Deciding which companies offer the cheapest insurance rates for safe drivers takes a little more work in order to find the best price. Every auto insurer has their own formula for setting prices, so to begin we’ll rank the insurance companies that tend to be cheaper in North Carolina.
Best Cheap Insurance Rates for Safe Drivers
|Rank||Company||Cost Per Year|
|4||NC Farm Bureau||$709|
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Progressive offers some of the most affordable car insurance rates in Raleigh at around $632 a year. Utica National, Liberty Mutual, NC Farm Bureau, and GEICO also qualify as some of the more affordable Raleigh, NC auto insurance companies.
As shown in the table above, if you are a customer of NC Farm Bureau and switched to Progressive, you may realize a yearly price reduction of around $77. Drivers with GEICO might save as much as $88 a year, and Titan customers might lower prices by $105 a year.
Bear in mind that those prices are averaged across all types of drivers and the different vehicles they drive and do not factor in an exact zip code location for safe drivers. So the insurer that can offer you the lowest price may not even be in the list above. That underscores the importance of why you need to compare prices as often as possible using your own personalized driver profile and vehicle information.
For good drivers, one of the big factors that are looked at to help calculate the cost of insurance is your zip code. Areas with a lot of weather claims or more people tend to have more expensive auto insurance rates, whereas areas with fewer weather claims and lower vehicle theft rates have the enjoyment of a little cheaper coverage.
The following table sorts the most expensive places in North Carolina for safe drivers to purchase car insurance in. Raleigh comes in at #14 with the yearly price of $744 for the average policyholder, which is around $62 each month.
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Information shown are comparative as specific Raleigh zip code can revise premium rates substantially.
The make and model of vehicle requiring insurance is one of the main factors when comparing quotes for the best cheap insurance for safe drivers. Vehicles with higher performance characteristics, a lack of modern safety features, or a history of substantial liability claims will cost more to insure than safer models. The table below presents coverage rates for a handful of the most cost-effective vehicles to insure.
|Insured Vehicle||Estimated Cost for Full Coverage|
|Honda CR-V EX-L 2WD||$1,084|
|Ford Escape Limited 4WD||$1,153|
|Ford F-150 XL Super Cab 4WD||$1,188|
|Jeep Wrangler Sport 4WD 2-Dr||$1,197|
|Chevrolet Malibu LS||$1,258|
|Chevrolet Impala LT||$1,266|
|Chevrolet Silverado LT Extended Cab 4WD||$1,258|
|Honda Accord EX-L 4-Dr Sedan||$1,265|
|Honda Civic VP 4-Dr Sedan||$1,300|
|Toyota Corolla LE||$1,325|
|Toyota RAV4 Limited 2WD||$1,376|
|Volkswagen Jetta S 4-Dr Sedan||$1,386|
|Ford Edge Limited 2WD||$1,383|
|Ford Explorer Limited AWD||$1,402|
|Toyota Camry Hybrid||$1,439|
|Dodge Grand Caravan SXT||$1,446|
|Hyundai Elantra Blue 4-Dr Sedan||$1,448|
|Dodge Ram 3500 Mega Cab Laramie 2WD||$1,462|
|GMC Sierra 3500HD SLT Crew Cab 2WD||$1,471|
|Hyundai Sonata GLS 4-Dr Sedan||$1,471|
|Jeep Grand Cherokee SRT-8 4WD||$1,476|
|Chevrolet Equinox LTZ AWD||$1,482|
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Table data represents single male driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and North Carolina minimum liability limits. Discounts applied include homeowner, multi-policy, safe-driver, multi-vehicle, and claim-free. Rate quotes do not factor in your specific Raleigh, NC location which can raise or lower price quotes substantially.
By looking at the data, we can assume that makes and models like the Honda CR-V, Ford Escape, Ford F-150, Jeep Wrangler, and Chevrolet Malibu are some of the most budget-friendly vehicles to insure for good drivers.
Cost comparison with and without full coverage
Paying a lower price for insurance is the goal of the majority of people, and a great way to pay lower rates for insurance for safe drivers is to buy liability only. The example below shows the comparison of insurance costs with and without physical damage coverage, medical payments, and uninsured/under-insured motorist coverage. The premium estimates are based on no claims or violations, $100 deductibles, single marital status, and no other discounts are factored in.
Averaged out for all age groups, full coverage on your policy costs an additional $1,918 per year over liability only. That may make you wonder when is the right time to remove full coverage. There is no set guideline for excluding comp and collision coverage, but there is a guideline you can use. If the annual cost of your full coverage insurance is more than around 10% of replacement cost minus your deductible, then it’s probably a good time to buy liability coverage only.
For example, let’s pretend your vehicle’s settlement value is $9,500 and you have $1,000 policy deductibles. If your vehicle is totaled in an accident, the most you would get paid by your company is $8,500 after you pay the deductible. If premiums are more than $850 a year for comprehensive and collision coverage, the it may be a good time to stop paying for full coverage.
There are some situations where dropping physical damage coverage is not advised. If you still owe a portion of the original loan, you must maintain physical damage coverage in order to keep the loan. Also, if you can’t afford to buy a different vehicle if your current one is in an accident, you should not buy liability only.
Types of discounts on Raleigh auto insurance
Auto insurance companies that provide policies for safe drivers may also provide policy discounts that could lower prices by as much as 35% or more if you qualify for them. Popular insurance companies and a partial list of their discounts are included below.
- GEICO discounts include daytime running lights, good student, federal employee, five-year accident-free, anti-lock brakes, air bags, and anti-theft.
- Mercury Insurance offers discounts including multi-policy, age of vehicle, accident-free, annual mileage, professional/association, and low natural disaster claims.
- Farmers Insurance has savings for homeowner, youthful driver, multi-car, mature driver, bundle discounts, switch companies, and pay in full.
- Auto-Owners Insurance policyholders can earn discounts including air bags, safe vehicle, teen driver, student away at school, and multi-policy.
- Liberty Mutual may have discounts that include teen driver discount, new graduate, preferred payment discount, exclusive group savings, newly married, and newly retired.
- SAFECO may include discounts for homeowner, teen safe driver, teen safety rewards, anti-lock brakes, accident prevention training, and anti-theft.
- Progressive may offer discounts for multi-policy, continuous coverage, online quote discount, good student, online signing, homeowner, and multi-vehicle.
- USAA offers discounts for multi-policy, loyalty savings, new vehicle, good student, family discount, military installation, and safe driver.
The information below illustrates the comparison of premium costs with and without discounts applied. The premiums assume a male driver, no accidents, no driving violations, North Carolina state minimum liability limits, comprehensive and collision coverage, and $1,000 deductibles. The first bar for each age group shows the price with no discounts. The lower bar shows the rates with marriage, passive restraint, homeowner, safe-driver, vehicle safety, and anti-theft discounts applied. When discounts are applied, theaverage amount saved on insurance for safe drivers is 28% or $392.
The example below highlights how deductible selection can increase or decrease insurance premiums when quoting cheap insurance for safe drivers. The costs are based on a married male driver, comprehensive and collision coverage, and no discounts are applied.
As shown above, a 50-year-old driver could lower their policy premium by $234 a year by increasing from a $100 deductible up to a $500 deductible, or save $352 by switching to a $1,000 deductible. Younger drivers, like the 20-year-old category, could drop their prices $788 or more just by choosing higher deductibles.
If you do make the decision to raise your deductibles, it’s a good idea to have enough savings set aside to satisfy the extra out-of-pocket expense associated with higher deductibles.
How to find budget-friendly insurance for safe drivers
Here are some of the recommended thrifty solutions that can help you quote low-cost car insurance.
- Save money by bundling your home and auto policies
- Ensure your driving record is clean
- Lower rates by purchasing a safer vehicle
- Avoid at-fault accidents and claims
- Too many claims can make car insurance unaffordable
- Compare rate quotes frequently
That final tip is extraordinarily critical, as was pointed out in this piece. Coverage prices fluctuate constantly, so don’t be afraid to switch companies if a cheaper price is available.
Many drivers prefer to stick with one company, but it’s not recommended if that dedication is costing a lot of money. It only takes a couple minutes to shop around and find cheaper car insurance for safe drivers in Raleigh.