The lackluster economy in recent years has forced more and more Americans to reconsider their automobile insurance policies in the name of budgetary savings. Compare cheap auto insurance companies today with our FREE comparison tool!
One of the main ways that many Americans have chosen to pursue in order to lower their car insurance rates is by choosing one of several auto insurance discount rate insurance companies. These unique companies offer bare minimum coverage to their policy hollers in exchange for rock bottom pricing. It might a risky way to go, but it’s undoubtedly the most affordable method to stay legal in a tough economy.
Some of the best cheap auto insurance companies are probably already well-known to the budget-conscious consumer, but in case there are newcomers to the discount auto insurance market out there, here are some of the best options.
Safe Auto Insurance Company
Perhaps the best known company for cheap car insurance, Safe Auto offers its discounted policies in sixteen states, primarily on the east coast and in the midwestern section of the country. Customers in Arizona, Georgia, Illinois, Indiana, Kansas, Kentucky, Louisiana, Mississippi, Missouri, Ohio, Oklahoma, Pennsylvania, Tennessee, Texas, South Carolina, and Virginia are eligible for the company’s rock bottom rates.
Customers in other states would be well-advised to remain vigilant and monitor the company’s website for new markets it may serve in the future. Safe Auto has been expanding its coverage to new states at a pretty fast rate in recent years.
Because Safe Auto adheres strictly to a policy of offering consumers the lowest rate on their insurance by offering them bare minimum coverage, the company’s website contains a section which details those minimum car insurance requirements on a state by state bases that summarizes the insurance laws of each state covered by Safe Auto’s policies.
This summary includes not only the bare minimum coverage amounts for consumers, but also the punishments they can face under sate law for being either uninsured or underinsured for any period of time. Compare the cheapest state car insurance for our FREE ZIP code search!
Like most insurance companies, Safe Auto offers some discounts for multiple vehicles, multiple drivers, student discounts and good grade discounts, and rewards for safe driving. However, because the company is already working with minimum coverage and offering low rates, these discounts are far more minimal than what is offered by traditional national insurers.
Esurance Online Insurance Agency
Safe Auto’s deeply discounted rates are great for the residents of the sixteen states it currently serves, but that leaves the majority of America still searching for ways to save on their monthly car insurance premiums. For those customers, Esurance may be available to meet their needs.
The company operates exclusively online, thus cutting many of the costs associated with maintaing a network of offline agents, agencies, and vehicle fleets. Until recently, it operated as an independent company; in mid-2011, Esurance was bought by Allstate and expanded its coverage to many of the states already served by its new parent company.
Esurance offers low rates based on their online operations, and also offers customers the option of selecting their state’s bare minimum coverage levels. This results in a net savings that may be even lower than what companies like Safe Auto can offer, as even Safe Auto maintains a network of agents and a strong real world presence.
In addition to its low rates, the company offers an extensive slate of discounts that are comparable to any more traditional, major national insurance company. These include discounts for adding multiple vehicles or drivers to the same policy, and discounts for student drivers.
Those student drivers can get even deeper discounts for maintaining a grade point average of at least 3.0. Drivers will be rewarded for a safe driving record, and for having taken a defensive driving class within the past three years. Anti-theft devices, as well as anti-lock brakes, also qualify for discounts from the online insurer.
The General Auto Insurance Company
Based in Tennessee and operating primarily in southern states, The General car insurance is very much like Safe Auto in that it offers bare minimum coverage to policy holders based on state laws regarding auto insurance requirements. Despite the recent trend in discount rate auto insurance, The General has been issuing bare minimum insurance policies to its customers since its founding in 1963, making it one of the oldest and most experienced low-rate auto insurance companies in America.
In addition to its low rates, policy holders who choose The General can receive additional discounts for a safe driving record that dates back at least five years from the time their policy was initiated or renewed. The company only offers auto insurance, so bundling auto insurance and discounts are simply not available.
There are moderate discounts available for students, multiple cars, and multiple drivers, but these discounts are less than national insurers as the company is already offering a steep discount on traditional car insurance.
Its solid reputation, well-rated customer service, and its history of more than 45 years in the discount insurance business, means that The General is likely the best choice of cash-strapepd consumers in the states that this company serves.
Compare First, then Choose a Policy
Even though all three of these companies are in the business of offering deep discounts on car insurance to budget-conscious consumers who are looking to pay the bare minimum, the amount they charge for their respective policies will likely vary by a not-insignificant amount.
For this reason, customers who are looking for the lowest rate and the best coverage should always use online insurance quote comparison tools that can retrieve insurance quote from multiple companies using just one quote form.
These tools help customers gather as much information, on as many policies, as possible. And they don’t require any extra effort or navigating between a dozen different websites. For the best deal on auto insurance — even from cheap auto insurance companies — always compare before making a decision. Find cheap auto insurance online by entering your ZIP into our FREE comparison tool!
