Comparing rates for cost effective auto insurance is not the easiest thing to accomplish, and figuring out which insurers offer the cheapest car insurance rates for low mileage drivers takes a bit more work. Each insurer uses slightly different criteria for determining rates in each state, so let’s rank the most budget-friendly car insurance companies in California.
It’s a good idea to be aware that San Jose, CA car insurance rates are based on many factors that can increase the cost of a policy. This price variation is why it is important to shop around when trying to get the most budget-friendly insurance quotes for low mileage drivers. Car insurance prices are influenced by many risk factors and can change without notice, so the best price the last time you shopped around may now be costing you a lot of money.
Find Cheaper Auto Insurance in California
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | USAA | $1,121 |
| 2 | Wawanesa | $1,181 |
| 3 | Century National | $1,226 |
| 4 | CSAA | $1,234 |
| 5 | Nationwide | $1,263 |
| 6 | 21st Century | $1,325 |
| 7 | Grange | $1,433 |
| 8 | Progressive | $1,496 |
| 9 | GEICO | $1,529 |
| 10 | Mercury | $1,533 |
| 11 | Allstate | $1,559 |
| 12 | Allied | $1,588 |
| 13 | The Hartford | $1,639 |
| 14 | MetLife | $1,654 |
| 15 | State Farm | $1,682 |
| 16 | Esurance | $1,705 |
| 17 | Unitrin | $1,733 |
| 18 | Travelers | $1,788 |
| 19 | Bristol West | $1,831 |
| 20 | Farmers | $2,026 |
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USAA quotes some of the most affordable car insurance rates in San Jose at around $1,121 annually. Wawanesa, Century National, CSAA, and Nationwide would also be considered some of the cheapest San Jose, CA auto insurance companies.
As the rates illustrate above, if you are insured with CSAA and switched to Wawanesa, you might realize a yearly price reduction of roughly $53. Customers with Nationwide might save as much as $82 a year, and 21st Century insureds might reduce prices by as much as $144 a year.
It’s important to note that these prices are averages across all insureds and vehicles and and are not calculated with an exact location for low mileage drivers. So the auto insurance company that is most affordable for your situation may not even be in the top 24 companies in the list above. That is why you need to compare prices as often as possible using your own specific driver and vehicle information.
The type of vehicle driven is probably the most important factor when looking for low-priced insurance for low mileage drivers. Vehicles with lots of horsepower, a lack of modern safety features, or a history of substantial liability claims will cost much more to insure than more modest models. The next table illustrates auto insurance prices for a number of the more affordable automobiles to buy insurance for.
| Make, Model, and Trim Level | Estimated Cost for Full Coverage |
|---|---|
| Honda Accord LX 4-Dr Sedan | $853 |
| Honda CR-V EX-L 2WD | $872 |
| Ford Escape XLS 2WD | $962 |
| Ford Focus S 4-Dr Sedan | $993 |
| Toyota Prius | $1,041 |
| Toyota Tacoma 4WD | $1,043 |
| Honda Civic VP 4-Dr Sedan | $1,047 |
| Hyundai Elantra GLS 4-Dr Sedan | $1,066 |
| Ford Edge Limited 2WD | $1,082 |
| Dodge Grand Caravan SE | $1,084 |
| Volkswagen Jetta SE 4-Dr Sedan | $1,086 |
| Nissan Altima 3.5 SR 4-Dr Sedan | $1,093 |
| Chevrolet Silverado LTZ Crew Cab 4WD | $1,086 |
| Jeep Grand Cherokee Laredo 4WD | $1,103 |
| Chevrolet Equinox LT AWD | $1,108 |
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Above prices assume single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and California minimum liability limits. Discounts applied include claim-free, homeowner, safe-driver, multi-vehicle, and multi-policy. Prices do not factor in zip code location which can decrease or increase premium rates greatly.
Based upon the table data, vehicles like the Honda Accord, Honda CR-V, Ford Escape, Ford Focus, and Toyota Prius are going to be the less-costly vehicles to insure for infrequent drivers.
Liability rates compared to full coverage
Finding the cheapest car insurance should be important to most drivers, and a great way to pay less for insurance for low mileage drivers is to only buy liability insurance. The example below illustrates the comparison of auto insurance costs with full coverage and liability only. The costs are based on no driving violations, no at-fault accidents, $500 deductibles, marital status is single, and no other discounts are factored in.
As an average for all age groups, physical damage coverage on your policy costs an extra $2,075 per year more than just buying liability insurance. That is a large expense and it proposes the question if buying full coverage is a waste of money. There is no written rule for eliminating physical damage coverage on your policy, but there is a broad guideline. If the yearly cost for physical damage coverage is more than around 10% of the settlement you would receive from your company, then it might be time to buy liability only.
For example, let’s say your vehicle’s replacement value is $5,000 and you have $1,000 physical damage deductibles. If your vehicle is destroyed, the most your company will settle for is $4,000 after paying your deductible. If premiums are more than $400 annually for comprehensive and collision coverage, then it’s probably a good time to buy liability coverage only.
Finding the right car insurance company can be a challenge considering how many companies provide coverage in California. The ranking data shown below could help you decide which auto insurers to look at when comparing insurance rates for low mileage drivers.
These ratings are only made up of large insurance companies, so smaller companies are not taken into consideration for this list. If you wish to compare rates and find cheaper insurance for low mileage drivers, simply click here.
Top 10 Major Auto Insurance Providers in San Jose Ranked by Customer Service
- AAA of Southern California
- GEICO
- State Farm
- The Hartford
- Mercury Insurance
- The General
- Progressive
- Allstate
- AAA Insurance
- American Family
Top 10 Major Auto Insurance Providers Overall in San Jose
- USAA
- American Family
- AAA of Southern California
- State Farm
- The Hartford
- AAA Insurance
- GEICO
- The General
- Titan Insurance
- Progressive
What aren’t you shopping around?
California car insurance rates are determined by lots of factors which can substantially decrease or increase the price you have to pay for coverage. Improving your credit rating, increasing deductibles, or getting a few speeding tickets may prompt premium changes resulting in some companies being more affordable than others. In addition, car insurance companies change their prices as often as every quarter to reflect underwriting profits or losses. A period of increased losses can result in higher rates, while better underwriting can produce lower-cost San Jose car insurance rates.
The data below compares the cheapest car insurance in San Jose, CA for a 45-year-old male driver with no violations or accidents, and good financial standing. When comparing rates based on his personal profile, USAA has the most affordable car insurance rates in San Jose at $1,190 annually. This is $461 less than the average rate paid by California drivers of $1,651. Wawanesa, Nationwide, CSAA, and Century National are the remainder of the top five cheapest San Jose, CA auto insurance companies.
The example below compares rates after we give the driver from above a claim or two, a lower credit rating, and a few traffic violations. Since each auto insurance company has a unique approach to set their prices, analyzing rate quotes may now result in a different ranking of the cheapest companies as shown below.
Grange now has the cheapest insurance rate in San Jose, CA with Allstate, GEICO, Progressive, and Mercury also being competitive. This example shows why drivers need to compare many different companies to get the most budget-friendly insurance quotes for low mileage drivers. Car insurance prices can be determined by many things and can change without notice, so the cheapest rate two years ago may now be quite expensive.