For using your car for business, one of the largest considerations that determine the cost of insurance is where you keep your vehicle in Laredo. Areas with high crime rates or more dense population tend to have higher auto insurance costs, whereas areas with lower vehicle theft rates and fewer weather claims tend to receive cheaper rates.
The following table shows the most costly cities in Texas for business use in which to purchase auto insurance. Laredo shows up at #3 with the annual price of $1,889 for car insurance, which is around $157 monthly.
| Rank | City | Average Per Year |
|---|---|---|
| 1 | McAllen | $1,936 |
| 2 | Dallas | $1,911 |
| 3 | Laredo | $1,889 |
| 4 | Brownsville | $1,870 |
| 5 | Houston | $1,853 |
| 6 | Garland | $1,850 |
| 7 | Amarillo | $1,840 |
| 8 | Pasadena | $1,794 |
| 9 | Irving | $1,772 |
| 10 | Mesquite | $1,753 |
| 11 | Grand Prairie | $1,740 |
| 12 | Beaumont | $1,720 |
| 13 | Arlington | $1,709 |
| 14 | San Antonio | $1,688 |
| 15 | Lubbock | $1,682 |
| 16 | Fort Worth | $1,653 |
| 17 | Carrollton | $1,647 |
| 18 | Austin | $1,610 |
| 19 | Corpus Christi | $1,588 |
| 20 | McKinney | $1,577 |
| 21 | Plano | $1,576 |
| 22 | Waco | $1,569 |
| 23 | El Paso | $1,568 |
| 24 | Abilene | $1,545 |
| 25 | Killeen | $1,473 |
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Table data uses comparative as the garaging address in Laredo can impact premium rates substantially.
The type of vehicle that is being insured is probably the biggest factor when looking for the most affordable insurance for business use. Vehicles with lots of horsepower, poor safety ratings, or a high likelihood of having liability claims will cost much more to insure than more economical and safe models. The next list outlines coverage premiums for the most economical automobiles to buy coverage for.
| Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Volkswagen Jetta S 2.5 Station Wagon | $1,324 |
| Honda Accord LX-P 4-Dr Sedan | $1,336 |
| Toyota Prius | $1,351 |
| Ford Escape Limited 2WD | $1,366 |
| Honda CR-V EX 4WD | $1,375 |
| Ford Focus SE 4-Dr Sedan | $1,414 |
| GMC Sierra SLE Crew Cab 2WD | $1,441 |
| Chevrolet Malibu Hybrid | $1,447 |
| Jeep Wrangler Sport 4WD 2-Dr | $1,441 |
| Toyota RAV4 4WD | $1,450 |
| Honda Odyssey LX | $1,463 |
| Ford F-150 XLT Regular Cab 2WD | $1,471 |
| Ford Explorer XLT 4WD | $1,493 |
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Prices above based on single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include homeowner, safe-driver, multi-vehicle, multi-policy, and claim-free. Information does not factor in vehicle garaging location which can affect coverage rates significantly.
Based upon these rates, we can assume that vehicles like the Volkswagen Jetta, Honda Accord, and Toyota Prius are likely to be some of the more affordable vehicles to insure for using your car for business. The cost of a car insurance policy will tend to be more expensive anyway just because there is a higher risk for business use, but in general those specific models will tend to have the best insurance prices that you are likely to find.
The diagram below shows how different deductible levels can influence insurance premiums when trying to find cheap insurance for business use. The information is based on a single male driver, comp and collision included, and no discounts are applied.
The data above shows that a 40-year-old driver could save $374 a year by changing from a $100 deductible to a $500 deductible, or save $564 by using a $1,000 deductible. Even younger drivers, such as the 20-year-old chart data, could drop their prices $1,236 or even more just by choosing higher deductibles. When raising deductibles, it will be important to have plenty of money set aside to cover the extra out-of-pocket expense, which is the one inconvenience of using high deductibles.
Full coverage versus liability only rates
Finding cheaper auto insurance is the goal of most people, and one of the easiest ways to pay less for insurance for business use is to only pay for liability coverage. The information below illustrates the difference between insurance costs with full physical damage coverage compared to only buying the minimum liability limits required in Texas. The price estimates are based on a clean driving record, no claims, $1,000 deductibles, single marital status, and no discounts are applied.
As an overall average, physical damage coverage on your policy costs $1,598 per year more than just buying liability insurance. That amount may make you wonder if buying full coverage is a waste of money. There is no specific rule of when to exclude comp and collision coverage, but there is a general convention. If the yearly cost of comp and collision coverage is more than around 10% of the replacement cost minus the deductible, then it could be time to drop full coverage.
Get discounts on Laredo insurance rates
Insurance providers that provide coverage for business use may additionally offer special discounts that can lower rates by 40% or more if you meet eligibility requirements. Large auto insurance companies and their offered discounts are outlined below.
- State Farm policyholders can earn discounts including Steer Clear safe driver discount, Drive Safe & Save, anti-theft, multiple autos, accident-free, and safe vehicle.
- Esurance has savings for online quote, emergency road assistance, good student, renters, and claim free.
- Progressive discounts include continuous coverage, multi-policy, homeowner, good student, online signing, online quote discount, and multi-vehicle.
- Liberty Mutual may offer discounts for multi-car, newly retired, safety features, multi-policy, newly married, and preferred payment discount.
- Auto-Owners Insurance may have discounts that include paid in full, paperless, anti-theft, safe driver, group or association, teen driver, and company car.
- GEICO offers discounts for daytime running lights, emergency military deployment, five-year accident-free, air bags, and defensive driver.
The chart below compares car insurance rates with and without discounts applied to the policy rates. The rate quotes are based on a male driver, no tickets, no at-fault accidents, Texas state minimum liability limits, full coverage, and $500 deductibles.
The first bar for each age group shows insurance cost with no discounts. The lower bar shows the rates with safe-driver, anti-theft, accident-free, vehicle safety, passive restraint, and defensive driving course discounts applied. With discounts applied, the average amount saved each year on auto insurance for business use is 28% or $669.
How to find economical insurance for business use
It is possible to find better rates, and here are some of the recommended money-saving solutions that can help drivers buy more affordable auto insurance.
- Assess whether full coverage is needed
- Avoid preventable accidents
- Buy safe vehicles
- Increase your credit rating
- Buying home and auto together can help save money
- Compare rates and switch if you can find a better deal
The final tip is very vital, as we discussed in the prior information. Rates can change significantly in a year, so drivers shouldn’t be resistant to buy a policy from a new company if a more affordable rate is found. We understand brand loyalty, but it’s not recommended if that inflexibility results in costing you lots of hard earned cash every month. In just a couple of minutes you could compare prices to find cheaper auto insurance for business use in Laredo.
The professional agents shown below can most likely help you decide which car insurance company is the best fit, as many consumers aren’t sure which coverage to buy and prefer to have a little guidance when trying to find the best insurance rates for business use. It can be complicated to find the best coverage on your own, so professional agents can add peace of mind knowing your policy gives you adequate protection in the event of a claim.
To find an auto insurance agency in your neighborhood, click the link at the bottom.
- Insurance and Financial Services At Champions LLC
6019 McPherson Rd Ste 6 – Laredo, TX 78041 – (956) 717-5770 - Laurel Insurance
4519 San Bernardo Ave – Laredo, TX 78041 – (956) 723-3785 - Allstate Insurance Agent: Mike Cortez
201 W Del Mar Blvd Ste 16 – Laredo, TX 78041 – (956) 723-6453 - Allstate Insurance Agent: Jorge A Monsivais
414 Shiloh Dr Unit 1 – Laredo, TX 78045 – (956) 722-0087