Auto insurance is an important purchase, but finding cheap car insurance in Arizona isn’t always easy. That’s why it’s important to compare rates from multiple insurers.
The average cost of full coverage car insurance in Arizona is $1,669 per year, or about $139 per month, according to Forbes analysis. Minimum coverage in Arizona is $588 per year on average, but one can likely get a cheaper policy.
For example, Geico offers the cheapest rates in Arizona at $305 per year, on average, for minimum coverage car insurance for a 35-year-old driver with a clean driving record and Allstate has the most expensive rates. It is important to note these rates are based on study data, and may not be the same as what you pay for your car insurance.
Auto insurers look at several individual factors for each driver to determine their risk, which, in turn, plays a role in how much your car insurance rates will be.
These include age, gender, where you live, the type of car you drive, your driving history and even your credit score. In addition, the type and amount of coverage you purchase will affect how much you pay for auto insurance.
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Certain Factors That Lead To More Expensive Coverage:
Getting a speeding ticket:
Getting a speeding ticket might seem like a minor offence, but in reality, this type of driving behaviour can cause costly collisions. Consequently, having convictions for speeding tickets on your motor vehicle record (MVR) can cause higher insurance rates. Typically, a speeding ticket conviction will negatively affect your insurance rate for three years, or for the duration, the infraction is on your MVR. During this time, discounts and maintaining a clean driving record are ways in which drivers may be able to avoid subsequent increases.
Causing an accident:
If you cause a collision, your car insurance rates will typically be negatively affected for three to five years, or however long the incident stays on your MVR. You will typically see your premium increase when your policy renews following an at-fault collision.
If you have accident forgiveness on your policy before the incident, and depending on the circumstances, you may be able to avoid a premium increase if it is your first-ever at-fault accident.
Being a High-risk Driver:
If you have a serious moving violation on your record, such as a DUI conviction, or you got caught driving without insurance, your insurance company might consider you to be a high-risk driver.
Not only do high-risk drivers pay higher car insurance rates, but you might find that some insurance carriers will not insure you. High-risk drivers may have to purchase coverage from a non-standard car insurance company that has less strict underwriting guidelines and much higher rates than standard auto insurers.
Insurance companies believe drivers with bad credit are a bigger risk than motorists with good credit, so insurers charge motorists with poor credit more for coverage. Arizona drivers with poor credit spend almost double what other Arizona drivers pay for car insurance.
Adding a teen driver to your policy:
Adding a teen driver to your auto insurance policy can have a big impact on your rate. Young drivers lack experience and are statistically more likely to be involved in accidents, resulting in more expensive premiums.
However, qualifying for a good student discount or a similar young driver discount can help reduce your premium. In addition, your premium will start to decrease as the teen driver gets older and gains experience behind the wheel.
Senior drivers may see their rates increase as they move into their late 60s and beyond. That’s because car insurance companies view older drivers as a bigger risk than their middle-aged counterparts.
Here is How To Find Affordable Car Insurance in Arizona
Buying an insurance policy from one of the cheapest auto insurance companies in Arizona may help you get an affordable car insurance premium when you first purchase a policy, but you can also do a few other things to keep your rates low for years to come. Here are a few tips to find and keep cheap car insurance:
Shop around and get multiple quotes:
Before you choose an insurance policy or each year as your circumstances change, make sure to shop around and get quotes from several insurance providers.
The Insurance Information Institute (Triple-I) recommends you get a mix of quotes from national and regional insurers to compare costs and coverages.
Pay attention to the discounts that each insurer offers, and which you may be eligible for, to get the most affordable rates. You can obtain quotes online or work with a local insurance agent during this process.
Maintain a clean driving record:
Your driving habits can have a significant impact on your car insurance premium. Vehicle owners who maintain clean driving records typically have the cheapest insurance rates.
Avoiding at-fault accidents and claims can prove you are a lower risk to insure and may improve your eligibility for driving-based discounts or saving opportunities to further lower premiums.
Auto insurers review drivers’ credit history and usually assign a higher risk to drivers with a low credit score. When shopping for car insurance with poor credit, Geico has the cheapest rates on average.
If you have a clean driving record, your auto insurer often will assign you a lower risk than drivers with a poor driving history, which translates to cheaper rates. In Arizona, Geico offers the cheapest car insurance rates on average for good drivers, and Allstate has the most expensive rates.
Consider getting minimum coverage instead of full coverage:
Although minimum coverage insurance may be considered the cheapest option, it may not financially protect you against a costly loss in the same way that a full coverage policy likely would. Full coverage insurance, which includes comprehensive and collision coverage, offers financial protection for physical damage to your vehicle, whether you are at fault or not for the incident.
If you lease or finance your vehicle, your lender or loan company may require you to carry full coverage insurance.
While collision and comprehensive coverage generally provide greater financial protection, the right coverage for you depends on your individual needs. It may help to talk with a licensed insurance agent about what limits make sense for you.