If you’re a first-time driver in Chicago, Illinois, auto insurance should be on your checklist. The right coverage helps you enjoy a smooth car-buying process and ensures compliance with legal requirements. That aside, it offers you protection against accidents and damages. Worried it might be too expensive? There’s no need. Our guide covers everything you should know about cheap car insurance in Chicago, including how and where to get it. Let’s begin by highlighting aspects that impact insurance costs for new drivers.
Factors Influencing Insurance Costs for First-Time Drivers
These are the factors that affect car insurance costs for new drivers in Chicago.
Age and Driving Experience
If you’re a younger driver with limited driving experience, you’ll likely face higher premiums because many auto insurance companies may deem you more susceptible to accidents. In fact, according to statistics, 16-19-year-old drivers have a higher crash rate than those aged 20 or older.
Location
The higher the crime rate in your Chicago neighborhood, the more expensive your insurance costs will be, as your car is more likely to be stolen or broken into. On the other hand, new drivers in safer locations may enjoy lower insurance premiums.
Engine Size and Type
Cars with larger engines are typically more valuable, which translates into higher insurance premiums. Vehicles with turbocharged engines can also attract higher insurance costs. Although these engines can be smaller than their naturally aspirated rivals, they deliver more power and speed, increasing your crash risk.
Occupation
If your profession requires you to drive many hours per day, such as an independent chauffeur, you could end up paying more for your car insurance. With the increased mileage comes a higher risk of accidents.
Gender
New female drivers may pay higher insurance costs than their male counterparts. Some states, such as California, prohibit car insurance companies from factoring in gender when setting prices, but Illinois doesn’t.
Strategies To Minimize Insurance Costs for New Drivers
How can you get the cheapest insurance for new drivers in Chicago? Our American Auto Insurance team did some digging. Here are a few tried-and-true methods you can use to enjoy lower car insurance premiums.
Join Your Parents’ or Guardian’s Policy
As a new driver, you can minimize your car insurance costs by staying on your guardian’s policy. If they have a good background and a clean driving record, they’re more likely to get you more pocket-friendly coverage.
Buy a Used or Entry-Level Model
You can secure the most affordable car insurance for new drivers by purchasing one of the best used cars on the market. These vehicles boast lower market value, which means the potential payout is also low in the event of an accident or theft.
If you’re not looking for a used vehicle, consider a new entry-level model. Your insurer will factor in the make and value of the vehicle when calculating insurance costs. The less valuable the car, the lower the premiums will be.
Increase Your Deductible
Selecting a higher deductible is another effective strategy to lower your car insurance premiums. When you increase the amount you pay out of pocket before the coverage becomes effective, you minimize the risk the insurer carries, allowing them to charge less.
Compare Several Car Insurers
Compare rates from multiple auto insurance companies in Chicago to ensure you pay the most affordable premiums. You can start by making a list of your best options and then visiting their websites to request free quotes.
Special Considerations for First-Time Drivers
There are other factors that first-time drivers in Chicago must consider when looking for cheap car insurance. One of them is SR-22, a certificate that indicates you have the required minimum state-mandated auto coverage.
But what’s an SR-22, and do you really need it as a new driver? Read on to find out.
Understanding SR-22 and Its Implications
An SR-22 is a must-have for high-risk drivers in Chicago, but it’s not a requirement for new ones. However, if your license was previously revoked or suspended, or you were involved in a traffic violation, obtaining this certificate is advisable.
You can only get an SR-22 insurance in Chicago through an auto insurer authorized to write the policy. Note that once you have it, you’ll likely spend more on car insurance since your odds of filing claims are considered higher.
Want to file an SR-22 or aren’t sure you need one? Contact us; we can provide a free quote or discuss your unique situation and help you take the next step.
Tips for Building a Positive Driving History
A good driving history is crucial for first-time drivers seeking the best insurance rates, whether or not they require an SR-22. You can build one by cultivating safe driving habits, which include the following:
- Obey traffic rules:Following traffic rules in Chicago reduces your risk of accidents. It also helps you avoid penalties and license suspension, which can negatively affect your driving history.
- Avoid distractions:Always pay attention to the road to reduce the chance of breaking traffic laws and having an accident. Avoid activities such as texting, snacking, and playing video games when driving.
- Take driving lessons:Even after obtaining your license, you can take lessons to improve your driving skills. This can boost your confidence when you take the wheel and teach you various safe techniques to maintain a positive driving history.
- Stay informed: Traffic laws in Chicago are subject to change. To maintain a good driving record, stay up to date on current regulations and comply with them.
Enjoy Affordable Car Insurance Rates With American Auto Insurance
Cheap car insurance gives you peace of mind and provides much-needed financial protection if your ride is stolen or damaged. We offer a range of coverage options, including liability and comprehensive insurance.
As a leading auto insurance company in Chicago, we have an experienced and knowledgeable team of agents to help you find a policy that meets your needs, regardless of budget. Ready to get the financial protection you need? Call us at 773-286-3500 today.
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