One of the many factors that are used to help calculate the annual cost of car insurance is where you live in Raleigh. Regions with larger populations or more claims will most likely pay more, whereas more rural areas tend to receive slightly lower rates.
The next table ranks the highest-priced places in North Carolina for Lyft drivers to purchase auto insurance in. Raleigh ranks #17 with the annual price of $737 on average, which is about $61 each month.
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Annual rates are approximated as specific Raleigh zip code can lower or raise rates substantially.
Trying to buy affordable insurance is not easy, and finding out which company has the best insurance rates for Lyft drivers calls for a bit more work. Each auto insurer has a unique formula for setting prices, so first we will examine the insurance companies with the overall best prices in North Carolina.
Find the Cheapest Auto Insurance for Your Lyft Vehicle
|Rank||Company||Cost Per Year|
|3||NC Farm Bureau||$709|
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Utica National has some of the lowest car insurance rates in Raleigh at around $643 per year. This is $229 less than the average policy premium paid by North Carolina drivers of $872. Progressive, NC Farm Bureau, Liberty Mutual, and GEICO also qualify as some of the best Raleigh, NC insurance companies.
As shown in the table above, if you are currently insured with GEICO and switched to Progressive, you may realize an annual premium reduction of roughly $77. Insureds with Penn National could save as much as $96 a year, and State Farm policyholders might see rate reductions of $105 a year.
Understand that those estimates are averages across all types of drivers and the different vehicles they drive and do not take into consideration a specific vehicle garaging location for Lyft drivers. So the auto insurance company that fits your needs best may not even be in the top 20 companies in the list above. That helps illustrate why you need to compare prices as often as possible using your own individual information.
The type of vehicle requiring insurance is one of the primary factors that determines if you can find cheap car insurance for Lyft drivers. Vehicles with lower performance, an excellent safety record, or a low likelihood of having liability claims will cost quite a bit less to insure than fast, unsafe models. The data below outlines car insurance premiums for a handful of the most budget-friendly automobiles to insure.
|Vehicle Insured||Estimated Cost for Full Coverage|
|Hyundai Elantra GLS Touring Station Wagon||$1,010|
|Honda Odyssey LX||$1,108|
|Ford F-150 XLT Regular Cab 4WD||$1,130|
|Honda CR-V LX 2WD||$1,153|
|Volkswagen Jetta 2.0T Station Wagon||$1,178|
|Toyota RAV4 Limited 2WD||$1,192|
|Ford Fusion S 4-Dr Sedan||$1,199|
|Ford Explorer Eddie Bauer AWD||$1,215|
|Toyota Tacoma Double Cab TRD Sport Package 4WD||$1,223|
|Ford Escape XLS 2WD||$1,237|
|GMC Sierra 2500HD SLE Regular Cab 4WD||$1,276|
|GMC Sierra SLT Extended Cab 4WD||$1,283|
|Chevrolet Malibu LTZ||$1,276|
|Hyundai Sonata GLS 4-Dr Sedan||$1,278|
|Kia Optima LX||$1,283|
|GMC Sierra 3500HD SLT Extended Cab 2WD||$1,299|
|Chevrolet Silverado LT Crew Cab 2WD||$1,363|
|Toyota Camry Hybrid||$1,371|
|Chevrolet Equinox LT 2WD||$1,367|
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Data based on single female driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and North Carolina minimum liability limits. Discounts applied include multi-vehicle, homeowner, safe-driver, multi-policy, and claim-free. Rate quotes do not factor in specific Raleigh, NC garaging location which can influence price quotes substantially.
By looking at the data, models like the Hyundai Elantra, Honda Odyssey, Toyota Prius, Ford F-150, and Honda CR-V should be some of the most budget-friendly vehicles to insure for Lyft vehicles.
Comparison of full coverage and liability-only policies
Finding cheaper insurance is probably important to the majority of people, and a great way to buy cheap insurance for Lyft drivers is to not buy full coverage. The example below illustrates the difference between insurance costs with liability coverage only compared to full coverage. The premiums are based on a clean driving record, no at-fault accidents, $500 deductibles, drivers are not married, and no other discounts are factored in.
Averaged for all age groups, physical damage coverage costs an additional $1,573 per year more than just buying liability only. That is a significant amount which raises the question when is the right time to remove full coverage. There is no definitive guideline to drop comprehensive and collision coverage on your policy, but there is a broad guideline. If the annual cost of comprehensive and collision coverage is about 10% or more of the replacement cost minus the deductible, then you might want to think about dropping full coverage.
For example, let’s assume your vehicle’s replacement value is $11,500 and you have $1,000 deductibles. If your vehicle is severely damaged, the most your company would pay you is $10,500 after paying your policy deductible. If premium cost is more than $1,050 annually for your policy with full coverage, then you might want to think about dropping full coverage.
There are some scenarios where dropping full coverage is not a good plan. If you have an outstanding loan on your vehicle, you are required to maintain full coverage in order to prevent your loan from defaulting. Also, if you can’t afford to buy a different vehicle in the even your car is totaled, you should maintain full coverage.
Get discount Raleigh auto insurance
Insurance companies that offer quotes for Lyft drivers may also give you premium discounts that could potentially reduce rates by 25% or more if you can meet the requirements. Large insurance companies and some of the premium reductions they offer are outlined below.
- 21st Century may include discounts for anti-lock brakes, automatic seat belts, homeowners, student driver, and 55 and older.
- Progressive has savings for homeowner, online signing, continuous coverage, online quote discount, good student, multi-vehicle, and multi-policy.
- State Farm discounts include Drive Safe & Save, accident-free, multiple policy, safe vehicle, and good driver.
- Nationwide may offer discounts for family plan, accident-free, good student, multi-policy, Farm Bureau membership, anti-theft, and defensive driving.
- Esurance policyholders can earn discounts including good driver, Pac-12 alumni, online shopper, anti-theft, and defensive driver.
- The Hartford offers premium reductions for defensive driver, driver training, air bag, anti-theft, vehicle fuel type, and bundle.
The example below illustrates the comparison of insurance premiums with and without discounts applied to the policy premium. The data assumes a male driver, no claims or violations, North Carolina state minimum liability limits, full physical damage coverage, and $100 deductibles.
The first bar for each age group shows premium with no discounts. The second bar shows the rates with homeowner, accident-free, multiple vehicle, passive restraint, marriage, and safe-driver discounts applied. When these discounts are applied, theaverage yearly reduction on insurance for Lyft drivers is 27% or $437.
Responsible drivers pay cheaper insurance rates
The easiest method to receive good insurance rates for Lyft vehicles is to be a good driver and avoid tickets and accidents. The example below illustrates how traffic citations and fender-benders influence insurance prices for each different age group. The premiums assume a married female driver, comp and collision included, $250 deductibles, and no other discounts are factored in.
The data above shows the average cost of an auto insurance policy in Raleigh per year with no accidents or violations is $1,348. Get two speeding tickets and the average cost swells to $1,916, an increase of $569 each year. Then throw in two accidents along with the two speeding tickets and the annual cost of insurance for Lyft drivers jumps again to an average of $4,035. That’s an increase of $2,687, or $224 per month, just for being a careless driver!
The benefits of price comparisons
North Carolina insurance rates are impacted by many things that may substantially change the price of coverage. Improving your credit score, marrying your spouse, or getting a ticket for running a stop sign can trigger changes in premium that can cause some rates to be cheaper than others. Also, companies change the rates they charge in North Carolina every year to ensure their profitability. A period of higher than normal claims can result in additional premium costs, while profitable underwriting can produce cheaper Raleigh car insurance rates.
As an example, the graph below shows which company has the cheapest car insurance in Raleigh, NC for a 40-year-old female driver with a clear driving record, no claims, and excellent credit. When comparing rates based on her personal risk profile, Utica National may have the lowest car insurance rates in Raleigh at $732 a year. This is $140 less than the average price paid by North Carolina drivers of $872. Progressive, NC Farm Bureau, Liberty Mutual, and Titan also make the list of the best Raleigh, NC auto insurance companies.
Now we will pretend the driver from the above example a chargeable claim, bad credit, and an imperfect driving record. Since each auto insurer has their own formula for setting rates, comparing insurance quotes could result in a substantially altered list of affordable Raleigh car insurance companies as shown below.
Penn National now has the best price on car insurance in Raleigh with State Farm, Auto-Owners, Erie, and Travelers also having competitive pricing. This example proves why consumers need to take the time to spend some time comparing rates to get the most affordable auto insurance rates for Lyft drivers.
Insurance rates are made up of many different factors and change dramatically, so the cheapest option two years ago may now cost much more than other companies.