You have surely seen all the catchy advertisements from insurers like Farmers, GEICO, and The General claiming enormous savings, so drivers should just choose any of them, right?
It’s not that easy, however, as there are a lot of unknown elements like if you own or rent your home, what coverage limits you need, if you are married, and whether or not you are currently insured, that all factor into the price you pay. We are going to cover the best ways to avoid high prices and hopefully give you enough understanding to have a good start in finding the cheapest car insurance in Texas.
The vehicle you are seeking coverage for is a significant factor when quoting cheaper car insurance for 16 year olds. Vehicles with average performance, modern passenger safety features, or a low likelihood of liability claims will cost much less to insure than adrenaline junky models. The information below showcases car insurance prices for a number of the more affordable automobiles to insure.
| Vehicle Insured | Estimated Cost for Full Coverage |
|---|---|
| Ford Escape XLT 2WD | $4,783 |
| Honda Accord LX 4-Dr Sedan | $4,788 |
| Honda CR-V EX-L 2WD | $4,826 |
| Toyota Prius | $5,159 |
| Dodge Grand Caravan SE | $5,378 |
| Ford Edge SEL 2WD | $5,627 |
| Chevrolet Impala LS | $5,633 |
| Ford Focus S 4-Dr Sedan | $5,627 |
| Chevrolet Malibu LS | $5,669 |
| Toyota RAV4 2WD | $5,677 |
| Nissan Altima 2.5 4-Dr Sedan | $5,669 |
| Ford Fusion S 4-Dr Sedan | $5,679 |
| Ford Explorer Eddie Bauer 4WD | $5,712 |
| Hyundai Elantra Blue 4-Dr Sedan | $5,916 |
| Toyota Tacoma X-Runner 2WD | $5,958 |
| Honda Odyssey EX-L W/Rear Entertainment | $5,968 |
| Toyota Camry XLE | $5,958 |
| Volkswagen Jetta SE 4-Dr Sedan | $6,000 |
| Ford F-150 Lariat Crew Cab Platinum 2WD | $6,007 |
| Toyota Corolla XRS | $6,000 |
| Start a Quote Go | |
Above prices assume single female driver age 16, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include safe-driver, and claim-free. Prices do not factor in specific Laredo, TX garaging location which can impact prices substantially.
Looking at the rates, you can presume that makes and models like the Ford Escape, Honda Accord, and Honda CR-V are most likely going to be some of the more affordable vehicles to insure for new drivers. The cost of a car insurance policy will be more expensive just due to the fact that there is more liability risk for 16 year olds, but in general those makes and models will probably have the best rates possible.
Finding out which companies have the lowest-priced car insurance rates for 16 year olds involves a bit more effort than just comparing rates from one or two companies. Every insurance provider has a unique approach for setting prices, so let’s examine the lowest cost car insurance companies in Laredo, TX.
Cheapest Insurance Rates for Teens
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Travelers | $1,052 |
| 2 | USAA | $1,095 |
| 3 | Texas Farm Bureau | $1,199 |
| 4 | Germania Mutual | $1,282 |
| 5 | Esurance | $1,365 |
| 6 | California Casualty | $1,396 |
| 7 | State Farm | $1,510 |
| 8 | Mercury | $1,521 |
| 9 | Nationwide | $1,538 |
| 10 | Safe Auto | $1,613 |
| 11 | Progressive | $1,664 |
| 12 | Allstate | $1,718 |
| 13 | Amica | $1,757 |
| 14 | Home State | $2,071 |
| 15 | GEICO | $2,156 |
| 16 | MetLife | $2,227 |
| 17 | Encompass | $2,232 |
| 18 | Unitrin | $2,310 |
| 19 | 21st Century | $2,469 |
| 20 | Titan | $2,594 |
| Get a Custom Quote Go | ||
Travelers generally has some of the lowest car insurance rates in Laredo at around $1,052 each year. USAA, Texas Farm Bureau, Germania Mutual, and Esurance also make the cut as some of the most economical Laredo, TX insurance companies.
In this example, if you are currently insured with Germania Mutual and switched to USAA, you could earn savings of in the vicinity of $187. Insureds with Esurance could save as much as $270 a year, and California Casualty insureds might reduce prices by as much as $301 a year.
To find cheaper insurance rates for your vehicle, click here to start your custom quote or visit any of the companies below.
Remember that these premiums are averages for all types of insureds and vehicles and do not factor in a specific vehicle garaging location for 16 year olds. So the auto insurance company that can offer you the lowest price may not even be in the list above. That is why you need to compare as many prices as possible using your own driver and vehicle profiles.
One of the more important factors that help determine the cost of insurance is where you keep your car in Laredo. Areas with more people or higher crime rates tend to pay more, whereas more rural areas benefit from having to pay less for coverage.
The next table rates the most costly cities in Texas for 16 year olds to buy auto insurance in. Laredo is listed at #3 with the yearly price of $1,907 for the average policy, which is around $159 monthly.
| Rank | City | Average Per Year |
|---|---|---|
| 1 | McAllen | $2,016 |
| 2 | Brownsville | $1,927 |
| 3 | Laredo | $1,907 |
| 4 | Dallas | $1,893 |
| 5 | Houston | $1,835 |
| 6 | Mesquite | $1,825 |
| 7 | Grand Prairie | $1,793 |
| 8 | Amarillo | $1,786 |
| 9 | Garland | $1,778 |
| 10 | Pasadena | $1,740 |
| 11 | Irving | $1,736 |
| 12 | Beaumont | $1,720 |
| 13 | San Antonio | $1,688 |
| 14 | Lubbock | $1,682 |
| 15 | Fort Worth | $1,670 |
| 16 | Arlington | $1,658 |
| 17 | Corpus Christi | $1,636 |
| 18 | El Paso | $1,632 |
| 19 | McKinney | $1,625 |
| 20 | Austin | $1,610 |
| 21 | Carrollton | $1,598 |
| 22 | Plano | $1,576 |
| 23 | Abilene | $1,561 |
| 24 | Waco | $1,522 |
| 25 | Killeen | $1,473 |
| Start a Quote Go | ||
Rate information is estimated as the specific garaging location can lower or raise rates significantly.
Get discounts on Laredo car insurance rates
Auto insurance companies that offer coverage for 16 year olds could also offer price discounts that could reduce prices by as much as 25% or more if you are eligible for them. Popular car insurance companies and the discounts they provide can be read below.
- State Farm has savings for passive restraint, driver’s education, accident-free, good driver, safe vehicle, and student away at school.
- Nationwide offers premium reductions for accident-free, family plan, good student, multi-policy, easy pay, anti-theft, and business or organization.
- GEICO offers discounts including air bags, seat belt use, military active duty, federal employee, driver training, daytime running lights, and anti-lock brakes.
- AAA may offer discounts for anti-theft, multi-policy, good driver, good student, multi-car, pay-in-full, and education and occupation.
- 21st Century offers discounts for teen driver, 55 and older, early bird, student driver, and air bags.
- The Hartford has discounts for anti-theft, good student, bundle, vehicle fuel type, air bag, and defensive driver.
The example below illustrates the difference between insurance premiums with and without discounts. The data assumes a female driver, no claims or driving citations, Texas state minimum liability limits, full coverage, and $100 deductibles.
The first bar for each age group shows the average annual price with no discounts. The second shows the rates with passive restraint, continuous coverage, paid-in-full, paperless filing, anti-theft, and good student discounts applied. When discounts are applied, theaverage amount saved on car insurance for 16 year olds is 28% or $992.
Finding the best car insurance provider is difficult considering how many companies sell insurance in Laredo. The company rank data below can help you analyze which insurers to look at when comparing auto insurance rates for 16 year olds. These ratings are for companies with a national presence, so smaller companies are not taken into consideration for the list.
Top 10 Major Auto Insurance Providers in Laredo Ranked by Customer Satisfaction
- USAA – 91%
- AAA Insurance – 90%
- Esurance – 90%
- Mercury Insurance – 89%
- Nationwide – 89%
- Travelers – 88%
- Progressive – 88%
- Safeco Insurance – 88%
- State Farm – 88%
- Allstate – 88%
Accidents and violations increase rates
The easiest way to score cheap car insurance premiums in Laredo for new drivers is to drive safely and avoid traffic citations and accidents. The diagram below illustrates how speeding tickets and at-fault fender-benders can affect yearly insurance costs for each age group. The rates are based on a single female driver, full coverage, $250 deductibles, and no discounts are taken into consideration.
In the previous example, the average cost of a car insurance policy in Laredo per year with a clean driving record and no accidents is $1,899. Receive one speeding ticket and the average cost surges to $2,152, an increase of $253 each year. Now add two accidents along with the one speeding ticket and the annual cost of car insurance for 16 year olds increases to an average of $4,338. That’s an increase of $2,439, or $203 per month, just for not driving attentively!
How to find budget-friendly car insurance for 16 year olds
It’s not impossible to find cheaper rates, and here are a few money-saving suggestions that can help Laredo drivers buy cheaper auto insurance.
- Increase the comprehensive and collision deductibles on your policy
- Avoid price increases by not filing claims
- Buy vehicles with good safety ratings
- Do not pay for full coverage if not needed
- Buy your homeowners policy from the same company as your auto insurance
- Increase your credit score
- Shop your coverage around for the best deal
The final tip is very critical, as was pointed out in the prior information. Insurance rates fluctuate considerably, so you should be ready to change to a new company if a cheaper price is available. Brand loyalty is great, but it isn’t a good idea if it’s costing you thousands of dollars over several years. It takes less than five minutes to compare rates and find cheaper auto insurance for 16 year olds in Laredo.