Car insurance is an essential financial investment, but it doesn’t need to break the bank. Tennessee drivers pay 44% less for state minimum coverage compared to national average. Rates differ greatly across Tennessee depending on various factors that impact premiums; to get the best prices it’s essential that you understand these influences and act upon them appropriately.
One of the primary factors affecting your Tennessee car insurance rate is your driving record. Even one accident or traffic ticket could increase premiums significantly; fortunately, however, there are ways you can avoid an unnecessary increase by maintaining a clean record.
Your choice of coverage also plays a part in your auto insurance premiums. Tennessee drivers are required to carry at least minimum liability insurance; however, many opt for full coverage policies with comprehensive and collision protection in addition to liability-only policies for extra peace of mind against costly vehicle repairs, theft or weather events. Although these comprehensive/collision packages usually cost more than their counterparts, they provide increased protection against costly damage caused by costly incidents like theft.
Not only does the type of coverage you choose impact your rates, but your age and driving history also do. Younger drivers are typically seen by insurance providers as high-risk due to less experience on the road and hence are typically charged higher premiums than older drivers; according to MoneyGeek adding a teenage driver could increase premiums up to threefold!
Your credit score can have a dramatic effect on Tennessee car insurance rates. People with poor or fair credit tend to be rated by insurers as higher risks and typically pay more. Meanwhile, those with excellent or good credit tend to receive more affordable policies.
Location can have a tremendous effect on car insurance rates. Different areas present different risk levels for drivers, so insurers base their rates based on that information. As such, those living in more dangerous parts of their state often pay more for coverage compared to those in safer neighborhoods.
Shopping around for affordable Tennessee car insurance rates can be time-consuming and frustrating, but taking the time to compare quotes will allow you to find one with the most value for your money. Many companies provide competitive pricing while some even provide discounts such as those for students, veterans, safe driving records, homeownership or being willing to go paperless. Take the time to compare them all so that you find one with optimal value for your dollar!