The words “low-priced” and “insurance” really shouldn’t be used in the same sentence, especially when comparison shopping for the best insurance rates for a learners permit. In an attempt to save some money, let’s learn about some things that influence auto insurance premiums, and find a few ways to lower the price of your next policy.
Finding out which companies have the most affordable car insurance rates for a learners permit takes a tad more effort in order to find the most economical policy. Every insurance company has a different process for setting prices, so let’s rank the most competitive car insurance companies in Texas.
Compare Cheap Insurance Quotes in Texas
|Rank||Company||Cost Per Year|
|3||Texas Farm Bureau||$1,235|
|Quote Your Rates Go|
Travelers quotes some of the cheapest car insurance rates in Dallas at around $1,052 each year. This is $852 less than the average policy premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and California Casualty would also be considered some of the cheapest Dallas, TX insurance companies.
In the rate table above, if you have coverage with California Casualty and switched to USAA, you might realize an annual premium reduction of in the neighborhood of $265. Policyholders with Esurance may save as much as $290 a year, and State Farm policyholders might see rate reductions of $333 a year.
Understand that those premium estimates are averages across all drivers and vehicles in Texas and do not take into consideration a specific vehicle garaging location for a learners permit. So the car insurance company that has the lowest price for you may not even be in the top 23 companies shown above. That underscores the importance of why you need to compare rates from multiple companies using your own driver information and specific vehicle type.
The type of vehicle needing coverage is one of the primary factors when trying to find cheaper car insurance for a learners permit. Vehicles with reasonable performance levels, a plethora of safety features, or a low likelihood of liability claims will cost less to insure than high performance models.
The next list presents insurance costs for a handful of the more affordable automobiles to buy insurance for.
|Vehicle||Estimated Cost for Full Coverage|
|Honda Accord LX-P 4-Dr Sedan||$4,569|
|Ford Escape Limited 2WD||$4,614|
|Honda CR-V EX-L 4WD||$4,623|
|Hyundai Elantra SE Touring Station Wagon||$4,905|
|Ford Edge SE 2WD||$5,089|
|Toyota Tacoma 4WD||$5,135|
|Ford Focus S 4-Dr Sedan||$5,380|
|Chevrolet Impala LS||$5,385|
|GMC Sierra SL Extended Cab 2WD||$5,425|
|Chevrolet Malibu LS||$5,431|
|Toyota RAV4 Limited 4WD||$5,425|
|Chevrolet Equinox LS AWD||$5,435|
|Dodge Grand Caravan SXT||$5,471|
|Ford Explorer Eddie Bauer 4WD||$5,479|
|Ford F-150 FX2 2WD||$5,471|
|Jeep Wrangler Unlimited Sahara 2WD 4-Dr||$5,711|
|Toyota Corolla S||$5,713|
|Honda Odyssey EX-L W/Navigation||$5,722|
|Toyota Camry SE||$5,713|
|Get a Custom Quote Go|
Data assumes single female driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include claim-free, and safe-driver. Price estimates do not factor in zip code location which can modify premiums significantly.
Based upon the rates shown, you can assume that models like the Honda Accord, Ford Escape, Honda CR-V, and Hyundai Elantra are most likely going to be a few of the cheaper vehicles to insure for new drivers. The price for car insurance will trend higher because there is more liability exposure for a learners permit, but in general those makes and models will most likely have the cheapest auto insurance rates compared to all other vehicles.
Rate difference between full and liability-only coverage
Buying cheaper car insurance is important to most people, and a great way to lower the cost of insurance for a learners permit is to only buy liability insurance. The information below compares premium costs with and without full coverage. The costs are based on no claims, a clean driving record, $250 deductibles, drivers are not married, and no other discounts are factored in.
If we average all the age groups together, physical damage insurance costs an additional $2,000 per year over having just liability coverage. That touches on the question when is the right time to remove full coverage. There is no set rule to stop buying full coverage, but there is a guideline you can consider. If the annual cost of your full coverage insurance is about 10% or more of any settlement you would receive from your insurance company, then you might want to consider buying only liability coverage.
For example, let’s pretend your vehicle’s settlement value is $10,000 and you have $1,000 policy deductibles. If your vehicle is totaled, the most you would get paid by your company is $9,000 after paying your deductible. If it’s costing in excess of $900 a year to have full coverage, then you might want to think about dropping full coverage.
There are some circumstances where only buying liability is not recommended. If you have an outstanding loan on your vehicle, you have to keep full coverage to protect the lienholder’s interest in the vehicle. Also, if your savings is not enough to buy a different vehicle in the even your car is totaled, you should keep full coverage on your policy.
Discounts on Dallas insurance rates
Insurers that offer cheap quotes for a learners permit may also provide discounts that can reduce rates by 40% or more if you are eligible to receive them. A few of the larger companies and a partial list of their discounts can be found below.
- The Hartford offers discounts including air bag, good student, driver training, vehicle fuel type, defensive driver, and bundle.
- American Family discounts include bundled insurance, good student, accident-free, early bird, defensive driver, and air bags.
- Progressive includes discounts for online quote discount, multi-vehicle, homeowner, good student, and multi-policy.
- Travelers may offer discounts for continuous insurance, early quote, multi-policy, driver training, IntelliDrive, and home ownership.
- Farmers Insurance may include discounts for good student, switch companies, pay in full, youthful driver, and multi-car.
- USAA offers discounts for defensive driver, good student, multi-policy, military installation, and driver training.
- Liberty Mutual may have discounts that include multi-policy, multi-car, hybrid vehicle, good student, and preferred payment discount.
The diagram below visualizes the comparison of car insurance rates with and without discounts applied to the rates. The prices are based on a male driver, no accidents, no driving violations, Texas state minimum liability limits, comprehensive and collision coverage, and $500 deductibles. The first bar for each age group shows premium with no discounts. The second bar shows the rates with passive restraint, vehicle safety, good student, paid-in-full, paperless filing, and anti-theft discounts applied. With discounts applied, the amount saved on car insurance for a learners permit is 28% or $638.
How to find budget-friendly insurance for a learners permit
Lowering your rates is not difficult, and here are some money-saving solutions that can help you locate more affordable car insurance.
- Good credit can help you save money
- Prevent rate increases by staying accident-free
- If your vehicles are older, consider dropping full coverage
- Save money by bundling your home and auto policies
- Drive vehicles with five-star safety ratings
- Compare rates regularly to ensure the best deal
That last idea is extraordinarily necessary, as was affirmed in the article above. Car insurance rates in Dallas fluctuate constantly, so don’t be hesitant to switch companies if you find a cheaper price.
Having brand loyalty is commendable, but it’s not a good idea if that inflexibility results in costing you money that could be spent on other things. Spend a few minutes and shop around and find cheaper car insurance for a learners permit.
If you aren’t clear which coverage you need and would like to get some help when trying to find lower insurance rates for new drivers, the agents listed below can most likely answer your questions and help you decide which coverages and limits you need. To find an auto insurance agency nearest to you, click the button at the bottom of the list.
Texas Insurance Pro
2695 Villa Creek Dr #175 – Dallas, TX 75234 – (214) 717-4326
Marybel Castilleja – State Farm Insurance Agent
4444 W Jefferson Blvd Ste 620 – Dallas, TX 75211 – (214) 331-7680
Sheaner Insurance, LLP
2501 Abrams Rd – Dallas, TX 75214 – (214) 823-3003
Kristin Marquardt – State Farm Insurance Agent
10455 N Central Expy Ste 105 – Dallas, TX 75231 – (214) 987-2886
Harrison Insurance Agency
5001 Spring Valley Rd #400e – Dallas, TX 75244 – (972) 250-1776