Wouldn't it be excellent if we could wave our magic wand and tell you that one special company that has the cheapest insurance for welfare recipients? It's not that simple, unfortunately, as there are a lot of unknown aspects like how experienced of a driver you are, the deductible level you need, what coverage limits you want, and if you are currently insured. This article will discuss the best ways to avoid overpriced car insurance and will hopefully give you a good start in finding the cheapest insurance in Indiana.
The make and model of vehicle requiring coverage is probably the most important factor when shopping around for low-priced insurance for welfare recipients. Vehicles with limited top-end speed, good crash test ratings, or a low likelihood of having liability claims will cost substantially less to insure than fast, unsafe models. The table below illustrates auto insurance prices for some of the cheapest vehicles to insure.
|Make and Model||Estimated Cost for Full Coverage|
|Honda CR-V EX-L 4WD||$568|
|Ford Edge SE 2WD||$608|
|Ford Escape XLT 4WD||$642|
|Dodge Grand Caravan Hero||$657|
|Chevrolet Silverado LS Regular Cab 2WD||$662|
|Jeep Wrangler Unlimited Sport 4WD 4-Dr||$677|
|Ford F-150 XLT Super Cab 2WD||$682|
|Toyota Camry SE||$694|
|Hyundai Sonata GLS 4-Dr Sedan||$706|
|Ford Fusion SEL 4-Dr Sedan||$716|
|Chevrolet Equinox LT AWD||$721|
|Ford Explorer Limited 2WD||$734|
|Toyota RAV4 4WD||$741|
|Chevrolet Malibu LS||$746|
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Price data assumes single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Indiana minimum liability limits. Discounts applied include multi-vehicle, multi-policy, homeowner, claim-free, and safe-driver. Rate information does not factor in vehicle garaging location which can increase or decrease price quotes substantially.
Based upon these rates, makes and models like the Honda CR-V, Ford Edge, Ford Escape, and Dodge Grand Caravan will be a few of the most economical vehicles to insure for drivers on welfare.
One of the many components that determine insurance cost is where you keep your car in Indiana. Cities with larger populations or higher claim trends like Gary, Portage, and Indianapolis are more likely to have higher rates, whereas areas that tend to be more rural get the luxury of paying less.
The next table shows the highest-priced areas in Indiana for welfare recipients in which to purchase auto insurance.
|Rank||City||Premium Per Year|
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Table data uses comparative as the specific garaging location can increase or decrease insurance rates significantly.
Trying to find affordable car insurance is not most people's favorite thing to do, and figuring out which company offers the lowest-priced auto insurance rates for welfare recipients in Indiana may require even more work.
Each company has a different process to set their prices, so we'll take a look at the auto insurance companies that tend to have lower prices in Indiana. It's important to know that Indiana auto insurance rates are impacted by many factors that control the cost of coverage. Price variation is why it is critical to shop around with many companies when trying to get the most budget-friendly insurance quotes for welfare recipients. Rates are made up of many different factors and change dramatically, so the cheapest option two years ago may now not even be in the top five.
Compare Cheap Insurance Quotes in Indiana
|Rank||Company||Cost Per Year|
|6||Indiana Farmers Mutual||$867|
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Travelers offers some of the most affordable car insurance rates in Indiana at around $602 a year. This is $638 less than the average policy premium paid by Indiana drivers of $1,240. Cincinnati Insurance, USAA, Erie, and Western Reserve also are some of the cheapest Indiana car insurance companies.
In the above example, if you buy coverage from Western Reserve and switched to Cincinnati Insurance, you could realize savings of about $174. Insureds with Indiana Farmers Mutual could save as much as $203 a year, and The Hartford customers might reduce prices by as much as $225 a year.
To find out how much you can save, click here to get quotes or click several companies below for low rates.
Remember that these estimates are averages for all insureds and vehicles and do not take into consideration a price decrease for welfare recipients. So the company that has the cheapest price for you may not even be in the top 36 companies shown above. That helps illustrate why you need to quote rates from as many companies as possible using your own personal information and vehicle type.
Ending up with the best auto insurance provider can be challenging considering how many companies sell insurance in Indiana. The rank data listed below could help you pick which providers you want to consider putting your business with. These ratings include companies with a national presence, so smaller regional companies will not be included in the list.
|Company||Value||Customer Service||Claims||Customer Satisfaction||A.M Best Rating||Overall Score|
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Data Source: Insure.com Best Car Insurance Companies
Get discount Indiana car insurance
Insurance providers that offer cheap quotes for welfare recipients may provide discounts that could potentially reduce rates by 25% or more if you qualify for them. Popular auto insurance companies and some of their more popular discounts are:
- GEICO offers discounts including anti-theft, five-year accident-free, daytime running lights, anti-lock brakes, and military active duty.
- SAFECO discounts include homeowner, anti-theft, drive less, safe driver, bundle discounts, teen safety rewards, and multi-car.
- State Farm offers discounts for good student, Steer Clear safe driver discount, anti-theft, Drive Safe & Save, and accident-free.
- MetLife has savings for good student, claim-free, defensive driver, multi-policy, accident-free, and good driver.
- 21st Century has discounts for 55 and older, driver training, homeowners, teen driver, automatic seat belts, early bird, and anti-lock brakes.
- Progressive policyholders can earn discounts including homeowner, continuous coverage, online quote discount, online signing, and good student.
The chart below illustrates the difference between premium costs with and without discounts applied to the policy rates. The price estimates are based on a male driver, a clean driving record, no at-fault accidents, Indiana 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 bar shows the rates with multiple vehicle, multiple policy, marriage, defensive driving course, homeowner, and anti-theft discounts applied. When discounts are applied, the the average amount saved on auto insurance for welfare recipients is 28% or $446.
Rate difference between full and liability-only coverage
Lowering the price of auto insurance is important to most drivers, and one of the easiest ways to reduce the cost of insurance for welfare recipients in Indiana is to not pay for full coverage. The chart below shows the comparison of premium costs when comparing full coverage to liability only. The data assumes no accidents, no driving violations, $100 deductibles, single marital status, and no additional discounts are factored in.
If all age groups are averaged, comp and collision coverage costs an extra $1,613 per year more than carrying just liability coverage. That is a large expense and it proposes the question if it's a good idea to buy full coverage. There isn't a steadfast formula for excluding full coverage, but there is a general guideline. If the annual cost of coverage is more than 10% of the replacement cost minus the deductible, then you may want to consider only buying liability coverage.
For example, let's pretend your vehicle's settlement value is $10,000 and you have $1,000 full coverage deductibles. If your vehicle is damaged in an accident, the most your company will settle for is $9,000 after you pay the deductible. If you are paying in excess of $900 annually for comprehensive and collision coverage, then it might be time to buy liability only.
There are some scenarios where eliminating full coverage is not in your best interest. If you haven't satisfied your loan, you have to keep full coverage to satisfy the loan requirements. Also, if your finances do not allow you to purchase a different vehicle in the event your current vehicle is totaled, you should not consider dropping full coverage.
Here's why you should compare rates often
Indiana auto insurance rates are calculated based on many things that control the price you pay for coverage. Improving your credit rating, moving to a different location, or getting a ticket for careless driving may prompt premium changes resulting in some rates now being cheaper than others.
In addition to those changes, car insurance companies modify pricing as often as every quarter to adjust for gains or losses. Higher than usual claims may result in increased rates, while less frequent claims can produce lower-priced Indiana car insurance rates.
For instance, the graph below shows the company with the cheapest car insurance in Indiana for a 35-year-old female driver with no accidents, a clean driving record, and a good credit rating. If we look at prices based on her personal risk profile, Travelers quotes the best car insurance rates in Indiana at $596 each year. This is $644 less than the average price paid by Indiana drivers of $1,240. Cincinnati Insurance, USAA, Erie, and Western Reserve are the rest of the cheapest Indiana auto insurance companies.
In this next rate comparison, we will give the driver from the first rate comparison an at-fault accident, a lower credit rating, and a few traffic violations. Because each insurer has a unique approach for setting rates, comparing quotes may now present a significantly different list of cheap Indiana auto insurance companies as shown below.
The Hartford now has the lowest car insurance rate in Indiana with Auto-Owners, Cincinnati Insurance, Nationwide, and Safeco also having competitive pricing. This example demonstrates why drivers need to do a thorough rate comparison when trying to get the most economical insurance quotes for welfare recipients. Insurance rates are made up of many things and can change without notice, so the most economical option a year ago may now be one of the more expensive options.