Life would sure be easier if we could just give you the name of the one auto insurance company that has the most affordable coverage in Arizona. It’s not quite that easy, unfortunately, as there are a whole bunch of unknown factors such as the amount of liability insurance you need, whether you just want liability only, what deductibles to use for physical damage coverage, and where you live in Phoenix, that all factor into the price you pay. This article covers some of these factors and will hopefully give you a good start to your coverage search.
The vehicle model driven is one of the main factors that determines whether or not you find economical auto insurance for college graduates. Vehicles with lots of speed or power, a lack of advanced safety features, or high incidents of liability claims will cost substantially more to insure than safer, lower-performance models.
The next list presents car insurance premiums for some of the most affordable vehicles to insure.
|Vehicle||Estimated Cost for Full Coverage|
|Ford F-150 STX Super Cab 2WD||$1,774|
|Honda CR-V LX 4WD||$1,849|
|Hyundai Elantra GLS Touring Station Wagon||$1,854|
|Chevrolet Equinox LS AWD||$1,913|
|Toyota RAV4 Sport 4WD||$1,919|
|Ford Escape XLS 4WD||$1,982|
|Honda Accord LX-P 4-Dr Sedan||$1,990|
|Honda Odyssey EX-L W/Navigation||$2,011|
|Jeep Wrangler Unlimited Sahara 4WD 4-Dr||$2,080|
|Chevrolet Silverado 3500HD LT Crew Cab 2WD||$2,083|
|GMC Sierra 3500HD SLE Extended Cab 2WD||$2,093|
|Dodge Ram Crew Cab TRX 2WD||$2,089|
|Ford Edge SEL AWD||$2,149|
|Toyota Camry Hybrid||$2,187|
|Kia Optima SX||$2,196|
|Toyota Tacoma Double Cab 4WD||$2,190|
|Ford F-350 XLT Crew Cab King Ranch Turbo Diesel 2WD||$2,219|
|Ford Explorer XLT 4WD||$2,226|
|Ford Focus S 4-Dr Sedan||$2,294|
|Chevrolet Impala LS||$2,301|
|Toyota Camry XLE||$2,305|
|Jeep Grand Cherokee Laredo 4WD||$2,343|
|Compare Rates Now Go|
Data variables include single female driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Arizona minimum liability limits. Discounts applied include multi-policy, homeowner, safe-driver, multi-vehicle, and claim-free. Rate quotes do not factor in vehicle location which can affect auto insurance rates significantly.
Based upon the table data, makes and models like the Ford F-150, Honda CR-V, Hyundai Elantra, and Chevrolet Equinox will definitely be a few of the most budget-friendly vehicles to insure for college grads.
Finding out which company has the cheapest auto insurance rates for college graduates takes a little more sweat in order to find the most economical policy. Every auto insurer uses their own calculation for establishing rates, so we need to take a look at the most budget-friendly auto insurance companies in Arizona.
It’s a good idea to know that Arizona auto insurance rates are based on many factors that will increase or decrease your annual premium. Simply having another birthday, buying a new vehicle, or getting a ticket for careless driving can produce rate changes resulting in some rates now being more affordable than before.
Cheap Insurance Rates for Grads
The Hartford may offer some of the cheapest car insurance rates in Phoenix at around $811 per year. This is $617 less than the average policy premium paid by Arizona drivers of $1,428. Auto-Owners, Safeco, USAA, and Progressive also qualify as some of the lowest-priced Phoenix, AZ car insurance companies.
As illustrated above, if you are a policyholder with Safeco and switched to The Hartford, you could earn savings of upwards of $121. Arizona drivers with USAA might save as much as $269 a year, and Progressive customers might reduce prices by as much as $307 a year.
To find the cheapest rates for your vehicle, click here to get quotes or quote rates from the companies below.
Be aware that those premiums are averaged across all drivers and vehicles and do not factor in a specific location for college graduates. So the insurer that fits your situation best may not even be in the list above. That affirms the importance of why you need to get rate quotes from many companies using your own individual information.
Discounts on Phoenix car insurance
Auto insurance companies that offer coverage for college graduates may have price discounts that could lower prices by as much as 35% if you qualify. Companies and a selection of discounts are:
- GEICO may include discounts for driver training, air bags, good student, federal employee, daytime running lights, and membership and employees.
- Travelers offers discounts including student away at school, good student, hybrid/electric vehicle, driver training, and IntelliDrive.
- Farm Bureau offers premium reductions for safe driver, multi-policy, 55 and retired, good student, and renewal discount.
- Liberty Mutual includes discounts for good student, exclusive group savings, newly retired, preferred payment discount, safety features, new vehicle discount, and hybrid vehicle.
- American Family may offer discounts for good student, defensive driver, early bird, accident-free, air bags, multi-vehicle, and good driver.
- Progressive policyholders can earn discounts including homeowner, multi-policy, good student, online signing, online quote discount, and multi-vehicle.
The example below shows the difference between auto insurance costs with and without policy discounts. The rates are based on a male driver, a clean driving record, no claims, Arizona state minimum liability limits, comp and collision included, and $1,000 deductibles.
The first bar for each age group shows insurance cost with no discounts. The lower bar shows the rates with defensive driving course, vehicle safety, safe-driver, anti-theft, claim-free, and accident-free discounts applied. When drivers qualify for the discounts, the average amount saved each year on auto insurance for college graduates is 28% or $471.
Finding the best car insurance company can be a challenge considering how many choices drivers have in Arizona. The information in the next section can help you choose which companies to look at shopping prices with. The ratings below include the companies with a significant amount of written premium nationwide, so companies that only write business in Arizona or surrounding areas are not factored into the list.
Top 10 Major Auto Insurance Providers in Phoenix Ranked by A.M. Best Rating
- USAA – A++
- Travelers – A++
- State Farm – A++
- GEICO – A++
- Esurance – A+
- Nationwide – A+
- Allstate – A+
- Mercury Insurance – A+
- Progressive – A+
- Titan Insurance – A+
Top 10 Major Auto Insurance Providers in Phoenix Ranked by Customer Satisfaction
- Titan Insurance – 95%
- USAA – 94%
- AAA Insurance – 91%
- State Farm – 90%
- Nationwide – 90%
- The Hartford – 89%
- GEICO – 89%
- The General – 88%
- 21st Century – 88%
- Liberty Mutual – 88%
Cost difference between full coverage and liability
Finding the cheapest auto insurance is probably important to most drivers, and a great way to buy cheap insurance for college graduates is to not buy comprehensive and collision coverage. The chart below compares premium costs with and without full coverage. The premiums assume no driving violations, no at-fault accidents, $1,000 deductibles, marital status is single, and no discounts are applied.
Averaged for all age groups, physical damage coverage costs $1,704 per year more than carrying just liability coverage. Many drivers may wonder if you should buy full coverage at all. There is no set rule of when to exclude physical damage coverage on your policy, but there is a broad guideline. If the yearly cost for physical damage coverage is more than about 10% of the replacement cost of your vehicle minus the policy deductible, then it’s probably a good time to buy liability coverage only.
There are a few cases where removing full coverage is not advised. If you still have a lienholder on your title, you have to keep full coverage to protect the lienholder’s interest. Also, if you don’t have enough money to buy a different vehicle if your current one is damaged, you should keep full coverage in place.
Last year’s bargain might be this year’s rip off
Phoenix, AZ auto insurance rates are calculated based on many things which can substantially decrease or increase the cost of coverage. Turning one year older, moving to a different location, or getting a speeding ticket may generate price changes resulting in some companies being affordable when they were higher priced.
Also, auto insurance companies amend premium rates as often as every three months as an adjustment for underwriting gains or losses. Heavier than normal losses can cause higher rates, while better underwriting can produce lower-priced Phoenix car insurance rates.
To illustrate this point, the chart below compares the cheapest car insurance in Phoenix, AZ for a 45-year-old female driver with no accidents, a clean driving record, and a good credit rating. If we compare prices based on her personal risk profile, The Hartford has the most affordable car insurance rates in Phoenix at $1,218 each year. This is $210 less than the average policy premium paid by Arizona drivers of $1,428. Auto-Owners, Safeco, USAA, and Travelers are the remaining top five cheapest Phoenix, AZ auto insurance companies.
The chart below compares rates after we give the driver from the first set of rates a claim surcharge, a lower credit rating, and a few traffic violations. Because each company has a proprietary method for determining prices, analyzing rate quotes may now show a significantly different list of the cheapest car insurance companies in Phoenix as shown below.
GEICO now has the best auto insurance rate in Phoenix with Ameriprise Group, CSAA, Allied, and Safeco completing the list. This demonstrates why it is critical to perform a complete rate comparison when trying to find the most budget-friendly auto insurance rates for college graduates. Insurance prices can be altered by many things and can change substantially, so the most economical option two years ago may now not even be in the top five.