You have most likely seen the commercials from car insurance companies like Nationwide, The General, and Liberty Mutual that guarantee dirt cheap rates, so you just need to choose the one with the best commercial, right?
It’s just not that easy, however, as there are a whole bunch of unknown elements such as the level of liability coverage you want, your date of birth, and if you are a homeowner or renter, that all impact the cost of coverage. This article will cover the best ways to save money and also should give you a good start in finding the cheapest insurance.
Deciding which companies offer the lowest-priced auto insurance rates for drivers under 25 will involve a bit more work in order to find the most economical policy.
Every insurance company uses a little different formula to set policy rates, so we’ll take a look at the overall cheapest auto insurance companies in Portland. It’s a good idea to be aware that Oregon auto insurance rates are impacted by many things that control your annual premium. Turning one year older, moving across town, or getting a few speeding tickets can cause premium changes that can now make some companies affordable when they were higher priced.
Find the Cheapest Auto Insurance for Young Drivers
|Rank||Company||Cost Per Year|
|Compare Rates Now Go|
Grange has some of the most affordable car insurance rates in Portland at around $694 annually. Oregon Mutual, Country, Travelers, and USAA would also make the list of some of the most economical Portland, OR insurance companies.
In this example, if you currently have a policy with Travelers and switched to Oregon Mutual, you may realize an annual savings of about $105. Policyholders with USAA may save as much as $131 a year, and State Farm insureds might lower prices by $221 a year.
To find out how your current rates compare, click here to get a free quote or click several companies below for low rates.
Understand that those policy prices are averages for all types of drivers and the different vehicles they drive and do not factor in an exact location for drivers under 25. So the car insurance company that can offer you the best rate may not even be in the top 22 companies in the list above. That emphasizes why you need to get rate quotes using your own specific driver information and vehicle.
The vehicle model requiring insurance is a significant factor that determines whether or not you can buy the best cheap auto insurance for drivers under 25. Vehicles with economical engines, a plethora of safety features, or a low likelihood of having liability claims will cost much less to insure than adrenaline junky models. The next table outlines insurance prices for a selection of the most affordable automobiles to buy coverage for.
|Vehicle Insured||Estimated Cost for Full Coverage|
|Ford Escape XLT 2WD||$3,170|
|Honda Accord LX-P 4-Dr Sedan||$3,175|
|Honda CR-V EX 4WD||$3,216|
|Ford F-150 STX Regular Cab 4WD||$3,548|
|Ford Explorer XLT AWD||$3,556|
|Ford Focus S 4-Dr Sedan||$3,703|
|Chevrolet Impala LS||$3,713|
|Ford Edge Limited 2WD||$3,703|
|Honda Odyssey EX||$3,708|
|Toyota RAV4 2WD||$3,750|
|Chevrolet Silverado LT Extended Cab 4WD||$3,757|
|Toyota Tacoma Double Cab TRD Off-Road Package 4WD||$3,799|
|Chevrolet Malibu LT||$3,807|
|Dodge Grand Caravan Crew||$3,799|
|Jeep Wrangler Unlimited Sport 2WD 4-Dr||$3,864|
|Toyota Camry SE||$3,954|
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Cost estimates assume single female driver age 20, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Oregon minimum liability limits. Discounts applied include claim-free, and safe-driver. Table data does not factor in specific zip code location which can impact auto insurance rates considerably.
Looking at the data, you can see that vehicles like the Ford Escape, Honda Accord, Honda CR-V, Toyota Prius, and Ford F-150 will be a few of the more affordable vehicles to insure for drivers age 25 and younger. The cost of auto insurance will be more costly just because there is more risk for drivers under 25, but generally speaking those particular models will probably have the lowest insurance prices compared to all other vehicles.
How to get discounts on Portland auto insurance
Insurers that offer quotes for drivers under 25 may also provide special discounts that can reduce rates by as much as 25% or more if you can meet the requirements. The best auto insurance companies and some of their more popular discounts can be read below.
- State Farm includes discounts for Drive Safe & Save, passive restraint, multiple autos, driver’s education, and good student.
- American Family offers premium reductions for bundled insurance, multi-vehicle, accident-free, mySafetyValet, Steer into Savings, and early bird.
- AAA has discounts for anti-theft, education and occupation, AAA membership discount, multi-policy, and good student.
- GEICO offers discounts including federal employee, anti-lock brakes, five-year accident-free, driver training, military active duty, and multi-vehicle.
- Mercury Insurance policyholders can earn discounts including multi-policy, location of vehicle, multi-car, good student, and type of vehicle.
- Farmers Insurance has savings for multi-car, electronic funds transfer, good student, switch companies, teen driver, early shopping, and bundle discounts.
- Progressive may have discounts that include good student, homeowner, continuous coverage, online quote discount, online signing, and multi-policy.
The information below illustrates the comparison of car insurance costs with and without discounts being applied to the rates. The data assumes a male driver, no accidents, no driving violations, Oregon state minimum liability limits, comp and collision included, and $500 deductibles.
The first bar for each age group shows insurance cost with no discounts. The second bar shows the rates with paperless filing, good student, vehicle safety, continuous coverage, paid-in-full, and passive restraint discounts applied. When drivers qualify for the discounts, theamount saved on auto insurance for drivers under 25 is 19% or $282.
The example below highlights how deductible selection can change insurance premiums when searching for cheap insurance for drivers under 25. The prices are based on a married male driver, full coverage, and no discounts are taken into consideration.
The data above shows that a 30-year-old driver could cut expenses by $296 a year by switching from a $100 deductible up to a $500 deductible, or save $446 by choosing a $1,000 deductible. Young drivers, such as the Age 20 example, could potentially save up to $890 every year by using higher deductibles when buying full coverage.
If you do decide to increase your deductibles, it’s a good idea to have additional funds in a savings account to enable you to pay the extra out-of-pocket expense, which is the one inconvenience of using high deductibles.
Responsible drivers pay cheaper Portland auto insurance rates
One of the best ways to obtain the cheapest auto insurance rates in Portland for drivers age 25 and younger is to be a good driver and avoid accidents and traffic citations. The diagram below demonstrates how speeding tickets and at-fault claims can impact auto insurance rates for different insured age categories. The rates are based on a married male driver, full coverage, $250 deductibles, and no additional discounts are factored in.
The data above shows the average cost of car insurance per year with no violations or accidents is $1,911. Get one speeding ticket and the average cost rises to $2,196, an increase of $285 each year. Next add two accidents along with the one speeding ticket and the yearly cost of auto insurance for drivers under 25 increases to an average of $4,673. That’s an increase of $2,762, or $230 per month, just for not driving safely!
How to find the cheapest insurance for drivers under 25
Lowering your rates is not difficult, and here are some of the better penny-pinching ideas that can help Oregon drivers find more affordable coverage.
- Bundle home or renters insurance to earn a discount on car insurance
- Do not pay for full coverage on older vehicles
- Prevent rate increases by staying accident-free
- Good credit can mean cheaper rates
- Lower rates by purchasing a safer vehicle
- Compare rate quotes often
The last tip is very crucial, as was pointed out in the article above. Auto insurance prices in Portland change constantly, so drivers shouldn’t be resistant to change insurance companies if a more affordable rate is found. Many consumers stick with the same company and that’s fine, but is isn’t recommended if that loyalty ends up costing a lot of money. If you have a few minutes, now is a great time to compare prices to find cheaper auto insurance for drivers under 25.
The agencies below are a good start to answer your questions and help you decide which car insurance company is the best fit, since many people would rather get some help when shopping for cheaper insurance for drivers age 25 and younger. It can be complicated to find the best coverage on your own, so insurance agents licensed in the state of Oregon can give you satisfaction knowing you have sufficient coverage for your assets.
To find an agent closest to you, click the button link following the list.
Kilong Ung – State Farm Insurance Agent
4000 SE 82nd Ave #1400 – Portland, OR 97266 – (503) 777-6762
Ernest J Hill Jr – State Farm Insurance Agent
4946 N Vancouver Ave – Portland, OR 97217 – (503) 286-1103
Stamm Stuart Bybee Insurance
16455 SE Division St – Portland, OR 97236 – (971) 254-1148