How to Find the Most Affordable Car Insurance Rates in Arizona

Fran
Lucy Lazarony
July 1, 2020

With car insurance rates just below the national average, Arizona drivers are looking for a deal. They want lower rates than they are getting on their car insurance. Luckily, there are ways to save money on auto insurance, many ways in fact. We’ll discuss all the different ways to save on auto insurance a little bit later. But first, we will take a closer look at auto insurance rates in Arizona.

New Minimum Liability Coverage in Arizona

Auto liability coverage helps to pay for the other person’s expenses if you are at fault in an accident. All states set minimum liability requirements for their drivers. In Arizona, new minimum liability coverage took effect in July 2020.

The new minimum liability coverage in the state of Arizona is bodily injury liability coverage of $25,000 per person, bodily injury liability coverage of $50,000 per accident and property damage liability coverage of $15,000.

Full Coverage Costs More

With full coverage auto insurance, you get collision and comprehensive coverages as well as liability coverage. In Arizona, you can expect to pay $1,443 per year for full coverage, $57 less than the national average.

Collision insurance is coverage that helps to repair or replace your car if it’s damaged in an at-fault accident with another vehicle or object such as a fence or a tree. Comprehensive auto insurance covers events that aren’t covered by collision coverage. These events include fire, theft, vandalism and damages from weather such as a hailstorm, a windstorm, a hurricane or a tornado. Both collision coverage and comprehensive coverage come with deductibles. A deductible is the amount you pay out of your own pocket when making an auto insurance claim. There is no deductible with liability coverages.

If you are financing your car, a lender may require that you have both collision and comprehensive auto coverages for your vehicle.

Why Is Car Insurance So Expensive in Arizona?

Why are auto insurance rates high in Arizona? Because Arizona has higher than average traffic fatalities. In Arizona, there were 919 fatal car crashes in 2018 compared with 770 fatal car crashes in 2014.

There also are a high number of uninsured motorists in Arizona. In 2015, 12 percent of Arizona drivers were driving without meeting the state’s minimum liability requirements. If those uninsured drivers get in accidents it will cost the other driver more, especially if the uninsured driver is at fault and is unable to pay any of the other driver’s expenses. Rates climb overall when there are accidents with uninsured drivers involved.

If you don’t present proof of active auto insurance to Arizona law enforcement, you will get a $500 fine and your driver’s license, registration and license plates will be suspended for three months.

Arizona Is an At-fault State

Arizona is an at-fault state for auto insurance. This means Arizona drivers are responsible for any damage they cause to another vehicle. Who is at fault in an accident is determined by an insurance adjuster.

How to Save Money on Auto Insurance

Be Older Than 25 and Younger Than 65. Younger drivers and older drivers pay more for car insurance because they are more likely to be involved in serious and fatal car accidents. If you are in the age group in-between, you’ll pay less for your car insurance.

Live in the Country. City dwellers pay higher auto premiums than their rural neighbors because city living usually means more accidents, more property crime and more frequent auto claims. Country living is best for auto insurance rates.

Have a Good Credit Score. Since the mid-1990s, national insurance companies have been using consumer credit information to determine risk pools and to set auto insurance rates. If you have good credit, you’ll get a good premium. If you have poor or no credit, you’ll pay a high premium. In Arizona, drivers with no credit pay 91 percent more on their premiums than drivers with excellent credit.

Maintain Your Auto Insurance Coverage. Maintain your auto insurance coverage. You’ll pay higher insurance rates if you don’t maintain continuous coverage of your auto insurance.

In Arizona, letting your auto insurance coverage lapse could raise your rates by as much as 13 percent when you go to get your next policy.

Keep a Clean Driving Record. Being a good and safe driver can save you money. This means no speeding tickets, no moving violations, no at-fault accidents and no DUIs. Be a squeaky clean driver and you’ll save on auto insurance. So if you’ve been a good driver ask your car insurance company for a discount. You’ve earned it.

Bundle Your Auto Policy. Bundle your auto policy with another insurance policy such as a homeowners insurance and save money.

Insure More Than One Car. Insure more than one car with the same insurance company. Doing so will save you money on your premiums.

Pay Once or Twice a Year. Rather than paying monthly auto insurance bills pay the entire annual amount or six-months amount. Your premium is lower when you pay just one or two bills a year.

Have Anti-theft and Safety Features. Having certain anti-theft or safety features on your car will lower your car insurance. So be sure to check with your auto insurance company about the safety and anti-theft features on your car. You could save money on your premium.

Insure Less with Older Cars. The maximum payout for collision coverage and comprehensive coverage is limited by the value of the car. So if your older car has a low market value, it may not make financial sense to carry comprehensive and collision coverages any longer.

Choose a Higher Deductible. If you are buying comprehensive and collision coverages for your car, you can save money by choosing higher deductibles. A high deductible will lower your premium amount. Just be sure to put the money for a deductible aside in a small emergency fund. That way the money will be there should you need to make a claim.

Be a Woman. Women make fewer accident claims than men and are rewarded with lower auto insurance rates.

Get Married. If you are married, you will pay less for car insurance. There is a correlation between being married and exhibiting safe driving behavior. Because of this, married drivers pay less for auto insurance than singles.

Drive Less. If you have a heavy commute to work, you are going to pay more for your car insurance. But if you are a low-mileage driver you are going to pay less. So drive less and pay less for your auto insurance.

Live in a Safe Neighborhood. If you live in a neighborhood with high accident claims and high auto theft you are going to pay more for your car insurance. But if you live in a safe neighborhood with low crime and few accidents, you are going to pay less for car insurance.

Shop Around. The best way to save money on car insurance is to shop around. You’re going to want to get auto insurance quotes from several different insurance companies. SmartFinancial makes it easy to do. Just enter the type of insurance you’re looking for and a zip code to get started. Answer a few, quick questions and you’ll be comparing auto insurance rates in Arizona in no time. SmartFinancial has access to more than 200 insurance companies so you are bound to find the insurance coverage and price that you want.

So drive safe, shop smart and enjoy your time on the roadways of Arizona.

Get a Free Auto Insurance Quote Online Now.

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