Are you looking for affordable car insurance with the best policies in Tennessee?
Well, you’re on the right path cause we are here to provide you answers you seek.
Auto insurance in Tennessee is relatively cheap. The average cost of auto insurance is 22% below the national average. According to the Insurance Information Institute, an average driver pays $820 annually for auto insurance.
Purchasing auto insurance is both a smart and prudent move. It secures you in events of accidents, theft or vandalism.
There are various factors auto insurance companies in the Big Bend State as Tennessee is also called, use to consider to determine the rates you pay for your car insurance. Some of these factors include age, credit score, marital status, driving history, location and the make and type of your vehicle.
Every auto insurer has its own unique rating system and that is why rates vary among insurance companies. Finding the most affordable insurance company for your desired coverage type might require you to take some steps.
Tips For Cutting Costs On Car Insurance In Tennessee
- Go shopping
Different insurers offer different rates on auto insurance. Obtaining quotes from multiple insurance companies and comparing them can help you save some money on premiums. That way you would be able to find insurance companies that offer rates that suit your needs.
- Increase your deductibles
A deductible is the money you pay out-of-pocket when you get involved in an at-fault accident before your insurance company steps in. Increasing your deductibles invariably lowers the premium you pay on car insurance. This helps to cut costs on your auto insurance.
- Take advantage of discounts offered
Most insurance providers in Tennessee offer several discounts to their customers. Some examples include the good student discount given to parents who add a teen to their policy, homeowner discounts etc. you can speak to your agent to help find the discounts you qualify for.
- Maintain a good credit history
Drivers who manage their credit scores effectively are charged less for car insurance compared to drivers with poor credit scores. Research shows that drivers with poor credit scores tend to make more claims. The better your credit score, the lesser your premiums on car insurance.
- Drive Safely
Observing good driving practices is the ultimate way to cut costs. Good drivers are charged less than every other category of drivers in Tennessee. You can reduce the points on your licence by completing a defensive course for drivers with an at-fault accident on their record.
Minimum Liability Car Insurance
Tennessee state law requires licensed drivers to buy liability car insurance. The liability insurance pays for damages and/or bodily injuries you cause to someone else in an at-fault accident.
To drive legally in Tennessee you must carry at least the following liability insurance:
- $25,000 for bodily injury to one person
- $50,000 for bodily injury to multiple people in one accident
- $15,000 for damage to property in one accident
This is usually written as 25/50/15.
These minimum requirements are inadequate. If you get involved in a serious accident and your minimum limits are not able to cover all the expenses incurred, you could be sued for the rest. And nobody likes to be sued.
Insurance experts advise that drivers buy a higher coverage if they can afford it to protect them in events where they get involved in serious car accidents.
Other components of the liability insurance include:
- Uninsured and Underinsured Motorist Coverage
This protects the policyholder when a driver with no or not enough liability insurance hits him. Auto insurance companies offer these in Tennessee but you can reject them in writing
- Comprehensive and Collision Coverage
This type of coverage pays for problems like car theft, vandalism, floods, fire etc and collisions like backing into a pole or with animals.
- Medical Payment(MedPay)
This coverage pays for medical expenses when involved in car accidents, irrespective of who is at fault. It pays for expenses like the hospital bills, deductibles and copays for you and your passengers.
Note: A full coverage policy includes the liability coverage and the comprehensive and collision coverage.
Cheap Car Insurance For Good Drivers In Tennessee
Good drivers in Tennessee get the best rates. Avoiding tickets or any kind of infraction on your record is one way to save on your car insurance.
State Farm, USAA and Geico offer the best rates to good drivers in Tennessee.
USAA however, only offers auto insurance to veterans, military members and their close families.
| Cheapest companies | Average annual rates |
| State Farm | $825 |
| USAA | $913 |
| Geico | $971 |
| Nationwide | $1,136 |
| State Average | $1,323 |
Cheap Car Insurance For Drivers With A Speeding Ticket In Tennessee
Having a speeding ticket on your record increases the rates you pay for auto insurance. There is a 22% increase on average.
Not all insurers in Tennessee hike that much. Shopping around for quotes at renewal time can help you cut costs on car insurance
State Farm is the only car insurer in Tennessee with an average annual rate less than $1,000 for drivers with a recent speeding ticket.
USAA is also a good option, but it’s only available to veterans, military members and their families.
| Cheapest companies | Average annual rates |
| State Farm | $950 |
| USAA | $1,087 |
| Geico | $1,129 |
| Nationwide | $1,342 |
| State Average | $1,618 |
Cheap Car Insurance For Drivers Who Caused An Accident With Injury In Tennessee
Drivers in Tennessee who caused an accident with injury pay an additional $600 on average or 45% more annually compared to good drivers.
State Farm has the most affordable car insurance rates in Tennessee for drivers who have caused a car accident having an average annual of $1,025 which is $889 below the state’s average.
| Cheapest companies | Average annual rates |
| State Farm | $1,025 |
| USAA | $1,313 |
| Tennessee Farmers | $1,354 |
| Grange Mutual | $1,535 |
| State Average | $1,914 |
Cheap Car Insurance For Drivers With A DUI In Tennessee
DUI is a serious violation of the Tennessee state law. If you are convicted with DUI, youre likely to have your licence suspended, serve jail term, pay court fees and fines. This particular infraction on your record makes your car insurance rates rise, sky high.
State Farm, USAA, Geico and Travelers offer the cheapest rates to drivers with DUI in Tennessee.
| Cheapest companies | Average annual rates |
| State Farm | $950 |
| USAA | $1,741 |
| Geico | $1,749 |
| Travelers | $1,955 |
| State Average | $2,205 |
Cheap Car Insurance For Drivers With Poor Credit In Tennessee
Drivers in Tennessee with poor credit pay high rates compared to drivers with good credit scores. Auto companies believe that they are more likely to lay claims and so charge them higher.
Geico with an average annual of $1,480 offers the cheapest rates for drivers with poor credit.
| Cheapest companies | Average annual rates |
| Geico | $1,480 |
| Tennessee Farmers | $1,564 |
| Grange Mutual | $1,592 |
| Nationwide | $1,594 |
| State Average | $2,645 |
Cheap Car Insurance For Adding A Teen Driver In Tennessee
There is always a major hike in rates when you add a teen to your policy. Your premiums double over by 147% on average. This is largely because of the lack of experience they have behind the wheels and this puts them at a higher risk of having an accident.
Nationwide,Geico and Tennessee Farmers offer the cheapest rates in Tennessee for parents who add a teen to their policy.
| Cheapest companies | Parents only | Parents plus teen driver | Average % increase for adding teen |
| Nationwide | $949 | $1,421 | 50% |
| Geico | $827 | $2,161 | 161% |
| Tennessee Farmers | $808 | $2,175 | 169% |
| USAA | $917 | $2,579 | 181% |
| State Average | $1,246 | $3,086 | 147% |
Cheap Car Insurance For Young Drivers Ages 18 to 25 In Tennessee
Young drivers in Tennessee are also charged higher rates in Tennessee. Drivers with little experience are more likely to get involved in accidents.
While searching for cheap policies, consider Geico as they offer the lowest rates for young drivers in Tennessee.
| Cheapest companies | Average annual rates |
| Geico | $1,459 |
| USAA | $1,549 |
| State Farm | $1,585 |
| Grange Mutual | $2,090 |
| State Average | $2,298 |
Cheap Car Insurance For Seniors In Tennessee
Seniors pay a little more than average drivers in Tennessee. Shopping around at the time to renew your policy can save you some money on premiums.
State Farm, USAA, Geico and Tennessee Farmers offer the lowest rates for senior drivers in Tennessee. You can check them out when looking.
| Cheapest companies | Average annual rates |
| State Farm | $905 |
| USAA | $1,022 |
| Geico | $1,035 |
| Tennessee Farmers | $1,223 |
| State Average | $1,407 |
