The words “low-cost” and “auto insurance” probably shouldn’t be used in the same sentence, in particular when you are searching for the best coverage prices for high mileage drivers. Let’s learn about some situations that can significantly affect auto insurance rates, and find some ways to shave a little off your next policy.
Comparing quotes for low-priced car insurance is difficult, and determining which insurers offer the cheapest auto insurance rates for high mileage drivers calls for a bit more work. Each company uses different criteria to set policy rates, so we need to take a look at the most affordable auto insurance companies in Louisiana.
It’s a good idea to know that Louisiana auto insurance rates are influenced by many factors which can substantially change the cost of your policy. Events such as a birthday, buying another vehicle, or getting a few speeding tickets can trigger price changes that can cause some rates to be more expensive than others.
Find the Cheapest Auto Insurance in Louisiana
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | USAA | $1,578 |
| 2 | MetLife | $1,836 |
| 3 | GEICO | $1,945 |
| 4 | Progressive | $1,986 |
| 5 | Safeway | $2,154 |
| 6 | Southern Farm Bureau | $2,248 |
| 7 | California Casualty | $2,315 |
| 8 | State Farm | $2,383 |
| 9 | Safe Auto | $2,627 |
| 10 | Allstate | $3,035 |
| 11 | Encompass | $3,266 |
| 12 | Liberty Mutual | $3,719 |
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USAA normally has some of the lowest car insurance rates in New Orleans at around $1,578 a year. MetLife, GEICO, Progressive, and Safeway also qualify as some of the more affordable New Orleans, LA car insurance companies.
As the example above demonstrates, if you buy coverage from Progressive and switched to MetLife, you may see yearly savings of in the vicinity of $150. Customers with Safeway could save as much as $318 a year, and Southern Farm Bureau policyholders might see rate reductions of $412 a year.
Remember that these estimates are averages for all insureds and vehicles and and are not calculated with a specific vehicle garaging location for high mileage drivers. So the company that can offer you the lowest price may not even be in the top 12 companies in the list above. That points out the importance of why you need to compare as many prices as possible using your own driver data and vehicle information.
The vehicle model needing coverage is one of the largest considerations in finding the most affordable coverage for high mileage drivers. Vehicles with average performance, advanced safety features, or low incidents of liability claims will cost quite a bit less to insure than high performance models.
The next list illustrates auto insurance prices for some of the more affordable vehicles to buy coverage for.
| Make, Model, and Trim Level | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V EX 2WD | $1,846 |
| Ford Escape XLT 4WD | $2,069 |
| Ford F-150 XL Regular Cab 2WD | $2,089 |
| Chevrolet Malibu Hybrid | $2,185 |
| Chevrolet Equinox LS AWD | $2,191 |
| Ford Explorer Eddie Bauer 4WD | $2,232 |
| Toyota Prius | $2,242 |
| Ford Focus SES 4-Dr Sedan | $2,258 |
| Honda Civic LX-S 4-Dr Sedan | $2,266 |
| Jeep Wrangler Unlimited Sport 4WD 4-Dr | $2,258 |
| Nissan Altima 2.5 S 4-Dr Sedan | $2,301 |
| Chevrolet Impala LTZ | $2,307 |
| Hyundai Elantra GLS 4-Dr Sedan | $2,301 |
| Honda Odyssey EX-L | $2,310 |
| Hyundai Sonata GLS 4-Dr Sedan | $2,341 |
| Toyota Corolla XRS | $2,348 |
| Ford Fusion SE 4-Dr Sedan | $2,358 |
| Volkswagen Jetta SEL 4-Dr Sedan | $2,348 |
| Ford Edge SEL AWD | $2,384 |
| Toyota RAV4 2WD | $2,388 |
| Dodge Ram Quad Cab SLT 2WD | $2,396 |
| Jeep Grand Cherokee Laredo 2WD | $2,441 |
| Honda Accord LX-S 2-Dr Coupe | $2,457 |
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Prices above based on married male driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Louisiana minimum liability limits. Discounts applied include homeowner, multi-vehicle, claim-free, safe-driver, and multi-policy. Table data does not factor in specific location information which can decrease or increase insurance rates noticeably.
Based upon the rates shown, we can conclude that makes and models like the Honda CR-V, Ford Escape, Ford F-150, and Chevrolet Malibu should be some of the less-costly vehicles to insure for high mileage drivers.
For high mileage drivers, one of the more important things that are looked at to determine the amount you pay for auto insurance is where you call home. Areas with more people or more claims tend to have higher rates, whereas more rural areas benefit from having to pay less for coverage.
The following table sorts the most expensive areas in Louisiana for high mileage drivers in which to buy car insurance. New Orleans is ranked #1 with the yearly price of $2,827 for the average insurance policy, which is around $236 each month.
| Rank | City | Annual Rate |
|---|---|---|
| 1 | New Orleans | $2,827 |
| 2 | Harvey | $2,589 |
| 3 | Terrytown | $2,530 |
| 4 | Marrero | $2,494 |
| 5 | Central | $2,223 |
| 6 | Prairieville | $2,191 |
| 7 | Metairie | $2,166 |
| 8 | Baton Rouge | $2,165 |
| 9 | Kenner | $2,159 |
| 10 | Shenandoah | $2,118 |
| 11 | Hammond | $2,107 |
| 12 | Alexandria | $2,096 |
| 13 | Laplace | $1,991 |
| 14 | Slidell | $1,957 |
| 15 | Lafayette | $1,917 |
| 16 | Lake Charles | $1,915 |
| 17 | Monroe | $1,911 |
| 18 | New Iberia | $1,909 |
| 19 | Sulphur | $1,896 |
| 20 | Shreveport | $1,820 |
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Price information shown is comparative as the specific zip code location can increase or decrease premiums greatly.
Liability only or full coverage
Finding cheaper auto insurance is the goal of the majority of drivers, and one good way to buy cheap insurance for high mileage drivers is to buy only liability coverage. The diagram below illustrates the difference between annual premium costs with and without physical damage coverage. Data assumes no violations or accidents, $100 deductibles, drivers are not married, and no discounts are applied.
As an average, physical damage coverage on your policy costs $2,655 per year more than carrying just liability coverage. That is a large expense and it proposes the question if full coverage is worth the money. There is no set rule for eliminating full coverage, but there is a general convention. If the yearly cost of comp and collision coverage is more than about 10% of the vehicle’s replacement cost less your deductible, then you might want to think about dropping full coverage.
There are a few situations where removing full coverage is not in your best interest. If you haven’t paid off your loan, you have to carry full coverage in order to prevent your loan from defaulting. Also, if you can’t afford to buy a different vehicle in the event your current vehicle is totaled, you should keep full coverage in place.
The illustration below shows how different deductible levels can impact premium costs when searching for cheap insurance for high mileage drivers. The rate quotes are based on a single male driver, comprehensive and collision coverage, and no discounts are applied.
The chart above illustrates that a 50-year-old driver could lower their car insurance rates by $518 a year by switching the physical damage coverage from a $100 deductible to a $500 deductible, or save $776 by changing to a $1,000 deductible. Younger drivers, such as the 20-year-old example, could shave $1,724 every year by selecting a higher deductible.
If you make the decision to raise deductibles, it is important to have emergency funds available to pay the extra out-of-pocket expense, which is the main inconvenience of larger deductibles.
How to get discounts on New Orleans auto insurance
Insurance companies that offer coverage for high mileage drivers may provide special discounts that could lower prices by as much as 40% or more if you are eligible for them. Larger auto insurance companies and their offered discounts can be found below.
- State Farm has discounts for student away at school, Steer Clear safe driver discount, safe vehicle, defensive driving training, Drive Safe & Save, anti-theft, and accident-free.
- Esurance may have discounts that include emergency road assistance, claim free, online quote, good student, and defensive driver.
- Progressive policyholders can earn discounts including multi-vehicle, multi-policy, homeowner, good student, online quote discount, and online signing.
- Liberty Mutual may offer discounts for newly married, new vehicle discount, exclusive group savings, hybrid vehicle, newly retired, and preferred payment discount.
- Auto-Owners Insurance offers discounts for multiple vehicles, air bags, safe driver, multi-policy, teen driver, and group or association.
- GEICO includes discounts for air bags, emergency military deployment, membership and employees, anti-lock brakes, federal employee, and good student.
The example below shows the comparison of insurance costs with and without discounts applied to the premium. The premium estimates are based on a male driver, no claims or violations, Louisiana state minimum liability limits, full coverage, and $250 deductibles. The first bar for each age group shows insurance cost with no discounts. The lower bar shows the rates with defensive driving course, marriage, multiple policy, passive restraint, accident-free, and anti-theft discounts applied. When these discounts are applied, theamount saved on auto insurance for high mileage drivers is 28% or $907.
Low rates can quickly become overpriced
New Orleans, LA auto insurance rates are calculated based on many things that control the policy premium. Turning one year older, buying a different vehicle, or having an accident can trigger changes in premium that can now make some companies much cheaper than others. And not only may your rating factors change, but auto insurance companies change rates every year or even multiple times each year as an adjustment for underwriting gains or losses. A period of increased losses may cause additional premium costs, while lower claims can cause cheaper New Orleans car insurance rates.
To help illustrate this point, the graph below shows which companies have the cheapest car insurance in New Orleans, LA for a 30-year-old female driver with no accidents, a clean driving record, and good credit. When comparing rates based on her current situation, USAA might quote the cheapest car insurance rates in New Orleans at $2,647 annually. This is $233 more than the average policy premium paid by Louisiana drivers of $2,414. MetLife, GEICO, Progressive, and Safeway are the remaining best New Orleans, LA auto insurance companies.
The next chart shows rates after we give the driver from above an at-fault accident, a lower credit score, and a traffic ticket or two. Due to the fact that every insurance company has their own formula for filing rates in each state, comparing rates most likely will result in a substantially altered list of the cheapest car insurance companies in New Orleans as shown below.
California Casualty now has the cheapest price in New Orleans, LA with State Farm, USAA, MetLife, and Safe Auto also being competitive. This demonstrates why it is critical to perform an extensive rate comparison to get the cheapest insurance rates for high mileage drivers.
Insurance rates are determined by many different factors and can change substantially, so the best company the last time you compared rates may now be one of the more expensive options.