What Car Insurance is Cheapest for Teenagers in Louisville?

Figuring out which company has the cheapest auto insurance rates for teenagers will involve a little more work than just quoting one company’s rates. Each insurer has their own process for determining prices, so to begin we’ll rank the lowest cost auto insurance companies in Louisville.

It’s important to understand that Kentucky auto insurance rates are determined by lots of factors which can significantly increase or decrease the price of coverage. Simply improving your credit, having a claim, or having an accident can trigger price changes resulting in some rates now being cheaper than competitors.

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Cheapest insurance companies in Kentucky
Rank Company Cost Per Year
1 Cincinnati Insurance $1,126
2 Kentucky Farm Bureau $1,163
3 USAA $1,223
4 Auto-Owners $1,399
5 Motorists Mutual $1,553
6 Grange Mutual $1,577
7 Travelers $1,614
8 State Farm $1,867
9 Westfield $1,888
10 Safe Auto $1,991
11 Nationwide $2,024
12 Electric $2,076
13 Progressive $2,077
14 State Auto $2,188
15 Encompass $2,312
16 GEICO $2,341
17 Safeco $2,791
18 MetLife $3,146
19 Shelter $3,167
20 Allstate $3,712
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Cincinnati Insurance offers some of the most affordable car insurance rates in Louisville at around $1,126 per year. This is $1,017 less than the average policy premium paid by Kentucky drivers of $2,143. Kentucky Farm Bureau, USAA, Auto-Owners, and Motorists Mutual are also some of the most economical Louisville, KY insurance companies.

As the example above demonstrates, if you have coverage with Motorists Mutual and switched to Kentucky Farm Bureau, you could realize a yearly price reduction of approximately $390. Insureds with Grange Mutual may save as much as $414 a year, and Travelers insureds might cut rates by $451 a year.

To discover how much you can save, click here to get a free quote or quote prices from the following companies.

Be aware that those estimates are averages for all types of drivers and the different vehicles they drive and and are not figured with a specific zip code for teenagers. So the company that has the cheapest rates for you may not even be in the list above. That emphasizes why you need to get car insurance quotes using your own driver data and vehicle information.

For teen drivers, one of the largest criteria that are used to help calculate auto insurance rates is where your residence is. Regions with more people or even just more weather-related claims will most likely have higher rates, whereas more rural areas tend to receive cheaper rates.

The illustration below sorts the most costly cities in Kentucky for teenagers to buy car insurance in. Louisville makes the list at #1 with the annual price of $2,112 for car insurance, which is about $176 per month.

How much is auto insurance in Louisville, KY?
Rank City Premium Per Year
1 Louisville $2,112
2 Frankfort $1,778
3 Ashland $1,724
4 Jeffersontown $1,685
5 Saint Matthews $1,660
6 Paducah $1,647
7 Murray $1,597
8 Radcliff $1,590
9 Danville $1,581
10 Madisonville $1,552
11 Georgetown $1,551
12 Winchester $1,547
13 Elizabethtown $1,547
14 Richmond $1,535
15 Nicholasville $1,519
16 Henderson $1,495
17 Hopkinsville $1,493
18 Covington $1,487
19 Florence $1,471
20 Independence $1,466
21 Bowling Green $1,461
22 Lexington $1,454
23 Erlanger $1,420
24 Owensboro $1,418
25 Fort Thomas $1,412
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Prices are comparative as the specific garaging location can decrease or increase price quotes noticeably.

The car, truck, or SUV you are buying coverage for is one of the biggest factors that determines whether or not you can buy the cheapest car insurance for teenagers. Vehicles with limited top-end speed, an excellent safety record, or a positive history of liability claims will cost significantly less to insure than high performance models.

The table below shows car insurance costs for a number of the most affordable automobiles to insure.

Cheapest Vehicles to Insure in Louisville, KY
Vehicle Make and Model Estimated Cost for Full Coverage
Ford Escape XLS 4WD $7,178
Hyundai Elantra GLS Touring Station Wagon $7,188
Honda CR-V EX-L 2WD $7,253
Jeep Wrangler Sport 4WD 2-Dr $7,506
Toyota Prius $7,798
Honda Odyssey LX $7,975
Dodge Grand Caravan CV $8,050
Chevrolet Impala LT $8,519
Toyota RAV4 4WD $8,527
Toyota Tacoma Double Cab 4WD $8,519
Nissan Altima 2.5 4-Dr Sedan $8,528
Ford Explorer Limited AWD $8,595
Chevrolet Malibu LT $8,603
Ford F-150 Lariat Super Cab 4WD $8,595
Ford Edge Sport AWD $8,989
Toyota Corolla LE $8,998
Jeep Grand Cherokee SRT-8 4WD $9,064
GMC Sierra SLE Extended Cab 4WD $9,071
GMC Sierra 2500HD SLE Crew Cab 4WD $9,064
Chevrolet Equinox LTZ 2WD $9,074
Volkswagen Jetta SE 4-Dr Sedan $9,064
Ford Fusion SE 4-Dr Sedan $9,069
GMC Sierra 3500HD SLE Regular Cab 2WD $9,139
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Data variables include single male driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Kentucky minimum liability limits. Discounts applied include safe-driver, and claim-free. Prices do not factor in specific location information which can increase or decrease auto insurance rates considerably.

Based upon the rates shown, you can presume that vehicles like the Ford Escape, Hyundai Elantra, Honda CR-V, and Jeep Wrangler are most likely going to be the most affordable vehicles to insure for teen drivers. The cost of auto insurance will tend to be more expensive because there is more claim exposure for teenagers, but generally speaking those models will probably have the cheapest auto insurance rates compared to other types of vehicles.

The information below shows how different deductible levels can affect annual premium costs when searching for cheap insurance for teenagers. The information is based on a married male driver, full physical damage coverage, and no discounts are factored in.

The chart above illustrates that a 40-year-old driver could lower rates by $272 a year by switching the physical damage coverage from a $100 deductible up to a $500 deductible, or save $412 by switching to a $1,000 deductible. Young drivers, like the 20-year-old example, could shave as much as $910 or even more by choosing a higher deductible. When choosing a higher deductible, it will be important to have enough spare savings to offset the extra out-of-pocket expense. That is the one drawback of using higher deductibles.

Get discounts on Louisville insurance

Cheaper Louisville, KY auto insurance for teen driversInsurance companies that provide policies for teenagers may also offer premium discounts that may potentially lower prices by as much as 35% if you meet specific criteria. Larger auto insurance companies and some of their more popular discounts are included below.

The information below illustrates the difference between yearly insurance costs with and without discounts applied to the rates. Data assumes a male driver, no driving violations, no at-fault accidents, Kentucky state minimum liability limits, full coverage, and $250 deductibles.

The first bar for each age group shows the average rate with no discounts. The lower bar shows the rates with paperless filing, good student, paid-in-full, anti-theft, passive restraint, and vehicle safety discounts applied. When drivers qualify for the discounts, the average amount saved each year on auto insurance for teenagers is 28% or $820.

Full coverage versus liability only rates

Lowering the price of auto insurance is important to most drivers, and one of the easiest ways to save on the cost of insurance for teenagers is to buy liability only. The example below compares insurance rates with and without full coverage. The premium estimates are based on no violations or claims, $100 deductibles, marital status is single, and no discounts are taken into consideration.

Averaged for all ages 20 through 70, comprehensive and collision coverage on your policy costs $2,508 per year more than just buying liability insurance. Many people question if buying full coverage is a waste of money. There is no clear-cut formula to exclude full coverage on your policy, but there is a guideline you can consider. If the annual cost of your full coverage insurance is more than about 10% of the vehicle’s replacement cost less your deductible, then you might want to consider buying only liability coverage.

For example, let’s pretend your vehicle’s replacement cost is $8,500 and you have $1,000 full coverage deductibles. If your vehicle is totaled, the most your company will settle for is $7,500 after paying the physical damage deductible. If premium cost is more than $750 annually for your policy with full coverage, then it might be time to buy liability only.

There are some circumstances where dropping physical damage coverage is not in your best interest. If you still have a lienholder on your title, you have to keep full coverage in order to keep the loan. Also, if your finances do not allow you to purchase a different vehicle in the event your current vehicle is totaled, you should not opt for liability only.

If you aren’t sure which coverage to buy and prefer to get some professional advice when shopping for the best coverage for teenagers, the agents shown below can provide answers to your questions and help you determine which coverage meets your needs best. To find a Louisville insurance agent close to you, click the link at the bottom.

Peggy Druin – State Farm Insurance Agent
1547 Old Preston Hwy N bLouisville, KY 40229(502) 955-9746

Nationwide Insurance: Christopher James Parsons Agency
10300 Brookridge Village Blvd Ste 103Louisville, KY 40291(502) 239-5054

Braden Insurance Agency Inc.
3069 Breckenridge LnLouisville, KY 40220(502) 437-3926

Rudy Scheynost – State Farm Insurance Agent
7619 Dixie HwyLouisville, KY 40258(502) 937-5256

Bob Savko – State Farm Insurance Agent
10839 Bluegrass PkwyLouisville, KY 40299(502) 499-7575

More insurance agents in Louisville, KY