The words “affordable” and “insurance” really shouldn’t be used together, specifically when searching for the lowest insurance rates for low credit scores. Because of the high cost, let’s learn about some things that influence auto insurance premiums, and see how we can help you take the sting out of the next policy you buy.
For bad credit, one of the more important factors that help determine the annual cost of car insurance is where you normally keep your vehicle in Philadelphia. Areas with more people or even just a higher incidence of claims are more likely to pay higher prices, whereas less populated areas benefit from lower prices.
The illustration below sorts the most costly cities in Pennsylvania for low credit scores to buy auto insurance in. Philadelphia is ranked at #1 costing $2,037 for the average insurance policy, which is around $170 monthly.
|10||Municipality of Monr||$1,081|
|Compare Prices Now Go|
Premium costs are comparative as the specific geographic location can raise or lower premiums significantly.
Finding out which companies have the cheapest auto insurance rates for low credit scores may require a little more effort than just comparing a company or two. Each auto insurance company uses different criteria to determine premium rates, so let’s examine the auto insurance companies that tend to have lower prices in Philadelphia, PA.
It’s a good idea to know that Philadelphia auto insurance rates are impacted by many things that can increase the cost of your policy. Simply getting older, buying a different vehicle, or getting caught speeding may generate price changes resulting in some companies being more affordable than before.
Find the Cheapest Auto Insurance in Pennsylvania
General Casualty has some of the best car insurance rates in Philadelphia at around $726 per year. Travelers, USAA, Erie, and Penn National would also be considered some of the best Philadelphia, PA insurance companies.
In the rate table above, if you are currently insured with Erie and switched to General Casualty, you might realize annual savings of approximately $98. Insureds with Penn National could save as much as $106 a year, and Auto-Owners customers might cut rates by $267 a year.
These policy rates are averaged across all types of insureds and vehicles and do not take into consideration a specific location for low credit scores. So the auto insurance company that has the lowest price for you may not even be in the top 30 companies shown above. That is why you need to quote rates from many companies using your own driver data and vehicle information.
Insuring your vehicle with the best car insurance provider is difficult considering how many different companies there are to choose from in Pennsylvania. The ranking information shown next may help you analyze which car insurance providers to look at when comparing auto insurance rates for low credit scores.
These rankings include the largest companies in the United States, so companies with more of a regional focus are not included in this list. To get price quotes from these and other companies in Pennsylvania, just click here.
Top 10 Major Auto Insurance Companies in Philadelphia Ranked by Customer Service
- Titan Insurance
- The Hartford
- American Family
- State Farm
- Erie Insurance
Top 10 Major Auto Insurance Companies in Philadelphia Ranked by Claims Service
- Liberty Mutual
- State Farm
- Titan Insurance
- The General
- 21st Century
How to get discounts on Philadelphia insurance rates
Insurance companies that provide policies for low credit scores may also provide policy discounts that may potentially lower prices by 35% or more if you can meet the requirements. A few of the larger companies and a partial list of their discounts include:
- Progressive discounts include online signing, multi-policy, online quote discount, homeowner, multi-vehicle, good student, and continuous coverage.
- The Hartford offers premium reductions for driver training, defensive driver, air bag, bundle, anti-theft, and vehicle fuel type.
- Mercury Insurance may have discounts that include anti-theft, professional/association, ease of repair, low natural disaster claims, multi-car, and multi-policy.
- GEICO policyholders can earn discounts including air bags, anti-theft, daytime running lights, five-year accident-free, defensive driver, multi-vehicle, and membership and employees.
- AAA has savings for multi-car, good student, education and occupation, good driver, anti-theft, pay-in-full, and AAA membership discount.
- State Farm offers discounts including Steer Clear safe driver discount, Drive Safe & Save, multiple policy, accident-free, and driver’s education.
The illustration below illustrates the comparison of auto insurance costs with and without discounts applied to the policy premium. The information is based on a male driver, no violations or claims, Pennsylvania state minimum liability limits, comprehensive and collision coverage, and $100 deductibles. The first bar for each age group shows premium with no discounts. The lower bar shows the rates with defensive driving course, anti-theft, multiple vehicle, claim-free, safe-driver, and multiple policy discounts applied. When drivers take advantage of discounts, the average savings per year on auto insurance for low credit scores is 28% or $522.
The illustration below demonstrates how deductibles can raise or lower insurance premiums when getting quotes for cheap insurance for low credit scores. The information is based on a single male driver, full physical damage coverage, and no discounts are applied to the premium.
In the chart above, a 30-year-old driver could pocket $304 a year by switching from a $100 deductible to a $500 deductible, or save $460 by selecting a $1,000 deductible. Even younger drivers, such as the 20-year-old example, could reduce their rates $888 annually just by choosing higher deductibles when buying full coverage. When raising deductibles, it is a good idea to have plenty of money set aside to satisfy the extra out-of-pocket expense, which deters some people from using high deductibles.
How to find low-cost insurance for low credit scores
Below you’ll find a few money-saving suggestions that can help you find cheap coverage.
- Bundle car and home insurance and save money
- Staying accident-free helps keep rates low
- Violations like speeding or DUI increase rates
- Too many claims can make car insurance unaffordable
- Get cheaper liability coverage by choosing a safer vehicle
- Compare rate quotes often
That last idea is incredibly necessary, as we pointed out in this piece. Auto insurance prices in Philadelphia change frequently, so you should be ready to buy a policy from a new company if a cheaper price is available. Many drivers have brand loyalty and that’s fine, but we do not recommend it if your bullheadedness ends up costing you money that could be used for better things. In less than five minutes you could compare rates to find cheaper car insurance for low credit scores.
If you prefer to get some guidance when shopping around for cheaper insurance for bad credit, the agencies below can provide answers to your questions and help you determine which auto insurance policy would work best for you.
To find a Philadelphia insurance agent near you, click the button link following the list or click here to compare price quotes now.
Joe Ems – State Farm Insurance Agent
7348 Frankford Ave – Philadelphia, PA 19136 – (215) 333-5100
Wanda Dancy – State Farm Insurance Agent
2805 N 47th St, FL-1 – Philadelphia, PA 19131 – (215) 871-3390
2707 Kirkbride St – Philadelphia, PA 19137 – (215) 744-4100
Les Moore – State Farm Insurance Agent
6750 N 5th St – Philadelphia, PA 19126 – (215) 224-4400
Mike Hickey – State Farm Insurance Agent
86 Bethlehem Pike – Philadelphia, PA 19118 – (215) 753-1501