For drivers age 25 and younger, one of the largest considerations that aid in calculating car insurance rates is where you keep your car in Philadelphia. Larger areas tend to pay more, whereas areas with less congestion can boast about having cheaper rates.
The table below shows the highest-priced areas in Pennsylvania for drivers under 25 to buy an auto insurance policy in. Philadelphia is ranked #1 with an annual cost of $2,057 for the average policy, which is around $171 per month.
|9||Municipality of Monr||$1,081|
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Premium costs are estimated as the specific geographic location can modify coverage rates considerably.
The type of vehicle that needs insurance is one of the main factors when consumers are trying to find the best auto insurance for drivers under 25. Vehicles with lower performance, a great safety record, or a positive history of liability claims will cost less to insure than high performance models. The next list illustrates insurance rates for a selection of the most cost-effective automobiles to insure in Pennsylvania.
|Make and Model||Estimated Cost for Full Coverage|
|Honda Accord EX 4-Dr Sedan||$4,017|
|Ford Focus S 4-Dr Sedan||$4,663|
|Toyota Tacoma 2WD||$4,669|
|Ford Escape Limited 2WD||$4,704|
|Chevrolet Malibu Hybrid||$4,754|
|Honda CR-V EX 2WD||$4,927|
|Ford Edge SE 2WD||$5,058|
|Chevrolet Equinox LTZ 2WD||$5,090|
|Hyundai Sonata GLS 4-Dr Sedan||$5,095|
|Ford F-150 FX2 Super Cab 2WD||$5,159|
|GMC Sierra 3500HD SLE Crew Cab 2WD||$5,181|
|Dodge Ram Quad Cab SLT 2WD||$5,186|
|Honda Odyssey EX W/Rear Entertainment||$5,345|
|Toyota RAV4 Limited 2WD||$5,445|
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Data variables include single female driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Pennsylvania minimum liability limits. Discounts applied include multi-vehicle, safe-driver, multi-policy, homeowner, and claim-free. Rate information does not factor in specific location which can increase or decrease premium rates substantially.
Looking at the data, you can infer that vehicles like the Honda Accord, Ford Focus, Toyota Tacoma, Ford Escape, and Chevrolet Malibu are most likely to be a few of the more affordable vehicles to insure for drivers age 25 and younger.
Figuring out which companies offer the cheapest auto insurance rates for drivers under 25 requires a bit more effort than just comparing a company or two. Each auto insurer has their own guidelines for establishing rates, so we’ll take a look at the auto insurance companies with the overall best prices in Philadelphia.
It’s important to know that Philadelphia auto insurance rates are determined by lots of factors which can substantially change the price of your policy. Simply getting older, buying a different vehicle, or getting a ticket for careless driving can cause premium changes that can cause some rates to be affordable when they were higher priced.
Best Cheap Insurance Rates for Young Drivers
General Casualty may have some of the most affordable car insurance rates in Philadelphia at around $718 annually. Travelers, Erie, USAA, and Penn National also rank well as some of the best Philadelphia, PA car insurance companies.
As shown in the table above, if you currently have coverage with USAA and switched to General Casualty, you may see a yearly savings of in the vicinity of $75. Insureds with Penn National may save as much as $122 a year, and Amica insureds might lower prices by $264 a year.
If you want to find out if you’re overpaying, click here to start your free quote or click through to the companies below.
Remember that these premium estimates are averaged across all ages of drivers and types of vehicles and and are not calculated with a specific zip code for drivers under 25. So the car insurance company that can offer you the lowest price may not even be in the list above. That illustrates why you need to get car insurance quotes using your own personalized driver profile and vehicle information.
How to get discounts on Philadelphia car insurance
Insurance providers that provide policies for drivers under 25 may have special discounts that could potentially reduce rates by as much as 30% if you can meet the requirements. Companies and their offered discounts are:
- State Farm policyholders can earn discounts including Drive Safe & Save, defensive driving training, multiple policy, Steer Clear safe driver discount, driver’s education, and good driver.
- GEICO offers discounts including multi-vehicle, multi-policy, military active duty, membership and employees, and good student.
- Progressive has savings for multi-vehicle, multi-policy, online quote discount, online signing, homeowner, and continuous coverage.
- 21st Century may have discounts that include student driver, driver training, homeowners, good student, and theft prevention.
- American Family may offer discounts for multi-vehicle, accident-free, Steer into Savings, mySafetyValet, bundled insurance, and air bags.
- The Hartford includes discounts for bundle, vehicle fuel type, good student, air bag, and defensive driver.
- AAA offers premium reductions for education and occupation, good student, multi-car, good driver, multi-policy, AAA membership discount, and pay-in-full.
The example below illustrates the comparison of insurance costs with and without discounts applied. The prices are based on a male driver, no tickets, no at-fault accidents, Pennsylvania state minimum liability limits, full coverage, and $100 deductibles. The first bar for each age group shows the average rate with no discounts. The lower bar shows the rates with multiple policy, marriage, vehicle safety, anti-theft, multiple vehicle, and claim-free discounts applied. When drivers take advantage of discounts, theaverage amount saved on auto insurance for drivers under 25 is 28% or $522.
Choosing the right auto insurance company can be a challenge considering how many companies there are to choose from in Pennsylvania. The company rank data in the next section can help you analyze which car insurance providers to look at comparing rates from.
The rankings below are for the companies with a significant amount of written premium nationwide, so smaller regional companies are not included in this list. To compare prices from these top insurers and more, follow this link.
Top 10 Major Auto Insurers in Philadelphia Ranked by Customer Service
- Titan Insurance
- The Hartford
- American Family
- State Farm
- Erie Insurance
The illustration below shows how different deductible levels can change yearly insurance costs when getting quotes for cheap insurance for drivers under 25. The premium estimates are based on a married male driver, comp and collision included, and no discounts are applied to the premium.
As shown above, a 50-year-old driver could lower rates by $318 a year by increasing from a $100 deductible to a $500 deductible, or save $482 by selecting a $1,000 deductible. Even younger drivers, like the age 20 example, could lower their rates up to $1,068 or more just by using higher deductibles.
When insureds make the decision to increase the deductibles on their policy, it’s a good idea to have enough spare savings to cover the extra out-of-pocket expense, which is the one shortcoming of high deductibles.
Why you should shop around
Philadelphia, PA auto insurance rates are calculated based on many things which can significantly increase or decrease the policy price. Getting older, buying a different vehicle, or getting a reckless driving citation can trigger price changes resulting in some companies being cheaper than competitors.
Not only that, but companies amend pricing as needed to adjust for unexpected claims or profits. Significantly higher claims may result in price increases, while a better loss history may produce cheaper Philadelphia car insurance rates.
To illustrate this example, the graph below shows the companies that have the cheapest car insurance in Philadelphia, PA for a 45-year-old male driver with no prior claims, no tickets, and a good credit rating. Based on his current risk profile, General Casualty might offer the most affordable car insurance rates in Philadelphia at $1,684 a year. This is $27 more than the average rate paid by Pennsylvania drivers of $1,657. Travelers, USAA, Penn National, and Erie round out the rest of the cheapest Philadelphia, PA auto insurance companies.
In this example, we will give the driver in the first example a chargeable accident, slightly worse credit, and a speeding ticket. Since each company has their own unique process for filing rates in each state, analyzing rate quotes could result in a different list of the cheapest companies as shown below.
Amica now has the best price on car insurance in Philadelphia, PA with Atlantic States, Travelers, Donegal Mutual, and GEICO also having competitive pricing. This demonstrates why it is critical to spend some time comparing rates to get the most budget-friendly auto insurance quotes for drivers under 25. Rates can be determined by many things and can change substantially, so the most economical company when you last compared rates may now be quite expensive.