The words "cheap" and "insurance" probably shouldn't be used together, in particular when you are looking for the best coverage prices for high school students. Because of the high cost, let's start the ball rolling by going over a few of the factors that significantly impact car insurance prices, and find a few ways to lower the cost of your next policy.
For teenagers, one of the largest things that determine the cost of insurance is the neighborhood you call home in Colorado. Areas with a lot of weather claims or more people like Denver, Pueblo, and Lakewood will most likely pay more, whereas more rural areas benefit from lower prices.
The illustration below ranks the most expensive places in Colorado for high school students to buy auto insurance in.
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Prices are approximated as specific Colorado garaging address can modify rates substantially.
The type of vehicle driven is a large factor when looking for the best auto insurance for high school students. Vehicles with lower acceleration and performance, good crash test ratings, or a positive history of liability claims will cost quite a bit less to insure than high performance models.
The next list shows auto insurance prices for a handful of the most cost-effective vehicles to insure in Colorado.
|Vehicle||Estimated Cost for Full Coverage|
|Ford Escape XLT 2WD||$3,166|
|Honda Accord EX 4-Dr Sedan||$3,174|
|Honda CR-V EX 4WD||$3,197|
|Hyundai Elantra SE Touring Station Wagon||$3,397|
|Ford Explorer XLT 4WD||$3,557|
|Ford Edge SEL AWD||$3,725|
|Toyota RAV4 4WD||$3,756|
|Volkswagen Jetta LE 4-Dr Sedan||$3,766|
|Dodge Grand Caravan Hero||$3,756|
|Chevrolet Equinox LS 2WD||$3,761|
|Toyota Tacoma Double Cab TRD Sport Package 4WD||$3,788|
|Ford F-150 Lariat Crew Cab 4WD||$3,796|
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Table data represents single female driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Colorado minimum liability limits. Discounts applied include claim-free, and safe-driver. Estimates do not factor in specific garaging location which can alter rates considerably.
Looking at the data, you can infer that makes and models like the Ford Escape, Honda Accord, and Honda CR-V will be some of the more affordable vehicles to insure for teenagers. Auto insurance rates will tend to be more expensive because there is more liability risk for high school students, but generally speaking those particular vehicles will tend to have the best insurance prices compared to all other vehicles.
Finding reliable, reasonably-priced car insurance is hard enough, and determining which insurers offer the cheapest car insurance rates for high school students in Colorado takes even more rate comparisons. Policy prices could be much more expensive than the average policy in Colorado, with the increase attributed to the extra risk associated with offering insurance for teenagers, but economical insurance may be attainable with some perseverence.
Every auto insurer has their own process for setting prices, so first we will examine the most competitive car insurance companies in Colorado.
Compare Cheap Insurance Quotes for Students
|Rank||Company||Cost Per Year|
|14||Colorado Farm Bureau||$1,576|
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The Hartford quotes some of the lowest car insurance rates in Colorado at around $825 each year. Grange, USAA, Nationwide, and Travelers also qualify as some of the best Colorado auto insurance companies.
In the above rates, if you currently have a policy with Grange and switched to The Hartford, you might achieve an annual savings of approxmiately $133. Policyholders with USAA might save as much as $214 a year, and Nationwide insureds might lower prices by up to $330 a year.
Be aware that those rates are averages for all types of drivers and the different vehicles they drive and and are not calculated with a rate increase for high school students. So the company that fits your age and vehicle best may not even be in the list above. That emphasizes why you need to compare prices as often as possible using your own individual information.
Types of discounts on Colorado insurance rates
Insurance providers that provide coverage for high school students could also offer policy discounts that can lower rates by as much as 25% or more if you meet eligibility requirements. Companies and the discounts they provide are detailed below.
- Progressive may include discounts for homeowner, good student, continuous coverage, multi-vehicle, online signing, multi-policy, and online quote discount.
- The Hartford policyholders can earn discounts including air bag, bundle, defensive driver, vehicle fuel type, anti-theft, and driver training.
- Mercury Insurance may offer discounts for age of vehicle, good driver, annual mileage, professional/association, low natural disaster claims, and location of vehicle.
- GEICO discounts include anti-lock brakes, defensive driver, multi-vehicle, military active duty, air bags, and good student.
- AAA includes discounts for good student, good driver, pay-in-full, education and occupation, multi-policy, and anti-theft.
- State Farm has savings for good student, multiple autos, safe vehicle, defensive driving training, Steer Clear safe driver discount, student away at school, and driver's education.
The diagram below visualizes the comparison of annual premium costs with and without some available policy discounts. The rates are based on a female driver, a clean driving record, no at-fault accidents, Colorado state minimum liability limits, full coverage, and $100 deductibles.
The first bar for each age group shows premium with no discounts. The second bar shows the rates with good student, passive restraint, paid-in-full, anti-theft, continuous coverage, and vehicle safety discounts applied. When taking advantage of discounts, the average amount saved each year on car insurance for high school students is 28% or $662.
Does it make sense to buy full coverage?
Finding cheaper car insurance is the goal of the majority of people, and one good way to pay lower rates for insurance for high school students in Colorado is to buy liability only. The chart below compares insurance premiums with full physical damage coverage compared to only buying liability only. Data assumes no driving violations, no at-fault accidents, $250 deductibles, drivers are not married, and no additional discounts are factored in.
If we average the cost for ages 20 through 70, physical damage insurance costs an extra $2,465 per year over having just liability coverage. Lot's of drivers question if you should buy full coverage at all. There is no set guideline of when to drop physical damage coverage on your policy, but there is a guideline you can consider. If the annual cost of coverage is more than around 10% of replacement cost minus your deductible, then it's probably a good time to buy liability coverage only.
For example, let's assume your vehicle's book value is $11,500 and you have $1,000 policy deductibles. If your vehicle is destroyed, the most your company will settle for is $10,500 after the policy deductible has been paid. If premium cost is more than $1,050 a year for your policy with full coverage, then you might want to consider buying only liability coverage.
There are some cases where eliminating full coverage is not in your best interest. If you have an outstanding loan on your vehicle, you have to carry full coverage in order to prevent the bank from purchasing higher-priced coverage. Also, if your finances do not allow you to purchase a different vehicle if your current one is totaled, you should not remove full coverage.
Picking a highly-rated auto insurance provider can be rather challenging considering how many companies there are to choose from in Colorado. The company ratings shown below could help you pick which auto insurance companies to look at comparing rate quotes with.
The rankings below include the largest companies in the United States, so smaller regional companies are not taken into consideration for the list. To compare prices from these companies and more, click this link.
Top 10 Large Auto Insurers in Colorado Ranked by Customer Satisfaction
- Titan Insurance - 95%
- USAA - 94%
- AAA Insurance - 91%
- Nationwide - 90%
- State Farm - 90%
- The Hartford - 89%
- GEICO - 89%
- Allstate - 88%
- 21st Century - 88%
- The General - 88%
Top 10 Large Auto Insurers in Colorado Ranked by Value
- American Family
- The Hartford
- Titan Insurance
- The General
- AAA Insurance
- State Farm