The words “bargain” and “insurance” really shouldn’t be used together, in particular when comparison shopping for the cheapest coverage for 17 year olds. Because it’s not cheap, let’s get started by showing you some of the things that significantly impact car insurance rates, and find out if we can help you lower the price of your next policy.
One of the more important considerations that are looked at to help calculate the annual cost of car insurance is where you live in Memphis. Areas with more people or more claims will most likely have higher rates, whereas less populated areas tend to receive cheaper rates.
The next table shows the highest-priced places in Tennessee for 17 year olds to buy auto insurance in. Memphis comes in at #1 with the yearly price of $1,505 on average, which is around $125 each month.
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Rates are approximated as specific location information can impact insurance rates substantially.
Comparing rates for budget car insurance is tough enough, and determining which companies have the lowest-priced auto insurance rates for 17 year olds will involve additional perseverance.
Each auto insurer has a different process for determining rates, so we’ll go over the auto insurance companies with the overall cheapest rates in Tennessee. It’s important that you understand Tennessee auto insurance rates are calculated based on many things that control the price you pay for coverage. Simply getting older, having a claim, or getting caught speeding may prompt premium changes that can make some companies affordable when they were higher priced.
Best Cheap Insurance Rates for Teens
|Rank||Company||Cost Per Year|
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Utica National generally has some of the cheapest car insurance rates in Memphis at around $760 a year. This is $568 less than the average premium paid by Tennessee drivers of $1,328. Auto-Owners, Cincinnati Insurance, Penn National, and USAA would also make the list of some of the cheaper Memphis, TN insurance companies.
As shown in the rates above, if you currently have coverage with USAA and switched to Auto-Owners, you might achieve a yearly price reduction of in the vicinity of $102. Insureds with Tennessee Farmers could save as much as $106 a year, and Erie insureds might see rate reductions of $130 a year.
Be aware that those estimates are averages for all ages of drivers and types of vehicles and do not factor in an exact zip code location for 17 year olds. So the auto insurance company that can offer the best rates for your situation may not even be in the top 30 companies shown above. That’s why you need to get rate quotes using your own specific driver information and vehicle.
The vehicle you are seeking coverage for is one of the main factors when comparison shopping for the best cheap coverage for 17 year olds. Vehicles with economical engines, modern passenger safety features, or low incidents of liability claims will cost much less to insure than fast, unsafe models.
The data below presents insurance costs for a handful of the cheapest vehicles to buy insurance for.
|Make and Model||Estimated Cost for Full Coverage|
|Honda CR-V EX 2WD||$6,429|
|Hyundai Elantra GLS Touring Station Wagon||$6,434|
|Ford Escape XLT 4WD||$6,497|
|Jeep Wrangler Sport Islander Package 4WD 2-Dr||$7,146|
|Chevrolet Silverado LS Regular Cab 4WD||$7,154|
|Ford Explorer Eddie Bauer 2WD||$7,215|
|Ford Edge SE AWD||$7,568|
|Chevrolet Impala LS||$7,574|
|Chevrolet Equinox LT AWD||$7,636|
|Toyota RAV4 2WD||$7,646|
|GMC Sierra SLE Crew Cab 2WD||$7,636|
|Chevrolet Malibu LT||$7,704|
|Ford F-150 Lariat Super Cab 4WD||$7,713|
|Dodge Grand Caravan Crew||$7,704|
|Toyota Tacoma Double Cab TRD Sport Package 4WD||$7,710|
|Ford Focus SEL 4-Dr Sedan||$7,989|
|Honda Odyssey EX-L||$8,057|
|Nissan Altima 2.5 S 4-Dr Sedan||$8,067|
|Ford Fusion SEL 4-Dr Sedan||$8,125|
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Above prices assume single male driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Tennessee minimum liability limits. Discounts applied include safe-driver, and claim-free. Rates do not factor in vehicle location which can modify insurance rates greatly.
Looking at the rates, we can tell that models like the Honda CR-V, Hyundai Elantra, Ford Escape, Toyota Prius, and Jeep Wrangler will be a few of the more affordable vehicles to insure for teen drivers. Rates will be higher anyway because of the fact that there is more inherent risk for 17 year olds, but in general those models will probably have the lowest prices possible.
How to find a good Memphis auto insurance company
Finding a highly-rated insurer can be difficult considering how many different companies sell coverage in Tennessee. The company ratings in the next section could help you pick which providers to look at when shopping your coverage around. These ratings are for large, nationwide insurance companies, so smaller companies that only insure vehicles in Tennessee are not factored into this list.
Top 10 Large Auto Insurance Companies in Memphis Ranked by A.M. Best Rating
- Travelers – A++
- USAA – A++
- GEICO – A++
- State Farm – A++
- Esurance – A+
- Progressive – A+
- Titan Insurance – A+
- The Hartford – A+
- Allstate – A+
- Nationwide – A+
Top 10 Large Auto Insurance Companies in Memphis Ranked by Value
- American Family
- Safeco Insurance
- AAA Insurance
- The Hartford
- Erie Insurance
- 21st Century
- Titan Insurance
Discount Memphis insurance
Insurance providers that sell policies for 17 year olds may also offer discounts that could reduce prices by 40% or more if you qualify. Larger auto insurance companies and some of the discounts are included below.
- State Farm may include discounts for good student, safe vehicle, driver’s education, anti-theft, Drive Safe & Save, passive restraint, and Steer Clear safe driver discount.
- Farmers Insurance offers premium reductions for mature driver, electronic funds transfer, early shopping, good student, bundle discounts, homeowner, and teen driver.
- Progressive offers discounts including multi-vehicle, homeowner, continuous coverage, good student, and online signing.
- GEICO may offer discounts for federal employee, emergency military deployment, membership and employees, daytime running lights, and multi-policy.
- Auto-Owners Insurance may have discounts that include company car, teen driver, multi-policy, safe driver, anti-lock brakes, anti-theft, and safe vehicle.
- The Hartford includes discounts for bundle, anti-theft, defensive driver, vehicle fuel type, good student, driver training, and air bag.
- Farm Bureau has discounts for 55 and retired, good student, youthful driver, driver training, multi-vehicle, and multi-policy.
- USAA policyholders can earn discounts including military installation, good student, multi-vehicle, annual mileage, multi-policy, and new vehicle.
The example below compares premium costs with and without discounts applied to the policy premium. The rates are based on a female driver, no tickets, no at-fault accidents, Tennessee state minimum liability limits, full coverage, and $250 deductibles.
The first bar for each age group shows the average annual price with no discounts. The second bar shows the rates with good student, continuous coverage, paid-in-full, anti-theft, passive restraint, and paperless filing discounts applied. When drivers qualify for the discounts, theaverage yearly reduction on auto insurance for 17 year olds is 28% or $675.
Low rates can quickly become overpriced
Tennessee auto insurance rates are based on many factors which can significantly increase or decrease the cost of coverage. Turning one year older, becoming a homeowner, or having an accident can trigger rate changes that can make some companies cheaper than others. And not only may your rating factors change, but insurers change premium rates every year or even multiple times each year in order to offset underwriting gains or losses. Higher than usual claims may result in rate increases, while better underwriting can cause lower-cost Memphis car insurance rates.
For example, the graph below shows which companies have the cheapest car insurance in Memphis, TN for a 35-year-old male driver with no prior claims, no tickets, and a high credit rating. If we estimate prices based on his personal risk profile, Utica National quotes the lowest car insurance rates in Memphis at $1,081 per year. This is $247 less than the average price paid by Tennessee drivers of $1,328. Auto-Owners, Cincinnati Insurance, USAA, and Penn National are the remainder of the cheapest Memphis, TN auto insurance companies.
The chart below compares rates after we give the driver from above an accident surcharge, less-than-perfect credit, and a couple of points charged on his driving record. Because each company has their own guidelines to establish rates, comparing insurance quotes will most likely result in a new list of affordable Memphis car insurance companies as shown below.
Erie now has the lowest car insurance rate in Memphis, TN with Allied, Nationwide, Westfield, and GEICO also having competitive pricing. This illustrates why it is critical to compare as many rates as possible to get cheap insurance quotes for 17 year olds. Rates are influenced by many factors and can decrease or increase without notice, so the cheapest option when you bought your policy may now be quite expensive.
The insurance agencies listed below can help you decide which auto insurance policy fits you best, since some drivers wish to get help from a professional when shopping for the best coverage for 17 year olds. It can be difficult to find the best policy on your own, so insurance agents licensed in the state of Tennessee can add comfort knowing your policy gives you enough coverage when you need it.
To find a Memphis insurance agent close to you, click the button at the bottom.
Oseman Insurance Agency
6750 Poplar Ave #410 – Memphis, TN 38138 – (901) 562-0151
Ulysses Cosby – State Farm Insurance Agent
248 Cooper St – Memphis, TN 38104 – (901) 276-1044
Nationwide Insurance: Daysha J Palacio-Miller
1850 Poplar Crest Cove Ste 102 – Memphis, TN 38119 – (901) 762-8585
Michelle L Wilson – State Farm Insurance Agent
5384 Poplar Ave Ste 439 – Memphis, TN 38119 – (901) 590-1922
Farris Evans Insurance Agency Inc
1568 Union Ave – Memphis, TN 38104 – (901) 274-5424
Ideas for buying cheaper car insurance for 17 year olds
It’s not impossible to find cheaper rates, and here are a few penny-pinching ideas that can help Memphis drivers find more affordable coverage.
- Good credit scores may make rates cheaper
- Higher comprehensive and collision coverage deductibles will save money
- Do not get traffic tickets
- The safer your car, the less it costs to insure
- Do not pay for comprehensive and collision coverage on older vehicles
- Accidents can significantly increase rates
- Compare rates regularly to ensure the best deal
That final tip is extraordinarily crucial, as we hit on in the prior article. Car insurance prices fluctuate constantly, so don’t hesitate to switch companies if you find a cheaper price.
Having brand loyalty is commendable, but it isn’t a good idea if it’s costing you potentially thousands of dollars a year. It takes less than five minutes to compare rates to find cheaper car insurance for 17 year olds in Memphis.