The words “bargain” and “auto insurance” really shouldn’t be used in the same sentence, specifically when shopping around for the lowest insurance prices for low mileage drivers. In an attempt to save some money, let’s take a look at a few of the factors that help determine car insurance rates, and figure out some ideas to cut the cost of your next policy.
The car, truck, or SUV you are buying coverage for is one of the primary factors when looking for cheap auto insurance for low mileage drivers. Vehicles with more horsepower, poor safety ratings, or a history of substantial liability claims will cost much more to insure than more modest models. The information below features car insurance rates for a number of the most economical vehicles to buy coverage for.
|Vehicle Insured||Estimated Cost for Full Coverage|
|Honda Accord LX 4-Dr Sedan||$1,203|
|Chevrolet Impala LS||$1,395|
|Ford Edge SEL AWD||$1,400|
|Ford Escape Limited 2WD||$1,410|
|Toyota RAV4 4WD||$1,422|
|Honda Civic VP 4-Dr Sedan||$1,470|
|Toyota Corolla S||$1,497|
|Honda CR-V EX 4WD||$1,512|
|Ford Fusion Sport 4-Dr Sedan||$1,525|
|Volkswagen Jetta SE 4-Dr Sedan||$1,535|
|Jeep Grand Cherokee Limited 2WD||$1,525|
|Nissan Rogue SL 2WD||$1,530|
|Dodge Grand Caravan SE||$1,547|
|Ford F-150 FX2 Super Cab 2WD||$1,553|
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Data rating is based on single female driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Colorado minimum liability limits. Discounts applied include homeowner, claim-free, multi-vehicle, safe-driver, and multi-policy. Rates do not factor in specific location information which can increase or decrease rates significantly.
Looking at the data, we can expect vehicles like the Honda Accord, Toyota Prius, Chevrolet Impala, and Ford Edge will definitely be some of the less-costly vehicles to insure for infrequent drivers.
Deciding which company has the most affordable insurance rates for low mileage drivers calls for more work in order to find the best price. Each company has a proprietary formula for determining rates in each state, so let’s look at the rankings for the most competitive insurance companies in Colorado.
We do need to point out that Colorado Springs, CO insurance rates are determined by lots of factors that may substantially change your annual premium. Turning one year older, adding a teenager to your policy, or getting into an accident may generate price changes that can make some companies more affordable than before.
Find the Best Cheap Insurance in Colorado
|Rank||Company||Cost Per Year|
|15||Colorado Farm Bureau||$1,624|
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The Hartford may offer some of the most affordable car insurance rates in Colorado Springs at around $825 per year. This is $753 less than the average price paid by Colorado drivers of $1,578. Grange, USAA, Nationwide, and Auto-Owners also rank well as some of the most economical Colorado Springs, CO auto insurance companies.
In this example, if you have coverage with USAA and switched to The Hartford, you could realize a yearly price reduction of in the vicinity of $174. Drivers with Nationwide might save as much as $318 a year, and Auto-Owners customers might lower prices by up to $343 a year.
To compare your rates to other Colorado insurance companies, click here to begin a quote or visit several of the following companies.
Remember that these policy rates are averaged for all insureds and vehicles and do not take into consideration an exact location for low mileage drivers. So the insurer that fits your age and vehicle best may not even be in the top 21 companies in the list above. That helps illustrate why you need to compare as many prices as possible using your own personalized driver profile and vehicle information.
For infrequent drivers, one of the more important criteria that are looked at to help calculate the amount you pay for auto insurance is where you live in Colorado Springs. Regions with larger populations or more claims tend to have more expensive auto insurance rates, whereas less populated areas tend to receive cheaper rates.
The illustration below shows the highest-priced areas in Colorado for low mileage drivers to buy an auto insurance policy in. Colorado Springs shows up at #6 with an annual premium of $1,329 for the average policyholder, which is approximately $111 monthly.
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Rate information is approximated as specific Colorado Springs garaging address can change coverage prices significantly.
Comparison of full coverage and liability-only policies
Finding cheaper insurance is important to the majority of people, and one of the quickest ways to reduce the cost of insurance for low mileage drivers is to not buy full coverage. The example below shows the difference between insurance prices with and without physical damage coverage. The rates are based on no violations or accidents, $1,000 deductibles, single marital status, and no other discounts are factored in.
As an overall average, comprehensive and collision coverage on your policy costs $1,476 per year more than just buying liability insurance. At some point, about every driver wonders when is it a good idea to stop buying full coverage. There is no clear-cut formula of when to exclude physical damage coverage on your policy, but there is a general school of thought. If the annual cost of your full coverage insurance is more than around 10% of any settlement you would receive from your insurance company, then you may want to consider only buying liability coverage.
For example, let’s say your vehicle’s settlement value is $10,000 and you have $1,000 deductibles. If your vehicle is totaled, the most you would receive is $9,000 after paying your policy deductible. If you are currently paying more than $900 a year for full coverage, then you may need to consider dropping full coverage.
There are a few cases where only buying liability is not a good plan. If you have an outstanding loan on your vehicle, you have to carry full coverage as part of the loan conditions. Also, if you cannot afford to purchase a different vehicle if your current one is totaled, you should not drop full coverage.
Get discounts on Colorado Springs auto insurance
Insurance companies that sell policies for low mileage drivers may also offer price discounts that may potentially lower prices by as much as 30% if you meet certain criteria. A list of insurance companies and a selection of discounts are:
- GEICO may include discounts for multi-policy, daytime running lights, good student, air bags, and multi-vehicle.
- Travelers may offer discounts for multi-car, hybrid/electric vehicle, driver training, early quote, and student away at school.
- Nationwide discounts include accident-free, business or organization, multi-policy, Farm Bureau membership, good student, and anti-theft.
- Farmers Insurance offers discounts for good student, distant student, early shopping, multi-car, pay in full, youthful driver, and business and professional.
- Esurance policyholders can earn discounts including Switch & Save, renters, good driver, online shopper, and homeowner.
- State Farm offers premium reductions for anti-theft, good driver, multiple autos, Steer Clear safe driver discount, student away at school, driver’s education, and defensive driving training.
- Progressive has savings for continuous coverage, online signing, multi-policy, online quote discount, multi-vehicle, and homeowner.
- Mercury Insurance may have discounts that include type of vehicle, ease of repair, location of vehicle, multi-car, and professional/association.
The chart below compares insurance prices with and without discounts applied to the policy rates. The rates are based on a male driver, no tickets, no at-fault accidents, Colorado state minimum liability limits, comp and collision included, and $1,000 deductibles. The first bar for each age group shows the average annual price with no discounts. The second shows the rates with multiple vehicle, vehicle safety, multiple policy, marriage, defensive driving course, and anti-theft discounts applied. When drivers take advantage of discounts, theamount saved on insurance for low mileage drivers is 28% or $410.
The diagram below demonstrates how deductible levels can impact annual premium costs when searching for cheap insurance for low mileage drivers. The premium estimates are based on a single male driver, full coverage, and no discounts are taken into consideration.
As shown above, a 40-year-old driver could lower their policy premium by $290 a year by switching their comprehensive and collision coverages from a $100 deductible to a $500 deductible, or save $436 by choosing a $1,000 deductible. Young drivers, like the age 20 example, can cut up to $948 each year just by choosing larger deductibles.
If you make the decision to raise deductibles, it will be important to have emergency funds available to offset the extra out-of-pocket expense, which is the main inconvenience of larger deductibles.
How to find low-cost car insurance for low mileage drivers
It is possible to find better rates, and here are many money-saving ideas that can help Colorado drivers quote more affordable auto insurance.
- Having too many claims will increase rates substantially
- Just one traffic violation will increase your rates
- Buying home and auto together can help save money
- Increase the comprehensive and collision deductibles on your policy
- Having at-fault accidents will increase rates
- Improve your credit score
- Shop around for cheaper rates regularly
That last idea is notably necessary, as was discussed in this article. Prices can change significantly in a year, so don’t be unwilling to buy from a new company if a cheaper price is available. Sticking with a specific company is fine, but it’s not recommended if it’s costing you 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 Colorado Springs.
If you like to get some guidance when buying car insurance for infrequent drivers, the insurance agencies listed below can probably help you decide which coverages are best.
To locate a Colorado Springs insurance agent near you, click the button following the list or click here to compare rates now.
Allstate Insurance: Cally O’Donnell
3993 Academy Blvd N – Colorado Springs, CO 80917 – (719) 596-8800
State Farm: Dan Lewis
1867 S Academy Blvd – Colorado Springs, CO 80916 – (719) 434-3944
WIN Insurance Agency
3485 Academy Blvd N Ste 101 – Colorado Springs, CO 80917 – (719) 599-9494