Figuring out which companies have the lowest-priced car insurance rates for business use takes a tad more effort than just comparing a company or two. Each insurance company uses a little different formula for determining prices, so we’ll go over the overall cheapest car insurance companies in Texas.
It’s important that you understand Texas car insurance rates are impacted by many things that will increase or decrease the price you have to pay for coverage. Simply getting older, buying a home, or getting a ticket for running a stop sign can trigger changes in premium resulting in some rates now being affordable when they were higher priced.
Lowest Insurance Price Quotes for Business Use
Travelers quotes some of the most affordable car insurance rates in Dallas at around $1,052 a year. USAA, Texas Farm Bureau, Germania Mutual, and California Casualty would also make the list of some of the cheapest Dallas, TX insurance companies.
As shown in the table above, if you buy coverage from Germania Mutual and switched to Travelers, you might achieve a yearly savings of in the neighborhood of $192. Insureds with California Casualty might save as much as $344 a year, and Esurance policyholders might lower prices by up to $369 a year.
It’s important to note that these premium estimates are averages across all insureds and vehicles and do not factor in a specific vehicle garaging location for business use. So the auto insurance company that can offer the best rates for your situation may not even be in the top 23 companies shown above. That emphasizes why you need to get rate quotes from many companies using your own specific driver information and vehicle.
The vehicle model that is being insured is one of the largest factors that determines if you can find the most affordable auto insurance for business use. Vehicles with more horsepower, a lack of advanced safety features, or high incidents of liability claims will cost more to insure than more economical and safe models.
The next list estimates insurance rates for a handful of the most budget-friendly vehicles to buy insurance for.
|Vehicle Insured||Estimated Cost for Full Coverage|
|Ford Escape Limited 2WD||$1,334|
|Ford Focus SE 4-Dr Sedan||$1,515|
|Chevrolet Impala LT||$1,544|
|Chevrolet Malibu LS||$1,550|
|Honda CR-V EX 2WD||$1,604|
|Toyota Corolla LE||$1,624|
|Ford Fusion Sport 4-Dr Sedan||$1,653|
|Jeep Grand Cherokee SRT-8 4WD||$1,659|
|Nissan Rogue S AWD||$1,658|
|Honda Odyssey EX||$1,741|
|Hyundai Elantra SE Touring Station Wagon||$1,746|
|Ford Edge SE AWD||$1,741|
|Nissan Altima 2.5 S 2-Dr Coupe||$1,767|
|Toyota RAV4 Sport 4WD||$1,772|
|Chevrolet Silverado 3500HD LT Crew Cab Diesel 2WD||$1,793|
|Ford F-150 Lariat Crew Cab 2WD||$1,806|
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Data based on single female driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include safe-driver, multi-policy, claim-free, homeowner, and multi-vehicle. Table data does not factor in vehicle garaging location which can modify premium rates considerably.
Looking at the rates, cars like the Ford Escape, Ford Focus, and Chevrolet Impala will be the most budget-friendly vehicles to insure for using your car for business. Auto insurance rates will tend to be more expensive anyway just due to the fact that there is more claim exposure for business use, but overall those particular vehicles will probably have the cheapest rates compared to all other vehicles.
Does it make sense to buy full coverage?
Saving money on car insurance is important to most drivers, and one way to find cheap insurance for business use is to not buy full coverage. The example below shows the comparison of insurance prices with full physical damage coverage compared to only buying the minimum liability limits required in Texas. The information is based on no violations or accidents, $250 deductibles, single marital status, and no other discounts are factored in.
If all age groups are averaged, full coverage costs an extra $2,210 per year over and above liability coverage. At some point, every insured wonders if paying for full coverage is a waste of money. There is no set rule to drop physical damage coverage on your policy, but there is a general guideline you can use. If the yearly cost of full coverage is about 10% or more of the vehicle’s replacement cost less your deductible, then it might be time to buy liability only.
For example, let’s say your vehicle’s claim settlement value is $11,000 and you have $1,000 policy deductibles. If your vehicle is severely damaged, the most your company would pay you is $10,000 after paying your deductible. If it’s costing you more than $1,000 annually for your policy with full coverage, then you might want to think about dropping full coverage.
The diagram below illustrates how choosing a deductible can affect insurance premiums when quoting cheap insurance for business use. The prices are based on a single female driver, full physical damage coverage, and no discounts are factored in.
The chart above illustrates that a 50-year-old driver could lower their car insurance rates by $408 a year by switching their comprehensive and collision coverages from a $100 deductible to a $500 deductible, or save $612 by choosing a $1,000 deductible. Even younger drivers, like the Age 20 chart data, could drop their prices $1,048 annually by using higher deductibles when buying full coverage.
When raising deductibles, it will be important to have emergency funds available to enable you to cover the extra out-of-pocket expense, which is the main drawback of higher deductibles.
How to find the cheapest auto insurance for business use
Lowering your rates is not difficult, and here are some of the better money-saving solutions that can help you find lower-cost coverage.
- Accident-free drivers may qualify for discounts
- Clean up your credit rating
- Lower rates by purchasing a safer vehicle
- Raise physical damage deductibles
- Avoid getting tickets or violations
- Compare rate quotes often
The last tip is notably crucial, as we hit on in the prior information. Insurance rates vary considerably, so don’t be unwilling to buy from a different company if a lower price can be found.
Having a favorite company is great, but it’s not a good idea if that inflexibility results in costing you money that could be going to better use. Now is a great time to compare prices to find cheaper auto insurance for business use in Dallas.
The agents below can probably help you decide which policy is best, as many people would rather get some professional advice when comparing insurance rates for business use. It can be time-consuming to find the best coverage on your own, so getting advice from a licensed agent can add peace of mind knowing your policy gives you adequate protection in the event of a claim. To find a Dallas insurance agent close to you, click the button after the list.
- Brent Holtz – State Farm Insurance Agent
3427 E Trinity Mills Rd #601 – Dallas, TX 75287 – (972) 306-1234
- Nationwide Insurance: Comparable Insurance Agency Inc
9750 Walnut St Ste 106 – Dallas, TX 75243 – (214) 575-2750
- John Hamman – State Farm Insurance Agent
8330 Abrams Rd #104 – Dallas, TX 75243 – (214) 341-3050
- Dan Stanton – State Farm Insurance Agent
3767 Forest Ln #107 – Dallas, TX 75244 – (972) 243-8894