Wouldn’t it be easy if we could tell you instantly the single best car insurance company that has the best deal on coverage for low credit scores? That is not the case, however, as there are a whole bunch of unknown elements such as what your desired deductibles are, where you live, and whether or not you own a home, that all impact the cost of coverage. If you keep reading, we will teach you about these things and educate you enough to have a good start to your coverage search.
One of the more important components that are looked at to help calculate car insurance rates is where you live in Greensboro. Regions with larger populations or more claims are more likely to pay higher prices, whereas areas with less crime or weather claims can boast about having cheaper rates.
The next table lists the highest-priced places in North Carolina for low credit scores to purchase car insurance in. Greensboro is ranked at #5 costing $779 for the average insured, which is about $65 per month.
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Rate quotes are approximated as the specific garaging location can impact coverage rates substantially.
Comparing rates for low-priced auto insurance is confusing at best, and deciding which company quotes the most affordable car insurance rates for low credit scores calls for even more diligence. Every car insurance company uses different criteria to set policy rates, so let’s take a look at the most affordable car insurance companies in North Carolina.
Cheapest Insurance Rates in North Carolina
|Rank||Company||Cost Per Year|
|3||NC Farm Bureau||$716|
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Progressive may have some of the lowest car insurance rates in Greensboro at around $632 each year. This is $240 less than the average premium paid by North Carolina drivers of $872. Utica National, NC Farm Bureau, Penn National, and Liberty Mutual would also be considered some of the cheapest Greensboro, NC insurance companies.
In the above example, if you are a customer of NC Farm Bureau and switched to Progressive, you might see an annual premium reduction of around $84. Insureds with Penn National could save as much as $85 a year, and Liberty Mutual insureds might cut rates by $96 a year.
To find cheaper insurance rates for your vehicle, click here to get a free quote or click through to the companies below.
Be aware that those premium estimates are averages across all types of insureds and vehicles and are not factoring in a specific vehicle garaging location for low credit scores. So the car insurance company that is best for you may not even be in the top 20 companies in the list above. That affirms the importance of why you need to get rate quotes using your own specific driver and vehicle information.
Liability only or full coverage
Buying cheaper car insurance should be important to most drivers, and a good way to buy cheaper insurance for low credit scores is to only buy liability insurance. The diagram below illustrates the difference between insurance costs with full physical damage coverage and with liability coverage only. The data assumes no violations or accidents, $1,000 deductibles, marital status is single, and no discounts are applied.
As an average for all age groups, physical damage insurance costs an additional $1,053 per year over liability only. That is a significant amount which raises the question when is it safe to stop buying full coverage. There is no exact formula that is best for determining when to drop comp and collision coverage, but there is a general school of thought. If the annual cost of your full coverage insurance is about 10% or more of the vehicle’s replacement cost less your deductible, then you might want to consider buying only liability coverage.
There are some conditions where dropping full coverage is not financially feasible. If you still have a loan on your vehicle, you are required to maintain full coverage as part of the loan requirements. Also, if you cannot afford to purchase a different vehicle if your current one is damaged, you should not eliminate full coverage.
Poor driving habits will raise your car insurance rates
The easiest way to receive good car insurance rates in Greensboro for bad credit is to be an attentive driver and have a clean driving record. The example below highlights how speeding tickets and at-fault claims impact insurance costs for each different age group. The rates are based on a married female driver, full coverage, $100 deductibles, and no additional discounts are factored in.
The data in the chart shows the average cost of car insurance in Greensboro per year with no violations or accidents is $1,108. Factor in one speeding ticket and the average cost surges to $1,287, an increase of $179 each year. Then include one accident along with the one speeding ticket and the annual cost of car insurance for low credit scores increases to an average of $1,794. That’s an increase of $686, or $57 per month, just for a couple of infractions!
Why you should be comparing rates
North Carolina car insurance rates are impacted by many factors which can significantly increase or decrease the price you pay for coverage. Simply getting older, marrying your spouse, or getting caught speeding may generate price changes that can make some companies cheaper than competitors.
In addition, companies file new North Carolina auto insurance rates multiple times each year to adjust for unexpected claims or profits. Higher than usual claims can cause rate hikes, while a better claims history can result in more affordable Greensboro car insurance rates.
To illustrate this point, the graph below shows which companies have the cheapest car insurance in Greensboro, NC for a 35-year-old male driver with no prior accidents, a clean driving record, and excellent credit. If we estimate rates based on his personal profile, Utica National might offer the most affordable car insurance rates in Greensboro at $757 annually. This is $115 less than the average price paid by North Carolina drivers of $872. Progressive, Liberty Mutual, Penn National, and Titan also make the list of the most affordable Greensboro, NC auto insurance companies.
Let’s now give the driver in the first chart a chargeable accident, bad credit, and a speeding ticket. Due to the fact that every auto insurer has a proprietary formula to determining premium rates, getting updated rate quotes may result in a significantly different list of cheap Greensboro auto insurance companies as shown below.
GEICO now has the cheapest auto insurance in Greensboro with State Farm, Auto-Owners, Erie, and Progressive now rounding out the top five. This shows why it is so important to shop around with many companies when trying to get the best insurance rates for low credit scores.
Insurance prices can be altered by many factors and can change substantially, so the most economical option the last time you compared rates may now be one of the higher cost companies.