Who Has Cheap Car Insurance Quotes for First-time Drivers in Oregon?

You have probably watched the ads from companies like Farmers and GEICO guaranteeing the cheapest rates. So drivers should just choose the one with the best commercial, right?

It’s not that simple, unfortunately, as there are a whole bunch of unknowns such as your current insurance company, your credit history, what coverage limits you need, and whether you are female or male, that help determine the price you have to pay. We know insurance is not everyone’s favorite topic, but in this article we will cover some of these topics and educate you enough to have a good beginning to your quest for cheaper car insurance.

We all have different tastes in cars, and the vehicle driven is probably the biggest factor in finding the lowest-priced auto insurance for first-time drivers. Vehicles with economical engines, a great safety record, or a positive history of liability claims will cost much less to insure than higher performance models. The information below shows insurance prices for some of the most economical vehicles to insure in Oregon.

Data based on single female driver age 17, no speeding tickets, no at-fault accidents, $1000 deductibles, and Oregon minimum liability limits. Discounts applied include safe-driver, and claim-free. Rate information does not factor in specific Oregon garaging location which can impact prices substantially.

Prices based on single female driver age 17, no speeding tickets, no at-fault accidents, $1000 deductibles, and Oregon minimum liability limits. Discounts applied include claim-free, and safe-driver. Rate quotes do not factor in specific zip code location which can influence coverage prices noticeably.

Table data assumes single female driver age 17, no speeding tickets, no at-fault accidents, $1000 deductibles, and Oregon minimum liability limits. Discounts applied include claim-free, and safe-driver. Rate quotes do not factor in specific location information which can decrease or increase price quotes significantly.

When shopping for car insurance for new drivers, one of the many criteria that is used to calculate a rate quote is where you keep your car. Areas with high crime rates or more dense population like Gresham, Oregon City, and Aloha will most likely have higher rates, whereas less populated areas receive better rates.

The following table displays the higher priced cities in Oregon for first-time drivers to purchase a policy in.

Rates are estimated as the specific zip code location can lower or raise prices considerably.

Discounts on cheap auto insurance for first-time drivers in Oregon

Insurers that provide policies for first-time drivers may have special discounts that can reduce rates by as much as 40% or more if you meet certain criteria. Popular auto insurance companies and some of the discounts are:

• Travelers has savings for good student, save driver, early quote, multi-car, student away at school, and IntelliDrive.
• 21st Century policyholders can earn discounts including anti-lock brakes, early bird, homeowners, 55 and older, driver training, air bags, and teen driver.
• State Farm includes discounts for student away at school, driver’s education, multiple policy, Steer Clear safe driver discount, accident-free, defensive driving training, and anti-theft.
• GEICO offers premium reductions for defensive driver, multi-policy, military active duty, anti-lock brakes, and multi-vehicle.
• SAFECO may have discounts that include teen safe driver, accident prevention training, safe driver, anti-theft, teen safety rewards, and drive less.
• AAA discounts include good student, multi-policy, AAA membership discount, anti-theft, and education and occupation.

The chart below shows the comparison of auto insurance rates with and without discounts applied to the rates. The rate quotes are based on a male driver, no violations or accidents, Oregon state minimum liability limits, comp and collision included, and $1,000 deductibles. The first bar for each age group shows insurance cost with no discounts. The second bar shows the rates with anti-theft, paperless filing, good student, continuous coverage, paid-in-full, and passive restraint discounts applied. When discounts are factored in, the the average amount saved on auto insurance for first-time drivers is 28% or $481.

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Liability rates compared to full coverage

Finding cheap auto insurance for first-time drivers in Oregon is probably important to most people, and one of the fastest ways to save on the cost of insurance is to buy liability only. The illustration below visualizes the comparison of premium costs with full coverage and liability only. The information is based on no tickets, no at-fault accidents, $250 deductibles, drivers are not married, and no discounts are factored in.

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As an overall average, comprehensive and collision coverage on your policy costs an extra $1,682 per year more than insuring for liability only. That proposes the question if paying for full coverage is worth it. There isn’t a steadfast formula of when to stop paying for comp and collision coverage, but there is a guideline you can use. If the yearly cost of comp and collision coverage is about 10% or more of the replacement cost of your vehicle minus the policy deductible, then it’s probably a good time to buy liability coverage only.

Cheap insurance quotes for new drivers

Drivers have many ways to comparison shop for auto insurance in Oregon, but the most preferred are through a captive (or exclusive) agent such as Allstate or State Farm, a non-exclusive or independent agent, or buying direct from a company like Progressive or Geico. All three ways are similar, but it’s important to understand the differences in how they provide price quotes.

Independent agents have contracts with many companies and can compare rates with every one. Independent agents are not limited to a single company and can give you a larger rate selection, which may provide you with more bang for your buck. If the agent locates a cheaper price, your policy can be easily switched to a different company without having to get a different agent.

Exclusive agencies are only able to write business for one company such as a State Farm or Liberty Mutual agent. These agents usually cannot place coverage with different providers, so if their pricing is high, there is no alternative.

Buying direct means you skip a local agent and instead buy direct from companies such as Geico or Progressive. This auto insurance option can be good for consumers who have little risk and understand the limitations of their policy.

Which method is best for finding cheap auto insurance for first-time drivers in Oregon? One answer would be buying from a direct car insurance company saves money since it doesn’t require paying agent commissions, but unfortunately, it’s not that cut and dried. We’d also like to say buying auto insurance from an independent agent results in the cheapest rates because they can shop around, but again, that’s not a true statement. And sometimes, exclusive agents have extremely competitive rates that are the lowest in Oregon.

Due to the fact that auto insurance rates vary so much, really the best method to not overpay for auto insurance is to compare rate quotes from as many companies as possible. Set aside the time to get price quotes from all three to give yourself plenty of rates to compare. For a list of companies with some of the cheapest Oregon auto insurance rates, click here to view.

How to get cheap auto insurance for first-time drivers in Oregon

It is possible to find better rates, and here are some penny-pinching suggestions that can help you find lower-cost car insurance.

• Having at-fault accidents will increase rates
• Claim-free policyholders usually earn a discount
• Increase your credit rating
• Violations and traffic tickets increase rates
• Safer vehicles generally have cheaper insurance rates
• Ensure you have the best deal by shopping around regularly

That last tip is extremely vital, as was emphasized in this piece. Prices charged by companies adjust often, so don’t be unwilling to switch carriers if a better rate can be found.

Staying with the same car insurance company is fine, but it isn’t a good idea if that stubbornness costs you potentially thousands of dollars a year. It only takes a couple minutes to compare prices and find cheaper insurance for first-time drivers.