Car Insurance Calculator – Compare Your Quotes Fast And Easy

Using a car insurance calculator is the best way to directly compare and evaluate numerous costs of insurance – all at the same time!

Here’s the best part – with us, you can try it for free!

Easily compare car insurance quotes and obtain coverage types that fit your needs and budget using Insurance Geek's super-easy Car Insurance Cost Calculator! Share on X

Why Do You Need Auto Insurance?

The thing is, minimum car insurance coverage is considered mandatory in all states.

If you end up in a car accident and you’re at fault, having auto insurance coverage can help you pay for the losses you’ve caused to the injured party. It can also help you with legal fees, which, in our opinion, is a relief for most drivers.

Depending on the state, the insurance company determines the minimum liability coverage that you, as a driver, must obtain. In a moment, we’ll see how liability coverage is calculated.

However, you don’t have to settle for the cheapest car insurance. You have the right to inquire about higher insurance costs or more coverage options and purchase comprehensive and collision coverage, for example.

In some states, drivers must have additional coverage, such as uninsured motorist coverage or personal injury protection (PIP).

If you’re leasing your vehicle, your lender might require you to purchase comprehensive and collision coverage. That could help pay for repairs – or even replacement – of the vehicle if it’s been damaged.

How Is My Car Insurance Coverage Calculated?

When calculating car insurance rates and premiums, car insurance estimator tools consider the following factors:

  • Age
  • Job occupation
  • Annual mileage
  • Address/Location
  • Marital status
  • Make and model of your vehicle
  • How long have you been driving
  • Where do you park your car overnight
  • How secure your car is
  • Driving history/driving record
  • Any no claims discounts
  • The policy you’re considering

Factors That Affect Your Auto Insurance Quote:

Although the type of policy is one important insurance estimator, it’s not the only one. Here are other factors that play a significant role in estimating your car insurance rates:

Personal Factors:

Besides age, your marital status and gender can affect the cost of insurance. For instance, teenagers have higher liability limits than other age groups because they are more prone to accidents.

Your Credit Score:

Drivers with poor financial records will typically have a harder time obtaining the desired car insurance rate. That is determined by your payment history or any outstanding debts that you may have.

Your Car Insurance Company:

Your experience with past insurance companies is also a factor, whether your insurance policy has lapsed and how long you’ve been with your last licensed insurance agent.

All these instances can increase or lower the cost of car insurance.

Other Add-Ons That Affect Insurance Cost:

The following “add-ons” can further shape your insurance rate:

  • Key cover for stolen or lost key
  • Personal possession cover
  • Passenger assistance cover
  • Driving abroad
  • Roadside assistance or breakdown cover
  • Engine protection
  • Protection of No Claims discounts
  • Courtesy car
  • Consumables cover

Paying For Car Insurance Monthly Or Annually?

Now that you’re familiar with the factors that influence your car insurance quote let’s discuss ways of paying for your auto insurance.

Annual Payments

Paying for your auto insurance annually is the cheapest way because you won’t have to deal with any interest added to the amount. Plus, you don’t have to think about your insurance for the next 12 months.

The average car insurance premium is $631. But let’s face it; not everyone’s in a financial position to pay a lump sum like that.

Monthly Payments

For that reason, insurance companies allow you to pay in monthly installments. However, these installments come with an added interest – which automatically raises your auto insurance rates.

Know that if you opt for monthly payments, your insurance company will require you to pay a 20% deposit. Furthermore, paying through monthly installments involves a credit agreement.

You should also know that’s a sword with two blades:

If you manage to fulfill your obligations on time and pay off the insurance coverage in full, you could see your credit score go up. If you fall back, this could make it even harder for you to get full coverage next time.

All Things Considered, Which One Is Better?

The annual one, of course.

Although the monthly option provides the convenience of paying in installments, there’s an interest rate that can reverse your credit score if you don’t pay it on time.

There’s nothing much to think about here, really.

If you want the safer option, and you’ve got the money, pay for your premium in one take. You won’t have to deal with the insurance company for the next 12 months.

Can I Reduce Car Insurance Premiums?

While you’re estimating car insurance costs, don’t forget that there are ways to lower them. If you’re thinking about saving some money on your insurance, consider the following things:

Purchasing The Insurance Online:

It almost goes without saying, and we’re already advocating it. Purchasing your policy online is cost-effective, and it gives you a chance to use a car insurance coverage calculator and figure out how much car insurance you need.

Renewing Your Policy On Time:

You should renew your policy on time – otherwise, your insurance company could cancel the policy.

Avoiding Modifications To Your Vehicle:

You’re probably not happy to hear it, but certain modifications to your car imply higher costs. That specifically targets enthusiasts looking forward to installing new wheels, coolers, handlamps, and so on.

Installing An Anti-Theft Device:

If you already have an anti-theft device installed, there’s a good chance that the insurance company will offer you a 5% discount on your policy. If you don’t, this is a sign to do it before you even get to comparing car insurance quotes.

Why Some Cars Cost More To Insure?

If this is not your first time using car insurance calculators, you could see that some cars carry higher liability limits – and, therefore, come with higher prices. There are some specific vehicle characteristics that encourage higher prices on the auto insurance calculator.

First off, there’s the retail price – and this speaks for itself. Consequently, the pricier the car in your possession, the higher amount you can expect; it’s as simple as that.

However, if you decide to purchase the comprehensive coverage on your luxury vehicle, and it gets stolen, the company will have to pay out the vehicle’s market value.

Similar to that, you have the cost of certain parts. Again, this applies to high-end models that have carbon fiber or other specialized parts installed. Because they’re harder to replace and/or repair in case of damage, your insurance rate could jump.

How Much Auto Insurance Coverage Do You Need?

It’s time to look at how much coverage you actually need.

As we said at the very beginning, most states will require minimum coverage – but you’re likely to opt for higher coverage amounts if you don’t want to pay out of your pocket.

Here, it’s important to remember that full insurance coverage is NOT a type of policy but simply a combination of required and optional coverages.

Here are the coverage types car insurance companies offer:

Car Insurance Cost Calculator FAQs

It’s not an easy job to estimate your car insurance rate – especially if this is your first run. That’s why we’ve focused on answering some common questions that might have popped up while you’re going through this article.

Are car insurance rates higher for a new car?

In short, yes. Just like newer models imply higher rates, old cars lose their value with age, and the premiums for older models also go down. But don’t rely on this premise only; use the calculator to estimate your insurance correctly.

How does security affect my car insurance costs?

If you can recall the factors we’ve mentioned at the beginning, you could see that location where you keep your car overnight can also influence the insurance rate.

Anti-theft devices or other alarms that you have installed can reduce the premium because the security of your vehicle is “secured” to some extent.

Does my job occupation determine the price?

With certain job occupations, your car insurance rate can go up. For example, “company directors” can end up paying more for car insurance than employees that are lower hierarchy-wise. That is primarily because certain positions require more time on the road – and therefore, more frequent usage and high mileage.

Does renters insurance cover car theft?

The good news is, this insurance isn’t only for new renters. It can also help cover personal items that have been stolen from your vehicle, parts of it – or the entire vehicle, for that matter.

Final Words

Using our car insurance calculator helps you find the policy that fits your budget and personal needs!

If you have a car that you use regularly, you will be required to purchase a policy and it will help you in pay for financial damages and injuries caused.

Factors that affect the price are age, location, driving history, financial records, and annual mileage, to name a few.

There are two ways of paying for auto insurance – annual and monthly. If you’re in a good financial position, opt for a one-time payment if you don’t want to worry about interests that are constantly being added.

If you’re looking to save some money, you should avoid making any modifications to your car and opt for installing an alarm or anti-theft device. That could help you get a discount of 5%.

Contact us at Insurance Geek – we work with top insurance carriers in the US and are committed to finding the best insurance policy quotes for you!