How Much are Auto Insurance Quotes for Business Use in Colorado?

You have surely seen all the captivating commercials from companies like GEICO, Farmers, and Allstate guaranteeing big savings, so drivers just need to pick the one with the catchiest commercial, right?

It’s just not that easy, however, as there are many unknowns like if you rent or own your home, your annual mileage driven, your choice of physical damage deductibles, and whether you are a man or a woman, that all go into determining the rate you pay. In this article, we will cover the best ways to save money and should give you a good start in finding the cheapest car insurance in Colorado.

The type of vehicle requiring coverage is a significant factor when comparison shopping for cheap auto insurance for business use in Colorado. Vehicles with average performance, good safety features, or a low likelihood of liability claims will cost much less to insure than higher performance models.

The next list features auto insurance costs for some of the more afforable automobiles to buy coverage for.

Price data assumes single male driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and Colorado minimum liability limits. Discounts applied include homeowner, multi-policy, multi-vehicle, claim-free, and safe-driver. Table data does not factor in Colorado location which can alter prices noticeably.

Looking at the rates, we can assume that models like the Honda CR-V, Honda Accord, and Ford Edge are a few of the more affordable vehicles to insure for using your car for business. Auto insurance rates will trend higher just due to the fact that there is more liability risk for business use, but overall those particular models will have the lowest insurance prices available.

Trying to buy reasonably-priced insurance is not always easy, and deciding which companies quote the cheapest auto insurance rates for business use calls for even more rate comparisons. Policy rates will most likely be a little bit more than the average price in Colorado due to the potentially higher risk that comes with offering insurance for using your car for business, but reasonably-priced coverage may be available if you look hard enough. Each insurance company has their own formula for determining prices, so we’ll take a look at the overall cheapest auto insurance companies in Colorado.

It’s a good idea to know that Colorado auto insurance rates are influenced by many factors which can significantly increase or decrease the price of coverage. This is why drivers need to perform an extensive rate comparison to find cheap insurance rates for business use. Prices are calculated by many things and change dramatically, so the best price the last time you compared rates may now be costing you a lot of money.

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The Hartford offers some of the lowest car insurance rates in Colorado at around $850 per year. Grange, USAA, Nationwide, and Auto-Owners also make the cut as some of the cheapest Colorado car insurance companies.

As shown in the table above, if you are a customer of Nationwide and switched to Grange, you could see a yearly savings of around $206. Colorado drivers with Auto-Owners may save as much as $219 a year, and GEICO customers might reduce prices by as much as $238 a year.

If you want to find out if you’re overpaying, click here to start your custom quote or visit any of the low-priced companies below.

Be aware that those prices are averages across all types of insureds and vehicles and and are not calculated with a rate surcharge for business use. So the insurer that fits your situation best may not even be featured in the above rate chart. That underscores the importance of why you need to quote rates from as many companies as possible using your own driver and vehicle profiles.

When shopping for auto insurance for using your car for business, one of the many criteria that helps auto insurance companies calculate insurance cost is where you call home in Colorado. Areas with more people or even just a higher incidence of claims like Pueblo, Lakewood, and Colorado Springs tend to have more expensive car insurance rates, whereas areas with less congestion tend to receive cheaper rates.

The table below sorts the highest-priced areas in Colorado for business use to buy car insurance in.

Prices are estimated as the specific zip code location can revise premiums noticeably.

Full coverage versus liability-only

Finding cheap auto insurance for business use in Colorado is probably important to most vehicle owners, and one of the best ways to pay lower rates for insurance is to not pay for full coverage. The chart below compares insurance premiums with and without full coverage. The premium estimates are based on no claims or violations, $250 deductibles, marital status is single, and no additional discounts are factored in.

As an average for all age groups, physical damage coverage costs $1,845 per year more than just buying liability insurance. That amount may make you wonder when is the right time to remove full coverage. There isn’t a steadfast formula to stop paying for physical damage coverage, but there is a general school of thought. If the annual cost of your full coverage insurance is more than around 10% of the vehicle’s replacement cost less your deductible, then you may need to consider dropping full coverage.

Discounts on cheap auto insurance for business use in Colorado

Insurers that offer quotes for business use could also offer premium discounts that could lower prices by as much as 35% or more if you are eligible to receive them. A few of the larger companies and some of the discounts are included below.

The chart below shows the difference between insurance costs with and without discounts applied to the policy premium. The data is based on a female driver, a clean driving record, no at-fault accidents, Colorado state minimum liability limits, full coverage, and $250 deductibles. The first bar for each age group shows premium with no discounts. The lower bar shows the rates with accident-free, claim-free, multiple vehicle, homeowner, defensive driving course, and safe-driver discounts applied. When discounts are factored in, the the amount saved on auto insurance for business use is 37% or $573.

How to find budget-friendly car insurance for business use

The list below details a few penny-pinching solutions that can help drivers find lower-cost auto insurance.

• Assess whether full coverage is needed
• Safe vehicles generally have lower rates
• Buying home and auto together can help save money
• Accidents can significantly increase rates
• Drive safely
• Try paying for small claims out-of-pocket
• Comparison shop at least once a year

That final tip is especially crucial, as was noted in the article above. Coverage rates can be modified anytime, so you should be ready to buy a different policy if a more affordable rate is found.

Many consumers stick with the same company and that’s fine, but it isn’t a good idea if your bullheadedness ends up costing you money that could be used for better things. In just a few minutes you could shop around and find cheaper auto insurance for business use.

Who has the cheapest insurance quotes for using your car for business?

Thanks to the internet, there are a lot of ways to find cheap auto insurance in Colorado, but the most prevalent ways are from a captive (or exclusive) agency like Liberty Mutual or State Farm, an independent agent, or direct from companies such as Geico or Progressive. All three ways can provide auto insurance quotes, but it’s important to understand the differences in how they provide price quotes.

Independent insurance agencies work with multiple companies and can get rate quotes from all of them. Agents of this type have the freedom to give you more rate choices, which can give you better odds of saving money. If a cheaper rate is found, the agent simply finds a different carrier and that require little work on your part.

Exclusive agents are only able to place business with just one company like State Farm and Allstate agents. Exclusive agents are unable to provide other companys’ prices, so drivers will want to get other quotes as well.

Buying from a direct company means do not use an independent or exclusive agent and instead shop from a direct company like Geico or Progressive. This auto insurance option is a good choice for consumers who do not have complex finances and understand what coverages they need.

What is the best method for finding cheap auto insurance for business use in Colorado? One answer would be shopping direct results in the cheapest rates because you bypass the agent, but in reality, that is not true. It would also be easy to say buying from an independent agent guarantees the lowest rates because you have more choices, but again, that’s not a true statement. And sometimes, exclusive agents have very competitive rates that are well below what direct and independents offer.

Since auto insurance rates vary so much, really the only way to not overpay for auto insurance is to do a thorough rate comparison. The ideal approach is to get prices from all three to give yourself plenty of rates to compare. For a list of companies offering online discounts in Colorado, click here to view.