The words “low-priced” and “insurance” really don’t belong together, in particular when searching for the cheapest coverage for college students. Let’s start off by going over some of the things the can have a considerable influence on auto insurance rates, and come up with some ideas to reduce the price of your next policy.
For students in college, one of the largest components that aid in calculating insurance cost is where your car is garaged in Houston. Areas with increased crime or more people tend to have more expensive car insurance rates, whereas areas with less people or fewer weather incidents tend to receive slightly lower rates.
The table below lists the most expensive places in Texas for college students in which to buy car insurance. Houston is ranked at #2 with an annual premium of $1,891 for car insurance, which is approximately $158 each month.
|Rank||City||Premium Per Year|
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Rates are estimated as the specific Houston residence address can raise or lower auto insurance rates significantly.
Figuring out which company offers the lowest-priced auto insurance rates for college students will require a tad more effort in order to find the best policy.
Every auto insurer has their own unique process for determining rates, so let’s take a look at the auto insurance companies with the overall best prices in Houston, TX. It’s important to know that Houston, TX auto insurance rates are influenced by many factors which can significantly increase or decrease the price of coverage. Simply having another birthday, marrying your spouse, or having a fender bender can trigger price changes that may make certain companies cheaper than others.
Lowest Insurance Price Quotes for College Students
|Rank||Company||Cost Per Year|
|3||Texas Farm Bureau||$1,247|
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Travelers normally has some of the lowest car insurance rates in Houston at around $1,010 each year. 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 most economical Houston, TX insurance companies.
As the example above demonstrates, if you are currently insured with Germania Mutual and switched to Travelers, you might see an annual premium reduction of approximately $246. Insureds with Esurance might save as much as $355 a year, and California Casualty customers might realize rate reductions of up to $386 a year.
It’s important to note that these estimates are averaged for all drivers and vehicles and are not factoring in an exact zip code location for college students. So the auto insurance company that can offer you the best price may not even be in the top 23 companies shown above. That underscores the importance of why you need to get quotes using your own specific driver information and vehicle.
The vehicle that needs insurance is one of the primary factors when consumers are trying to find the cheapest insurance for college students. Vehicles with higher performance, a lack of modern safety features, or a history of substantial liability claims will cost much more to insure than safer models. The list below features insurance rates for a selection of the most cost-effective vehicles to insure in Texas.
|Make and Model||Estimated Cost for Full Coverage|
|Ford Escape XLS 4WD||$3,101|
|Honda CR-V EX 4WD||$3,148|
|Honda Accord EX-L 4-Dr Sedan||$3,380|
|Toyota Tacoma 4WD||$3,451|
|Ford F-150 XL Super Cab 4WD||$3,458|
|Ford Edge SEL 2WD||$3,636|
|Honda Odyssey EX||$3,641|
|Chevrolet Equinox LS 2WD||$3,683|
|Chevrolet Malibu LS||$3,690|
|Toyota RAV4 Limited 4WD||$3,683|
|Jeep Grand Cherokee Laredo 2WD||$3,690|
|Ford Explorer Limited 4WD||$3,730|
|Dodge Grand Caravan SXT||$3,735|
|Chevrolet Impala LTZ||$3,915|
|Hyundai Elantra SE 4-Dr Sedan||$3,920|
|Toyota Corolla LE||$3,915|
|Toyota Camry SE||$3,923|
|Kia Optima LX||$3,950|
|Honda Civic Hybrid 4-Dr Sedan||$3,962|
|Chevrolet Silverado LTZ Extended Cab 4WD||$3,972|
|Nissan Altima 3.5 SR 4-Dr Sedan||$3,962|
|Volkswagen Jetta 2.0T 4-Dr Sedan||$3,967|
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Data variables include single male driver age 20, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Texas minimum liability limits. Discounts applied include safe-driver, and claim-free. Estimates do not factor in your specific Houston, TX location which can influence auto insurance rates greatly.
Based upon these rates, we can presume that cars like the Ford Escape, Honda CR-V, and Honda Accord will definitely be the more affordable vehicles to insure for students in college. The price for car insurance will tend to be more expensive anyway because there is more claim risk for college students, but in general those models will tend to have the best rates available.
Selecting the highest-rated car insurance company can be challenging considering how many choices you have in Houston. The information in the next section can help you choose which car insurance companies you want to consider when comparing auto insurance rates for college students.
The rankings below are for the largest auto insurers in America, so smaller regional companies are not factored into this list. If you’d like to compare prices from these and other companies in Texas, just click here.
Top 10 Major Auto Insurance Companies in Houston Ranked by Claims Service
- State Farm
- Liberty Mutual
- American Family
- Titan Insurance
- AAA Insurance
Top 10 Major Auto Insurance Companies in Houston Ranked by Customer Service
- Mercury Insurance
- AAA Insurance
- Safeco Insurance
- State Farm
- The Hartford
- The General
The example below demonstrates how deductibles can change annual premium costs when trying to find cheap insurance for college students. The rate quotes are based on a single female driver, comprehensive and collision coverage, and no discounts are applied to the premium.
The data above shows that a 40-year-old driver could pocket $408 a year by switching their comprehensive and collision coverages from a $100 deductible up to a $500 deductible, or save $612 by selecting a $1,000 deductible. Even younger insureds, such as the Age 20 example, can save $1,048 every year just by choosing larger deductibles. When raising deductibles, it is essential to have enough funds in savings to be able to cover the extra out-of-pocket expense that comes with higher deductibles.
Impact of speeding/accidents on auto insurance rates
The common sense way to score the most affordable auto insurance premiums in Houston for students in college is to drive cautiously and not have accidents or get tickets. The information below shows how traffic citations and fender-benders impact auto insurance costs for each different age group. The price estimates are based on a single female driver, full physical damage coverage, $100 deductibles, and no discounts are taken into consideration.
The data in the chart shows the average cost of an auto insurance policy in Houston per year with no accidents and a clean driving record is $2,817. Get written up for two speeding tickets and the average cost hikes up to $3,796, an increase of $979 each year. Then include one accident along with the two speeding tickets and the yearly cost of auto insurance for college students increases to an average of $4,786. That’s an increase of $1,969, or $164 per month, just for not paying attention while driving!
Houston car insurance rates
Houston, TX auto insurance rates are impacted by many things which can substantially change the price of your policy. Improving your credit score, buying a different vehicle, or having an accident can cause premium changes resulting in some companies being cheaper than competitors.
In addition, companies modify rates at least once a year to adjust for unexpected claims or profits. An extended period of higher than normal claims can result in higher priced premiums, while lower claims may result in lower-cost Houston car insurance rates.
To help illustrate this point, the bar chart below shows which companies have the cheapest car insurance in Houston, TX for a 35-year-old female driver with no accidents, a clean driving record, and good credit. When quoting prices based on her personal profile, Travelers may have the most affordable car insurance rates in Houston at $1,297 per year. This is $607 less than the average policy premium paid by Texas drivers of $1,904. USAA, Texas Farm Bureau, Germania Mutual, and California Casualty are the remainder of the cheapest Houston, TX auto insurance companies.
In this example, we will give the driver in the first chart a claim or two, a lower credit rating, and a couple of points charged on her driving record. Since each auto insurer has a different formula to set premium rates, comparing insurance quotes may now show a slightly different list of the cheapest companies as shown below.
State Farm now has the cheapest auto insurance in Houston, TX with Mercury, USAA, Nationwide, and Safe Auto now being in the top five. This example proves why drivers need to shop around with many companies when trying to get the best auto insurance rates for college students. Auto insurance prices are determined by many different factors and can change without notice, so the cheapest rate the last time you shopped your coverage around may now be one of the more expensive options.