This would be a much shorter article if we could just tell you the company that has the most affordable insurance in Wisconsin. It’s just not that simple, as there are a whole bunch of unknown elements such as your annual mileage driven, the area you live in, and the safety ratings of your vehicle. We will attempt to cover the causes of high insurance rates and also should give you a solid foundation to find cheaper car insurance in Wisconsin.
The vehicle model requiring insurance is one of the largest factors when consumers are trying to find the most economical coverage for 17 year olds. Vehicles with economical engines, an excellent safety record, or a track record of few liability claims will cost less to insure than adrenaline junky models.
The information below features insurance premiums for a number of the cheaper vehicles to buy insurance for.
|Make and Model||Estimated Cost for Full Coverage|
|Ford Escape XLT 2WD||$3,416|
|Honda CR-V EX 4WD||$3,448|
|Jeep Wrangler Sport Islander Package 4WD 2-Dr||$3,800|
|Dodge Grand Caravan CV||$3,833|
|Honda Odyssey EX||$4,016|
|Ford Focus SE 4-Dr Sedan||$4,022|
|Ford Edge SEL AWD||$4,016|
|Chevrolet Silverado LS Extended Cab 4WD||$4,049|
|Toyota Camry LE||$4,059|
|Toyota RAV4 Sport 4WD||$4,049|
|Volkswagen Jetta S 4-Dr Sedan||$4,058|
|Ford F-150 XLT Crew Cab 4WD||$4,084|
|Chevrolet Malibu LT||$4,094|
|Ford Explorer Limited 4WD||$4,084|
|Toyota Tacoma Double Cab TRD Sport Package 4WD||$4,091|
|Hyundai Elantra Blue 4-Dr Sedan||$4,230|
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Data assumes single female driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Wisconsin minimum liability limits. Discounts applied include claim-free, and safe-driver. Prices do not factor in specific Madison, WI garaging location which can raise or lower price quotes substantially.
Looking at the rates, vehicles like the Ford Escape, Honda CR-V, and Toyota Prius will definitely be a few of the more affordable vehicles to insure for teen drivers. The cost of auto insurance will tend to be more expensive because of the fact that there is more risk for 17 year olds, but overall those vehicles will probably have the least expensive rates that you are likely to find.
One of the more important criteria that determine the cost of insurance is where you live in Madison. More populated areas tend to pay slightly more, whereas areas that tend to be more rural have the luxury of lower rates.
The information below sorts the most expensive cities in Wisconsin for 17 year olds to purchase a policy in. Madison makes the list at #11 costing $1,072 for the average policy, which is around $89 per month.
|21||Fond du Lac||$985|
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Annual rates are comparative as specific Madison zip code can decrease or increase rates substantially.
Figuring out which companies have the most affordable car insurance rates for 17 year olds will take a bit more effort in order to find the most economical policy. Each auto insurance company uses their own formula to set policy rates, so let’s take a look at the car insurance companies with the overall cheapest rates in Madison.
It’s important that readers know that Madison car insurance rates are impacted by many things that may substantially change the cost of coverage. Turning one year older, moving to a new city, or having an accident can cause premium changes that can make some companies cheaper than before.
Find the Best Cheap Insurance for Teens
USAA may offer some of the most affordable car insurance rates in Madison at around $604 per year. Partners Mutual, Erie, Rockford Mutual, and Pekin Insurance also qualify as some of the lowest-priced Madison, WI car insurance companies.
As depicted above, if you currently have a policy with Erie and switched to USAA, you could see savings of around $92. Insureds with Rockford Mutual might save as much as $128 a year, and Pekin Insurance policyholders might realize rate reductions of up to $148 a year.
Be aware that those policy rates are averages across all ages of drivers and types of vehicles and are not factoring in a specific vehicle garaging location for 17 year olds. So the car insurance company that fits your age and vehicle best may not even be in the top 30 companies in the list above. That underscores the importance of why you need to get auto insurance quotes using your own driver information and specific vehicle type.
Comparison of full coverage and liability-only policies
Saving money when shopping for car insurance should be important to the majority of people, and an easy way to buy cheaper insurance for 17 year olds is to only pay for liability coverage. The chart below compares insurance prices with full coverage and liability only. The data is based on a clean driving record, no claims, $500 deductibles, single marital status, and no additional discounts are factored in.
As an average for all age groups, physical damage coverage costs an additional $1,092 per year more than just insuring for liability. That is a big expense that brings up the question if full coverage is worth the money. There is no set rule of when to phase out full coverage, but there is a general guideline you can use. If the yearly cost of comp and collision coverage is more than about 10% of the replacement cost minus the deductible, then you may need to consider dropping full coverage.
For example, let’s assume your vehicle’s book value is $6,000 and you have $1,000 policy deductibles. If your vehicle is destroyed, the most your company would pay you is $5,000 after paying your deductible. If you are paying more than $500 annually for your policy with full coverage, then you may want to consider only buying liability coverage.
There are a few situations where eliminating full coverage is not financially feasible. If you haven’t satisfied your loan, you must maintain physical damage coverage as part of the loan conditions. Also, if your emergency fund is not enough to purchase a different vehicle if your current one is in an accident, you should keep full coverage on your policy.
Impact of violations and accidents on rates
The easiest way to earn the cheapest car insurance prices for teen drivers is to drive cautiously and avoid accidents and traffic citations. The diagram below demonstrates how speeding tickets and at-fault collisions can impact yearly insurance costs for different age groups of insureds. The information is based on a single male driver, full physical damage coverage, $1,000 deductibles, and no discounts are factored in.
The data above shows the average cost of car insurance in Madison per year with no accidents or violations is $974. Get two speeding tickets and the average cost increases to $1,280, an increase of $305 each year. Now throw in two accidents along with the two speeding tickets and the 12-month cost of car insurance for 17 year olds jumps again to an average of $2,554. That’s an increase of $1,579, or $132 per month, just for being a careless driver!
Chances are good that you’re overpaying for Madison car insurance
Wisconsin car insurance rates are impacted by many factors that may substantially change the policy premium. Turning one year older, increasing liability limits, or getting a ticket for running a stop sign can trigger rate changes that can now make some companies cheaper than competitors. In addition to those changes, companies change the rates they charge in Wisconsin every year in order to remain profitable. Unexpectedly high claims may cause increased policy costs, while a better claims history may cause cheaper Madison car insurance rates.
The graph below demonstrates which company has the cheapest car insurance in Madison, WI for a 30-year-old female driver with no accidents or violations, and excellent credit. When comparing rates based on her current rating profile, USAA may have the lowest car insurance rates in Madison at $659 each year. This is $502 less than the average rate paid by Wisconsin drivers of $1,161. Partners Mutual, Erie, Rockford Mutual, and Nationwide round out the rest of the top five cheapest Madison, WI auto insurance companies.
Let’s now give the driver from the above example a claim surcharge, slightly worse credit, and a traffic ticket or two. Due to the fact that every insurance company has a different process to establish rates, getting updated rate quotes could now result in a completely different list of companies as shown below.
Pekin Insurance now has the best price in Madison, WI with Western National, Integrity Mutual, Travelers, and Partners Mutual also having competitive pricing. This illustrates why it is critical to compare rates to find the most economical car insurance rates for 17 year olds. Car insurance prices are made up of many factors and can increase or decrease at any time, so the best company when you bought your policy may now be quite expensive.
How to find the cheapest auto insurance for 17 year olds
It’s not impossible to find cheaper rates, and here are some thrifty ideas that can help drivers locate low-cost coverage.
- Keep your driving record clean
- Discounts for being claim-free can be substantial
- Raise deductibles
- Home or renters coverage can save on auto insurance
- Drivers with good credit often pay less
- Remain accident-free and save
- Compare prices as often as possible
The last item on the list is extremely critical, as was pointed out in the prior article. Auto insurance prices fluctuate considerably, so don’t be tentative to buy from a different company if a more affordable price is available. Many drivers have brand loyalty and that’s fine, but it isn’t a good idea if that devotion results in you overpaying several hundred dollars every year. Take a couple minutes and shop around and find cheaper car insurance for 17 year olds in Madison.