The words “economical” and “insurance” probably shouldn’t be used together, specifically when comparison shopping for the lowest insurance rates for used cars. In an attempt to save some money, let’s start the ball rolling by going over some of the things that have an impact on car insurance premiums, and figure out some ideas to lower the cost of the next policy you buy.
Finding dependable, low-priced car insurance is difficult, and deciding which company has the best insurance rates for used cars will take a little more work.
Each auto insurance company has their own unique process to establish rates, so first we will examine the insurance companies with the most affordable rates in Phoenix, AZ.
Best Cheap Insurance Rates for Used Cars
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | The Hartford | $845 |
| 2 | Auto-Owners | $915 |
| 3 | Safeco | $923 |
| 4 | USAA | $1,080 |
| 5 | Travelers | $1,086 |
| 6 | Progressive | $1,152 |
| 7 | Ameriprise Group | $1,172 |
| 8 | GEICO | $1,177 |
| 9 | CSAA | $1,225 |
| 10 | Allied | $1,245 |
| 11 | Farm Bureau Mutual | $1,259 |
| 12 | Safe Auto | $1,336 |
| 13 | Unitrin | $1,343 |
| 14 | Farmers | $1,350 |
| 15 | State Farm | $1,377 |
| 16 | Amica | $1,443 |
| 17 | Titan | $1,476 |
| 18 | American Family | $1,478 |
| 19 | California Casualty | $1,506 |
| 20 | MetLife | $1,567 |
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The Hartford generally has some of the most affordable car insurance rates in Phoenix at around $845 a year. Auto-Owners, Safeco, USAA, and Travelers would also make the list of some of the more affordable Phoenix, AZ insurance companies.
In the above rates, if you currently buy coverage from USAA and switched to The Hartford, you might achieve annual savings of approximately $235. Drivers with Travelers may save as much as $241 a year, and Progressive policyholders might reduce prices by as much as $307 a year.
Bear in mind that those premiums are averages across all drivers and vehicles and and are not figured with an exact location for used cars. So the auto insurance company that fits you best may not even be in the top 28 companies shown above. That underscores the importance of why you need to quote rates from as many companies as possible using your own individual information.
The car, truck, or SUV requiring insurance is probably the most important factor when trying to find economical car insurance for used cars. Vehicles with lots of horsepower, poor passenger safety features, or a track record of large liability claims will cost more to insure than safer models.
The data below presents coverage prices for a handful of the more affordable automobiles to buy insurance for.
| Make, Model, and Trim Level | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V LX 2WD | $1,617 |
| Honda Accord EX 4-Dr Sedan | $1,624 |
| Ford Escape Limited 4WD | $1,756 |
| Hyundai Elantra SE Touring Station Wagon | $1,761 |
| Volkswagen Jetta SE 2.5 Station Wagon | $1,892 |
| Chevrolet Impala LT | $1,918 |
| Toyota Tacoma Double Cab 4WD | $1,926 |
| Chevrolet Silverado LS Extended Cab 4WD | $1,918 |
| Jeep Wrangler Unlimited Sport 4WD 4-Dr | $1,984 |
| Honda Odyssey LX | $2,042 |
| Jeep Grand Cherokee Limited 4WD | $2,054 |
| Toyota Prius | $2,060 |
| Toyota Corolla XRS | $2,054 |
| Chevrolet Malibu LTZ | $2,060 |
| Honda Civic SI 4-Dr Sedan | $2,117 |
| Ford Focus SE 2-Dr Coupe | $2,152 |
| Dodge Grand Caravan CV | $2,227 |
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Data rating is based on single female driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Arizona minimum liability limits. Discounts applied include claim-free, homeowner, safe-driver, multi-policy, and multi-vehicle. Rate quotes do not factor in vehicle garaging location which can raise or lower premiums considerably.
Based upon the table data, you can presume that models like the Honda CR-V, Honda Accord, and Ford Escape are most likely to be some of the most affordable vehicles to insure for pre-owned vehicles.
For pre-owned vehicles, one of the largest considerations that are looked at to determine the amount you pay each year for auto insurance is where your car is garaged. Regions with larger populations or more claims are more likely to have higher rates, whereas areas with less people or fewer weather incidents tend to receive slightly lower rates.
The table below lists the most expensive areas in Arizona for used cars in which to buy car insurance. Phoenix is ranked at #2 with a yearly cost of $1,218 for the average policyholder, which is around $102 monthly.
| Rank | City | Annual Premium |
|---|---|---|
| 1 | Avondale | $1,222 |
| 2 | Phoenix | $1,218 |
| 3 | San Tan Valley | $1,196 |
| 4 | Glendale | $1,190 |
| 5 | Mesa | $1,159 |
| 6 | Buckeye | $1,156 |
| 7 | Gilbert | $1,154 |
| 8 | Peoria | $1,137 |
| 9 | Scottsdale | $1,129 |
| 10 | Tempe | $1,106 |
| 11 | Tucson | $1,094 |
| 12 | Goodyear | $1,087 |
| 13 | Chandler | $1,082 |
| 14 | Catalina Foothills | $1,082 |
| 15 | Casa Grande | $1,079 |
| 16 | Maricopa | $1,074 |
| 17 | Surprise | $1,058 |
| 18 | Casas Adobes | $1,050 |
| 19 | Oro Valley | $1,020 |
| 20 | Yuma | $992 |
| Quote Best Rates Go | ||
Information shown are comparative as the garaging address in Phoenix can raise or lower premium rates noticeably.
Discount Phoenix car insurance rates
Insurers that provide policies for used cars may have policy discounts that can reduce rates by as much as 35% or more if you can meet the requirements. Companies and a selection of discounts are shown below.
- American Family policyholders can earn discounts including mySafetyValet, good driver, good student, early bird, accident-free, air bags, and multi-vehicle.
- Farm Bureau has discounts for youthful driver, 55 and retired, safe driver, good student, multi-vehicle, driver training, and multi-policy.
- State Farm has savings for multiple policy, driver’s education, accident-free, Drive Safe & Save, good student, student away at school, and Steer Clear safe driver discount.
- Travelers offers premium reductions for payment discounts, driver training, new car, continuous insurance, home ownership, and save driver.
- The Hartford may offer discounts for bundle, good student, air bag, defensive driver, vehicle fuel type, and driver training.
- GEICO may include discounts for good student, emergency military deployment, multi-policy, seat belt use, and membership and employees.
- Progressive offers discounts for online signing, homeowner, online quote discount, multi-policy, multi-vehicle, continuous coverage, and good student.
The example below shows the difference between insurance premiums with and without discounts applied to the policy rates. The price estimates are based on a male driver, no claims, a clean driving record, Arizona state minimum liability limits, full physical damage coverage, and $500 deductibles.
The first bar for each age group shows premium with no discounts. The second shows the rates with defensive driving course, passive restraint, multiple vehicle, multiple policy, anti-theft, and homeowner discounts applied. When taking advantage of discounts, theamount saved on insurance for used cars is 28% or $429.
Full coverage rates compared to liability-only
Saving money when shopping for insurance should be important to most vehicle owners, and one common way to buy cheaper insurance for used cars is to buy only liability coverage. The illustration below shows the difference between insurance costs with and without physical damage coverage, medical payments, and uninsured/under-insured motorist coverage. The data assumes no claims or driving citations, $1,000 deductibles, marital status is single, and no other discounts are factored in.
If we average all the age groups together, comprehensive and collision coverage on your policy costs $1,704 per year more than insuring for liability only. Many drivers will wonder if buying full coverage is a good investment. There is no specific rule of when to phase out full coverage on your policy, but there is a general school of thought. If the yearly cost of full coverage is more than around 10% of replacement cost minus your deductible, then you might want to think about dropping full coverage.
The information below highlights how deductible choice can influence insurance rates when researching cheap insurance for used cars. The information is based on a married male driver, full coverage, and no additional discounts are factored in.
As shown above, a 50-year-old driver could save $210 a year by switching from a $100 deductible up to a $500 deductible, or save $316 by selecting a $1,000 deductible. Youthful drivers, such as the 20-year-old chart data, can save $694 or more just by choosing higher deductibles when buying full coverage. If you make the decision to raise deductibles, it will now be necessary to have additional funds squirreled away to be able to pay the extra out-of-pocket expense that comes with higher deductibles.
Tips to find more affordable auto insurance for used cars
Here are a few money-saving ideas that can help drivers get cheaper car insurance.
- Save money by insuring your home and auto with the same company
- Drivers with good credit ratings often pay less
- Do not get traffic tickets
- Raise your physical damage coverage deductibles
- At-fault accidents will increase rates
- Pay less by remaining claim-free
- Look for cheaper rates once a year by shopping around
That last piece of advice is particularly critical, as was noted in the article above. Coverage rates in Phoenix fluctuate constantly, so don’t be hesitant to switch carriers if a cheaper rate is available. Having a favorite company is fine, but we do not recommend it if that devotion results in you overpaying lots of hard earned cash every month. If you have a few minutes, compare rates to find cheaper auto insurance for used cars.