Do low auto insurance rates exist anymore?

When searching for affordable auto insurance, low auto insurance rates exist if you know how to find them. Start by comparing rates from multiple auto insurance companies. Companies offer various coverage levels and discounts that can help you keep your auto insurance rates low.

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Leslie Kasperowicz holds a BA in Social Sciences from the University of Winnipeg. She spent several years as a Farmers Insurance CSR, gaining a solid understanding of insurance products including home, life, auto, and commercial and working directly with insurance customers to understand their needs. She has since used that knowledge in her more than ten years as a writer, largely in the insuranc...

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Dan Walker graduated with a BS in Administrative Management in 2005 and has been working in his family’s insurance agency, FCI Agency, for 15 years (BBB A+). He is licensed as an agent to write property and casualty insurance, including home, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like and Safeco. He reviews content, ensuring that ex...

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Reviewed by Daniel Walker
Licensed Auto Insurance Agent

UPDATED: Dec 10, 2021

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It’s all about you. We want to help you make the right coverage choices.

Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.

Things to Remember...

  • Finding low-cost auto insurance is not a one-fits-all solution
  • Inquire about car insurance discounts that you are eligible for
  • The best place to start your search is online

With the bite of the economic downturn, everyone is looking for ways to enjoy some financial reprieve, no matter how small. Insurance is one of the areas where most people spend the largest chunk of their earnings.

This is mainly what pushes people to search for cheap car insurance. A lot of people have become cynical wondering whether low auto insurance rates actually exist, especially now that every insurance company claims to have the lowest rates.

The truth is low rates do exist. But you have to know where to find it and how to go about obtaining it. Below are some guidelines to help you find low auto insurance.

One simple way to compare rates is to enter your ZIP code into our FREE auto insurance comparison tool above!

Determine the Exact Policy


To find cheap car insurance, you must be sure of the type of insurance you want. If you do not know what policy is good for you, you will go with whatever the insurance agent convinces you is best for you.

Knowing what policy you want has a number of advantages:

  1. It helps you stick to your budget.
  2. It helps you sieve through the thousands of policies and providers available to remain with those that are relevant to your needs.
  3. It gives you the confidence to bargain for a lower rate.
  4. Insurance agents are less likely to sway you into buying a more costly policy so that they can get a bigger cut if you know what you want.

If for whatever reason you cannot decide what kind of policy is best for you, consider consulting an insurance specialist. First-time buyers are particularly bound to feel lost.

You may have to pay a fee to access the services of the consultant, but it is worth the effort eventually.

But because you want to save as much as possible, you can start by conducting your own research online. There is a lot of information available about the different types of policies and what cars for which they are most suitable.

If this does not help, talk to an older family member or friend who has experience buying auto insurance.


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Know Where to Look – The Insurance Agent Debate

Now that you are clear on what you need, you must determine where to look. A lot of times, car insurance buyers are discouraged from using insurance agents, because their rates are usually too high.

This is true in most cases because the agent’s income comes from the commission earned on every deal closed.

But there are times when going through an insurance agent is cheaper than trying to access the insurance company directly. This is true with special insurance policies such as those of classic cars, vintage cars, luxury cars and custom-made cars.

In this case, agents have special auto insurance discounts for customers who buy insurance through them.

Use Specialist Providers


Insurance companies specializing in certain policies tend to have lower rates than general insurance companies. There are dozens of these.

We have car insurance companies specializing in car insurance for young drivers, women, seniors, convicted drivers, drivers with bad credit, and drivers with a poor driving record. A specialist will have considerably lower rates than a general insurance provider.

Buy from the Same Company

When you buy your home insurance, health and life insurance, and auto insurance from the same insurance company, you qualify for multi-policy discounts.

These are special discounts given to customers for their loyalty. Ask the company representative or agent whether they have any discounts for multiple policies. If they do not offer such, keep searching until you find a company that does.

You will still need to compare the discount percentages offered by the different companies.

Some will be low, some will be average, and others will be considerably high. A quick way to carry out this comparison is by using our auto insurance comparison tool.

Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

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Buy a Safe Car



The kind of car you drive determines the kind of insurance rates you pay. If you have a luxury sports car, your rates will shoot through the roof.

On the other hand, if you have an economy car, your insurance rates will be lower.

Auto insurance companies also consider the vehicle safety rating and cost of spare parts when setting their insurance rates. Cars with high safety ratings are cheaper to insure and attract low insurance rates. Cars with hard-to-find or expensive spares attract higher insurance rates.

This is something you will need to think about carefully when buying your car. If the car is classy but requires importation of spares every time the need arises, you may want to buy a more conventional type of vehicle.

Earn Low Rates with Good Driving


There are additional practices you can adopt to enjoy low auto insurance rates. These include:

  • Safe driving – Avoid accidents at all costs, including tiny scratches and bumper dents. The insurer’s big eye is wide open to spot such seemingly small expenses. They do affect your auto insurance rate in the long run.
  • Avoid tickets – A ticket, even if it is for wrong parking, is still a ticket. Observe traffic rules and the Highway Code and you will be safe. In a world where accidents and claims are trending, insurance companies are rewarding careful drivers with lower rates. Be one of them and watch your auto insurance expenses come down.
  • Build your No Claims Discount (NCD) Many companies give a NCD, also referred to as a No Claims Bonus (NCB) for five years—six to eight in some companies. The insurer allows you to lock your earned NCD years so that in case you get into an accident, the earned years will not be affected. The NCD terms and claim options may differ from one auto insurance company to the next so be sure to ask in advance and understand how the system works in each particular company.
  • Move to a safer location – High crime rates in an area and densely populated areas where the number of drivers is high often lead to high insurance rates. Relocate to a safer or less densely location where the rates are lower.

As a standard, drivers in large cities pay much higher insurance rates than drivers in smaller cities and rural areas.

When you have observed all the above and made the necessary adjustments, find the insurance company with the lowest auto insurance rates by comparing their quotes.

Compare auto insurance and save big today by entering your ZIP code into our FREE comparison tool below!



Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

 Secured with SHA-256 Encryption