Find Cheaper California Car Insurance Rates for Teenagers

When buying auto insurance for teen drivers, one of the key criteria that help determine the amount you pay each year for auto insurance is where you keep your vehicle. Areas that are densely populated or have higher claim frequency like Los Angeles, Oakland, and San Francisco will most likely pay more, whereas less populated areas can boast about having cheaper rates.

The table below displays the most expensive areas in California for teenagers in which to purchase auto insurance.

Price information shown is comparative as specific California garaging address can change coverage rates noticeably.

The vehicle you are seeking coverage for is probably the biggest factor that determines the availability of the most economical insurance for teenagers. Vehicles with lots of horsepower, poor safety ratings, or a track record of large liability claims will cost quite a bit more to insure than safer models.

The next tables shows insurance rates for a number of the most affordable automobiles to buy coverage for.

Prices based on single female driver age 16, no speeding tickets, no at-fault accidents, $1000 deductibles, and California minimum liability limits. Discounts applied include safe-driver, and claim-free. Rate information does not factor in specific garaging location which can lower or raise rates noticeably.

Cost estimates assume single female driver age 16, no speeding tickets, no at-fault accidents, $1000 deductibles, and California minimum liability limits. Discounts applied include safe-driver, and claim-free. Rates do not factor in specific zip code location which can impact price quotes noticeably.

Table data represents single female driver age 16, no speeding tickets, no at-fault accidents, $1000 deductibles, and California minimum liability limits. Discounts applied include safe-driver, and claim-free. Price information does not factor in vehicle garaging location which can increase or decrease price quotes noticeably.

Finding out which companies have the cheapest insurance rates for teenagers involves a little more effort in order to find the best policy.

Each auto insurance company has their own guidelines for setting prices, so let’s look at the rankings for the insurance companies that tend to have lower prices in California.

USAA normally has some of the cheapest car insurance rates in California at around $1,109 annually. Wawanesa, Century National, Nationwide, and CSAA also are some of the more affordable California car insurance companies.

As the rates illustrate above, if you currently have a policy with Wawanesa and switched to USAA, you could see a yearly savings of upwards of $48. Policyholders with Century National might save as much as $81 a year, and Nationwide policyholders might cut rates by $104 a year.

Bear in mind that those estimates are averaged for all ages of drivers and types of vehicles and do not take into consideration a rate surcharge for teenagers. So the company that fits your situation best may not even be in the list of companies above. That underscores the importance of why you need to get car insurance quotes using your own driver and vehicle profiles.

Get discount California car insurance

Insurance providers that offer the cheapest car insurance for teenagers in California may provide policy discounts that can reduce rates by as much as 30% if you are eligible. A list of insurance companies and some of the discounts are shown below.

• State Farm offers discounts including passive restraint, Drive Safe & Save, driver’s education, defensive driving training, safe vehicle, and multiple policy.
• American Family policyholders can earn discounts including TimeAway discount, mySafetyValet, bundled insurance, early bird, good driver, accident-free, and air bags.
• AAA offers discounts for good student, anti-theft, multi-car, good driver, and pay-in-full.
• GEICO has savings for air bags, daytime running lights, defensive driver, anti-lock brakes, military active duty, and emergency military deployment.
• Mercury Insurance discounts include professional/association, good student, annual mileage, good driver, and multi-policy.
• Farmers Insurance includes discounts for alternative fuel, good student, business and professional, homeowner, bundle discounts, and youthful driver.
• Progressive has discounts for online signing, online quote discount, continuous coverage, homeowner, multi-vehicle, good student, and multi-policy.

The illustration below compares insurance costs with and without some available policy discounts. The premiums are based on a male driver, no violations or accidents, California state minimum liability limits, comprehensive and collision coverage, and $1,000 deductibles. The first bar for each age group shows the price with no discounts. The lower bar shows the rates with good student, vehicle safety, passive restraint, anti-theft, continuous coverage, and paperless filing discounts applied. When drivers take advantage of discounts, the average amount saved each year on insurance for teenagers is 28% or $929.

Finding the best auto insurance company can be rather challenging considering how many different companies sell coverage in California. The information shown below can help you select which car insurance providers you want to consider shopping your coverage with.

The rankings below include companies with a national presence, so smaller companies are not included in these rankings. If you’d like to compare prices from the insurers below and more, just click here.

Top 10 Large Auto Insurance Companies Overall in California

1. USAA
2. American Family
3. AAA of Southern California
4. State Farm
5. The Hartford
6. AAA Insurance
7. GEICO
8. The General
9. Titan Insurance
10. Progressive

Top 10 Large Auto Insurance Companies in California Ranked by A.M. Best Rating

1. USAA – A++
2. State Farm – A++
3. Travelers – A++
4. GEICO – A++
5. Progressive – A+
6. Titan Insurance – A+
7. Mercury Insurance – A+
8. The Hartford – A+
9. AAA of Southern California – A+
10. Allstate – A+

Here’s why you should shop around

California insurance rates are influenced by many factors which can substantially decrease or increase the cost of your policy. Simply getting older, moving to a new city, or getting a ticket for running a stop sign can produce rate changes resulting in some companies being cheaper than others.

And not only may your rating factors change, but insurance companies change the rates they charge in California every year or even multiple times each year in order to be able to pay unexpected claims. Larger than normal claims can result in rate hikes, while a better loss history can produce cheaper California car insurance rates.

To illustrate this example, the chart below shows a variety of companies that have the cheapest car insurance in California for a 40-year-old female driver with a good driving record, no prior claims, and a high credit rating. If we look at prices based on her current rating profile, USAA may offer the lowest car insurance rates in California at $1,121 a year. This is $530 less than the average policy premium paid by California drivers of $1,651. Wawanesa, CSAA, Century National, and Nationwide are also on the list of the best California auto insurance companies.

The next chart shows rates after we give the driver from the first rate comparison a chargeable claim, a little lower credit rating, and an imperfect driving record. Since every car insurance company uses a different method for determining prices, comparing rates may now present a slightly different list of the cheapest California car insurance companies as shown below.

Grange now has the cheapest price in California with Mercury, Allstate, Progressive, and GEICO now being in the top five. This example proves why California drivers need to compare as many rates as possible when trying to get cheap insurance rates for teenagers. Rates consist of many risk factors and can change substantially, so the most economical company when you last compared rates may now be one of the more expensive options.

How to find low-cost insurance for teenagers

It is possible to find better rates, and here are some thrifty solutions that can help you locate cheaper car insurance.

• Drive safe vehicles
• Higher credit scores may earn you cheaper rates
• Remain accident-free and save
• Higher comprehensive and collision coverage deductibles will save money
• If your vehicles are older, consider dropping full coverage
• Keep your driving record clean
• Shop around for cheaper prices

The last item on the list is especially necessary, as we stressed in this piece. Prices charged by auto insurers vary considerably, so don’t be afraid to buy from a different company if a lower-cost policy is available. Brand loyalty is not necessarily bad, but it’s not recommended if your bullheadedness ends up costing you hundreds of dollars year after year. If you have a few minutes, now is a great time to shop around to find cheaper auto insurance for teenagers.