The words “low-priced” and “insurance” really should not be used together, specifically when trying to find the best car insurance rates for inexperienced drivers. In an attempt to save some money, let’s teach you some of the factors that have an effect on insurance rates, and find a way to lower the price of your next policy.
For new drivers, one of the big components that aid in calculating the amount you pay each year for auto insurance is where you live. Cities with larger populations or higher claim trends are more likely to pay higher prices, whereas areas with less crime or weather claims benefit from having to pay less for coverage.
The illustration below shows the most expensive places in Arizona for inexperienced drivers to buy an auto insurance policy in. Phoenix is ranked at #1 with an annual rate of $1,231 on average, which is approximately $103 each month.
| Rank | City | Annual Rate |
|---|---|---|
| 1 | Phoenix | $1,231 |
| 2 | Glendale | $1,214 |
| 3 | Avondale | $1,210 |
| 4 | Mesa | $1,159 |
| 5 | Tempe | $1,152 |
| 6 | San Tan Valley | $1,150 |
| 7 | Gilbert | $1,142 |
| 8 | Peoria | $1,126 |
| 9 | Buckeye | $1,122 |
| 10 | Goodyear | $1,120 |
| 11 | Scottsdale | $1,117 |
| 12 | Chandler | $1,115 |
| 13 | Surprise | $1,080 |
| 14 | Casa Grande | $1,079 |
| 15 | Maricopa | $1,074 |
| 16 | Catalina Foothills | $1,072 |
| 17 | Tucson | $1,061 |
| 18 | Casas Adobes | $1,050 |
| 19 | Oro Valley | $1,020 |
| 20 | Yuma | $992 |
| Quote Best Rates Go | ||
Premium amounts are approximated as the specific zip code location can lower or raise insurance rates noticeably.
Trying to find low-priced auto insurance is not easy, and deciding which companies offer the lowest-priced insurance rates for inexperienced drivers involves even more diligence.
Each insurer has a unique approach to determine premium rates, so we need to take a look at the insurance companies with the overall cheapest rates in Phoenix.
Find Cheaper Car Insurance for Newbies
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | The Hartford | $845 |
| 2 | Safeco | $923 |
| 3 | Auto-Owners | $924 |
| 4 | Travelers | $1,108 |
| 5 | USAA | $1,113 |
| 6 | GEICO | $1,142 |
| 7 | Progressive | $1,152 |
| 8 | Ameriprise Group | $1,184 |
| 9 | CSAA | $1,225 |
| 10 | Allied | $1,233 |
| 11 | Farm Bureau Mutual | $1,285 |
| 12 | Safe Auto | $1,297 |
| 13 | Unitrin | $1,343 |
| 14 | Farmers | $1,350 |
| 15 | State Farm | $1,364 |
| 16 | Titan | $1,418 |
| 17 | American Family | $1,435 |
| 18 | Amica | $1,473 |
| 19 | MetLife | $1,521 |
| 20 | California Casualty | $1,568 |
| Get Personalized Rates Go | ||
The Hartford may have some of the cheapest car insurance rates in Phoenix at around $845 a year. This is $583 less than the average rate paid by Arizona drivers of $1,428. Safeco, Auto-Owners, Travelers, and USAA also make the cut as some of the more affordable Phoenix, AZ insurance companies.
In the rate table above, if you are a customer of Travelers and switched to Safeco, you could see an annual savings of about $185. Insureds with USAA might save as much as $190 a year, and GEICO customers might reduce rates by $219 a year.
Be aware that those policy rates are averages for all drivers and vehicles and do not take into consideration a specific zip code for inexperienced drivers. So the company that fits your situation best may not even be in the list above. That is why you need to get quotes using your own specific driver and vehicle information.
The type of vehicle on the policy is a large consideration that determines the availability of the most affordable car insurance for inexperienced drivers. Vehicles with high performance, a lack of advanced safety features, or a history of substantial liability claims will cost quite a bit more to insure than safer, lower-performance models. The information below outlines car insurance premiums for a selection of the most affordable vehicles to buy coverage for.
| Vehicle Insured | Estimated Cost for Full Coverage |
|---|---|
| Toyota Prius | $1,794 |
| Ford Escape XLT 2WD | $1,858 |
| Ford Focus S 4-Dr Sedan | $1,881 |
| Dodge Grand Caravan Hero | $1,919 |
| Chevrolet Malibu LS | $1,927 |
| Toyota RAV4 Limited 4WD | $1,919 |
| Toyota Camry LE | $1,927 |
| Ford Fusion S 4-Dr Sedan | $1,919 |
| Ford Explorer Eddie Bauer AWD | $1,956 |
| Honda CR-V EX 2WD | $1,985 |
| Honda Accord LX-P 4-Dr Sedan | $1,992 |
| Hyundai Elantra GLS 4-Dr Sedan | $2,017 |
| Honda Odyssey EX-L | $2,023 |
| Chevrolet Impala LTZ | $2,017 |
| Jeep Wrangler Sport 4WD 2-Dr | $2,055 |
| Chevrolet Equinox LTZ AWD | $2,063 |
| GMC Sierra 2500HD SLE Extended Cab 4WD | $2,055 |
| Hyundai Sonata Limited 4-Dr Sedan | $2,190 |
| Dodge Ram 3500 Crew Cab SLT 2WD | $2,228 |
| Toyota Tacoma 2WD | $2,303 |
| Chevrolet Silverado LT Extended Cab 4WD | $2,352 |
| Ford F-150 Lariat Crew Cab Platinum 2WD | $2,355 |
| GMC Sierra SLT Extended Cab 2WD | $2,364 |
| Start a Quote Go | |
Above prices assume single female driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Arizona minimum liability limits. Discounts applied include multi-vehicle, claim-free, multi-policy, homeowner, and safe-driver. Information does not factor in specific Phoenix, AZ garaging location which can alter prices substantially.
By looking at the data, you can expect models like the Toyota Prius, Ford Escape, Ford Focus, Dodge Grand Caravan, and Chevrolet Malibu will be a few of the more affordable vehicles to insure for new drivers.
Insurance companies ranked
Picking the right auto insurance company can be rather challenging considering how many companies are available to choose from in Phoenix. The ranking data shown below can help you pick which companies you want to consider purchasing a policy from.
The rankings below are for major nationwide insurance companies, so companies that focus mainly on Arizona business are not factored into the list. To compare prices from these companies and more, simply click here.
Top 10 Major Auto Insurers in Phoenix Ranked by Value
- USAA
- American Family
- The Hartford
- Titan Insurance
- The General
- Mercury Insurance
- AAA Insurance
- State Farm
- Nationwide
- Safeco
Top 10 Major Auto Insurers in Phoenix Ranked by Customer Satisfaction
- Titan Insurance – 95%
- USAA – 94%
- AAA Insurance – 91%
- State Farm – 90%
- Nationwide – 90%
- The Hartford – 89%
- GEICO – 89%
- The General – 88%
- 21st Century – 88%
- Liberty Mutual – 88%
The example below shows how different deductible levels can influence yearly insurance costs when quoting cheap insurance for inexperienced drivers. The rates are based on a married female driver, comprehensive and collision coverage, and no discounts are factored in.
The data above shows that a 30-year-old driver could save $322 a year by switching from a $100 deductible up to a $500 deductible, or save $484 by using a $1,000 deductible. Even younger insureds, like the 20-year-old, could possibly save $684 every year by choosing a higher deductible.
When increasing deductibles, it will be important to have enough in a savings account to allow you to pay the extra out-of-pocket expense that is associated with using high deductibles.
How to get discounts on Phoenix auto insurance
Insurance providers that provide coverage for inexperienced drivers may also give you discounts that can reduce rates by as much as 25% or more if you can meet the requirements. A few popular companies and some of the premium reductions they offer can be read below.
- GEICO has discounts for multi-policy, driver training, good student, membership and employees, and anti-theft.
- Auto-Owners Insurance includes discounts for mature driver, safe driver, paid in full, multi-policy, teen driver, paperless, and company car.
- American Family offers discounts including air bags, TimeAway discount, good driver, early bird, good student, and accident-free.
- Esurance may include discounts for homeowner, safety device, good student, online shopper, anti-lock brakes, and paid-in-full.
- Progressive has savings for multi-policy, continuous coverage, multi-vehicle, online quote discount, homeowner, and online signing.
- State Farm discounts include defensive driving training, Steer Clear safe driver discount, student away at school, safe vehicle, and accident-free.
- AAA may offer discounts for education and occupation, AAA membership discount, good driver, pay-in-full, and multi-car.
The illustration below visualizes the comparison of insurance prices with and without discounts applied to the policy premium. The rate quotes are based on a female driver, no claims or driving violations, Arizona state minimum liability limits, full coverage, and $250 deductibles. The first bar for each age group shows the average annual price with no discounts. The second bar shows the rates with homeowner, multiple policy, accident-free, anti-theft, claim-free, and multiple vehicle discounts applied. When these discounts are applied, the average amount saved each year on insurance for inexperienced drivers is 28% or $564.