Cheapest Auto Insurance for Business Use in Arkansas

Shopping around for affordable insurance is not most people’s favorite thing to do, and determining which companies quote the lowest-priced car insurance rates for business use will require even more perseverance. Policy rates will probably be moderately pricier than the average policy in Arkansas because of the higher likelihood of claims associated with selling insurance for using your car for business, but economical coverage may be available if you compare enough rates. Each auto insurance company has their own process for setting rates, so let’s take a look at the car insurance companies that tend to be cheaper in Arkansas.

Keep in mind that Arkansas car insurance rates are determined by lots of factors that may substantially change the price you have to pay. Simply improving your credit score, buying another vehicle, or getting into an accident may cause policy rate changes that may make certain companies more expensive than others.

Best Auto Insurance Prices for Business Use

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USAA normally has some of the most affordable car insurance rates in Arkansas at around $1,021 per year. Auto Club, Travelers, State Farm, and Southern Farm Bureau also make the cut as some of the most economical Arkansas car insurance companies.

In this example, if you currently have coverage with Travelers and switched to USAA, you might see an annual premium reduction of in the neighborhood of $116. Drivers with State Farm might save as much as $190 a year, and Southern Farm Bureau insureds might reduce rates by $204 a year.

It’s important to note that these policy prices are averages across all types of drivers and the different vehicles they drive and do not factor in a rate surcharge for business use. So the company that is best suited for you may not even be in the company chart above. That illustrates why you need to quote rates from as many companies as possible using your own driver information and specific vehicle type.

The type of vehicle driven is one of the biggest factors when looking for the best coverage for business use. Vehicles with limited speed and performance, modern passenger safety features, or a track record of few liability claims will cost much less to insure than high performance models.

The next table estimates insurance rates for a selection of the more afforable vehicles to insure in Arkansas.

Data variables include single female driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Arkansas minimum liability limits. Discounts applied include safe-driver, multi-vehicle, claim-free, multi-policy, and homeowner. Prices do not factor in vehicle location which can revise rates considerably.

Looking at the numbers, you can expect vehicles like the Subaru Forester, Toyota Prius, and Kia Forte are the most economical vehicles to insure for using your car for business. The price for car insurance will tend to be higher just due to the fact that there is more liability risk for business use, but in general those particular vehicles will probably have the least expensive rates that you are likely to find.

When shopping for car insurance for using your car for business, one of the many factors that establish the annual cost of car insurance is your zip code in Arkansas. Cities with larger populations or higher claim trends like El Dorado, Little Rock, and Texarkana tend to have more expensive car insurance rates, whereas areas with less people or fewer weather incidents benefit from lower prices.

The next table sorts the most expensive cities in Arkansas for business use to purchase car insurance in.

Premium costs are estimated as specific location information can decrease or increase rates substantially.

Illustration showing the impact of accidents and violations

The ideal way to get the best car insurance premiums in Arkansas for using your car for business is to be a safe driver and have a clean driving record. The information below highlights how speeding tickets and at-fault accidents can raise insurance premiums for each different age category. The price estimates are based on a married male driver, comprehensive and collision coverage, $250 deductibles, and no discounts are taken into consideration.

google.charts.setOnLoadCallback(drawVioqcibChart);function drawVioqcibChart() {var data = google.visualization.arrayToDataTable([[‘Age of Insured’, ‘No Violations or Accidents’, ‘Two Speeding Tickets and No Accidents’, ‘Two Speeding Tickets and One Accident’],[‘Age 20’, 3529,4303,5095],[‘Age 30’, 1831,2603,3393],[‘Age 40’, 1763,2539,3331],[‘Age 50’, 1615,2391,3181],[‘Age 60’, 1589,2365,3157],[‘Age 70’, 1841,2615,3405]]);var options = {title: ‘Effect of Violations and Accidents on Arkansas Car Insurance Prices’,titleTextStyle: {color: ‘#333’, fontSize: 17, bold: true},width: ‘100%’,height: 600,’chartArea’: {left:100,top:50,’width’: ‘100%’, ‘height’: ‘70%’},legend: {position: ‘bottom’,textStyle: {fontSize: 12}},colors:[‘#b2da64′,’#eed355′,’#e39e71’],hAxis: {title: ‘Annual Auto Insurance Cost for Average Vehicle in Arkansas’,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);var chart = new google.visualization.BarChart(document.getElementById(‘qcibvio’));chart.draw(data, options);}

In the chart above, the average cost of a car insurance policy in Arkansas per year with no violations or accidents is $2,028. Factor in two speeding tickets and the average cost jumps to $2,803, an increase of $775 each year. Next add one accident along with the two speeding tickets and the yearly cost of car insurance for business use goes up to an average of $3,594. That’s an increase of $1,566, or $130 per month, just for being a little careless behind the wheel!

The diagram below demonstrates how deductibles can impact yearly insurance costs when trying to find cheap insurance for business use. The data is based on a single female driver, full coverage, and no additional discounts are factored in.

google.charts.setOnLoadCallback(drawDfdqcibChart);function drawDfdqcibChart() {var data = google.visualization.arrayToDataTable([[‘Age of Insured’, ‘$100 Deductible’,’$250 Deductible’,’$500 Deductible’,’$1,000 Deductible’],[‘Age 20’, 2711,2495,2255,2029],[‘Age 30’, 1885,1727,1545,1371],[‘Age 40’, 1747,1603,1441,1283],[‘Age 50’, 1533,1405,1263,1125],[‘Age 60’, 1477,1355,1217,1087],[‘Age 70’, 1715,1579,1427,1281]]);var options = {title: ‘Impact of Higher Deductibles on Auto Insurance Prices in Arkansas’,titleTextStyle: {color: ‘#333’,fontSize: 17,bold: true},width: ‘100%’,height: 700,’chartArea’: {left:100,top:50,’width’: ‘100%’,’height’: ‘80%’},legend: {position: ‘bottom’,textStyle: {fontSize: 12}},bar: {groupWidth: ‘80%’},colors: [‘#6791b9′,’#75a8d8′,’#98bee2′,’#bad4ec’],hAxis: {title: ‘Annual Auto Insurance Cost for Average Vehicle’,minValue: 0,format: ‘$###,###’},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 50-year-old driver could pocket $270 a year by switching the physical damage coverage from a $100 deductible to a $500 deductible, or save $408 by changing to a $1,000 deductible. Younger drivers, like the 20-year-old category, could roll back prices as much as $682 annually just by choosing higher deductibles when buying full coverage. When using a larger deductible, it is important to have additional savings on hand to be able to pay the extra out-of-pocket expense, which is the main inconvenience of larger deductibles.

Cheapest insurance quotes for using your car for business

You have a lot of ways to get affordable car insurance quotes in Arkansas, but the most frequently used ways are through an independent insurance agent, an exlusive agent like State Farm or Allstate, or direct either online or via phone.

Each way has the same basic steps, but it’s important to point out the distinctions in how they function.

Independent insurance agents have contracts with multiple insurance companies and can get rate quotes from every one. They will give you more rate choices, which may give you the best chance of finding a lower price. If premiums increase, your policy can be easily switched to a new company and you don’t have to switch agencies.

A captive, or exclusive, agent is ‘exlusive’ to a single company, examples being an Allstate or Liberty Mutual agent. They usually cannot place coverage with different providers, so it’s a take it or leave it situation.

Car insurance from a direct company means you forego a local insurance agent and buy from a direct company like Progressive or Geico. Buying direct can be good for consumers who do not have a complex risk profile and have a good understanding of what coverage options they need.

When shopping for car insurance, which way works best to buy the cheapest auto insurance for business use in Arkansas? We’d like to tell you buying from a direct car insurance company results in the best prices because there is no agent involved, but unfortunately, it’s not that cut and dried. We could also assume that using an independent agent results in the cheapest rates due to increased selection, but again, it’s not necessarily true. And often times, the exclusive agents have extremely competitive rates that cannot be met by either independent or direct companies.

Due to the large number of rating factors, the only true way to get the cheapest rates is to compare lots of quotes. We recommend you get price quotes all three ways in order to be able to find the lowest price. For a list of companies with cheap rates in Arkansas, click here to view.

How to find more affordable insurance for business use

Lowering your rates is not difficult, and here are some of the recommended thrifty ideas that can help you quote lower-cost car insurance.

• Buy a car with high safety ratings
• Try paying for small claims out-of-pocket
• Drive safely
• Remain accident-free and save
• Drop full coverage on older vehicles
• Save money by insuring your home and auto with the same company
• Compare rate quotes often

The last idea is highly vital, as was noted in this write-up. Insurance prices adjust often, so drivers shouldn’t hesitate to switch to a new company if you find a cheaper price. Loyalty to a specific company is fine, but it’s not a great idea if that dedication is costing a lot of money every month. Now is a great time to compare prices and find cheaper insurance for business use.