The words “bargain” and “insurance” really should not be used together, especially when looking for the best insurance rates for first-time drivers. To save some money, let’s open your eyes to some of the factors that influence auto insurance rates, and see if we can help you reduce the cost of your next policy.
Trying to find low-cost auto insurance is hard enough, and figuring out which companies offer the lowest-priced insurance rates for first-time drivers may require even more perseverance. Each auto insurance company uses a different method for setting prices, so let’s rank the most affordable insurance companies in Texas.
Keep in mind that Plano, TX insurance rates are determined by lots of factors that can increase the price you have to pay for coverage. Simply improving your credit, buying a different vehicle, or getting a reckless driving citation may cause policy rate changes that can cause some rates to be more expensive than before.
Lowest Insurance Price Quotes for Inexperienced Drivers
Click Here to Start Your Quote
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Travelers | $1,041 |
| 2 | USAA | $1,128 |
| 3 | Texas Farm Bureau | $1,199 |
| 4 | Germania Mutual | $1,244 |
| 5 | Esurance | $1,407 |
| 6 | California Casualty | $1,438 |
| 7 | Mercury | $1,461 |
| 8 | State Farm | $1,495 |
| 9 | Nationwide | $1,538 |
| 10 | Safe Auto | $1,613 |
| 11 | Progressive | $1,698 |
| 12 | Allstate | $1,701 |
| 13 | Amica | $1,775 |
| 14 | Home State | $2,071 |
| 15 | GEICO | $2,093 |
| 16 | MetLife | $2,227 |
| 17 | Unitrin | $2,264 |
| 18 | Encompass | $2,301 |
| 19 | 21st Century | $2,469 |
| 20 | Titan | $2,646 |
| Compare Rates Now Go | ||
Travelers offers some of the most affordable car insurance rates in Plano at around $1,041 each year. This is $863 less than the average policy premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and Esurance also are some of the most economical Plano, TX insurance companies.
As shown above, if you are insured with Esurance and switched to USAA, you may realize annual savings of in the vicinity of $279. Drivers with California Casualty might save as much as $310 a year, and Mercury insureds might cut rates by $333 a year.
To find the cheapest coverage for you, click here to begin a quote or visit any of the low-priced companies below.
Remember that these estimates are averaged across all types of insureds and vehicles and and are not figured with an exact vehicle garaging location for first-time drivers. So the insurer that has the cheapest price for you may not even be in the list above. That point stresses why you need to quote rates from as many companies as possible using your own individual information.
For new drivers, one of the big things that help determine the price you pay for insurance is where you choose to live in Plano. Larger areas will most likely pay more, whereas areas with fewer weather claims and lower vehicle theft rates benefit from lower rates.
The table below shows the priciest cities in Texas for first-time drivers to purchase car insurance in. Plano shows up at #22 with the yearly price of $1,576 for the average policy, which is about $131 each month.
| Rank | City | Average Per Year |
|---|---|---|
| 1 | McAllen | $1,936 |
| 2 | Dallas | $1,911 |
| 3 | Brownsville | $1,908 |
| 4 | Amarillo | $1,858 |
| 5 | Houston | $1,853 |
| 6 | Laredo | $1,851 |
| 7 | Garland | $1,832 |
| 8 | Mesquite | $1,825 |
| 9 | Pasadena | $1,794 |
| 10 | Irving | $1,789 |
| 11 | Grand Prairie | $1,757 |
| 12 | Beaumont | $1,720 |
| 13 | Arlington | $1,692 |
| 14 | Lubbock | $1,682 |
| 15 | San Antonio | $1,671 |
| 16 | Fort Worth | $1,653 |
| 17 | Corpus Christi | $1,620 |
| 18 | El Paso | $1,616 |
| 19 | Carrollton | $1,615 |
| 20 | Austin | $1,610 |
| Get a Custom Quote Go | ||
Premium costs are comparative as the specific area where the vehicle is garaged can revise premiums noticeably.
Choosing a highly-rated insurance provider can be challenging considering how many choices you have in Plano. The rank data displayed below may help you select which auto insurers you want to consider comparing prices from.
The ratings below include insurance companies that insure vehicles in the majority of U.S. states, so companies that focus mainly on Texas business are not taken into consideration for this list. To compare price quotes from these top insurers and more, just click here.
Top 10 Large Auto Insurance Providers Overall in Plano
- Travelers
- USAA
- Mercury Insurance
- AAA Insurance
- Nationwide
- Allstate
- State Farm
- The Hartford
- Safeco Insurance
- Progressive
How to get discounts on Plano auto insurance rates
Auto insurance companies that provide coverage for first-time drivers may provide premium discounts that may potentially lower prices by as much as 35% if you are eligible to receive them. A list of insurance companies and some of their more popular discounts include:
- GEICO has savings for federal employee, military active duty, good student, multi-vehicle, and emergency military deployment.
- Travelers includes discounts for new car, payment discounts, home ownership, continuous insurance, multi-car, early quote, and driver training.
- Farm Bureau has discounts for driver training, safe driver, youthful driver, multi-vehicle, renewal discount, good student, and 55 and retired.
- Liberty Mutual offers premium reductions for hybrid vehicle, multi-policy, new vehicle discount, new move discount, preferred payment discount, and multi-car.
- American Family may have discounts that include good driver, Steer into Savings, accident-free, defensive driver, and bundled insurance.
- Progressive discounts include multi-policy, multi-vehicle, good student, online signing, homeowner, and online quote discount.
The information below shows the comparison of auto insurance rates with and without discounts being applied to the rates. The data assumes a male driver, a clean driving record, no claims, Texas state minimum liability limits, comp and collision included, and $250 deductibles.
The first bar for each age group shows the average rate with no discounts. The second shows the rates with good student, anti-theft, vehicle safety, paid-in-full, paperless filing, and continuous coverage discounts applied. With discounts applied, theamount saved on insurance for first-time drivers is 28% or $985.
Does it make sense to buy full coverage?
Saving on insurance is the goal of most people, and one great way to find cheaper insurance for first-time drivers is to buy only liability coverage. The diagram below shows the difference between insurance costs with full physical damage coverage compared to only buying the minimum liability limits required in Texas. The rates are based on no claims or driving citations, $100 deductibles, marital status is single, and no other discounts are factored in.
If all age groups are averaged, comprehensive and collision coverage on your policy costs an additional $2,922 per year more than insuring for liability only. That touches on the question if full coverage is worth the money. There is no written rule to drop comprehensive and collision coverage on your policy, but there is a guideline you can use. If the yearly cost of comp and collision coverage is 10% or more of the vehicle’s replacement cost less your deductible, then it could be time to drop full coverage.
For example, let’s assume your vehicle’s claim settlement value is $8,500 and you have $1,000 full coverage deductibles. If your vehicle is severely damaged, the most your company would pay you is $7,500 after paying the physical damage deductible. If you are paying in excess of $750 annually to have full coverage, then you might consider buying liability only.
How to find budget-friendly auto insurance for first-time drivers
The list below shows some of the better penny-pinching solutions that can help Texas drivers quote lower-cost coverage.
- Vehicles with safetly features generally cost less to insure
- Pay less by remaining claim-free
- Avoid having at-fault accidents
- Buying home and auto together can help save money
- Violations and traffic tickets increase rates
- Shop around for cheaper prices
The final tip is incredibly significant, as was discussed in this article. Insurance prices in Plano can change significantly in a year, so you should be ready to switch carriers if a better deal can be had.
We understand brand loyalty, but it’s not a good idea if that stubbornness costs you a small fortune year after year. If you have a few minutes, now is a great time to compare prices and find cheaper insurance for first-time drivers.
The agents shown below are willing to answer your questions and help you decide which coverages and limits you need, as some drivers have questions and prefer to have some advice when shopping for the best coverage for new drivers. It can be hard to find the cheapest car insurance policy, and agents can provide satisfaction knowing your coverage gives you decent coverage if you have a claim. To find a Plano insurance agency closest to you, click the button after the list.
- Allstate Insurance: Matthew Greiner
2415 Coit Rd d – Plano, TX 75075 – (972) 769-8800 - Allstate Insurance: Kima Adams Evans
6853 Coit Rd Ste 400 – Plano, TX 75024 – (972) 423-4009 - Ann Dunham – State Farm Insurance Agent
2301 W Parker Rd #1 – Plano, TX 75023 – (972) 596-4809 - Alpha Omega Insurance Agency
3275 Independence Pkwy – Plano, TX 75075 – (972) 519-5435