The car, truck, or SUV on the policy is a significant factor when comparing quotes for the best cheap auto insurance for a learners permit. Vehicles with high performance, a lack of advanced safety features, or a track record of large liability claims will cost quite a bit more to insure than safer, lower-performance models.
The next table illustrates car insurance rates for a handful of the cheaper automobiles to buy coverage for.
|Vehicle Make and Model||Estimated Cost for Full Coverage|
|Hyundai Elantra GLS Touring Station Wagon||$8,063|
|Honda Accord LX 4-Dr Sedan||$8,070|
|Honda CR-V LX 2WD||$8,063|
|Ford Escape Limited 4WD||$8,650|
|Volkswagen Jetta S 2.5 Station Wagon||$8,656|
|Ford F-150 XL Super Cab 2WD||$8,979|
|Ford Explorer XLT 4WD||$9,056|
|Ford Edge SE AWD||$9,489|
|Ford Focus SE 4-Dr Sedan||$9,496|
|Toyota Tacoma 2WD||$9,489|
|Chevrolet Equinox LT AWD||$9,566|
|Toyota RAV4 Limited 4WD||$9,574|
|Chevrolet Impala LT||$9,566|
|Nissan Altima 2.5 4-Dr Sedan||$9,571|
|Dodge Grand Caravan Crew||$9,643|
|Chevrolet Malibu LT||$9,650|
|Jeep Wrangler Unlimited Sport Islander Package 4WD 4-Dr||$10,069|
|Toyota Corolla XLE||$10,076|
|Honda Odyssey EX-L||$10,082|
|Compare Rates Now Go|
Data variables include single female driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Louisiana minimum liability limits. Discounts applied include claim-free, and safe-driver. Rate information does not factor in your specific New Orleans, LA location which can decrease or increase coverage prices considerably.
Based upon the rates shown, we can expect models like the Hyundai Elantra, Honda Accord, Honda CR-V, Ford Escape, and Volkswagen Jetta are a few of the most economical vehicles to insure for new drivers. Car insurance rates will be higher anyway because of the fact that there is more inherent risk for a learners permit, but generally speaking those makes and models will have the cheapest car insurance rates compared to all other vehicles.
Buying budget insurance is easier said than done, and deciding which insurers offer the cheapest insurance rates for a learners permit will take even more diligence.
Each insurance company uses their own method for setting rates, so let’s begin by examining the most budget-friendly insurance companies in New Orleans.
Cheapest Insurance Rates in Louisiana
|Rank||Company||Cost Per Year|
|6||Southern Farm Bureau||$2,181|
|Get Personalized Rates Go|
USAA offers some of the most affordable car insurance rates in New Orleans at around $1,642 each year. This is $772 less than the average policy premium paid by Louisiana drivers of $2,414. MetLife, GEICO, Progressive, and Safeway also make the cut as some of the more affordable New Orleans, LA insurance companies.
In the rate table above, if you buy coverage from GEICO and switched to USAA, you might see annual savings of in the vicinity of $323. Drivers with Progressive could save as much as $363 a year, and Safeway insureds might reduce prices by as much as $512 a year.
To discover how much you can save, click here to start your free quote or click several companies below for low rates.
Understand that those premiums are averages for all drivers and vehicles in Louisiana and do not take into consideration a specific location for a learners permit. So the car insurance company that fits your needs best may not even be in the list above. That is why you need to compare rates from multiple companies using your own specific driver information and vehicle.
Safe drivers pay cheaper rates
The obvious way to obtain low insurance premiums in Louisiana for new drivers is to pay attention while driving and avoid accidents and keep your driving record clean. The diagram below demonstrates how citations and at-fault fender-benders raise insurance premiums for each different age category. Data assumes a single female driver, comprehensive and collision coverage, $250 deductibles, and no discounts are taken into consideration.
In the prior example, the average cost of an auto insurance policy in Louisiana per year with no accidents and a clean driving record is $3,085. Receive two speeding tickets and the average cost increases to $4,147, an increase of $1,062 each year. Now add in two accidents along with the two speeding tickets and the annual cost of insurance for a learners permit goes up to an average of $8,097. That’s an increase of $5,012, or $418 per month, just for a couple of infractions!
Full coverage or liability only
Finding the cheapest insurance is important to the majority of drivers, and one of the easiest ways to buy cheaper insurance for a learners permit is to buy liability only. The chart below visualizes the comparison of car insurance rates with and without full coverage. The costs are based on no claims or driving violations, $100 deductibles, marital status is single, and no discounts are taken into consideration.
Averaged for all age groups, full coverage on your policy costs an extra $2,655 per year over and above liability only. At some point, every insured wonders if physical damage coverage is worth the money. There is no definitive guideline to exclude comp and collision coverage, but there is a guideline you can use. If the annual cost of your full coverage insurance is 10% or more of the replacement cost of your vehicle minus the policy deductible, then it may be the right time to buy liability only.
For example, let’s say your vehicle’s claim settlement value is $11,000 and you have $1,000 physical damage deductibles. If your vehicle is damaged in an accident, you would only receive $10,000 after paying your policy deductible. If you are paying more than $1,000 a year for comprehensive and collision coverage, then it may be the right time to buy liability only.
Why you should shop around
New Orleans, LA insurance rates are based on many factors which can significantly increase or decrease the cost of a policy. Simply improving your credit, buying a different home, or having an at-fault accident can trigger rate changes resulting in some companies being cheaper than before.
Not only may your risk profile change, but auto insurance companies change their prices every year or even multiple times each year to ensure their profitability. Higher than usual claims can result in high rates, while less frequent claims may produce cheaper New Orleans car insurance rates.
To help illustrate this point, the chart below shows which company has the cheapest car insurance in New Orleans, LA for a 30-year-old female driver with no prior accidents, a clean driving record, and great credit. If we look at prices based on her current situation, USAA may offer the cheapest car insurance rates in New Orleans at $2,754 per year. This is $340 more than the average premium paid by Louisiana drivers of $2,414. MetLife, GEICO, Progressive, and Southern Farm Bureau are the remaining best New Orleans, LA auto insurance companies.
In this example, we will give the driver from the first rate comparison an accident surcharge, a lower credit score, and a few blemishes on her driving record. Since each insurance company has a proprietary formula for setting rates, comparing rates most likely will result in a significantly different list of affordable companies as shown below.
California Casualty now has the best insurance rate in New Orleans with State Farm, MetLife, USAA, and GEICO also having competitive pricing. This example demonstrates why consumers need to compare rates to get the most budget-friendly insurance quotes for a learners permit. Rates are influenced by many different factors and can change without notice, so the most affordable company a year ago may now be quite expensive.
How to find the cheapest auto insurance for a learners permit
Below you’ll find some of the better thrifty suggestions that can help drivers find cheaper coverage.
- Do not get tickets or violations
- Insure your home and auto with the same company
- Don’t have frequent claims
- Buy a vehicle with excellent safety ratings
- Avoid having at-fault accidents
- Full coverage is expensive so only insure older vehicles for liability only
- Compare rates and switch if you can find a better deal
The last suggestion is especially valuable, as we stressed in this piece. Auto insurance rates adjust frequently, so don’t hesitate to buy a policy from a new company if a lower-cost policy is available.
Loyalty to a specific company is fine, but it’s not recommended if that dedication is costing money that could be used for better things. Now is a great time to compare rates to find cheaper insurance for a learners permit in New Orleans.
The New Orleans, LA, insurance agents below are a good start to aid you in deciding which coverage fits your budget, as lots of people like to get some help when comparing insurance rates for a learners permit. It can be time-consuming to find the cheapest rates, and a licensed agent can bring peace of mind knowing you have suitable coverage if you ever need to use it. To locate a New Orleans insurance agent by location nearest to you, click the link at the bottom.
Martin Insurance Agency, Inc
4700 Orleans Ave – New Orleans, LA 70119 – (504) 486-6133
Pat Leboeuf Insurance
601 Seguin St – New Orleans, LA 70114 – (504) 361-4600
Reggie Glass – State Farm Insurance Agent
3800 Elysian Fields Ave – New Orleans, LA 70122 – (504) 944-4444
Robert Sheard Insurance
1601 Gordon St – New Orleans, LA 70117 – (504) 947-3044
Allstate Insurance: Daniel Rahman
701 Dante St c – New Orleans, LA 70118 – (504) 861-2700