Who Has the Cheapest Auto Insurance for First-time Drivers in Arkansas?

Performance level and cost of the vehicle you are seeking coverage for is probably the biggest factor when comparing the best cheap insurance for first-time drivers. Vehicles with high performance features, a lack of modern safety features, or a high likelihood of having liability claims will cost substantially more to insure than more economical and safe models.

The tables below estimates coverage rates for a handful of the cheaper vehicles to buy coverage for.

Cost estimates assume single female driver age 17, no speeding tickets, no at-fault accidents, $1000 deductibles, and Arkansas minimum liability limits. Discounts applied include safe-driver, and claim-free. Price information does not factor in specific garaging location which can influence insurance rates noticeably.

Premium data assumes single female driver age 17, no speeding tickets, no at-fault accidents, $1000 deductibles, and Arkansas minimum liability limits. Discounts applied include claim-free, and safe-driver. Price information does not factor in specific location which can impact prices significantly.

Data rating is based on single female driver age 17, no speeding tickets, no at-fault accidents, $1000 deductibles, and Arkansas minimum liability limits. Discounts applied include safe-driver, and claim-free. Price information does not factor in specific Arkansas garaging location which can increase or decrease insurance rates considerably.

Deciding which insurers offer the best car insurance rates for first-time drivers will take a little more work in order to find the most economical policy.

Each company has their own formula for setting rates, so to begin we’ll rank the most competitive car insurance companies in Arkansas.

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USAA may offer some of the cheapest car insurance rates in Arkansas at around $981 each year. Auto Club, Travelers, Southern Farm Bureau, and State Farm also make the cut as some of the most economical Arkansas car insurance companies.

As shown in the rates above, if you have coverage with Southern Farm Bureau and switched to USAA, you might achieve savings of in the neighborhood of $196. Policyholders with State Farm could save as much as $243 a year, and Columbia Insurance policyholders might reduce rates by $291 a year.

Remember that these premiums are averages for all ages of drivers and types of vehicles and are not factoring in a price surcharge for first-time drivers. So the company that fits your age and vehicle best may not even be included in the list of companies shown earlier. That affirms the importance of why you need to compare as many prices as possible using your own personal information and vehicle type.

When shopping for the cheapest auto insurance for new drivers, one of the many factors that play a part in determining the amount you pay for auto insurance is where you live. Regions with more people or even just more weather-related claims like El Dorado, Texarkana, and Pine Bluff are more likely to have higher rates, whereas areas with less crime or weather claims benefit from lower prices.

The following table rates the highest-priced places in Arkansas for first-time drivers in which to purchase auto insurance.

Premium costs are approximated as the specific geographic location can raise or lower prices substantially.

Do you need full coverage?

Finding the cheapest auto insurance for first-time drivers in Arkansas is important to the majority of vehicle owners, and one of the quickest ways to find cheap insurance is to not pay for full coverage. The chart below compares insurance prices with full physical damage coverage compared to only buying the minimum liability limits required in Arkansas. The premiums are based on no claims or driving violations, $100 deductibles, single marital status, and no discounts are applied.

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If averaged for all ages, full coverage on your policy costs an additional $2,603 per year more than just insuring for liability. Many drivers will wonder if physical damage coverage is worth the money. There is no set rule that works best for making the decision to drop full coverage, but there is a general guideline. If the annual cost of having full coverage is about 10% or more of replacement cost minus your deductible, then it could be time to drop full coverage.

Violations and accidents raise rates

The recommended way to get the best car insurance premiums in Arkansas for new drivers is to drive cautiously and avoid accidents and traffic violations. The information below shows how speeding tickets and accidents can drive up premium costs for different age groups. The premiums assume a married male driver, comp and collision included, $250 deductibles, and no discounts are applied.

google.charts.setOnLoadCallback(drawVioqcibChart);function drawVioqcibChart() {var data = google.visualization.arrayToDataTable([[‘Age of Insured’, ‘No Violations or Accidents’, ‘One Speeding Ticket and No Accidents’, ‘One Speeding Ticket and One Accident’],[‘Age 20’, 3529,3831,4685],[‘Age 30’, 1831,2135,2989],[‘Age 40’, 1763,2065,2925],[‘Age 50’, 1615,1919,2775],[‘Age 60’, 1589,1891,2749],[‘Age 70’, 1841,2145,2999]]);var options = {title: ‘Impact of Tickets and Claims on Arkansas Auto Insurance Cost’,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);}

The data in the chart shows the average cost of a car insurance policy per year with no violations or accidents is $2,028. Factor in one speeding ticket and the average cost rises to $2,331, an increase of $303 each year. Now throw in one accident along with the one speeding ticket and the annual cost of car insurance for first-time drivers jumps again to an average of $3,187. That’s an increase of $1,159, or $97 per month, just for not driving safely!

Which major car insurance company is best?

If you’re looking for the cheapest auto insurance for new drivers in Arkansas, the companies with the most market share are Allstate, Progressive, Geico, and State Farm. They all have the same basic coverages, but each one has a unique set of features, discounts, and options that you can select from. The next table points out pricing and service ratings, as well as optional policy coverages shoppers can expect to find with each one.