Finding cheap insurance is hard enough, and finding out which company has the most affordable car insurance rates for drivers with good credit takes more quotes for comparison.
Every auto insurer has their own unique process for determining rates, so to begin we’ll rank the car insurance companies with the most affordable rates in Charlotte. Keep in mind that North Carolina car insurance rates are based on many factors that can increase the policy price. This is why consumers need to take the time to perform a complete rate comparison when trying to find the cheapest auto insurance rates for drivers with good credit. Car insurance prices are determined by many different factors and can decrease or increase without notice, so the most affordable company six months ago may now be quite expensive.
Best Cheap Insurance Rates for High Credit
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Progressive | $632 |
| 2 | Utica National | $662 |
| 3 | Liberty Mutual | $700 |
| 4 | NC Farm Bureau | $716 |
| 5 | Penn National | $717 |
| 6 | GEICO | $720 |
| 7 | Titan | $729 |
| 8 | State Farm | $756 |
| 9 | Auto-Owners | $844 |
| 10 | National General | $881 |
| 11 | Allied | $892 |
| 12 | Erie | $895 |
| 13 | Travelers | $909 |
| 14 | Peerless | $962 |
| 15 | Unitrin | $1,032 |
| 16 | Safeco | $1,034 |
| 17 | Encompass | $1,041 |
| 18 | Nationwide | $1,041 |
| 19 | MetLife | $1,049 |
| 20 | Allstate | $1,097 |
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Progressive normally has some of the best car insurance rates in Charlotte at around $632 annually. Utica National, Liberty Mutual, NC Farm Bureau, and Penn National would also make the list of some of the cheapest Charlotte, NC car insurance companies.
In the rate table above, if you are insured with NC Farm Bureau and switched to Progressive, you could earn yearly savings of roughly $84. Policyholders with Penn National may save as much as $85 a year, and GEICO customers might reduce rates by $88 a year.
To find out how much you can save, click here or feel free to get quotes from the companies below.
Remember that these policy rates are averaged for all drivers and vehicles in North Carolina and and are not calculated with an exact zip code location for drivers with good credit. So the car insurance company that fits your age and vehicle best may not even be in the list above. That’s why you need to compare rates from as many companies as possible using your own driver information and specific vehicle type.
One of the many considerations that are used to help calculate the amount you pay each year for auto insurance is where you keep your car. More densely populated places tend to pay more, whereas areas with less crime or weather claims receive better rates.
The next table lists the most expensive places in North Carolina for drivers with good credit to purchase auto insurance in. Charlotte makes the list at #3 with an annual cost of $816 for car insurance, which is approximately $68 monthly.
| Rank | City | Premium Per Year |
|---|---|---|
| 1 | Fayetteville | $905 |
| 2 | Jacksonville | $873 |
| 3 | Charlotte | $816 |
| 4 | Gastonia | $811 |
| 5 | Greensboro | $779 |
| 6 | Durham | $773 |
| 7 | Cary | $765 |
| 8 | Greenville | $760 |
| 9 | Wilmington | $758 |
| 10 | Apex | $747 |
| 11 | Raleigh | $737 |
| 12 | Goldsboro | $735 |
| 13 | Huntersville | $734 |
| 14 | Wilson | $732 |
| 15 | Indian Trail | $731 |
| 16 | High Point | $731 |
| 17 | Rocky Mount | $718 |
| 18 | Hickory | $718 |
| 19 | Chapel Hill | $717 |
| 20 | Winston Salem | $709 |
| 21 | Salisbury | $691 |
| 22 | Kannapolis | $690 |
| 23 | Concord | $690 |
| 24 | Asheville | $687 |
| 25 | Burlington | $678 |
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Prices are approximated as the specific area where the vehicle is garaged can revise coverage prices considerably.
Should you buy full coverage?
Saving on car insurance is probably important to the majority of vehicle owners, and one easy way to buy cheaper insurance for drivers with good credit is to buy only liability coverage. The chart below illustrates the difference between yearly insurance costs with full physical damage coverage compared to only buying liability only. The data is based on a clean driving record, no claims, $250 deductibles, drivers are single, and no discounts are factored in.
Averaged for all ages 20 through 70, physical damage coverage costs an additional $1,316 per year more than insuring for liability only. That raises the question when is the right time to remove full coverage. There is no written rule that is best for determining when to drop physical damage coverage on your policy, but there is a general guideline. If the annual cost of coverage is more than around 10% of any settlement you would receive from your insurance company, then it might be time to buy liability only.
There are some situations where buying only liability insurance is not in your best interest. If you haven’t satisfied your loan, you must maintain physical damage coverage to protect the lienholder’s interest. Also, if your finances do not allow you to purchase a different vehicle in the even your car is totaled, you should not buy liability only.
Types of discounts on Charlotte car insurance
Insurance providers that offer quotes for drivers with good credit may have premium discounts that could reduce prices by 35% or more if you meet eligibility requirements. A list of car insurance companies and a selection of discounts are detailed below.
- GEICO policyholders can earn discounts including defensive driver, anti-lock brakes, multi-policy, driver training, air bags, and daytime running lights.
- Mercury Insurance may offer discounts for multi-policy, location of vehicle, age of vehicle, multi-car, and good driver.
- Farmers Insurance offers discounts for electronic funds transfer, bundle discounts, homeowner, youthful driver, distant student, early shopping, and switch companies.
- Auto-Owners Insurance offers discounts including teen driver, air bags, anti-theft, safe vehicle, and paid in full.
- Liberty Mutual has savings for multi-policy, preferred payment discount, hybrid vehicle, safety features, new move discount, exclusive group savings, and teen driver discount.
- SAFECO discounts include teen safe driver, accident prevention training, anti-lock brakes, drive less, and anti-theft.
- Progressive may have discounts that include multi-policy, homeowner, online signing, online quote discount, and multi-vehicle.
- USAA offers premium reductions for family discount, defensive driver, loyalty savings, vehicle storage, military installation, good student, and driver training.
The information below shows the difference between insurance costs with and without discounts applied to the premium. The costs are based on a female driver, no claims or driving citations, North Carolina state minimum liability limits, comp and collision included, and $500 deductibles. The first bar for each age group shows the average annual price with no discounts. The second bar shows the rates with passive restraint, accident-free, marriage, claim-free, anti-theft, and defensive driving course discounts applied. When taking advantage of discounts, the average amount saved each year on car insurance for drivers with good credit is 28% or $416.
The diagram below highlights how deductible choice can impact insurance costs when trying to find cheap insurance for drivers with good credit. The premiums assume a single female driver, full coverage, and no discounts are factored in.
A 50-year-old driver could reduce rates by $274 a year by switching their comprehensive and collision coverages from a $100 deductible up to a $500 deductible, or save $416 by choosing a $1,000 deductible. Even younger drivers, like the 20-year-old example, could lower their rates up to $700 or even more by selecting a higher deductible.
When raising deductibles, it will be important to have plenty of discretionary funds to be able to cover the extra out-of-pocket expense, which is the main disadvantage of using high deductibles.
The importance of shopping around
Charlotte, NC car insurance rates are impacted by many factors that control the cost of a policy. Simply turning a year older, getting married, or having a fender bender can trigger changes in premium that can now make some companies more affordable than competitors. In addition to those changes, insurers amend premium rates every year to ensure their profitability. Higher than normal claims can result in higher prices, while a better loss history can cause lower-priced Charlotte car insurance rates.
For example, the bar chart below analyzes the cheapest car insurance in Charlotte, NC for a 40-year-old male driver with a clean driving record, no accidents, and a decent credit rating. If we estimate prices based on his current risk profile, Progressive might offer the best car insurance rates in Charlotte at $797 annually. This is $75 less than the average rate paid by North Carolina drivers of $872. Utica National, GEICO, Liberty Mutual, and NC Farm Bureau are the rest of the top five cheapest Charlotte, NC auto insurance companies.
Now let’s give the driver from the first example a claim or two, less-than-perfect credit, and a speeding citation. Due to the fact that each insurance company has a proprietary formula to determining premium rates, comparing rates may now show a substantially altered list of affordable Charlotte car insurance companies as shown below.
Titan now has the lowest price on auto insurance in Charlotte, NC with State Farm, Auto-Owners, National General, and Utica National completing the list. This shows why drivers need to compare lots of rates when trying to find cheap auto insurance rates for drivers with good credit. Insurance rates can be altered by many risk factors and can change substantially, so the most affordable company the last time you compared rates may now be one of the higher cost companies.