By shopping around, you could save a great deal of money on liability-only auto insurance. However, you should also be aware that different providers may put a different weight on risk factors when determining your quote. For example, if you have an older car that isn't worth much, liability-only insurance might not be the best option for you.
Low Cost Liability Insurance
WalletHub analyzed 17 quotes from major auto insurers in order to determine the cheapest companies offering liability-only insurance. The price of each company is determined by a driver profile, which includes the person's gender, age and location.
Geico Progressive State Farm and other companies offer the cheapest liability policies. These companies offer affordable rates and discounts like multi-car discounts and student discounts.
When comparing car insurance companies, it's important to consider your credit score. Your rates may be reduced if you fix any blemishes.
It's also important to know if you expect to have an accident or receive a traffic ticket in the foreseeable future. An accident for which you are responsible will raise your rates. Therefore, it is best to obtain insurance while your driving record remains clean.
The best rule is to pick a policy with lower liability limits than the state's minimum. This way, you can avoid paying high premiums should an accident occur. These limits are often written as a set of three numbers, such as 25/50/25, which means that the maximum amount of bodily injury liability coverage you can afford per person is 25, and the maximum amount you can pay for property damage is 50.
Liability only car insurance typically costs less than half the national average. This is because it is more cost-effective to have liability coverage rather than cover your own expenses.
Liability-only insurance is also cheaper than a full coverage policy for teenagers. A teen driver has a much lower risk of an accident compared to an older driver. As a result, insurance companies are willing and able to offer them a less expensive policy.
When purchasing liability-only insurance, young drivers will save money if they purchase the policy through their parents or grandparents. It's also less expensive to add a teenager to an existing policy than to purchase a new policy.
Lastly, if you live in an area with a high crime rate, you should consider getting a low-cost liability insurance policy to protect yourself against theft and vandalism. This is a common cause of vehicle damage. Policies that only cover liability are designed to protect you against these risks.
A liability only policy will usually be cheaper than an entire policy. Finding the right policy to suit your needs can however be difficult. Having multiple quotes is the best way to ensure you're getting the best deal for your specific situation.