Wouldn’t life be so easy if we could just give you the name of the one perfect auto insurance company that has the lowest car insurance rates for retired military? Unfortunately, it’s not that simple as there are a whole bunch of unknown factors like where you live, how many years you have been driving, whether you just need liability insurance, and your credit history. In this article, we will teach you about these topics and hopefully give you enough understanding to have a jump start in finding the best auto insurance.
Establishing which company quotes the best insurance rates for retired military requires a bit more work than just getting one or two price quotes. Every insurance company has their own process to set policy rates, so let’s take a look at the overall cheapest insurance companies in Indianapolis.
It’s a good idea to know that Indianapolis, IN insurance rates are determined by lots of factors which can significantly increase or decrease the cost of coverage. Simply having another birthday, having a teenage driver, or having an accident can trigger changes in premium that can make some companies more affordable than others.
Best Auto Insurance Prices for Vets
Travelers quotes some of the cheapest car insurance rates in Indianapolis at around $620 annually. Cincinnati Insurance, USAA, Erie, and Indiana Farmers Mutual also are some of the cheapest Indianapolis, IN insurance companies.
As the rates illustrate above, if you are a customer of Erie and switched to Cincinnati Insurance, you may see a yearly price reduction of about $48. Customers with Indiana Farmers Mutual may save as much as $171 a year, and Western Reserve policyholders might reduce prices by as much as $186 a year.
It’s important to note that these premium estimates are averaged for all types of insureds and vehicles and are not factoring in a specific vehicle garaging location for retired military. So the car insurance company that can offer the best rates for your situation may not even be in the top 36 companies in the list above. That underscores the importance of why you need to get quotes using your own individual information.
For veterans, one of the largest things that are looked at to help calculate the annual cost of car insurance is the neighborhood you call home. Areas with more people or even just a higher incidence of claims tend to pay slightly more, whereas areas with less people or fewer weather incidents have the benefit of cheaper car insurance.
The illustration below lists the highest-priced areas in Indiana for retired military in which to buy car insurance. Indianapolis is ranked at #8 costing $1,060 for the average policyholder, which is approximately $88 per month.
| Rank | City | Average Per Year |
|---|---|---|
| 1 | Gary | $1,388 |
| 2 | Hammond | $1,327 |
| 3 | Merrillville | $1,128 |
| 4 | Portage | $1,093 |
| 5 | Lawrence | $1,088 |
| 6 | Evansville | $1,087 |
| 7 | Jeffersonville | $1,070 |
| 8 | Indianapolis | $1,060 |
| 9 | New Albany | $1,039 |
| 10 | Terre Haute | $1,035 |
| 11 | Anderson | $1,011 |
| 12 | Kokomo | $1,011 |
| 13 | Bloomington | $998 |
| 14 | Elkhart | $985 |
| 15 | Fort Wayne | $976 |
| 16 | Greenwood | $960 |
| 17 | South Bend | $956 |
| 18 | Muncie | $955 |
| 19 | Columbus | $946 |
| 20 | Fishers | $945 |
| 21 | Mishawaka | $936 |
| 22 | Richmond | $935 |
| 23 | Noblesville | $930 |
| 24 | Lafayette | $926 |
| 25 | Carmel | $919 |
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Premium amounts are approximated as specific Indianapolis garaging address can decrease or increase coverage rates noticeably.
Liability only or full coverage
Paying a lower price for insurance is important to the majority of drivers, and one of the fastest ways to pay lower rates for insurance for retired military is to not pay for full coverage. The diagram below compares annual premium costs with full physical damage coverage compared to only buying liability only. The rates are based on no violations or claims, $250 deductibles, marital status is single, and no additional discounts are factored in.
If averaged out across all ages, comprehensive and collision coverage on your policy costs $1,480 per year over and above liability coverage. That is a large expense which might make you wonder if buying full coverage is a good investment. There is no exact formula of when to exclude physical damage coverage, but there is a general guideline you can use. If the yearly cost of comp and collision coverage is 10% or more of the replacement cost of your vehicle minus the policy deductible, then it might be time to buy liability only.
Accidents and violations increase rates
The obvious way to get good insurance rates for veterans is to be an attentive driver and not have accidents or get tickets. The information below demonstrates how citations and accidents increase insurance rates for different ages of insureds. The costs are based on a married male driver, full coverage, $100 deductibles, and no discounts are applied to the premium.
In the previous example, the average cost of car insurance per year with no accidents and a clean driving record is $1,380. Get one speeding ticket and the average cost increases to $1,582, an increase of $202 each year. Next add one accident along with the one speeding ticket and the 12-month cost of insurance for retired military jumps again to an average of $2,153. That’s an increase of $773, or $64 per month, just for being a careless driver!
You may be paying too much for car insurance
Indianapolis insurance rates are based on many factors that will increase or decrease the price of coverage. Improving your credit score, having a claim, or getting caught speeding can cause premium changes resulting in some companies being cheaper in comparison to the competition.
In addition, companies file new Indiana car insurance rates multiple times each year to adjust for gains or losses. Heavier than normal losses may result in additional price hikes, while lower claim expenses can produce lower-cost Indianapolis car insurance rates.
The data below compares the cheapest car insurance in Indianapolis, IN for a 35-year-old male driver with a good driving record, no prior claims, and good financial standing. If we compare prices based on his current rating profile, Travelers quotes the cheapest car insurance rates in Indianapolis at $724 each year. This is $516 less than the average rate paid by Indiana drivers of $1,240. USAA, Cincinnati Insurance, Erie, and Indiana Farmers Mutual also make the list of the cheapest Indianapolis, IN auto insurance companies.
The chart below compares rates after we give the driver from above a claim or two, poor credit, and a few blemishes on his driving record. Since every car insurance company uses their own calculation for determining rates in each state, analyzing rate quotes could now result in a slightly different list of the cheapest companies as shown below.
Western Reserve now has the cheapest car insurance in Indianapolis, IN with Auto-Owners, State Farm, Nationwide, and Utica National now rounding out the top five. This example demonstrates why it is critical to shop around when trying to get the cheapest car insurance rates for retired military. Auto insurance prices are influenced by many different factors and change dramatically, so the cheapest option the last time you shopped around may now be quite expensive.
If you like to have some professional guidance when shopping around for cheaper insurance for retired military, the agents below are a good start to aid you in deciding which coverages are best. To find an Indianapolis insurance agent in your neighborhood, click the button below the list.
- State Farm: Rahvy Murray
3955 Eagle Creek Pkwy E – Indianapolis, IN 46254 – (317) 297-3804 - Walker and Associates Insurance Agency
7364 E Washington St – Indianapolis, IN 46219 – (317) 353-8000 - Leland Brown Sr. – State Farm Insurance Agent
5936 N Keystone Ave #201 – Indianapolis, IN 46220 – (317) 251-1400 - Shepherd Insurance and Financial Services
111 Congressional Blvd Suite 100 – Carmel, IN 46032 – (317) 846-5554