The car, truck, or SUV requiring insurance is one of the main factors when trying to find low-cost auto insurance for welfare recipients. Vehicles with higher performance characteristics, a lack of modern safety features, or a history of substantial liability claims will cost more to insure than more economical and safe models. The list below showcases insurance premiums for a number of the most economical vehicles to insure in Texas.
|Vehicle Make and Model||Estimated Cost for Full Coverage|
|Honda Accord EX 4-Dr Sedan||$919|
|Honda CR-V EX-L 2WD||$938|
|Ford Escape XLS 2WD||$1,009|
|Toyota Tacoma Double Cab 4WD||$1,087|
|GMC Sierra SLE Crew Cab 2WD||$1,093|
|Toyota RAV4 2WD||$1,087|
|Dodge Ram Quad Cab ST 2WD||$1,109|
|Hyundai Elantra SE Touring Station Wagon||$1,122|
|Dodge Grand Caravan SE||$1,126|
|Chevrolet Impala LTZ||$1,148|
|Toyota Corolla S||$1,158|
|Chevrolet Equinox LTZ AWD||$1,169|
|Chevrolet Silverado 2500HD LT Crew Cab 4WD||$1,175|
|Chevrolet Silverado 3500HD LT Crew Cab 2WD||$1,189|
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Cost estimates assume single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include safe-driver, multi-vehicle, homeowner, claim-free, and multi-policy. Rate information does not factor in vehicle garaging location which can modify auto insurance rates significantly.
Based upon these rates, you can conclude that vehicles like the Honda Accord, Honda CR-V, Ford Escape, and Toyota Tacoma are likely to be a few of the more affordable vehicles to insure for drivers on welfare.
For drivers on welfare, one of the largest considerations that are looked at to determine car insurance rates is where you keep your car. Areas with more people or higher crime rates tend to pay more, whereas areas with lower vehicle theft rates and fewer weather claims have the luxury of lower rates.
The illustration below shows the most costly cities in Texas for welfare recipients in which to purchase auto insurance. Plano is listed at #19 having an annual price of $1,608 for the average policy, which is around $134 per month.
|Rank||City||Average Per Year|
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Prices are approximated as vehicle location can influence coverage rates significantly.
Insuring your vehicle with the highest-rated company can be challenging considering how many companies sell coverage in Plano. The company rank data below could help you decide which providers you want to consider comparing prices from.
These ratings only include the companies with a significant amount of written premium nationwide, so companies that have a smaller presence are not taken into consideration for this list. To check rates from many more Texas auto insurance companies, follow this link.
Top 10 Large Auto Insurance Companies in Plano Ranked by Claims Service
- State Farm
- Liberty Mutual
- American Family
- Titan Insurance
- AAA Insurance
Top 10 Large Auto Insurance Companies in Plano Ranked by A.M. Best Rating
- Travelers – A++
- USAA – A++
- GEICO – A++
- State Farm – A++
- Titan Insurance – A+
- Esurance – A+
- Progressive – A+
- The Hartford – A+
- Allstate – A+
- Nationwide – A+
Types of discounts on Plano car insurance
Insurance providers that provide policies for welfare recipients may also offer price discounts that may potentially lower prices by 30% or more if you meet specific eligibility requirements. A few of the larger companies and a selection of discounts are detailed below.
- Farm Bureau offers discounts for safe driver, driver training, youthful driver, 55 and retired, renewal discount, and good student.
- MetLife discounts include accident-free, multi-policy, claim-free, defensive driver, good student, and good driver.
- Progressive includes discounts for online quote discount, continuous coverage, homeowner, online signing, and multi-policy.
- AAA offers premium reductions for anti-theft, good driver, pay-in-full, multi-policy, education and occupation, multi-car, and AAA membership discount.
- American Family policyholders can earn discounts including defensive driver, accident-free, mySafetyValet, TimeAway discount, and multi-vehicle.
- GEICO has discounts for federal employee, emergency military deployment, daytime running lights, defensive driver, and multi-policy.
- State Farm may include discounts for good student, student away at school, Steer Clear safe driver discount, multiple autos, Drive Safe & Save, and passive restraint.
The chart below visualizes the comparison of insurance costs with and without discounts applied to the premium. Data assumes a female driver, no accidents, no driving violations, Texas state minimum liability limits, comp and collision included, and $500 deductibles. The first bar for each age group shows premium with no discounts. The second bar shows the rates with safe-driver, accident-free, anti-theft, multiple vehicle, vehicle safety, and passive restraint discounts applied. When these discounts are applied, the average amount saved each year on auto insurance for welfare recipients is 28% or $645.
Does it make sense to buy full coverage?
Reducing premiums for auto insurance is the goal of most vehicle owners, and an effective way to find cheap insurance for welfare recipients is to not buy full coverage. The example below illustrates the comparison of auto insurance rates with full physical damage coverage compared to only buying liability only. The prices are based on a clean driving record, no claims, $100 deductibles, drivers are single, and no discounts are applied to the premium.
As an average, physical damage coverage costs an extra $2,429 per year more than just insuring for liability. That is a big expense that brings up the question if it’s a good idea to buy full coverage. There isn’t a written rule that is best for determining when to drop physical damage insurance, but there is a general school of thought. If the yearly cost of full coverage is more than around 10% of the replacement cost minus the deductible, the it may be a good time to stop paying for full coverage.
For example, let’s pretend your vehicle’s settlement value is $10,500 and you have $1,000 physical damage deductibles. If your vehicle is destroyed, the most you would get paid by your company is $9,500 after paying your policy deductible. If you are paying over $950 annually for comprehensive and collision coverage, then it could be time to drop full coverage.
Can you find cheaper Plano car insurance?
Plano, TX auto insurance rates are based on many factors that may substantially change the policy premium. Simply getting older, buying a home, or getting a reckless driving citation can trigger price changes resulting in some companies being much cheaper than others. Not only may your risk profile change, but companies modify rates as needed to adjust for gains or losses. Significantly higher losses can cause higher priced premiums, while profitable underwriting can result in cheaper Plano car insurance rates.
As an example, the chart below shows which companies have the cheapest car insurance in Plano, TX for a 30-year-old male driver with no violations or accidents, and a good credit rating. If we compare prices based on his personal risk profile, Travelers might quote the most affordable car insurance rates in Plano at $1,136 a year. This is $768 less than the average policy premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and Esurance round out the rest of the most affordable Plano, TX auto insurance companies.
The next chart shows rates after we give the driver from the first example some claims, bad credit, and a speeding ticket. Since each company has a unique approach for determining rates, comparing insurance quotes could result in a different list of affordable Plano car insurance companies as shown below.
State Farm now has the cheapest price in Plano with Mercury, Safe Auto, Nationwide, and USAA also being competitive. This demonstrates why it is important to do a thorough rate comparison when trying to get the lowest auto insurance quotes for welfare recipients. Auto insurance prices are impacted by many factors and can decrease or increase without notice, so the cheapest company the last time you shopped your coverage around may now be costing you a lot of money.