Who Has the Cheapest Auto Insurance for Homeowners in Plano?

The words “bargain” and “auto insurance” really don’t belong together, specifically when you are shopping around for the best insurance rates for homeowners. Because it’s not cheap, let’s learn about some things that can significantly affect insurance premiums, and find some ways to lower the price of your next policy.

Figuring out which company offers the lowest-priced car insurance rates for homeowners requires a little more work than just quoting one company’s rates. Each insurer has a unique formula to establish rates, so let’s take a look at the most competitive car insurance companies in Texas.

It’s important to understand that Texas car insurance rates are based on many factors that control the price you pay. Getting older, filing a claim, or getting a ticket for running a stop sign can trigger rate changes that can now make some companies cheaper than competitors.

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Travelers may have some of the cheapest car insurance rates in Plano at around $1,010 annually. This is $894 less than the average premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and Esurance also rank well as some of the lowest-priced Plano, TX car insurance companies.

As the example above demonstrates, if you are insured with Germania Mutual and switched to USAA, you might achieve an annual savings of roughly $199. Insureds with Esurance may save as much as $284 a year, and California Casualty policyholders might reduce prices by as much as $329 a year.

To find out how your current rates compare, click here to start your free quote or feel free to get quotes from the companies below.

Bear in mind that those premiums are averages across all drivers and vehicles in Texas and are not factoring in an exact zip code location for homeowners. So the insurer that is most affordable for your situation may not even be in the top 23 companies shown above. That is why you need to get auto insurance quotes using your own specific driver information and vehicle.

One of the more important components that aid in calculating the cost of insurance is where you live in Plano. Larger areas tend to pay slightly more, whereas areas that tend to be more rural get the luxury of paying less.

The illustration below ranks the highest-priced places in Texas for homeowners in which to purchase auto insurance. Plano shows up at #19 with an annual cost of $1,608 for the average policy, which is around $134 monthly.

How much does car insurance cost in Plano, TX?
Rank City Average Per Year
1 McAllen $1,956
2 Laredo $1,889
3 Dallas $1,855
4 Houston $1,853
5 Brownsville $1,851
6 Garland $1,850
7 Amarillo $1,840
8 Irving $1,789
9 Mesquite $1,771
10 Pasadena $1,758
11 Grand Prairie $1,757
12 Beaumont $1,720
13 San Antonio $1,688
14 Lubbock $1,682
15 Austin $1,676
16 Fort Worth $1,670
17 Arlington $1,642
18 Carrollton $1,615
19 Plano $1,608
20 Corpus Christi $1,588
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Prices are estimated as vehicle location can increase or decrease premiums greatly.

Difference between full coverage and liability only rates

Reducing the cost of car insurance should be important to most drivers, and one of the easiest ways to buy cheaper insurance for homeowners is to buy liability only. The example below shows the comparison of insurance costs with and without full coverage. The rate quotes are based on no driving violations, no at-fault accidents, $100 deductibles, marital status is single, and no discounts are taken into consideration.

If we average all the age groups together, physical damage coverage costs $2,181 per year more than just insuring for liability. That is a significant amount which raises the question if it’s worth it to buy full coverage. There is no clear-cut formula for excluding full coverage, but there is a broad guideline. If the annual cost of comprehensive and collision coverage is more than 10% of any settlement you would receive from your insurance company, then it might be time to buy liability only.

For example, let’s pretend your vehicle’s claim settlement value is $7,500 and you have $1,000 full coverage deductibles. If your vehicle is severely damaged, the most your company will settle for is $6,500 after the policy deductible has been paid. If it’s costing in excess of $650 annually for full coverage, then it might be time to buy liability only.

Types of discounts on Plano car insurance

Save on car insurance for people who own their homes in PlanoInsurance providers that provide policies for homeowners could also offer premium discounts that may potentially lower prices by as much as 35% if you can meet the requirements. A few of the larger companies and a partial list of their discounts are outlined below.

The chart below illustrates the difference between car insurance costs with and without discounts applied to the policy rates. The premiums are based on a female driver, no tickets, no at-fault accidents, Texas state minimum liability limits, full physical damage coverage, and $1,000 deductibles.

The first bar for each age group shows the average annual price with no discounts. The second shows the rates with multiple vehicle, defensive driving course, vehicle safety, claim-free, accident-free, and multiple policy discounts applied. When drivers take advantage of discounts, the average amount saved each year on car insurance for homeowners is 28% or $459.

The chart below demonstrates how deductibles can impact insurance costs when searching for cheap insurance for homeowners. The premiums assume a married female driver, full physical damage coverage, and no discounts are taken into consideration.

A 40-year-old driver could lower rates by $310 a year by changing their physical damage coverage from a $100 deductible up to a $500 deductible, or save $468 by selecting a $1,000 deductible. Younger drivers, such as the 20-year-old example, can save as much as $772 annually just by choosing higher deductibles when buying full coverage.

If you do raise deductibles, it is necessary to have enough savings to allow you to cover the extra out-of-pocket expense that deters many people from opting for higher deductibles.

The agencies below can answer your questions and help you decide which car insurance policy is best, as many consumers aren’t sure which coverage to buy and prefer to have a consultation when comparing insurance rates for homeowners. It can be hard to find the cheapest car insurance policy, and insurance agents licensed in the state of Texas can provide peace of mind knowing your policy gives you adequate protection in case of an accident or claim. To locate a Plano insurance agent close to you, click the link at the bottom.

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