What Car Insurance is Cheapest for Drivers with Good Credit in Nashville?

The vehicle requiring insurance is a large consideration when looking for the most affordable insurance for drivers with good credit. Vehicles with high performance, a lack of modern safety features, or a high likelihood of having liability claims will cost more to insure than safer, lower-performance models.

The list below features car insurance premiums for a number of the most economical vehicles to insure in Tennessee.

Cheapest Vehicles to Insure in Nashville, TN
Insured Vehicle Estimated Cost for Full Coverage
Honda CR-V EX-L 4WD $1,024
Hyundai Elantra GLS Touring Station Wagon $1,147
Honda Odyssey EX W/Rear Entertainment $1,160
Dodge Grand Caravan Crew $1,206
Chevrolet Silverado 3500HD LT Crew Cab 2WD $1,290
Dodge Ram 3500 Crew Cab ST 2WD $1,313
Toyota Tacoma 2WD $1,335
Ford Focus S 4-Dr Sedan $1,343
Ford Escape Limited 4WD $1,335
Volkswagen Jetta 2.0T Station Wagon $1,340
Ford Edge SE 2WD $1,347
Kia Optima EX $1,353
Toyota RAV4 Limited 4WD $1,360
Toyota Prius $1,363
Ford F-150 XL Regular Cab 4WD $1,376
Dodge Ram 2500 Crew Cab ST 4WD $1,386
Honda Civic LX-S 4-Dr Sedan $1,406
Toyota Camry SE $1,431
Toyota Corolla S $1,441
Nissan Altima 2.5 4-Dr Sedan $1,453
Jeep Grand Cherokee Laredo 4WD $1,460
Chevrolet Equinox LTZ AWD $1,456
Chevrolet Silverado 2500HD LTZ Crew Cab 4WD $1,465
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Data based on single female driver age 40, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Tennessee minimum liability limits. Discounts applied include multi-vehicle, safe-driver, multi-policy, claim-free, and homeowner. Estimates do not factor in vehicle location which can affect prices noticeably.

By looking at the data, vehicles like the Honda CR-V, Hyundai Elantra, Honda Odyssey, and Dodge Grand Caravan will be some of the cheaper vehicles to insure for financially responsible drivers.

For financially responsible drivers, one of the more important things that are used to help calculate the amount you pay each year for auto insurance is where you call home. Regions with larger populations or more claims are more likely to have higher rates, whereas areas with less people or fewer weather incidents have the enjoyment of a little cheaper coverage.

The illustration below rates the most costly cities in Tennessee for drivers with good credit to purchase auto insurance in. Nashville is ranked at #16 with a yearly premium of $1,165 for the average insurance policy, which is about $97 each month.

How much does car insurance cost in Nashville, TN?
Rank City Premium Per Year
1 Memphis $1,490
2 Bartlett $1,405
3 Collierville $1,323
4 Germantown $1,320
5 Jackson $1,305
6 Oak Ridge $1,223
7 Knoxville $1,218
8 Columbia $1,214
9 Maryville $1,208
10 Spring Hill $1,205
11 La Vergne $1,186
12 Brentwood $1,179
13 Morristown $1,171
14 Clarksville $1,170
15 Hendersonville $1,170
16 Nashville $1,165
17 Franklin $1,164
18 Chattanooga $1,161
19 Murfreesboro $1,159
20 Smyrna $1,148
21 Cookeville $1,147
22 Gallatin $1,121
23 Cleveland $1,102
24 Kingsport $1,057
25 Johnson City $1,031
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Rate information is approximated as zip code location can increase or decrease prices significantly.

How to get discounts on Nashville insurance

Discounts on insurance for drivers with good creditAuto insurance companies that provide coverage for drivers with good credit could also offer premium discounts that can lower rates by as much as 35% if you are eligible to receive them. Large insurance companies and the discounts they provide can be read below.

The diagram below illustrates the comparison of insurance costs with and without discounts. The rate quotes are based on a female driver, no driving violations, no at-fault accidents, Tennessee state minimum liability limits, comprehensive and collision coverage, and $250 deductibles. The first bar for each age group shows the average annual price with no discounts. The second shows the rates with passive restraint, claim-free, accident-free, safe-driver, multiple policy, and homeowner discounts applied. In this example, theaverage amount saved on insurance for drivers with good credit is 27% or $398.

Cost of full coverage in Nashville

Reducing the cost of insurance is important to most vehicle owners, and a good way to save on the cost of insurance for drivers with good credit is to only pay for liability coverage. The chart below visualizes the comparison of yearly insurance costs with and without physical damage coverage, medical payments, and uninsured/under-insured motorist coverage. The information is based on no accidents or driving violations, $1,000 deductibles, single marital status, and no policy discounts are applied.

On average, comprehensive and collision coverage on your policy costs $1,217 per year over and above liability coverage. At some point, almost every driver questions when is it safe to stop buying full coverage. There is no definitive formula for dropping full coverage on your policy, but there is a broad guideline. If the annual cost of coverage is more than 10% of the replacement cost minus the deductible, then it could be time to drop full coverage.

For example, let’s assume your vehicle’s settlement value is $4,500 and you have $1,000 deductibles. If your vehicle is totaled, the most your company will settle for is $3,500 after paying your policy deductible. If premiums are more than $350 a year for comprehensive and collision coverage, the it may be a good time to stop paying for full coverage.

Careless drivers pay higher rates

The ideal way to earn the best insurance premiums for financially responsible drivers is to be a safe driver and not have accidents or get tickets. The chart below illustrates how traffic citations and at-fault accidents can raise car insurance costs for different age groups. The premiums are based on a married female driver, full physical damage coverage, $100 deductibles, and no discounts are factored in.

The chart shows that the average cost of a car insurance policy per year with no violations or accidents is $1,742. Add in one speeding ticket and the average cost surges to $2,025, an increase of $283 each year. Then add one accident along with the one speeding ticket and the yearly cost of insurance for drivers with good credit increases to an average of $2,835. That’s an increase of $1,093, or $91 per month, just for not keeping your driving record clean!

Why you should be comparing rates

Tennessee insurance rates are calculated based on many things that control the price you have to pay for coverage. Simply improving your credit, getting divorced, or getting a ticket for careless driving can trigger changes in premium that can now make some companies cheaper than before.

Not only that, but car insurance companies file new rates every year or even multiple times each year to help ensure profitability. Heavier than normal losses can result in rate increases, while better underwriting can cause cheaper Nashville car insurance rates.

To illustrate this example, the graph below shows the company with the cheapest car insurance in Nashville, TN for a 35-year-old male driver with a clean driving record, no accidents, and a good credit history. If we compare prices based on his personal profile, Utica National might offer the lowest car insurance rates in Nashville at $862 a year. This is $466 less than the average premium paid by Tennessee drivers of $1,328. Auto-Owners, Cincinnati Insurance, Penn National, and Tennessee Farmers are the remaining cheapest Nashville, TN auto insurance companies.

In this example, we will give the driver from the above example some claims, bad credit, and a traffic ticket or two. Due to the fact that every auto insurer has their own process to set their prices, analyzing rate quotes may now show a significantly different list of the cheapest Nashville car insurance companies as shown below.

Erie now has the cheapest rate in Nashville, TN with Allied, Nationwide, Westfield, and GEICO now being in the top five. This example proves why consumers need to spend some time comparing rates when trying to find the lowest auto insurance rates for drivers with good credit. Car insurance prices can be determined by many risk factors and can change without notice, so the cheapest company when you last compared rates may now be costing you a lot of money.