I’m sure you’ve seen the catchy commercials from insurers like Nationwide, Allstate, and GEICO that say if you switch you’ll get the cheapest rates, so drivers just need to choose any one of them, right?
Unfortunately, it’s just not that easy, as there are a whole slew of unknown elements like how far you drive each year, your credit rating, citations or tickets, and the amount of liability coverage you want. If you keep reading, we will teach you about some of these criteria and will give you a good start in finding the cheapest insurance in Arizona.
Finding good, low-priced insurance is not most people’s favorite thing to do, and figuring out which company has the cheapest car insurance rates for 16 year olds will require even more diligence.
Every insurance company has their own process for determining rates in each state, so we need to take a look at the most budget-friendly car insurance companies in Phoenix.
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| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | The Hartford | $845 |
| 2 | Safeco | $896 |
| 3 | Auto-Owners | $924 |
| 4 | USAA | $1,113 |
| 5 | Travelers | $1,119 |
| 6 | GEICO | $1,131 |
| 7 | Progressive | $1,164 |
| 8 | Ameriprise Group | $1,184 |
| 9 | Allied | $1,209 |
| 10 | CSAA | $1,213 |
| 11 | Farm Bureau Mutual | $1,285 |
| 12 | Safe Auto | $1,297 |
| 13 | Unitrin | $1,303 |
| 14 | State Farm | $1,337 |
| 15 | Farmers | $1,350 |
| 16 | Titan | $1,461 |
| 17 | American Family | $1,478 |
| 18 | Amica | $1,487 |
| 19 | MetLife | $1,505 |
| 20 | Safeway | $1,554 |
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The Hartford quotes some of the cheapest car insurance rates in Phoenix at around $845 each year. Safeco, Auto-Owners, USAA, and Travelers are also some of the cheaper Phoenix, AZ insurance companies.
As shown above, if you are a policyholder with USAA and switched to The Hartford, you might achieve an annual savings of in the vicinity of $268. Arizona drivers with Travelers could save as much as $274 a year, and GEICO customers might see rate reductions of $286 a year.
Understand that those premiums are averaged for all types of drivers and the different vehicles they drive and and are not calculated with an exact zip code location for 16 year olds. So the insurer that fits you best may not even be in the top 28 companies shown above. That underscores the importance of why you need to get car insurance quotes using your own driver data and vehicle information.
The type of vehicle requiring coverage is one of the largest considerations when comparison shopping for low-priced insurance for 16 year olds. Vehicles with limited speed and performance, an excellent safety record, or a track record of few liability claims will cost substantially less to insure than adrenaline junky models.
The next table estimates car insurance premiums for a handful of the most economical vehicles to buy insurance for.
| Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V EX 4WD | $7,028 |
| Ford Escape Limited 2WD | $7,037 |
| Toyota Prius | $7,515 |
| Ford F-150 XL Regular Cab 4WD | $7,839 |
| Jeep Wrangler Sahara 4WD 2-Dr | $7,848 |
| Ford Explorer XLT 2WD | $7,839 |
| Volkswagen Jetta SE 2.5 Station Wagon | $7,939 |
| Ford Edge Limited 2WD | $8,200 |
| Honda Odyssey EX | $8,206 |
| Chevrolet Impala LS | $8,200 |
| Jeep Grand Cherokee Laredo 4WD | $8,263 |
| Toyota RAV4 Sport 2WD | $8,270 |
| Chevrolet Malibu LT | $8,326 |
| Dodge Grand Caravan SXT | $8,333 |
| Chevrolet Silverado LS Regular Cab 2WD | $8,476 |
| Ford Focus SEL 4-Dr Sedan | $8,624 |
| Hyundai Elantra Blue 4-Dr Sedan | $8,634 |
| Toyota Camry XLE | $8,687 |
| Toyota Corolla LE | $8,696 |
| Toyota Tacoma X-Runner 2WD | $8,687 |
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Premium data assumes single female driver age 16, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Arizona minimum liability limits. Discounts applied include safe-driver, and claim-free. Rate information does not factor in zip code location which can influence premium rates noticeably.
Looking at the rates, you can infer that models like the Honda CR-V, Ford Escape, Toyota Prius, and Ford F-150 should be the most budget-friendly vehicles to insure for new drivers. The price for car insurance will tend to be more expensive anyway because of the fact that there is more liability exposure for 16 year olds, but in general those particular vehicles will probably have the lowest insurance rates that you are likely to find.
Discount Phoenix car insurance rates
Car insurance companies that offer cheap quotes for 16 year olds may additionally offer discounts that could lower prices by 35% or more if you qualify for them. Companies and a summarized list of policyholder discounts are:
- GEICO has discounts for defensive driver, military active duty, five-year accident-free, membership and employees, and multi-policy.
- Mercury Insurance may offer discounts for type of vehicle, annual mileage, professional/association, multi-car, multi-policy, low natural disaster claims, and good student.
- Farmers Insurance may include discounts for early shopping, distant student, good student, electronic funds transfer, teen driver, and switch companies.
- Auto-Owners Insurance has savings for safe vehicle, paid in full, multi-policy, anti-lock brakes, good student, and multiple vehicles.
- Liberty Mutual offers discounts for newly married, good student, multi-car, new move discount, preferred payment discount, newly retired, and multi-policy.
- SAFECO offers discounts including safe driver, teen safety rewards, drive less, multi-car, accident prevention training, homeowner, and teen safe driver.
- Progressive policyholders can earn discounts including continuous coverage, online quote discount, homeowner, good student, online signing, and multi-vehicle.
- USAA discounts include multi-vehicle, family discount, multi-policy, driver training, defensive driver, and safe driver.
The illustration below illustrates the difference between yearly insurance costs with and without policy discounts. The premiums assume a male driver, no tickets, no at-fault accidents, Arizona state minimum liability limits, full physical damage coverage, and $1,000 deductibles. The first bar for each age group shows premium with no discounts. The second bar shows the rates with anti-theft, good student, paid-in-full, vehicle safety, continuous coverage, and paperless filing discounts applied. When discounts are applied, the average savings per year on car insurance for 16 year olds is 28% or $629.
Insuring your vehicle with the highest-rated company can be difficult considering how many different companies insure vehicles in Arizona. The rank data shown next could help you decide which companies you want to consider comparing rates with. The rankings below are for the companies with a significant amount of written premium nationwide, so companies with more of a regional focus are not factored into this list.
| Company | Value | Customer Service | Claims | Customer Satisfaction | A.M Best Rating | Overall Score |
|---|---|---|---|---|---|---|
| USAA | 98 | 100 | 100 | 94% | A++ | 98.6 |
| American Family | 98 | 89 | 100 | 86% | A | 95.4 |
| State Farm | 88 | 93 | 96 | 90% | A++ | 92.4 |
| The Hartford | 94 | 92 | 90 | 89% | A+ | 91.7 |
| AAA Insurance | 88 | 89 | 95 | 91% | A | 91.2 |
| GEICO | 84 | 93 | 93 | 89% | A++ | 90.3 |
| The General | 89 | 91 | 89 | 88% | A- | 90 |
| Titan Insurance | 90 | 87 | 91 | 95% | A+ | 89.6 |
| Progressive | 84 | 91 | 93 | 87% | A+ | 89.5 |
| Mercury Insurance | 88 | 91 | 90 | 85% | A+ | 89.4 |
| Allstate | 85 | 90 | 92 | 88% | A+ | 89.3 |
| Nationwide | 87 | 88 | 84 | 90% | A+ | 88.7 |
| Liberty Mutual | 84 | 87 | 93 | 88% | A | 88.5 |
| 21st Century | 85 | 86 | 87 | 88% | A | 86.7 |
| Esurance | 85 | 80 | 95 | 87% | A+ | 85.9 |
| Safeco | 85 | 85 | 85 | 86% | A | 85.8 |
| Travelers | 80 | 87 | 87 | 83% | A++ | 85.2 |
| Farmers Insurance | 78 | 87 | 88 | 79% | A | 84.3 |
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Data Source: Insure.com Best Car Insurance Companies
Here’s why you should compare rates often
Phoenix car insurance rates are influenced by many factors that will increase or decrease the policy premium. Improving your credit rating, becoming a homeowner, or getting caught speeding can trigger price changes that can now make some companies cheaper than competitors. Also, auto insurance companies file new Arizona car insurance rates every year in order to remain profitable. Significantly higher losses can cause price increases, while long-term profits can produce cheaper Phoenix car insurance rates.
The graph below shows which company has the cheapest car insurance in Phoenix, AZ for a 30-year-old female driver with no prior claims, no tickets, and great credit. If we compare prices based on her current risk profile, The Hartford may offer the best car insurance rates in Phoenix at $1,269 a year. This is $159 less than the average policy premium paid by Arizona drivers of $1,428. Auto-Owners, Safeco, Travelers, and USAA are also on the list of the cheapest Phoenix, AZ auto insurance companies.
In the next rate comparison, we’ll give the driver from the above example a chargeable accident, less-than-perfect credit, and a traffic citation. Since each auto insurer uses their own method for filing rates in each state, comparing prices could result in a different set of affordable companies as shown below.
GEICO now has the lowest price in Phoenix, AZ with CSAA, Ameriprise Group, Auto-Owners, and Allied also having competitive pricing. This example shows why drivers need to do a thorough rate comparison when trying to get cheap auto insurance rates for 16 year olds. Car insurance prices are impacted by many risk factors and change substantially, so the most economical option the last time you shopped your coverage around may now be one of the more expensive options.