It’s hard to miss the catchy advertisements from auto insurance companies like GEICO, State Farm, and Allstate promising dirt cheap rates, so you should just choose any of them, right?
It’s not that easy, however, as there are a whole slew of unknown factors like the number of miles you drive in a year, how safe your vehicle is, what coverage limits you want, and if you are a man or woman. We are going to cover the types of situations that result in high rates and will hopefully give you a good start to your coverage search.
For your employer’s vehicle, one of the largest components that determine the price you pay for insurance is where you keep your vehicle. Areas with high crime rates or more dense population will most likely pay more, whereas areas with lower crime rates and fewer weather claims can boast about having cheaper rates.
The information below sorts the priciest cities in Tennessee for a company car to purchase a policy in. Nashville is ranked at #11 with an annual rate of $1,201 for the average insured, which is about $100 per month.
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Rate quotes are estimated as the specific area where the vehicle is garaged can revise prices greatly.
The vehicle to be insured is probably the most important factor that determines whether or not you find the lowest-priced coverage for a company car. Vehicles with higher performance, a lack of modern safety features, or a high likelihood of having liability claims will cost significantly more to insure than safer models.
The next table estimates insurance rates for some of the cheapest automobiles to insure.
|Vehicle Insured||Estimated Cost for Full Coverage|
|Hyundai Elantra GLS Touring Station Wagon||$1,180|
|Ford Explorer XLT 2WD||$1,208|
|Honda CR-V EX 4WD||$1,217|
|Ford Escape XLT 4WD||$1,250|
|Toyota Tacoma 2WD||$1,253|
|Ford Edge SE AWD||$1,262|
|Ford F-150 FX4 4WD||$1,302|
|Dodge Grand Caravan SXT||$1,309|
|Jeep Wrangler Unlimited Sport Islander Package 4WD 4-Dr||$1,313|
|Chevrolet Equinox LTZ AWD||$1,370|
|Chevrolet Impala LT||$1,400|
|Chevrolet Malibu LS||$1,409|
|GMC Sierra SLE Crew Cab 2WD||$1,437|
|Toyota RAV4 Limited 4WD||$1,442|
|Ford Focus SES 4-Dr Sedan||$1,475|
|Toyota Corolla XLE||$1,477|
|Dodge Ram Quad Cab ST 2WD||$1,480|
|Hyundai Sonata GLS 4-Dr Sedan||$1,496|
|Ford Fusion SEL 4-Dr Sedan||$1,503|
|Volkswagen Jetta SE 4-Dr Sedan||$1,512|
|Jeep Grand Cherokee Limited 2WD||$1,503|
|Toyota Camry SE||$1,505|
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Price data assumes single male driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Tennessee minimum liability limits. Discounts applied include claim-free, homeowner, multi-policy, safe-driver, and multi-vehicle. Rate information does not factor in Nashville, TN location which can alter rates considerably.
Based upon these rates, we can presume that makes and models like the Hyundai Elantra, Ford Explorer, Honda CR-V, Ford Escape, and Toyota Tacoma should be some of the most affordable vehicles to insure for your employer’s vehicle.
Buying low-cost auto insurance is tough enough, and figuring out which company has the most affordable insurance rates for a company car calls for even more rate comparisons. Every auto insurer has a different process to set policy rates, so to begin we’ll rank the lowest cost insurance companies in Tennessee.
Cheapest Insurance Rates in Tennessee
|Rank||Company||Cost Per Year|
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Utica National may have some of the cheapest car insurance rates in Nashville at around $760 a year. This is $568 less than the average policy premium paid by Tennessee drivers of $1,328. Auto-Owners, Cincinnati Insurance, Penn National, and Tennessee Farmers also make the cut as some of the lowest-priced Nashville, TN auto insurance companies.
In this example, if you currently buy coverage from Penn National and switched to Auto-Owners, you might achieve savings of around $81. Insureds with Tennessee Farmers may save as much as $124 a year, and USAA insureds might lower prices by $130 a year.
To find the cheapest coverage for you, click here to start your free quote or quote rates from the companies below.
Understand that those prices are averaged for all drivers and vehicles in Tennessee and do not take into consideration a specific vehicle garaging location for a company car. So the car insurance company that fits your needs best may not even be in the top 30 companies shown above. That emphasizes why you need to get rate quotes using your own personal information and vehicle type.
Selecting the right auto insurance company is difficult considering how many companies provide coverage in Tennessee. The ranking information displayed below can help you select which providers to look at buying from.
These ratings include companies that insure vehicles nationwide, so smaller companies are not included in these rankings. To compare price quotes from these and other competitive companies, click here.
|Company||Value||Customer Service||Claims||Customer Satisfaction||A.M Best Rating||Overall Score|
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Data Source: Insure.com Best Car Insurance Companies
Rate increases following a ticket or accident
In a perfect world, the ideal way to enjoy the most affordable insurance rates in Tennessee for your employer’s vehicle is to drive safe and avoid getting tickets or having accidents. The chart below demonstrates how speeding tickets and fender-benders can drive up insurance costs for different age groups of insureds. The data assumes a single male driver, comprehensive and collision coverage, $500 deductibles, and no discounts are taken into consideration.
In the chart above, the average cost of an auto insurance policy in Nashville per year with no accidents and a clean driving record is $1,366. Get written up for two speeding tickets and the average cost hikes up to $1,802, an increase of $436 each year. Now get one accident along with the two speeding tickets and the 12-month cost of insurance for a company car jumps again to an average of $2,239. That’s an increase of $873, or $73 per month, just for not being attentive to the road!
Why you are probably overpaying for car insurance
Tennessee insurance rates are determined by lots of factors which can substantially change the cost of a policy. Simply getting older, having a teen driver, or getting into an accident can cause premium changes that may make certain companies cheaper than competitors.
Not only may your risk profile change, but auto insurance companies change the rates they charge in Tennessee without warning to reflect underwriting profits or losses. Significantly higher claims can cause a rate increase, while lower claim expenses can result in cheaper Nashville car insurance rates.
The graph below shows rates for the cheapest car insurance in Nashville, TN for a 30-year-old female driver with no accidents, a clean driving record, and excellent credit. If we estimate rates based on her current risk profile, Utica National might quote the best car insurance rates in Nashville at $871 a year. This is $457 less than the average rate paid by Tennessee drivers of $1,328. Auto-Owners, Cincinnati Insurance, Penn National, and USAA also make the list of the top five cheapest Nashville, TN auto insurance companies.
Now we will give the driver from the first example some claims, poor credit, and a blemish on her driving record. Because each insurer uses their own calculation to determine rates, analyzing rates most likely will result in a different ranking of cheap Nashville auto insurance companies as shown below.
Erie now has the cheapest insurance rate in Nashville, TN with Nationwide, Westfield, Allied, and GEICO also having competitive pricing. This demonstrates why it is crucial to perform a complete rate comparison to get the most economical insurance quotes for a company car. Insurance rates are made up of many risk factors and can decrease or increase without notice, so the most economical option a year ago may now be an over-priced policy.
If you would rather have some advice when trying to find lower insurance rates for a company car, the insurance agencies below can help you make a decision which insurance coverage you need.
To find a Nashville insurance agency using an interactive map, click the button at the bottom or click here to compare price quotes.
Tri-City Insurance Agency
4400 Nolensville Pike – Nashville, TN 37211 – (615) 331-0770
Marvin Cook – State Farm Insurance Agent
308 Donelson Pike – Nashville, TN 37214 – (615) 391-4966
Charles Sargent – State Farm Insurance Agent
4094 Hillsboro Pike #202 – Nashville, TN 37215 – (615) 385-1700
Eric Osborne – State Farm Insurance Agent
2301 21st Ave S #350 – Nashville, TN 37212 – (615) 837-9000