It’s hard to avoid all the catchy commercials from auto insurance companies like Nationwide, Liberty Mutual, and Progressive promising dirt cheap rates. So you should just choose any of them, right?
It’s not that easy, however, as there are a lot of unknown aspects such as your credit rating, if you have a coverage lapse, how experienced of a driver you are, and if you own a home, that all impact the price you pay. This article delves into the types of things that cause high car insurance rates and will hopefully give you a good start to your coverage search.
Finding cheap insurance is not the easiest thing to accomplish, and finding out which companies have the best insurance rates for high school students calls for even more shopping around.
Each auto insurer uses their own method to set policy rates, so let’s take a look at the most competitive insurance companies in Colorado.
Best Cheap Insurance Rates for Students
|Rank||Company||Cost Per Year|
|15||Colorado Farm Bureau||$1,640|
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The Hartford may have some of the most affordable car insurance rates in Aurora at around $825 per year. This is $753 less than the average price paid by Colorado drivers of $1,578. Grange, USAA, Nationwide, and GEICO also make the cut as some of the best Aurora, CO car insurance companies.
In the above rates, if you are a policyholder with Grange and switched to The Hartford, you might achieve an annual premium reduction of upwards of $124. Policyholders with USAA might save as much as $214 a year, and Nationwide policyholders might realize rate reductions of up to $296 a year.
To see if you’re overpaying, click here or quote prices from the following companies.
Bear in mind that those policy rates are averaged across all insureds and vehicles and are not factoring in a specific zip code for high school students. So the insurer that can offer you the best price may not even be in the top 21 companies shown above. That affirms the importance of why you need to compare prices as often as possible using your own driver data and vehicle information.
The type of vehicle that needs insurance is probably the most important factor when trying to find cheap auto insurance for high school students. Vehicles with high performance, a lack of safety features, or a history of substantial liability claims will cost significantly more to insure than more modest models. The next table shows car insurance prices for a selection of the cheaper vehicles to insure.
|Make, Model, and Trim Level||Estimated Cost for Full Coverage|
|Honda Accord EX 4-Dr Sedan||$5,001|
|Honda CR-V EX 4WD||$5,053|
|Ford Escape Limited 4WD||$5,380|
|Ford Edge SE 2WD||$5,553|
|Chevrolet Silverado LS Regular Cab 4WD||$5,560|
|Dodge Grand Caravan CV||$5,605|
|Honda Odyssey EX||$5,879|
|Ford Focus SE 4-Dr Sedan||$5,884|
|Jeep Grand Cherokee Laredo 4WD||$5,932|
|Chevrolet Impala LT||$5,940|
|Toyota RAV4 Limited 2WD||$5,932|
|Toyota Tacoma Double Cab TRD Off-Road Package 4WD||$5,984|
|Ford F-150 Lariat Super Cab 4WD||$5,992|
|Chevrolet Malibu LT||$5,984|
|Ford Explorer Limited 4WD||$5,993|
|Jeep Wrangler Unlimited Sport Islander Package 4WD 4-Dr||$6,203|
|Hyundai Elantra Blue 4-Dr Sedan||$6,205|
|Honda Civic VP 4-Dr Sedan||$6,210|
|Toyota Corolla S||$6,258|
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Above prices assume single male driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Colorado minimum liability limits. Discounts applied include claim-free, and safe-driver. Rate quotes do not factor in vehicle location which can lower or raise premiums considerably.
Looking at the rates, you can presume that cars like the Honda Accord, Honda CR-V, Ford Escape, and Toyota Prius will definitely be a few of the cheaper vehicles to insure for teenagers. Prices will be more expensive because of the fact that there is more risk for high school students, but in general those makes and models will most likely have the best rates that you are likely to find.
One of the more important things that are looked at to determine the amount you pay for auto insurance is your zip code in Aurora. Regions with more people or even just more weather-related claims tend to have higher auto insurance costs, whereas areas with lower crime rates and fewer weather claims have the benefit of cheaper auto insurance prices.
The information below lists the most costly cities in Colorado for high school students in which to purchase auto insurance. Aurora comes in at #2 with a yearly cost of $1,417 on average, which is around $118 monthly.
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Premium amounts are comparative as the specific Aurora residence address can lower or raise prices noticeably.
The illustration below shows how choosing a deductible can raise or lower insurance costs when getting quotes for cheap insurance for high school students. The premiums assume a married female driver, full physical damage coverage, and no policy discounts are applied.
The chart above illustrates that a 30-year-old driver could reduce rates by $376 a year by increasing from a $100 deductible up to a $500 deductible, or save $566 by choosing a $1,000 deductible. Younger drivers, like the Age 20 category, could save $802 each year by using a higher deductible.
When insureds make the decision to increase the deductibles on their policy, it is essential to have enough savings to enable you to pay the extra out-of-pocket expense associated with higher deductibles.
Liability-only versus full coverage
Reducing premiums for insurance is the goal of most drivers, and one of the quickest ways to find cheaper insurance for high school students is to only buy liability coverage. The information below illustrates the comparison of car insurance costs with liability coverage only compared to full coverage. The costs are based on no claims or driving violations, $100 deductibles, drivers are single, and no discounts are taken into consideration.
Averaged out for all age groups, physical damage insurance costs $2,242 per year over and above liability coverage. That is a significant amount which raises the question if buying full coverage is a good investment. There is no definitive guideline to stop paying for full coverage on your policy, but there is a general guideline you can use. If the yearly cost of comp and collision coverage is more than about 10% of the vehicle’s replacement cost less your deductible, then you may need to consider dropping full coverage.
The importance of comparing Aurora car insurance rates
Aurora, CO insurance rates are calculated based on many things that will increase or decrease the policy premium. Simply improving your credit, buying a different home, or getting a driving violation can trigger price changes that can now make some companies cheaper than competitors.
Also, insurance companies amend premium rates multiple times each year in order to be able to pay unexpected claims. Significantly higher losses may cause higher prices, while a profitable period may cause more affordable Aurora car insurance rates.
For instance, the bar chart below shows the company with the cheapest car insurance in Aurora, CO for a 45-year-old female driver with a clear driving record, no claims, and a good credit history. If we look at prices based on her personal risk profile, The Hartford may offer the most affordable car insurance rates in Aurora at $1,067 annually. This is $511 less than the average price paid by Colorado drivers of $1,578. Grange, USAA, GEICO, and Nationwide are the remaining most affordable Aurora, CO auto insurance companies.
The example below compares rates after we give the driver from the above example some claims, a little lower credit rating, and a few blemishes on her driving record. Since every car insurance company has a different process to set premium rates, comparing insurance quotes most likely will result in a slightly different list of affordable companies as shown below.
Auto-Owners now has the lowest price in Aurora, CO with State Farm, American Family, Progressive, and Amica now being in the top five. This illustrates why it is critical to perform a complete rate comparison to get the cheapest insurance rates for high school students. Insurance rates can be determined by many risk factors and can increase or decrease at any time, so the cheapest option a year ago may now be priced much higher than other options.