Who Has the Cheapest Car Insurance for Teenagers in Delaware?

One of the key factors that is used to help calculate the policy price is where your home is located. Areas with more people or higher crime rates like Wilmington, New Castle, and Middletown tend to pay higher rates, whereas areas with less crime or weather claims generally benefit from lower car insurance rates.

The table below shows the most expensive areas in Delaware for teenagers to purchase auto insurance in.

Premium amounts are comparative as the vehicle garaging location can influence prices substantially.

Finding decent, reasonably-priced auto insurance is hard enough, and determining which company quotes the most affordable insurance rates for teenagers will require even more perseverance. Policy rates should be significantly higher than the average rate in Delaware attributed to the added risk that comes with selling coverage for teen drivers, but economical coverage may be available if you shop around.

Each auto insurance company has a unique formula for determining prices, so first we will examine the insurance companies that tend to be cheaper in Delaware. We do need to point out that Delaware insurance rates are impacted by many factors that may substantially change the price you have to pay. That is why consumers need to take the time to compare many different companies when trying to find the most economical auto insurance quotes for teenagers. Insurance rates are determined by many things and change dramatically, so the best option the last time you shopped your coverage around may now be one of the higher cost companies.

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USAA has some of the lowest car insurance rates in Delaware at around $866 a year. Travelers, Atlantic States, Nationwide, and California Casualty are also some of the most economical Delaware car insurance companies.

In the above rates, if you currently buy coverage from Nationwide and switched to USAA, you might realize savings of upwards of $426. Drivers with California Casualty could save as much as $427 a year, and Titan insureds might realize rate reductions of up to $519 a year.

These estimates are averaged across all ages of drivers and types of vehicles and and are not figured with a price surcharge for teenagers. So the car insurance company that can offer the best rates for your situation may not even be featured in the above rate chart. That points out the importance of why you need to quote rates from as many companies as possible using your own driver and vehicle profiles.

Full coverage rates compared to liability-only

Finding the cheapest auto insurance for teenagers in Delaware is important to the majority of vehicle owners, and an easy way to pay lower rates for insurance is to not insure for full coverage. The chart below illustrates the comparison of yearly insurance costs with full phyical damage coverage and with liability coverage only. The rate quotes are based on no driving violations, no at-fault accidents, $250 deductibles, drivers are not married, and no discounts are applied.

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If the expense is averaged for all age categories, full coverage on your policy costs $2,840 per year over and above liability coverage. That proposes the question when is the right time to remove full coverage. There isn’t a steadfast formula that works best for making the decision to drop full coverage, but there is a guideline you can use. If the annual cost of having full coverage is more than about 10% of the settlement you would receive from your company, then you might want to consider buying only liability coverage.

There are a few cases where removing full coverage is not in your best interest. If you still have a loan on your vehicle, you have to keep full coverage as part of the loan requirements. Also, if your savings is not enough to buy a different vehicle in the event your current vehicle is totaled, you should keep full coverage on your policy.

The chart below shows how choosing a deductible can increase or decrease premium costs when researching cheap insurance for teenagers. The rates are based on a married male driver, full physical damage coverage, and no discounts are applied to the premium.

google.charts.setOnLoadCallback(drawDfdqcibChart);function drawDfdqcibChart() {var data = google.visualization.arrayToDataTable([[‘Age of Insured’, ‘$100 Deductible’,’$250 Deductible’,’$500 Deductible’,’$1,000 Deductible’],[‘Age 20’, 4621,4211,3761,3337],[‘Age 30’, 2395,2181,1939,1703],[‘Age 40’, 2299,2101,1877,1663],[‘Age 50’, 2105,1927,1725,1531],[‘Age 60’, 2071,1895,1695,1505],[‘Age 70’, 2389,2195,1981,1779]]);var options = {title: ‘Deductible Levels and Car Insurance Rates in Delaware’,titleTextStyle: {color: ‘#333’,fontSize: 17,bold: true},width: ‘100%’,height: 700,’chartArea’: {left:100,top:50,’width’: ‘100%’,’height’: ‘80%’},legend: {position: ‘bottom’,textStyle: {fontSize: 12}},bar: {groupWidth: ‘80%’},colors: [‘#6791b9′,’#75a8d8′,’#98bee2′,’#bad4ec’],hAxis: {title: ‘Annual Auto Insurance Cost for Average Vehicle’,minValue: 0,format: ‘$###,###’},vAxis: {title: ‘Age of Insured’}};var formatter = new google.visualization.NumberFormat({fractionDigits: 0,prefix: ‘$’});formatter.format(data,1);formatter.format(data,2);formatter.format(data,3);formatter.format(data,4);var chart = new google.visualization.BarChart(document.getElementById(‘qcibdfd’));chart.draw(data, options);}

As shown above, a 40-year-old driver could cut expenses by $380 a year by increasing from a $100 deductible to a $500 deductible, or save $574 by selecting a $1,000 deductible. Even younger drivers, like the Age 20 category, could shave as much as $1,284 annually by using a higher deductible. If you do make the decision to raise your deductibles, it is important to have plenty of discretionary funds to allow you to pay the extra out-of-pocket expense associated with higher deductibles.

How to find low-cost insurance for teenagers

The list below summarizes some of the recommended money-saving ideas that can help drivers get the cheapest auto insurance.

• Violations like speeding or DUI increase rates
• Good credit scores may lower your rates
• Buying car and homeowners insurance together can save money
• Pay less by remaining claim-free
• Higher comprehensive and collision coverage deductibles will save money
• Avoid having at-fault accidents
• Compare prices frequently to find the best deal

That last idea is incredibly significant, as we stressed in the prior article. Coverage prices in Delaware can be modified anytime, so don’t hesitate to switch companies if a lower price can be found. Sticking with a specific company is fine, but it’s not a great idea if that faithfulness ends up costing you a lot of money every month. Take a couple minutes and compare prices and find cheaper auto insurance for teenagers.