Cheapest Auto Insurance Quotes for Business Use in Louisiana

Wouldn’t it be nice if you could just know the single best car insurance company that has the lowest rates for business use? It’s not that simple, unfortunately, as there are a lot of unknowns such as the level of liability coverage you want, what level of deductibles you wish to have, and whether you are a man or a woman, that all impact the price you pay. This article should teach you a little about the causes of high insurance rates and hopefully give you enough understanding to have a good start in finding the cheapest insurance in Louisiana.

Finding out which insurers offer the cheapest auto insurance rates for business use involves a little more work than just comparing a company or two. Every car insurance company uses a little different formula for setting prices, so let’s take a look at the most affordable auto insurance companies in Louisiana.

It’s important that readers know that Louisiana auto insurance rates are calculated based on many things which can substantially decrease or increase the cost of a policy. Getting older, adding a teenager to your policy, or getting a couple of tickets may cause policy rate changes that can now make some companies cheaper than competitors.

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USAA normally has some of the best car insurance rates in Louisiana at around $1,626 a year. MetLife, GEICO, Progressive, and Safeway would also make the list of some of the cheapest Louisiana insurance companies.

As the rates illustrate above, if you buy coverage from Safeway and switched to MetLife, you might achieve a yearly savings of roughly $262. Drivers with Southern Farm Bureau may save as much as $289 a year, and California Casualty policyholders might see rate reductions of $354 a year.

Understand that those premium estimates are averaged across all drivers and vehicles and do not take into consideration a rate surcharge for business use. So the auto insurance company that is best suited for you may not even be included in the list of companies above. That points out the importance of why you need to compare rates from multiple companies using your own individual information.

For using your car for business, one of the largest things that is looked at to determine the cost of insurance is where you choose to live. Urban areas that are densely populated like New Orleans, Marrero, and Metairie tend to have higher auto insurance costs, whereas more rural areas benefit from lower rates.

The next table sorts the priciest cities in Louisiana for business use to purchase a policy in.

Price information shown is approximated as the specific zip code location can decrease or increase prices considerably.

The vehicle requiring insurance is one of the main factors when comparing quotes for the lowest-priced insurance for business use. Vehicles with limited speed and performance, good safety features, or a positive history of liability claims will cost much less to insure than fast, unsafe models. The information below showcases coverage prices for some of the cheapest automobiles to insure.

Table data assumes single male driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Louisiana minimum liability limits. Discounts applied include homeowner, multi-policy, multi-vehicle, safe-driver, and claim-free. Estimates do not factor in Louisiana location which can impact coverage prices considerably.

By looking at the data, you can assume that vehicles like the Volkswagen Jetta, Ford Escape, and Ford Edge will be a few of the most economical vehicles to insure for using your car for business. The price for an auto insurance policy will tend to be more expensive anyway just because there is more liability exposure for business use, but in general those particular vehicles will most likely have the lowest insurance prices that you’ll find.

Rate difference between full and liability-only coverage

Finding the cheapest car insurance for business use in Louisiana should be important to most drivers, and one of the easiest ways to buy cheaper insurance is to only buy liability coverage. The illustration below illustrates the comparison of insurance prices with and without full coverage. The premiums assume no accidents, no driving violations, $250 deductibles, single status, and no discounts are applied to the premium.

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If we average the cost for all age groups, comprehensive and collision coverage on your policy costs $2,433 per year more than buying just liability insurance. Many people question if you should buy full coverage at all. There is no definitive rule to drop physical damage insurance, but there is a guideline you can use. If the yearly cost for physical damage coverage is more than 10% of the replacement cost of your vehicle minus the policy deductible, then it could be time to drop full coverage.

There are some circumstances where only buying liability is not advised. If you still have a lienholder on your title, you have to carry full coverage as part of the loan conditions. Also, if you can’t afford to buy a different vehicle if your current one is totaled, you should keep full coverage in place.

The chart below illustrates how choosing a deductible can raise or lower annual premium costs when researching cheap insurance for business use. The price estimates are based on a married female driver, full physical damage coverage, and no discounts are applied.

google.charts.setOnLoadCallback(drawDfdqcibChart);function drawDfdqcibChart() {var data = google.visualization.arrayToDataTable([[‘Age of Insured’, ‘$100 Deductible’,’$250 Deductible’,’$500 Deductible’,’$1,000 Deductible’],[‘Age 20’, 3903,3569,3197,2841],[‘Age 30’, 2723,2485,2211,1949],[‘Age 40’, 2695,2461,2197,1947],[‘Age 50’, 2361,2161,1931,1717],[‘Age 60’, 2247,2055,1837,1627],[‘Age 70’, 2437,2229,1999,1781]]);var options = {title: ‘Impact of Deductibles on Insurance Rates in Louisiana’,titleTextStyle: {color: ‘#333’,fontSize: 17,bold: true},width: ‘100%’,height: 700,’chartArea’: {left:100,top:50,’width’: ‘100%’,’height’: ‘80%’},legend: {position: ‘bottom’,textStyle: {fontSize: 12}},bar: {groupWidth: ‘80%’},colors: [‘#6791b9′,’#75a8d8′,’#98bee2′,’#bad4ec’],hAxis: {title: ‘Annual Auto Insurance Cost for Average Vehicle’,minValue: 0,format: ‘$###,###’},vAxis: {title: ‘Age of Insured’}};var formatter = new google.visualization.NumberFormat({fractionDigits: 0,prefix: ‘$’});formatter.format(data,1);formatter.format(data,2);formatter.format(data,3);formatter.format(data,4);var chart = new google.visualization.BarChart(document.getElementById(‘qcibdfd’));chart.draw(data, options);}

A 40-year-old driver could save $430 a year by switching the physical damage coverage from a $100 deductible up to a $500 deductible, or save $644 by using a $1,000 deductible. Youthful drivers, like the Age 20 chart data, could potentially save up to $1,062 every year just by choosing higher deductibles.

If you make the decision to raise deductibles, it is important to have enough in a savings account to enable you to pay the extra out-of-pocket expense, which deters some drivers from choosing higher deductibles.

How to find low-cost insurance for business use

The list below shows some of the recommended money-saving suggestions that can help drivers quote cheaper auto insurance.

• Good credit scores may lower your rates
• Buy vehicles with five-star safety ratings
• Do not file small claims
• Do not pay for comprehensive and collision coverage on older vehicles
• Raise physical damage deductibles
• Bundle car and home insurance and save money
• Compare rate quotes frequently

That last tip is highly crucial, as was stressed in this piece. Coverage prices change constantly, so don’t be hesitant to buy a different policy if a more affordable price is available. Staying with the same company for years is fine, but we do not recommend it if that loyalty results in overpaying big bucks every year. Take a few minutes and compare rates and find cheaper auto insurance for business use.

Cheap insurance quotes for using your car for business

Drivers have many ways to find affordable auto insurance in Louisiana, but the most frequently used ways are from an independent agent, a captive (or exclusive) agency like State Farm or Allstate, or from a direct company like Progressive or Geico. They all follow the same basic process, but they differ slightly in how they give price quotes.

Independent agencies can place your business with multiple companies and can get rate quotes from each one. They can quote with many companies and provide multiple price quotes, which can give you the best shot at cutting your rates. If the agent locates a cheaper price, you can get a different policy which prevents you from having to find an new insurance agent.

Exclusive agencies are able to place business with a single insurance company, for example Allstate or State Farm agents. These agents normally cannot provide a range of price quotes, so you might not find the best rates.

Consumers who buy auto insurance direct forego local agents and buy direct either online or via phone. This auto insurance option may be a decent choice people who do not have a complex risk profile and know more than average about what auto insurance covers and what it doesn’t.

So out of those three methods, which one works best to buy the cheapest car insurance for business use in Louisiana? One answer would be shopping direct results in the cheapest price because there isn’t an agent involved, but in reality, that argument does not hold true. We could also say that using an independent agent results in the best rates since they have more companies to choose from, but that idea is not necessarily true either. And often times, exclusive agencies have price quotes that cannot be met by either independent or direct companies.

Because of the variability of auto insurance rates, really the best method to get the cheapest rates is to get quotes and compare the rates. The ideal approach is to get price quotes all three ways to have the best rate selection. We compiled a list of companies with some of the cheapest online rates that you can click here to view.