You have surely seen all the catchy commercials from auto insurance companies like Progressive, State Farm, and Allstate that make promises of big savings. So you should just pick one randomly, right?
It’s not that easy, however, as there are a whole bunch of unknowns such as whether you are married or single, if you are currently insured, the deductible level you need, and your financial stability. If you keep reading, we will teach you about the best ways to avoid high prices and will hopefully give you some help in finding cheaper rates.
Finding good, cost effective insurance is not the easiest thing to do, and figuring out which companies offer the cheapest car insurance rates for homeowners takes additional perseverance. Each auto insurer uses their own calculation for establishing rates, so we’ll take a look at the car insurance companies that tend to be cheaper in Laredo, TX.
We do need to point out that Texas car insurance rates are impacted by many factors that will increase or decrease the cost of your policy. Simply improving your credit score, becoming a homeowner, or getting caught speeding can trigger rate changes resulting in some companies being less affordable than competitors.
Find the Cheapest Car Insurance for Homeowners
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Travelers | $1,052 |
| 2 | USAA | $1,084 |
| 3 | Texas Farm Bureau | $1,235 |
| 4 | Germania Mutual | $1,256 |
| 5 | Esurance | $1,407 |
| 6 | California Casualty | $1,424 |
| 7 | State Farm | $1,450 |
| 8 | Mercury | $1,506 |
| 9 | Nationwide | $1,600 |
| 10 | Safe Auto | $1,613 |
| 11 | Allstate | $1,701 |
| 12 | Progressive | $1,715 |
| 13 | Amica | $1,723 |
| 14 | GEICO | $2,072 |
| 15 | Home State | $2,155 |
| 16 | MetLife | $2,183 |
| 17 | Encompass | $2,301 |
| 18 | Unitrin | $2,333 |
| 19 | 21st Century | $2,421 |
| 20 | Titan | $2,646 |
| Find Cheaper Rates Go | ||
Travelers may have some of the most affordable car insurance rates in Laredo at around $1,052 each year. This is $852 less than the average rate paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and Esurance also qualify as some of the lowest-priced Laredo, TX insurance companies.
As depicted above, if you have coverage with Germania Mutual and switched to Travelers, you could earn savings of upwards of $204. Insureds with Esurance may save as much as $355 a year, and California Casualty policyholders might lower prices by $372 a year.
Bear in mind that those premium estimates are averaged across all drivers and vehicles and and are not figured with an exact vehicle garaging location for homeowners. So the insurer that can offer you the lowest price may not even be in the top 23 companies shown above. That helps illustrate why you need to compare prices as often as possible using your own individual information.
The car, truck, or SUV you are trying to insure is probably the biggest factor when comparing low-cost auto insurance for homeowners. Vehicles with lots of horsepower, poor safety ratings, or high incidents of liability claims will cost more to insure than more economical and safe models.
The list below shows insurance prices for the more affordable vehicles to insure in Texas.
| Vehicle Insured | Estimated Cost for Full Coverage |
|---|---|
| Ford Escape XLS 4WD | $1,336 |
| Honda CR-V EX 4WD | $1,411 |
| Ford Edge SEL AWD | $1,413 |
| Chevrolet Silverado LS Regular Cab 2WD | $1,438 |
| Ford F-150 FX2 2WD | $1,468 |
| Toyota Prius | $1,485 |
| Ford Focus SEL 4-Dr Sedan | $1,493 |
| Dodge Grand Caravan SE | $1,501 |
| Honda Odyssey EX-L | $1,520 |
| Nissan Altima Hybrid 4-Dr Sedan | $1,547 |
| Volkswagen Jetta SEL 4-Dr Sedan | $1,556 |
| GMC Sierra 3500HD SLT Extended Cab 2WD | $1,575 |
| Chevrolet Impala LT | $1,580 |
| Toyota Tacoma Double Cab TRD Off-Road Package 4WD | $1,612 |
| Nissan Rogue SL AWD | $1,622 |
| Compare Rates Now Go | |
Prices based on single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include multi-policy, claim-free, homeowner, safe-driver, and multi-vehicle. Premium amounts do not factor in vehicle garaging location which can decrease or increase premium rates greatly.
Looking at the data, models like the Ford Escape, Honda CR-V, Ford Edge, and Chevrolet Silverado are going to be the more affordable vehicles to insure for people who own their homes.
For people who own their homes, one of the largest components that are looked at to determine auto insurance rates is the neighborhood you call home. Cities with larger populations tend to pay slightly more, whereas areas with less people or fewer weather incidents have the luxury of cheap car insurance rates.
The next table sorts the priciest cities in Texas for homeowners in which to buy car insurance. Laredo is ranked at #7 with a yearly premium of $1,833 for the average policyholder, which is approximately $153 per month.
| Rank | City | Premium Per Year |
|---|---|---|
| 1 | McAllen | $1,936 |
| 2 | Dallas | $1,911 |
| 3 | Houston | $1,853 |
| 4 | Brownsville | $1,851 |
| 5 | Garland | $1,850 |
| 6 | Amarillo | $1,840 |
| 7 | Laredo | $1,833 |
| 8 | Grand Prairie | $1,811 |
| 9 | Pasadena | $1,794 |
| 10 | Irving | $1,772 |
| 11 | Beaumont | $1,772 |
| 12 | Mesquite | $1,753 |
| 13 | San Antonio | $1,722 |
| 14 | Lubbock | $1,716 |
| 15 | Arlington | $1,709 |
| 16 | Fort Worth | $1,670 |
| 17 | Carrollton | $1,647 |
| 18 | El Paso | $1,632 |
| 19 | Austin | $1,627 |
| 20 | McKinney | $1,625 |
| Get a Custom Quote Go | ||
Rates are approximated as the specific area where the vehicle is garaged can raise or lower premiums noticeably.
Discounts on Laredo car insurance
Insurance providers that provide coverage for homeowners could also offer rate discounts that may potentially lower prices by as much as 30% if you qualify for them. Popular car insurance companies and some of their more popular discounts are detailed below.
- Farmers Insurance may offer discounts for teen driver, youthful driver, alternative fuel, pay in full, homeowner, mature driver, and bundle discounts.
- State Farm offers discounts for good driver, Steer Clear safe driver discount, Drive Safe & Save, anti-theft, multiple policy, defensive driving training, and student away at school.
- Liberty Mutual has savings for newly married, multi-policy, new move discount, new graduate, preferred payment discount, and safety features.
- MetLife includes discounts for multi-policy, claim-free, defensive driver, good driver, and accident-free.
- Progressive may have discounts that include online signing, multi-vehicle, homeowner, multi-policy, and continuous coverage.
The illustration below shows the comparison of auto insurance costs with and without policy discounts. The rate quotes are based on a male driver, no tickets, no at-fault accidents, Texas state minimum liability limits, comp and collision included, and $100 deductibles.
The first bar for each age group shows premium with no discounts. The second shows the rates with claim-free, passive restraint, homeowner, anti-theft, vehicle safety, and defensive driving course discounts applied. In this example, theamount saved on car insurance for homeowners is 28% or $827.
Rate difference between full and liability-only coverage
Reducing the cost of car insurance is the goal of most vehicle owners, and one of the quickest ways to save on the cost of insurance for homeowners is to not buy comprehensive and collision coverage. The chart below illustrates the difference between insurance costs with and without physical damage coverage, medical payments, and uninsured/under-insured motorist coverage. The premium estimates are based on no claims or driving violations, $250 deductibles, drivers are not married, and no additional discounts are factored in.
If we average all the age groups together, comp and collision coverage costs $2,000 per year more than buying just liability insurance. That is a large expense which might make you wonder if paying for full coverage is worth it. There is no definitive guideline to delete full coverage on your policy, but there is a general school of thought. If the annual cost of your full coverage insurance is about 10% or more of the replacement cost minus the deductible, then it could be time to drop full coverage.
The information below demonstrates how choosing different deductibles can affect insurance rates when quoting cheap insurance for homeowners. The rate quotes are based on a single male driver, comprehensive and collision coverage, and no additional discounts are factored in.
A 30-year-old driver could lower rates by $490 a year by switching their comprehensive and collision coverages from a $100 deductible to a $500 deductible, or save $740 by using a $1,000 deductible. Young drivers, like the age 20 example, could reduce their rates up to $1,446 annually by choosing a higher deductible.
If you do decide to increase your deductibles, it will be required to have plenty of money set aside to offset the extra out-of-pocket expense, which is the primary disadvantage of high deductibles.