Best Cheap Car Insurance Quotes for Drivers with Bad Credit in Tennessee

It’s impossible to miss the catchy advertisements from car insurance companies like State Farm, Farmers, and Progressive that make claims of big savings. So you just need to pick the company with the catchiest ad, right?

It’s just not that easy, however, as there are a whole bunch of unknowns such as whether you are married, your financial stability, your vehicle’s safety rating, and if you are a homeowner or renter, that all have an effect on the price of a policy. This article goes into detail about the different ways you can keep rates low and will hopefully give the reader a good start in finding the cheapest car insurance.

The cost and performance of the vehicle to be insured is a significant factor when comparing cheaper coverage for drivers with bad credit. Vehicles with reasonable performance levels, good crash test ratings, or a track record of few liability claims will cost significantly less to insure than fast, unsafe models. The lists below illustrates auto insurance premiums for some of the most budget-friendly vehicles to insure in Tennessee.

Above prices assume single female driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and Tennessee minimum liability limits. Discounts applied include multi-vehicle, claim-free, homeowner, multi-policy, and safe-driver. Price estimates do not factor in specific location information which can decrease or increase coverage prices considerably.

Data rating is based on single female driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and Tennessee minimum liability limits. Discounts applied include multi-policy, homeowner, multi-vehicle, claim-free, and safe-driver. Price information does not factor in specific zip code location which can increase or decrease auto insurance rates substantially.

Above prices assume single female driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and Tennessee minimum liability limits. Discounts applied include multi-policy, safe-driver, multi-vehicle, homeowner, and claim-free. Price information does not factor in garaging location in Tennessee which can raise or lower coverage rates substantially.

Comparing rates for reasonably-priced insurance is not the easiest thing to do, and determining which insurers offer the cheapest car insurance rates for drivers with bad credit calls for even more rate comparisons. Prices will be somewhat more expensive than the state average, with the higher price attributed to the higher likelihood of claims that goes along with offering insurance for people with poor credit, but economical insurance may be attainable if you carefully shop around. Each insurance company uses a little different formula to determine rates, so to begin we’ll rank the car insurance companies with the overall best prices in Tennessee.

It’s important that you understand Tennessee car insurance rates are based on many factors that will increase or decrease the price you pay. Price variation is why Tennessee drivers need to perform an extensive rate comparison to find the most budget-friendly car insurance rates for drivers with bad credit. Car insurance prices are influenced by many factors and change dramatically, so the lowest-price company the last time you compared rates may now be one of the more expensive options.

Cheap Insurance Rates with Bad Credit

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Utica National normally has some of the lowest car insurance rates in Tennessee at around $737 annually. Auto-Owners, Cincinnati Insurance, Penn National, and Tennessee Farmers also rank well as some of the more affordable Tennessee car insurance companies.

As the example above demonstrates, if you are currently insured with Penn National and switched to Auto-Owners, you might realize an annual premium reduction of around $90. Customers with Tennessee Farmers might save as much as $97 a year, and USAA customers might lower prices by up to $111 a year.

To find the best cheap car insurance for drivers with bad credit in Tennessee for your vehicle, click here to get a free quote or visit any of the low-priced companies below.

Be aware that those rates are averaged for all drivers and vehicles in Tennessee and are not factoring in a price increase for drivers with bad credit. So the company that can offer you the best price may not even be included in the company chart above. That underscores the importance of why you need to quote rates from as many companies as possible using your own personalized driver profile and vehicle information.

The example below shows how choosing a deductible can affect annual premium costs when searching for cheap insurance for drivers with bad credit. The data assumes a married male driver, full coverage, and no discounts are taken into consideration.

The chart above illustrates that a 30-year-old driver could save $224 a year by increasing from a $100 deductible to a $500 deductible, or save $340 by selecting a $1,000 deductible. Even younger insureds, such as the Age 20 example, could potentially save up to $670 or even more just by choosing larger deductibles. If you make the decision to raise deductibles, it is essential to have additional funds in a savings account to be able to cover the extra out-of-pocket expense that deters many people from opting for higher deductibles.

Full coverage rates compared to liability only

Finding the best cheap car insurance for drivers with bad credit in Tennessee is the goal of the majority of vehicle owners, and one way to pay lower rates for insurance is to only buy liability coverage. The diagram below shows the difference between premium costs with full coverage compared to only the Tennessee minimum liability coverage. The rate quotes are based on a clean driving record, no claims, $100 deductibles, drivers are single, and no discounts are applied to the premium.

On average, physical damage coverage on your policy costs $2,220 per year over liability only. Lot’s of drivers question if buying full coverage is worth the money. There is no exact formula for eliminating physical damage insurance, but there is a broad guideline. If the yearly cost of comp and collision coverage is more than 10% of the replacement cost minus the deductible, then it could be time to drop full coverage.

There are some scenarios where removing full coverage is not advised. If you still owe money on your vehicle, you have to carry full coverage in order to satisfy the requirements of the loan. Also, if you cannot afford to purchase a different vehicle if your current one is totaled, you should not eliminate full coverage.

How to get the best cheap car insurance for drivers with bad credit in Tennessee

Lowering your rates is not difficult, and here are a few money-saving ideas that can help Tennessee drivers find lower-cost auto insurance.

• Buy a vehicle with excellent safety ratings
• Save money by staying claim-free
• Maintain a clean driving record
• Buying car and homeowners insurance together can save money
• Having at-fault accidents will increase rates
• Shop your coverage around for the best deal

The final tip is highly important, as we discussed in the prior information. Insurance rates in Tennessee change constantly, so don’t be afraid to switch companies if you find a better deal.

Many drivers have brand loyalty and that’s fine, but it’s not recommended if that stubbornness costs you potentially thousands of dollars a year. Take a couple minutes and compare rates and find cheaper auto insurance for drivers with bad credit.