileage drivers in Laredo.
The agents listed below can aid you in deciding which coverages are best, as lots of drivers aren’t clear which coverage they need and would like to get some help when comparing insurance rates for infrequent drivers. It’s not always easy to find the best coverage on your own, so insurance agents licensed in the state of Texas can provide you satisfaction knowing your policy gives you enough protection.
To locate a Laredo car insurance agency in your neighborhood, click the button at the bottom or click here to compare price quotes now.
Anabella Herbig – State Farm Insurance Agent
315 Calle Del Norte Dr #103 – Laredo, TX 78041 – (956) 725-1617
J and E Insurance
1701 S Malinche Ave – Laredo, TX 78046 – (956) 791-1633
SafeGuard Insurance Agency
104 E Calton Rd Ste 101 – Laredo, TX 78041 – (888) 552-4368
Allstate Insurance Agent: Powell-Watson Insurance Group
6301 Arena Blvd Ste A – Laredo, TX 78041 – (956) 764-4399
Allstate Insurance Agent: Luis Cardenas
1418 E Saunders St Ste 1 – Laredo, TX 78041 – (956) 726-8944