The type of vehicle that needs insurance is a significant factor when comparing the most affordable coverage for drivers under 21. Vehicles with lots of horsepower, a lack of safety features, or a high likelihood of having liability claims will cost substantially more to insure than more modest models.
The data below outlines insurance prices for some of the more affordable automobiles to buy insurance for.
| Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Honda Accord EX 4-Dr Sedan | $4,175 |
| Ford Escape XLS 4WD | $4,185 |
| Honda CR-V LX 4WD | $4,175 |
| Jeep Wrangler Sport 4WD 2-Dr | $4,352 |
| Hyundai Elantra SE Touring Station Wagon | $4,502 |
| Toyota Prius | $4,550 |
| Dodge Grand Caravan CV | $4,677 |
| Ford F-150 XLT Super Cab 2WD | $4,682 |
| Ford Focus S 4-Dr Sedan | $4,908 |
| Ford Edge Limited 2WD | $4,913 |
| Toyota Tacoma 2WD | $4,908 |
| Toyota Camry LE | $4,956 |
| Chevrolet Malibu Hybrid | $4,961 |
| Chevrolet Impala LT | $4,956 |
| Chevrolet Equinox LT AWD | $4,962 |
| Toyota RAV4 4WD | $4,956 |
| Jeep Grand Cherokee Laredo 2WD | $4,961 |
| Dodge Ram 3500 Crew Cab Laramie 2WD | $5,004 |
| Ford Explorer Eddie Bauer 4WD | $5,012 |
| Toyota Corolla XLE | $5,235 |
| Nissan Altima 2.5 S 4-Dr Sedan | $5,241 |
| Honda Odyssey EX-L W/Navigation | $5,235 |
| Volkswagen Jetta 2.0T 4-Dr Sedan | $5,283 |
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Table data represents single male driver age 18, no speeding tickets, no at-fault accidents, $1,000 deductibles, and North Carolina minimum liability limits. Discounts applied include claim-free, and safe-driver. Table data does not factor in specific garaging location which can change price quotes significantly.
Looking at the numbers, we can assume that cars like the Honda Accord, Ford Escape, and Honda CR-V will be some of the most economical vehicles to insure for minors. Rates will tend to be more expensive anyway because there is more exposure for drivers under 21, but overall those vehicles will probably have the cheapest auto insurance rates compared to all other vehicles.
Deciding which company offers the best insurance rates for drivers under 21 will involve a bit more effort in order to find the best price.
Each auto insurance company uses a different method for filing rates in each state, so let’s take a look at the most competitive insurance companies in Durham. It’s important that readers know that North Carolina insurance rates are calculated based on many things which can substantially change the price you have to pay. Simply turning a year older, increasing liability limits, or getting a ticket for running a stop sign may cause policy rate changes resulting in some companies being cheaper in comparison to the competition.
Lowest Insurance Price Quotes for Minors
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Progressive | $639 |
| 2 | Utica National | $643 |
| 3 | Liberty Mutual | $700 |
| 4 | Penn National | $725 |
| 5 | GEICO | $728 |
| 6 | Titan | $729 |
| 7 | NC Farm Bureau | $730 |
| 8 | State Farm | $749 |
| 9 | Auto-Owners | $844 |
| 10 | National General | $881 |
| 11 | Erie | $895 |
| 12 | Allied | $901 |
| 13 | Travelers | $927 |
| 14 | Peerless | $992 |
| 15 | Nationwide | $1,001 |
| 16 | MetLife | $1,007 |
| 17 | Unitrin | $1,012 |
| 18 | Safeco | $1,044 |
| 19 | Encompass | $1,073 |
| 20 | Allstate | $1,086 |
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Progressive quotes some of the most affordable car insurance rates in Durham at around $639 a year. Utica National, Liberty Mutual, Penn National, and GEICO also make the cut as some of the cheaper Durham, NC auto insurance companies.
As depicted above, if you are a policyholder with Penn National and switched to Progressive, you may realize a yearly savings of upwards of $86. North Carolina drivers with GEICO may save as much as $89 a year, and Titan policyholders might realize rate reductions of up to $90 a year.
If you want to see how much you could save, click here to start a quote or quote rates from the companies below.
Remember that these prices are averages for all insureds and vehicles and do not factor in an exact zip code location for drivers under 21. So the car insurance company that can offer you the best price may not even be in the top 20 companies shown above. That underscores the importance of why you need to compare as many prices as possible using your own specific driver information and vehicle.
Insurance companies ranked
Finding the right insurance company can be challenging considering how many different insurance companies sell coverage in North Carolina. The ranking data shown next could help you select which car insurance providers you want to consider to insure your vehicles.
These ratings are only made up of large insurance companies, so companies that focus mainly on North Carolina business are not factored into this list. To compare prices from the insurers below and more, click here.
| Company | Value | Customer Service | Claims | Customer Satisfaction | A.M Best Rating | Overall Score |
|---|---|---|---|---|---|---|
| Travelers | 93 | 98 | 99 | 88% | A++ | 95.1 |
| USAA | 83 | 99 | 100 | 91% | A++ | 94.1 |
| AAA Insurance | 91 | 95 | 92 | 90% | A | 93.3 |
| Nationwide | 85 | 95 | 97 | 89% | A+ | 92.4 |
| Allstate | 77 | 100 | 97 | 88% | A+ | 90.7 |
| State Farm | 80 | 94 | 96 | 88% | A++ | 90.6 |
| The Hartford | 88 | 93 | 91 | 87% | A+ | 90.4 |
| Safeco Insurance | 91 | 95 | 85 | 88% | A | 90.2 |
| Progressive | 88 | 94 | 83 | 88% | A+ | 90.1 |
| American Family | 91 | 86 | 95 | 83% | A | 89.7 |
| Esurance | 86 | 90 | 94 | 90% | A+ | 89.5 |
| The General | 86 | 93 | 89 | 84% | A- | 88.2 |
| GEICO | 79 | 89 | 95 | 87% | A++ | 87.8 |
| Titan Insurance | 86 | 82 | 92 | 86% | A+ | 86.5 |
| 21st Century | 86 | 82 | 90 | 84% | A | 86.4 |
| Liberty Mutual | 79 | 87 | 95 | 78% | A | 85.3 |
| Farmers Insurance | 77 | 80 | 80 | 84% | A | 80.3 |
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Data Source: Insure.com Best Car Insurance Companies
Do you need full coverage?
Reducing premiums for insurance is probably important to most drivers, and one common way to pay less for insurance for drivers under 21 is to not insure for full coverage. The information below illustrates the comparison of auto insurance rates when comparing full coverage to liability only. Data assumes no driving violations, no at-fault accidents, $100 deductibles, single status, and no policy discounts are applied.
If averaged for all ages, physical damage insurance costs an additional $1,434 per year over and above liability only. That is a large expense and it proposes the question if buying full coverage is worth the money. There is no definitive formula for eliminating full coverage on your policy, but there is a broad guideline. If the yearly cost of comp and collision coverage is 10% or more of the replacement cost minus the deductible, then you may need to consider dropping full coverage.
There are some situations where removing full coverage is not in your best interest. If you still have a loan on your vehicle, you have to carry full coverage in order to satisfy the requirements of the loan. Also, if your savings is not enough to buy a different vehicle in the even your car is totaled, you should not opt for liability only.
How to get discounts on Durham auto insurance
Auto insurance companies that offer coverage for drivers under 21 may also give you premium discounts that can lower rates by 40% or more if you are eligible for them. The best insurance companies and some of the premium reductions they offer are included below.
- State Farm may offer discounts for multiple policy, good student, Steer Clear safe driver discount, safe vehicle, and good driver.
- GEICO offers discounts for emergency military deployment, military active duty, federal employee, air bags, driver training, defensive driver, and multi-policy.
- Allstate discounts include safe driver, farm vehicle, anti-lock brakes, premier plus, teenSMART discount, and new car.
- SAFECO includes discounts for drive less, safe driver, anti-lock brakes, accident prevention training, and anti-theft.
- Farm Bureau offers discounts including multi-policy, driver training, good student, youthful driver, 55 and retired, and safe driver.
- Progressive offers premium reductions for multi-policy, good student, online signing, continuous coverage, and online quote discount.
- AAA has discounts for anti-theft, good student, education and occupation, pay-in-full, good driver, and AAA membership discount.
The illustration below illustrates the difference between car insurance rates with and without policy discounts. The information is based on a female driver, no violations or claims, North Carolina state minimum liability limits, full coverage, and $100 deductibles.
The first bar for each age group shows the average annual price with no discounts. The lower bar shows the rates with vehicle safety, passive restraint, paperless filing, good student, paid-in-full, and continuous coverage discounts applied. When discounts are factored in, theaverage yearly reduction on insurance for drivers under 21 is 28% or $613.
Why you should compare rates
North Carolina insurance rates are based on many factors that will increase or decrease the cost of having a policy. Simply having a birthday, buying higher coverage limits, or getting a ticket for careless driving can produce rate changes that can cause some rates to be cheaper in comparison to the competition. Not only may things change on your end, but car insurance companies change premium rates every year or even multiple times each year to adjust for heavy claims or excess profits. Heavy losses may cause high rates, while lower claims can produce more affordable Durham car insurance rates.
For instance, the chart below analyzes the cheapest car insurance in Durham, NC for a 30-year-old female driver with a clear driving record, no claims, and a decent credit rating. When quoting prices based on her current risk factors, Utica National might offer the cheapest car insurance rates in Durham at $782 a year. This is $90 less than the average price paid by North Carolina drivers of $872. Progressive, Liberty Mutual, NC Farm Bureau, and GEICO are also on the list of the most affordable Durham, NC auto insurance companies.
The next chart shows rates after we give the driver from above a claim surcharge, bad credit, and a speeding citation. Since each auto insurer has a proprietary method for determining rates, comparing quotes most likely will result in a slightly different list of affordable Durham car insurance companies as shown below.
Titan now has the best price on car insurance in Durham, NC with State Farm, Auto-Owners, Progressive, and Travelers now being in the top five. This example shows why it is critical to perform a complete rate comparison to find affordable auto insurance rates for drivers under 21.
Rates are impacted by many different factors and can change without notice, so the most economical company the last time you shopped around may now be wasting a lot of money.