How Much Does Auto Insurance Cost for Drivers with Bad Credit in Utah?

Whenever people write about car insurance, the word cheap should not be used anywhere to describe car insurance prices. It’s a simple fact that cheap car insurance for drivers with bad credit may be a thing of the past. Don’t let that bother you, though, because we will tell you how you can quote car insurance that may not be cheap, but it is affordable.

The vehicle model driven is one of the primary factors when comparing quotes for low-priced insurance for drivers with bad credit. Vehicles with lower performance, advanced safety features, or a positive history of liability claims will cost significantly less to insure than higher performance models. The data below estimates insurance prices for a handful of the most budget-friendly automobiles to insure.

Data rating is based on single male driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and Utah minimum liability limits. Discounts applied include claim-free, safe-driver, multi-policy, homeowner, and multi-vehicle. Premium amounts do not factor in specific garaging location which can impact coverage prices greatly.

Based upon the rates shown, we can presume that models like the Honda Accord, Dodge Grand Caravan, Ford Escape, and Honda CR-V are most likely going to be a few of the most affordable vehicles to insure for people with poor credit. Prices will be more expensive just because there is more claim risk for drivers with bad credit, but generally speaking those vehicles will tend to have the lowest insurance prices compared to other vehicles.

Shopping around for cost effective insurance is not most people’s favorite thing to do, and deciding which company has the cheapest insurance rates for drivers with bad credit will involve even more rate comparisons. Policy rates will be moderately more expensive than the state average due to the posibility of more claims related to offering insurance for people with poor credit, but affordable insurance may be possible if you do a thorough comparison.

Every auto insurer has their own process for determining prices, so we need to take a look at the lowest cost insurance companies in Utah. It’s important to know that Utah insurance rates are influenced by many factors which can significantly increase or decrease the policy price. Getting older, buying a higher-value vehicle, or getting a speeding ticket may generate price changes that may make certain companies higher when they were quite affordable.

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Bear River may have some of the best car insurance rates in Utah at around $590 annually. USAA, Auto-Owners, American Family, and Farm Bureau Mutual also rank well as some of the most economical Utah auto insurance companies.

As shown in the rates above, if you currently buy coverage from American Family and switched to Bear River, you could earn savings of about $394. Utah drivers with Farm Bureau Mutual could save as much as $436 a year, and Allied customers might lower prices by up to $438 a year.

Be aware that those premium estimates are averaged across all drivers and vehicles in Utah and do not factor in a rate increase for drivers with bad credit. So the insurer that has the cheapest price for you may not even be shown in the list above. That helps illustrate why you need to get auto insurance quotes using your own driver data and vehicle information.

When shopping for cheaper car insurance for people with poor credit, one of the many criteria that helps car insurance companies calculate the policy price is where your residence is in Utah. Areas that are more densely populated like West Valley City, West Jordan, and Taylorsville tend to have higher auto insurance costs, whereas cities that are not as densely populated tend to receive slightly lower rates.

The illustration below rates the most expensive places in Utah for drivers with bad credit to buy an auto insurance policy in.

Information shown are estimated as the specific garaging location can increase or decrease premiums significantly.

Difference between full coverage and liability only rates

Finding cheap auto insurance for drivers with bad credit in Utah is the goal of the majority of drivers, and one of the best ways to pay less for insurance is to not buy full coverage. The information below visualizes the comparison of car insurance rates with liability coverage only compared to full coverage. The premiums are based on no claims or driving violations, $100 deductibles, drivers are single, and no discounts are factored in.

Averaged out for all age groups, comprehensive and collision coverage on your policy costs an extra $1,714 per year more than buying just liability insurance. At some point, every insured wonders when is it a good idea to stop buying full coverage. There is no clear-cut rule of when to drop comprehensive and collision coverage on your policy, but there is a general convention. If the annual cost of coverage is more than about 10% of any settlement you would receive from your insurance company, then it’s probably a good time to buy liability coverage only.

Discounts on Utah insurance rates

Auto insurance companies that offer cheap auto insurance for drivers with bad credit in Utah may provide premium discounts that can reduce rates by 35% or more if you meet the requirements. Companies and their possible discounts are outlined below.

• Mercury Insurance may have discounts that include location of vehicle, anti-theft, good student, accident-free, multi-policy, annual mileage, and good driver.
• Farmers Insurance includes discounts for bundle discounts, homeowner, teen driver, mature driver, and alternative fuel.
• Farm Bureau has discounts for multi-policy, multi-vehicle, driver training, safe driver, 55 and retired, and youthful driver.
• State Farm discounts include safe vehicle, accident-free, multiple policy, good student, Steer Clear safe driver discount, and good driver.
• Allstate may include discounts for premier plus, auto/life discount, early signing, anti-lock brakes, and utility vehicle.
• GEICO offers discounts including anti-theft, five-year accident-free, anti-lock brakes, multi-vehicle, air bags, and seat belt use.

The information below shows the difference between insurance costs with and without discounts. The costs are based on a female driver, no tickets, no at-fault accidents, Utah state minimum liability limits, full physical damage coverage, and $100 deductibles. The first bar for each age group shows the average rate with no discounts. The second shows the rates with multiple vehicle, passive restraint, multiple policy, homeowner, claim-free, and anti-theft discounts applied. When drivers take advantage of discounts, the the amount saved on insurance for drivers with bad credit is 27% or $402.

Geico, Progressive, Allstate, and State Farm compared

When researching car insurance for people with poor credit, the top insurers to get price quotes from are Geico, Progressive, Allstate, and State Farm. Combined they have about 50% of all policies written in the United States. All four offer physical damage and liability coverage, but each has different features and discounts that you can choose from. The next table ranks some of the different options that policyholders can buy.