How To Find The Most Affordable Car Insurance In Rhode Island

Fran
Lucy Lazarony
July 27, 2020

In Rhode Island, the average cost of an auto insurance premium is $2,004 per year, which is more than 40 percent greater than the national average. People in Rhode Island could definitely use a break on their auto insurance premiums. Lucky for them, there are tips and strategies for getting lower auto insurance. We will look at those tips a bit later on but first we will take a closer look at car insurance in Rhode Island.

State Minimum Liability Requirements

If you ever cause a car accident, liability insurance pays for other people’s injuries and property damage, up to your liability limit. Each state has minimum liability requirements for the drivers in their state.

In Rhode Island, the minimum liability requirements are $25,000 bodily injury liability coverage per person, $50,000 bodily injury liability coverage per accident and $25,000 property damage liability coverage per accident.

In Rhode Island, this minimum liability coverage costs around $1,110 per year.

Rhode Island Is an At-fault State

When it comes to car insurance, Rhode Island is an at-fault state. This means Rhode Island drivers are responsible for any damage they cause to another vehicle. An insurance adjuster determines who is at fault in an accident.

A More Comprehensive Policy Costs More

In Rhode Island, a more comprehensive policy with collision coverage, comprehensive coverage and $1,000 deductibles would cost $1,833 per year.

Collision car insurance is coverage that helps to repair or replace your car if it is damaged in an accident with another vehicle or object such as a tree or a fence. Comprehensive car insurance covers events that aren’t covered by collision coverage. These events include fire, theft and vandalism and damages from weather such as a windstorm, a hailstorm, a tornado and a hurricane.

If you have a loan on your car, your lender may require you to carry both collision coverage and comprehensive coverage.

A deductible is the amount you need to pay before your auto insurance company begins to pay for damages to your car or losses.

Choosing a high deductible is one way to save money on your auto insurance premium.

Check out rates in Rhode Island

Why Is Car Insurance So Expensive in Rhode Island?

Population density leads to more accident claims, there are uninsured motorists on the roadways of Rhode Island and body shop repair and labor costs are high. All these factors contribute to the high car insurance premiums in Rhode Island.

Cheapest and Most Expensive Cities

In Rhode Island, the city with the cheapest auto insurance is Newport. The city with the most expensive car insurance is Providence.

Newport is a seaside city located on Aquidneck Island. Providence is the state capital of Rhode Island.

How to Save Money on Car Insurance

Ready for those money-saving tips? Here they come.

Be a married motorist. 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 motorists pay less for auto insurance than singles. In Rhode Island, married motorists save $125 each year on car insurance.

Get excellent credit. Insurance companies have been using consumer credit data to assign risk pools and set insurance rates since the mid-1990s. Drivers with excellent credit get the best insurance rates. Drivers with poor or no credit pay the most for car insurance. In Rhode Island, a driver who has excellent credit saves around $1,955 per year on car insurance compared with a driver who has bad credit. Need to boost your credit? Get current on all past due accounts, pay down debt and avoid taking on new debt. Get in the habit of paying your credit bills on-time. This will help you build up a positive payment history, which is good for your credit score.

Follow the rules of the road. Being a safe and responsible driver who follows the rules of the road will help you to save money on your car insurance. In Rhode Island, a driver without a recent, at-fault accident saves 31 percent on their car insurance premium. But be reckless and break some rules and auto premiums head up. In Rhode Island, car insurance premiums increase by 45 percent after a DUI, 31 percent after an at-fault accident and 19 percent after a speeding ticket. What does that mean in dollars and cents? A first, minor at-fault accident will increase car insurance premiums by about $391 per year. And a DUI will increase yearly insurance premiums by around $1,491. So drive smart, save money and obey the rules of the road. If you’ve been a good driver let your insurance company know. You may be eligible for a good driver discount.

Pay less often. Rather than paying monthly auto insurance bills, pay the entire annual amount or six-months amount. Your premium is lower when you pay just once or twice a year.

Try bundling your policy. Bundle your auto insurance premium with another insurance policy such as a homeowners insurance and save money.

Get a multi-car discount. Insure more than one car with the same auto insurance company and save money with a multi-car discount.

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 collision and comprehensive coverages any longer.

Review memberships. Members of some professional organizations and affiliates get discounts on car insurance. Check your memberships to see if you qualify for a discount.

Check features. Having certain anti-theft and safety features on your car will lower your car insurance. So check the features on your car and find out if you are due a discount.

Be a lady driver. Women make fewer accident claims than men and get rewarded with lower auto insurance rates. Men make more accident claims and pay more.

Reach out for discounts. The good driver discount has been mentioned. There also are discounts for students and veterans. So be sure to reach out if you qualify.

Pick a high deductible. Choosing a high deductible will lower your auto insurance premium, especially on newer cars. Just be sure to put the deductible amount in a small emergency fund. This way the money will be there should you need to file an auto insurance claim.

Hold on to your coverage. You’ll pay higher insurance rates if you don’t maintain continuous coverage of your auto insurance. So stick with your auto insurance coverage and save money.

Keep mileage low. Being a low-mileage driver will save you money on your car insurance. If you’re a heavy commuter who racks up the miles, you are going to pay more for your car insurance. So drive less, and pay less on your car insurance.

Check your age. Drivers who are younger than 25 and older than 65 have more serious accidents and pay more for car insurance. Drivers of the ages in-between pay less.

Choose a good neighborhood. If you live in a neighborhood with high accident claims and auto theft, you are going to be paying more for car insurance. If you live in a neighborhood with low accident claims and low crime, you will pay less for your insurance. So choose a safe neighborhood and save money on car insurance.

Buy a house. Statistics show that people who own homes drive more safely. So let your insurance company know that you own your home and enjoy the savings on your auto insurance premium.

Shop around. One of the best ways to save money on auto insurance is to shop around. You will want to look at insurance quotes from several different insurance companies. SmartFinancial makes this easy to do. Just input the type of insurance you are looking for and a zip code to get started. Next, answer a few, quick questions and you’ll be comparing auto insurance rates in Rhode Island in no time.

SmartFinancial has access to more than 200 insurance companies so you are bound to find the coverage and price that you want.

So shop smart for car insurance and drive safely along the roadways of Rhode Island.

Get a Free Auto Insurance Quote Online Now.

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