The words "cheap" and "auto insurance" probably shouldn't be used together, especially when you are searching for the cheapest auto insurance for high risk drivers. In an attempt to save some money, let's get started by showing you a few of the factors that have a considerable impact on auto insurance rates, and come up with some ideas to slash the price of your next policy.
Comparing quotes for cost effective auto insurance is not easy, and deciding which companies quote the cheapest car insurance rates for high risk drivers requires additional perseverance. Every car insurance company uses their own formula to set premium rates, so we'll take a look at the lowest cost car insurance companies in Colorado.
Keep in mind that Colorado Springs, CO car insurance rates are impacted by many factors which can substantially decrease or increase the price you have to pay. Events like a birthday, getting divorced, or getting a ticket for running a stop sign can trigger rate changes that can cause some rates to be more expensive than competitors.
Find the Best Cheap Insurance for Risky Drivers
|Rank||Company||Cost Per Year|
|15||Colorado Farm Bureau||$1,576|
|Get a Custom Quote Go|
The Hartford offers some of the most affordable car insurance rates in Colorado Springs at around $825 annually. This is $753 less than the average rate paid by Colorado drivers of $1,578. Grange, USAA, Nationwide, and GEICO also rank well as some of the cheaper Colorado Springs, CO insurance companies.
As the example above demonstrates, if you are a customer of USAA and switched to The Hartford, you could see annual savings of approximately $204. Customers with Nationwide could save as much as $296 a year, and GEICO customers might lower prices by up to $362 a year.
Understand that those policy prices are averages across all insureds and vehicles and and are not figured with a specific vehicle garaging location for high risk drivers. So the car insurance company that is best suited for you may not even be in the top 21 companies in the list above. That points out the importance of why you need to get quotes using your own personal information and vehicle type.
The make and model of vehicle requiring insurance is probably the most important factor that determines if you can find low-priced auto insurance for high risk drivers. Vehicles with reasonable performance levels, excellent safety ratings, or low incidents of liability claims will cost much less to insure than higher performance models. The information below outlines coverage premiums for a handful of the cheaper vehicles to buy coverage for.
|Make, Model, and Trim Level||Estimated Cost for Full Coverage|
|Honda CR-V LX 4WD||$4,245|
|Ford Escape XLT 2WD||$4,255|
|Honda Accord EX-L 4-Dr Sedan||$4,739|
|Chevrolet Silverado LS Regular Cab 4WD||$4,973|
|Chevrolet Malibu Hybrid||$5,032|
|GMC Sierra SLE Regular Cab 2WD||$5,039|
|Toyota RAV4 Sport 2WD||$5,032|
|Chevrolet Impala LT||$5,037|
|Ford F-150 XLT Regular Cab 2WD||$5,091|
|Ford Edge Limited 2WD||$5,212|
|Jeep Grand Cherokee Laredo 2WD||$5,264|
|Dodge Grand Caravan Hero||$5,274|
|Compare Cheap Rates Go|
Premium data assumes single female driver age 30, two speeding tickets, two at-fault accidents, $1,000 deductibles, and Colorado minimum liability limits. Discounts applied include multi-policy, multi-vehicle, and homeowner. Rate quotes do not factor in the specific area where the vehicle is garaged which can influence insurance rates noticeably.
Based upon the table data, we can assume that makes and models like the Honda CR-V, Ford Escape, Honda Accord, Toyota Prius, and Chevrolet Silverado will definitely be some of the cheapest vehicles to insure for high risk drivers. The price of auto insurance will tend to be higher just due to the fact that there is more claim risk for high risk drivers, but in general those particular models will tend to have the lowest insurance rates available.
For high risk drivers, one of the big criteria that are looked at to determine the price you pay for insurance is where your car is garaged. Areas with more people or even just a higher incidence of claims tend to have more expensive auto insurance rates, whereas areas with lower vehicle theft rates and fewer weather claims profit from lower rates.
The information below rates the highest-priced areas in Colorado for high risk drivers to buy an auto insurance policy in. Colorado Springs is ranked at #12 with an annual rate of $1,277 for the average insurance policy, which is around $106 each month.
|Rank||City||Average Per Year|
|Get a Custom Quote Go|
Rates are estimated as the specific zip code location can affect auto insurance rates substantially.
Does it make sense to buy full coverage?
Paying a lower price for car insurance is important to the majority of people, and one easy way to find cheaper insurance for high risk drivers is to buy liability only. The information below shows the comparison of insurance prices with and without full coverage. The information is based on no accidents or driving violations, $1,000 deductibles, drivers are single, and no discounts are applied.
As an average, comprehensive and collision coverage on your policy costs $1,967 per year more than insuring for liability only. Many people question when is it safe to stop buying full coverage. There isn't a steadfast formula to exclude comprehensive and collision coverage on your policy, but there is a general convention. If the annual cost of having full coverage is about 10% or more of any settlement you would receive from your insurance company, the it may be a good time to stop paying for full coverage.
Get discounts on Colorado Springs insurance rates
Insurance companies that provide policies for high risk drivers could also offer special discounts that can reduce rates by 40% or more if you meet the requirements. A few popular companies and a selection of discounts include:
- Progressive offers premium reductions for homeowner, online signing, continuous coverage, multi-vehicle, online quote discount, and multi-policy.
- SAFECO has savings for safe driver, homeowner, anti-theft, bundle discounts, and drive less.
- American Family discounts include mySafetyValet, good driver, bundled insurance, TimeAway discount, early bird, air bags, and accident-free.
- MetLife has discounts for good student, defensive driver, claim-free, accident-free, good driver, multi-policy
- GEICO may offer discounts for five-year accident-free, multi-vehicle, air bags, anti-theft, military active duty, and defensive driver.
- The Hartford offers discounts including driver training, bundle, good student, vehicle fuel type, defensive driver, anti-theft, and air bag.
The example below shows the comparison of auto insurance rates with and without policy discounts. The premium estimates are based on a female driver, one accident and one citation, Colorado state minimum liability limits, comprehensive and collision coverage, and $500 deductibles.
The first bar for each age group shows the price with no discounts. The second shows the rates with marriage, homeowner, multiple policy, paid-in-full, passive restraint, and multiple vehicle discounts applied. When these discounts are applied, theamount saved on car insurance for high risk drivers is 28% or $896.
The information below shows how choosing a deductible can impact annual premium costs when trying to find cheap insurance for high risk drivers. Data assumes a single female driver, comp and collision included, and no additional discounts are factored in.
A 30-year-old driver could lower their car insurance rates by $318 a year by switching the physical damage coverage from a $100 deductible to a $500 deductible, or save $482 by changing to a $1,000 deductible. Even younger drivers, such as the 20-year-old example, can save as much as $706 every year just by using higher deductibles. When insureds make the decision to increase the deductibles on their policy, it is a good idea to have spare funds to enable you to pay the extra out-of-pocket expense, which is the main inconvenience of larger deductibles.
Why it's important to shop around
Colorado Springs car insurance rates are impacted by many factors that will increase or decrease the policy price. Simply getting older, moving to a new city, or getting into an accident can produce rate changes that can now make some companies more affordable than before.
Not only may your situation change, but insurance companies modify rates at least once a year to adjust for unexpected claims or profits. Larger than normal claims can cause higher prices, while lower claim expenses may cause cheaper Colorado Springs car insurance rates.
For instance, the graph below shows rates for the cheapest car insurance in Colorado Springs, CO for a 45-year-old female driver with no accidents, a clean driving record, and great credit. If we compare prices based on her current situation, The Hartford has the best car insurance rates in Colorado Springs at $1,018 annually. This is $560 less than the average policy premium paid by Colorado drivers of $1,578. Grange, USAA, Nationwide, and GEICO are also on the list of the cheapest Colorado Springs, CO auto insurance companies.
Now we will give the driver from the first example a claim surcharge, a lower credit score, and a stop sign violation. Because every insurance company has a proprietary method to determining premium rates, comparing quotes may now present a slightly different list of affordable companies as shown below.
Travelers now has the lowest car insurance rate in Colorado Springs with State Farm, Grange, American Family, and USAA now being in the top five. This demonstrates why it is so important to compare lots of rates when trying to get the most budget-friendly auto insurance rates for high risk drivers.
Insurance prices are calculated by many factors and can decrease or increase without notice, so the cheapest rate the last time you checked may now be costing you a lot of money.