Car ownership comes with unexpected costs.
That makes it hard to determine the best auto insurance for you.
And what does best car insurance company even mean, anyway?
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When Insurance Falls Short…
Unfortunately, insurance doesnt covereverything.These resourcescan help you manage those unexpected expenses.
The answer differs widely from consumer to consumer.
If saving money is your biggest concern, youll probably value cheaper premiums over all else.
Therefore, the cheapest car insurance varies from driver to driver.
Heres a list of companies offering budget-friendly car insurance.
All prices reflect minimum liability coverage.
Erie Insurance Group
You might not have heard ofErie Insurance Group.
Thats because, as of February 2023, its only available in 12 states plus the District of Columbia.
But compared to other insurers, Eries rates tend to be lower.
In addition to offering competitive rates, Erie Insurance Group ranked number two in the 2023J.D.
Power U.S. Auto Claims Satisfaction Study.
Average Rate:$50 per month
Geico
You probably knowGeicofrom those commercials with the British gecko.
But that geckos claim about saving you 15% or more on car insurance could be true.
To determine the most reliable car insurance company, we turned to the aforementioned J.D.
Power U.S. Claims Satisfaction Study.
It then awards each insurer a score out of 1,000 to determine which companies have the happiest customers.
The company sells auto insurance in five states: New Jersey, Pennsylvania, Connecticut, Maryland and Ohio.
Overall Satisfaction:900
Budget-friendlyErie Insurancecame third in the J.D.
Overall Satisfaction:902
Best Car Insurance for Teens
Teen drivers typically find it hard to get affordable insurance.
A new drivers lack of experience and maturity places a black mark on them, leading to higher premiums.
But there is hope out there for young drivers looking for decent insurance coverage at an affordable price.
State Farmoffers a variety of discounts for young drivers.
TheGood Student Discountoffers discounts of up to 25% for drivers under 25 who maintain good grades in school.
you might also get a driver training discount for taking drivers ed classes.
If you complete the program within six months, youll be eligible for a discount.
Is Your Paycheck Not Going As Far As It Used To?
We get it.Everythingis more expensive than it used to be, but your paycheck hasnt kept up.
When money is tight,these resourceswill help nearly everyone.
But dont despair: Some auto insurance providers offer affordable policies even to bad drivers.
You just have to know where to look.
Your best bet is to get in touch with the company and ask some questions pertaining to your situation.
Here are a few important questions to get you started.
What Types of Claims Are Covered?
Theminimum mandatory coverage variesdepending on where you live.
The first place to check is your state insurance commissioners website to see those minimum requirements.
For example, in Ohio, only liability insurance is required by law.
But you’re able to buy more than the minimum requirement to fully protect yourself and your assets.
Ask your insurance agent what a policy will cover.
Ditto if you add physical damage coverage or anything above and beyond the minimum.
What Is Excluded?
Just as you gotta know whats covered, you should know whats excluded.
Ask for a list of whats not covered to determine the likelihood that these exclusions will affect you.
If you often drive on country roads, youll probably want to be covered if you hit a deer.
Can I Choose Who Performs Repairs?
What Are the Costs?
With any insurance plan, the most notable costs are the monthly premiums.
But your deductible could cause serious financial issues in case of an accident.
If you have enough savings, you could get away with a higher deductible and lower monthly premium.
What Additional Coverage Is Offered?
Liability insurancetypically only covers damage to other people or property when youre at fault.
Under liability insurance, paying to repair your own car could be on you.
Therefore, you might consider additional coverage to help cover you in various scenarios.
Collision coveragepays to repair your car after an accident, typically whether or not the accident was your fault.
Uninsured motorist protectioncovers you when youre in an accident with a driver who doesnt have insurance.
It can also cover things like lost wages and transportation to medical appointments.
Some states mandate this key in of coverage, while in others its an optional add-on.
Bundle Your Insurance
Going with the same company for all your insurance needs can be beneficial.
Most insurance companies offer discounted rates when you bundle things like home, auto and personal property insurance.
Drive Safely
It can pay to be a responsible driver.
Most insurance companies lower your rates the longer you go without an accident.
Pay in Full
You might get a discount by paying your annual car insurance premium in full.
Its worth considering whether you have enough savings and want to spend less overall on car insurance.
check that you mention these when getting a quote.
Can You Survive 10 Days of Budgeting?
If you better wrangle your budget, it may be time to consider a savings challenge.
Catherine Hiles lives in Ohio with her husband and their two children.
