How to Budget For Your Car Insurance With the Help of a Car Insurance Calculator

Car insurance can be an unexpectedly significant expense, so knowing an estimate can help you plan accordingly. Our Tennessee Car Insurance Calculator gives a quick estimation based on factors like ZIP code, age, driving record history and vehicle type to give an approximate idea of the premium costs in Tennessee.

Tennessee requires drivers to carry at least the state minimum level of liability coverage. Most drivers opt to increase their limits above these minimum levels to protect themselves and their vehicles in case of an accident, but this often comes at a cost. Depending on your car value and risk tolerance, collision and comprehensive policies may also be beneficial; lenders sometimes mandate this coverage when leasing or financing vehicles.

Your car insurance costs depend on both your insurer and policy, with clean driving records often paying less. DUI can have an immediate and dramatic effect on premium costs; speeding tickets may have less of an effect, yet may still lead to higher premiums and could require filing an SR-22 certificate before driving again.

Drivers who lease or finance vehicles often must add comprehensive and collision coverage to their policy to meet financing or leasing agreements. While such coverages are usually optional for outright ownership of vehicles, those leasing or financing them often must include this protection to comply with their financing or leasing contracts. While adding full coverage could increase your rates significantly, it could well be worth your while investing the additional capital.

Tennessee does not limit how insurance providers can use your age or gender as factors when setting rates, however. On average, younger drivers often pay more due to limited driving experience and perceived higher risks by insurance providers. Furthermore, adding teenage drivers could dramatically increase your rate as they are considered high-risk drivers.

Your credit score plays a large part in your insurance rates as well. A poor score signals to insurance companies that you are an increased financial risk; thankfully many drivers can repair their bad history by taking steps like paying bills on time and paying down debt. Your coverage level and deductible choices also have an effect; raising them may mean lower monthly premiums; however this means more out-of-pocket expenses should an accident happen.