You have most likely seen the catchy advertisements from companies like Allstate, Liberty Mutual, and Farmers claiming huge savings, so drivers just need to choose any of them, right?
That is not the case, however, as there are a ton of unknown aspects such as your marital status, where you live, whether you just want liability only, and the annual mileage you drive. The content below will cover these things and should give you a jump start in finding the best auto insurance in Indianapolis.
Locating affordable auto insurance is easier said than done, and determining which company quotes the lowest-priced insurance rates for a school permit will take additional perseverance.
Every car insurance company uses a little different formula to establish rates, so let’s take a look at the insurance companies with the most affordable rates in Indiana.
Compare Cheap Insurance Quotes for Students
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Travelers | $596 |
| 2 | Cincinnati Insurance | $664 |
| 3 | USAA | $667 |
| 4 | Erie | $733 |
| 5 | Indiana Farmers Mutual | $867 |
| 6 | Western Reserve | $872 |
| 7 | The Hartford | $881 |
| 8 | Auto-Owners | $915 |
| 9 | Nationwide | $940 |
| 10 | Motorists Mutual | $956 |
| 11 | Hastings Mutual | $983 |
| 12 | Safeco | $983 |
| 13 | Utica National | $985 |
| 14 | State Farm | $987 |
| 15 | Farmers | $1,033 |
| 16 | Westfield | $1,072 |
| 17 | Wolverine Mutual | $1,105 |
| 18 | Progressive | $1,106 |
| 19 | State Auto | $1,120 |
| 20 | GEICO | $1,122 |
| Get Personalized Rates Go | ||
Travelers may offer some of the most affordable car insurance rates in Indianapolis at around $596 per year. Cincinnati Insurance, USAA, Erie, and Indiana Farmers Mutual also make the cut as some of the cheapest Indianapolis, IN car insurance companies.
In the rate table above, if you currently have coverage with Erie and switched to Travelers, you could realize a yearly price reduction of roughly $137. Drivers with Indiana Farmers Mutual may save as much as $271 a year, and Western Reserve policyholders might reduce prices by as much as $276 a year.
Be aware that those prices are averages across all drivers and vehicles and and are not figured with a specific vehicle garaging location for a school permit. So the auto insurance company that can offer you the lowest price may not even be in the list above. That’s why you need to get rate quotes from many companies using your own individual information.
One of the more important things that are looked at to help calculate car insurance rates is the neighborhood you call home in Indianapolis. Larger areas tend to pay more, whereas areas with lower vehicle theft rates and fewer weather claims have the benefit of cheaper auto insurance prices.
The next table sorts the highest-priced places in Indiana for a school permit to purchase a policy in. Indianapolis comes in at #8 having an annual price of $1,050 for the average insurance policy, which is about $88 each month.
| Rank | City | Annual Rate |
|---|---|---|
| 1 | Gary | $1,347 |
| 2 | Hammond | $1,288 |
| 3 | Portage | $1,126 |
| 4 | Merrillville | $1,095 |
| 5 | Lawrence | $1,088 |
| 6 | Terre Haute | $1,077 |
| 7 | New Albany | $1,070 |
| 8 | Indianapolis | $1,050 |
| 9 | Evansville | $1,045 |
| 10 | Kokomo | $1,041 |
| 11 | Jeffersonville | $1,038 |
| 12 | Anderson | $1,011 |
| 13 | Elkhart | $995 |
| 14 | Bloomington | $988 |
| 15 | Fishers | $983 |
| 16 | Fort Wayne | $976 |
| 17 | Columbus | $975 |
| 18 | Richmond | $973 |
| 19 | South Bend | $956 |
| 20 | Carmel | $947 |
| 21 | Mishawaka | $936 |
| 22 | Greenwood | $931 |
| 23 | Noblesville | $930 |
| 24 | Muncie | $927 |
| 25 | Lafayette | $926 |
| Compare Rates Now Go | ||
Prices are estimated as the garaging address in Indianapolis can influence price quotes greatly.
The make and model of vehicle requiring insurance is one of the largest considerations when comparing affordable car insurance for a school permit. Vehicles with lots of horsepower, poor crash test ratings, or high incidents of liability claims will cost significantly more to insure than safer models.
The next list ranks coverage prices for some of the more affordable automobiles to buy insurance for.
| Vehicle Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Ford Escape XLS 4WD | $4,573 |
| Honda CR-V EX-L 2WD | $4,617 |
| Hyundai Elantra SE Touring Station Wagon | $4,896 |
| Toyota Prius | $4,940 |
| Ford F-150 XL Super Cab 4WD | $5,144 |
| Dodge Grand Caravan CV | $5,150 |
| Volkswagen Jetta SE 2.5 Station Wagon | $5,221 |
| Chevrolet Malibu Hybrid | $5,423 |
| Chevrolet Equinox LS 2WD | $5,433 |
| Toyota RAV4 Sport 4WD | $5,423 |
| Ford Explorer Limited AWD | $5,466 |
| Toyota Tacoma Double Cab 4WD | $5,471 |
| Chevrolet Impala LTZ | $5,705 |
| Ford Edge Limited AWD | $5,711 |
| Honda Odyssey EX-L W/Navigation | $5,705 |
| Toyota Corolla S | $5,712 |
| GMC Sierra SLE Crew Cab 2WD | $5,748 |
| Jeep Grand Cherokee Limited 4WD | $5,756 |
| GMC Sierra 2500HD SLE Regular Cab 4WD | $5,748 |
| Nissan Rogue S 2WD | $5,879 |
| Hyundai Sonata GLS 4-Dr Sedan | $5,886 |
| Honda Civic GX 4-Dr Sedan | $5,984 |
| Chevrolet Silverado Crew Cab Hybrid 2WD | $6,027 |
| Start Your Quote Go | |
Data variables include single male driver age 16, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Indiana minimum liability limits. Discounts applied include safe-driver, and claim-free. Rates do not factor in garaging location in Indianapolis, IN which can lower or raise coverage rates greatly.
Based upon the rates shown, you can see that makes and models like the Ford Escape, Honda CR-V, Hyundai Elantra, Toyota Prius, and Ford F-150 are a few of the cheaper vehicles to insure for a learners permit. The price for car insurance will trend higher just due to the fact that there is more inherent risk for a school permit, but overall those models will have the lowest insurance prices compared to other types of vehicles.
Get discounts on Indianapolis car insurance rates
Insurance providers that offer coverage for a school permit may also give you price discounts that could lower prices by as much as 35% or more if you meet specific criteria. A list of companies and their possible discounts are:
- Progressive offers discounts for homeowner, online quote discount, continuous coverage, multi-policy, online signing, multi-vehicle, and good student.
- SAFECO may offer discounts for homeowner, accident prevention training, teen safe driver, drive less, teen safety rewards, safe driver, and anti-theft.
- American Family offers premium reductions for early bird, multi-vehicle, bundled insurance, Steer into Savings, and defensive driver.
- MetLife may include discounts for accident-free, defensive driver, multi-policy, claim-free, good student, and good driver.
- GEICO offers discounts including military active duty, five-year accident-free, defensive driver, anti-theft, multi-policy, and seat belt use.
- The Hartford discounts include driver training, defensive driver, good student, anti-theft, vehicle fuel type, and bundle.
The chart below illustrates the difference between car insurance rates with and without discounts applied to the rates. The premiums assume a female driver, no tickets, no at-fault accidents, Indiana state minimum liability limits, full coverage, and $1,000 deductibles.
The first bar for each age group shows the average annual price with no discounts. The lower bar shows the rates with paperless filing, paid-in-full, passive restraint, good student, vehicle safety, and continuous coverage discounts applied. When discounts are applied, theaverage yearly reduction on insurance for a school permit is 28% or $407.
Impact of speeding/accidents on Indianapolis insurance rates
The ideal way to snag good insurance rates for a learners permit is to drive safe and avoid getting tickets or having accidents. The information below demonstrates how citations and at-fault accidents increase insurance prices for each different age group. The data assumes a married male driver, comprehensive and collision coverage, $250 deductibles, and no other discounts are factored in.
The data in the chart shows the average cost of an auto insurance policy in Indianapolis per year with a clean driving record and no accidents is $1,715. Add in two speeding tickets and the average cost rises to $2,368, an increase of $653 each year. Now add in two accidents along with the two speeding tickets and the annual cost of insurance for a school permit jumps again to an average of $4,763. That’s an increase of $3,048, or $254 per month, just for being a little careless behind the wheel!
Why you should shop around
Indiana insurance rates are influenced by many factors which can significantly increase or decrease the price you have to pay for coverage. Getting older, buying a home instead of renting, or getting a speeding ticket may generate price changes resulting in some companies being affordable when they were higher priced. And not only may your rating factors change, but auto insurance companies file new Indiana auto insurance rates as often as every quarter to adjust for gains or losses. Larger than normal claims may result in high rates, while lower claim expenses may result in lower-cost Indianapolis car insurance rates.
The bar chart below demonstrates which company has the cheapest car insurance in Indianapolis, IN for a 30-year-old male driver with no accidents, a clean driving record, and good credit. If we estimate rates based on his current risk profile, Travelers offers the cheapest car insurance rates in Indianapolis at $682 a year. This is $558 less than the average policy premium paid by Indiana drivers of $1,240. USAA, Cincinnati Insurance, Erie, and Indiana Farmers Mutual are the rest of the top five cheapest Indianapolis, IN auto insurance companies.
In this example, we will give the driver from the first set of rates a claim, less-than-perfect credit, and a blemish on his driving record. Since each auto insurer has their own process to determining premium rates, analyzing rates could now result in a different ranking of affordable companies as shown below.
Western Reserve now has the lowest price on auto insurance in Indianapolis with USAA, Auto-Owners, Nationwide, and Motorists Mutual now rounding out the top five. This example proves why consumers need to take the time to perform a complete rate comparison to get affordable auto insurance rates for a school permit.
Insurance rates consist of many things and can increase or decrease at any time, so the cheapest option the last time you compared rates may now be an over-priced policy.