It's hard to avoid all the ads from companies like Progressive and State Farm that promise dirt cheap rates. So drivers just need to select the one with the best jingle, right?
It's not quite that easy, unfortunately, as there are a whole bunch of unknowns like if you have a coverage lapse, if you have a spouse, your financial responsibility, and what deductibles to use for physical damage coverage, that all impact the cost of your policy. The information below will cover the different scenarios that increase car insurance cost and will hopefully give you some help in finding cheaper rates.
Finding dependable, budget car insurance is hard enough, and finding out which company has the best car insurance rates for drivers under 21 takes additional perseverance. Every auto insurer uses a different method for determining rates in each state, so we need to take a look at the car insurance companies with the most affordable rates in Atlanta, GA.
It's important to understand that Atlanta car insurance rates are determined by lots of factors that may substantially change the price of your policy. Improving your credit rating, having a teen driver, or getting caught speeding can produce rate changes that can make some companies affordable when they were higher priced.
Find Cheaper Auto Insurance for Minors
Auto-Owners generally has some of the cheapest car insurance rates in Atlanta at around $839 annually. The Hartford, USAA, Central Mutual, and Georgia Farm Bureau also make the cut as some of the lowest-priced Atlanta, GA insurance companies.
As the example above demonstrates, if you are currently insured with Central Mutual and switched to The Hartford, you might realize a yearly price reduction of around $310. Policyholders with Georgia Farm Bureau might save as much as $365 a year, and MetLife policyholders might reduce prices by as much as $381 a year.
To find cheaper insurance rates for your vehicle, click here to begin a quote or click through to the companies below.
It's important to note that these rates are averaged across all drivers and vehicles and do not take into consideration a specific location for drivers under 21. So the auto insurance company that has the cheapest rates for you may not even be in the top 20 companies shown above. That point stresses why you need to get car insurance quotes using your own specific driver and vehicle information.
The vehicle model requiring coverage is probably the biggest factor when quoting the lowest-priced insurance for drivers under 21. Vehicles with lots of speed or power, poor crash test ratings, or a track record of large liability claims will cost substantially more to insure than more modest models. The next table showcases coverage prices for the most affordable automobiles to insure in Georgia.
|Vehicle Make and Model||Estimated Cost for Full Coverage|
|Honda Accord LX 4-Dr Sedan||$4,662|
|Honda CR-V EX-L 4WD||$4,714|
|Ford Escape Limited 4WD||$5,028|
|Jeep Wrangler Sport Islander Package 4WD 2-Dr||$5,169|
|Honda Odyssey LX||$5,177|
|Ford Explorer XLT 2WD||$5,221|
|Ford F-150 STX Super Cab 4WD||$5,272|
|Ford Edge Limited 2WD||$5,484|
|Toyota Tacoma Double Cab 4WD||$5,535|
|Chevrolet Impala LT||$5,542|
|Nissan Altima 2.5 4-Dr Sedan||$5,535|
|Chevrolet Equinox LS 2WD||$5,540|
|Chevrolet Malibu Hybrid||$5,535|
|Toyota RAV4 2WD||$5,544|
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Premium data assumes single female driver age 18, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Georgia minimum liability limits. Discounts applied include claim-free, and safe-driver. Rates do not factor in the specific area where the vehicle is garaged which can impact auto insurance rates significantly.
By looking at the data, we can conclude that makes and models like the Honda Accord, Honda CR-V, Ford Escape, Toyota Prius, and Jeep Wrangler will be some of the most affordable vehicles to insure for minors. Auto insurance rates will be more expensive just due to the fact that there is more inherent risk for drivers under 21, but in general those vehicles will probably have the cheapest auto insurance rates compared to other types of vehicles.
One of the more important criteria that are used to help calculate the annual cost of car insurance is where you live in Atlanta. Areas with more people or higher crime rates tend to pay more, whereas areas with lower crime rates and fewer weather claims profit from lower rates.
The information below lists the highest-priced places in Georgia for drivers under 21 in which to purchase auto insurance. Atlanta is ranked #2 with an annual cost of $1,405 for the average policyholder, which is around $117 monthly.
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Rates are approximated as the specific area where the vehicle is garaged can raise or lower prices noticeably.
The chart below highlights how deductible choice can influence insurance costs when quoting cheap insurance for drivers under 21. The data is based on a married male driver, comp and collision included, and no other discounts are factored in.
As shown above, a 50-year-old driver could lower rates by $328 a year by increasing from a $100 deductible to a $500 deductible, or save $496 by changing to a $1,000 deductible. Younger drivers, like the Age 20 category, could save up to $1,094 or more just by choosing larger deductibles.
When using a larger deductible, it will be important to have plenty of money set aside to allow you to cover the extra out-of-pocket expense, which is the main disadvantage of using high deductibles.
Liability-only versus full coverage
Saving on car insurance is probably important to most drivers, and one of the quickest ways to buy cheap insurance for drivers under 21 is to not insure for full coverage. The diagram below shows the difference between premium costs when comparing full coverage to liability only. The prices are based on no claims, a clean driving record, $1,000 deductibles, marital status is single, and no discounts are applied to the premium.
If we average the cost for ages 20 through 70, full coverage costs $2,199 per year more than just insuring for liability. That is a large expense and it proposes the question if it's worth it to buy full coverage. There is no exact rule to stop buying physical damage insurance, but there is a general school of thought. If the yearly cost for physical damage coverage is about 10% or more of replacement cost minus your deductible, then you might want to think about dropping full coverage.
There are some circumstances where eliminating full coverage is not advised. If you still have a loan on your vehicle, you have to carry full coverage as part of the loan requirements. Also, if your finances do not allow you to purchase a different vehicle if your current one is in an accident, you should keep full coverage in place.
How to get discounts on Atlanta auto insurance rates
Auto insurance companies that provide policies for drivers under 21 may provide policy discounts that could lower prices by 30% or more if you qualify for them. A list of car insurance companies and their possible discounts are included below.
- State Farm offers discounts for good driver, anti-theft, Drive Safe & Save, Steer Clear safe driver discount, defensive driving training, and passive restraint.
- Farmers Insurance may have discounts that include pay in full, bundle discounts, switch companies, electronic funds transfer, youthful driver, and homeowner.
- Progressive offers discounts including homeowner, good student, online signing, continuous coverage, multi-policy, and online quote discount.
- GEICO offers premium reductions for emergency military deployment, multi-vehicle, membership and employees, good student, and anti-theft.
- Auto-Owners Insurance discounts include safe vehicle, paperless, company car, group or association, and teen driver.
- The Hartford has discounts for vehicle fuel type, defensive driver, bundle, anti-theft, good student, air bag, and driver training.
- Farm Bureau policyholders can earn discounts including multi-vehicle, safe driver, driver training, renewal discount, and 55 and retired.
- USAA includes discounts for new vehicle, safe driver, multi-vehicle, driver training, and family discount.
The chart below compares insurance premiums with and without policy discounts. The premium estimates are based on a male driver, a clean driving record, no at-fault accidents, Georgia state minimum liability limits, full coverage, and $100 deductibles.
The first bar for each age group shows the price with no discounts. The second bar shows the rates with passive restraint, paid-in-full, vehicle safety, continuous coverage, good student, and anti-theft discounts applied. When these discounts are applied, theaverage amount saved on car insurance for drivers under 21 is 28% or $775.
If you prefer to get some professional input when trying to find the best insurance rates for minors, the agents below are a good start to aid you in deciding which coverages you need. To find an Atlanta insurance agent in your neighborhood, click the button following the list.
Valerie Primas - State Farm Insurance Agent
2798 Lakewood Ave SW a - Atlanta, GA 30315 - (404) 209-1225
Kerry Mitchell - State Farm Insurance Agent
2900 Chamblee-Tucker Rd, Bldg 15 - Atlanta, GA 30341 - (770) 455-0017
InsuranceHub | Nationwide Insurance | Atlanta Office
1830 Water Pl #105 - Atlanta, GA 30339 - (404) 892-2864