Since the insurance industry is rapidly evolving with its new policies and innovations, it gets harder and complex to get the best insurance for new drivers. Indeed, car insurances are expensive, but according to our survey GEICO, Nationwide and USAA are the cheap car insurance companies that are the best match for new drivers. The new drivers are usually seen with many risks as they don’t have much history of driving experience, and they are the most expensive motorists to insure.
Best Insurance for New Drivers
According to our research, Nationwide, GEICO, USAA provides the cheapest insurance rates for newbies. Let’s have a look at these three insurance companies as these are considered to be the best insurance companies for new drivers:
Nationwide car insurance is known for affordable rates and for offering a wide variety of coverage options. They provide generous discount offers with bundling opportunities, and one of their Pros is that they provide affordable premiums. Nationwide car insurance offers all the coverage you need. This coverage includes comprehensive and collision coverage, uninsured motorist coverage, personal injury protection and medical payments. They also provide roadside assistance package and 24/7 help to the policyholder even if they have battery drainage or an accident.
Nationwide understands that accidents happen, so the company will forgive your first at-fault accident if you opt into accident forgiveness. Also, if your vehicle is deemed a total loss, this company will waive your comprehensive or collision deductible. For the policyholders who drive for Uber or Lyft, Nationwide offers rideshare coverage. If the vehicle/ car got damaged in an accident or a crash, the coverage would reimburse the rental car loss. They have a wide range of multi-policy discounts, which are as follows-
- Good student discount: if someone is between 16-24 years of age and maintains a B average or better, the person can qualify for this student discount.
- Safe driver: If you steer clear of significant accidents or violations for at least five years, you can earn this discount.
- Easy pay sign-up: By linking the policyholder’s bank account to Nationwide policy, they can earn a discount.
- Affinity member: Policyholders who are/have alumni organizations, professional groups and particular interest associations — to offer discounts.
- Defensive driving: Completing a state-approved defensive driving course can earn this discount.
- Accident-free: You can earn this discount if you’ve maintained an accident-free driving record.
- Anti-theft device discount: If the vehicle is equipped with anti-theft devices, you can earn this discount, but you have proof of installation.
GEICO, one of the most affordable yet significant car insurance companies, is one of the best insurance for new drivers as it comes with some specific features designed for them. It has wide geographic availability with plentiful opportunities for savings, including multi-line bundling discounts. Also, GEICO has earned high marks in Zebra’s customer satisfaction survey. GEICO offers liability coverage, property damage, collision coverage and comprehensive coverage. They provide services like –
- Emergency road service
- Rental reimbursement
- Mechanical breakdown insurance
- Accident forgiveness
- GEICO rideshare insurance
GEICO also provides property damage and home insurance against fire, wind, hail, water damage, etc. A GEICO policy may also cover personal liability, medical bills or other expenses.
USAA is considered one of the best insurance for new drivers as it is the cheapest major insurance company for drivers of any age or background. This company’s insurance is available in all 50 states, including Washington DC. USAA has the top customer satisfaction scores as it is considered the best insurance for new drivers. They provide a wide range of coverage options and benefits with affordable premiums. People on active duty, retired military members, and select family members are eligible for USAA membership and insurance coverage. USAA membership eligibility is open to the following family members:
- Widows, widowers and un-remarried ex-spouses of USAA members
- Children of USAA members
- Step-children of USAA members
They provide the following benefits –
- USAA roadside assistance
- Rental reimbursement
- USAA extended benefits
- Accident forgiveness
- USAA rideshare coverage
- USAA membership auto insurance benefits.
USAA’s car buying service helps members buy a vehicle in the following ways:
- Discounted prices: A certified dealer provides a discounted price, including waived dealer fees and special offers on the vehicle.
- Dealership comparison: USAA members can compare thousands of dealers’ prices for the same model to find the lowest possible price.
- Price comparison: USAA displays a range of prices for the same make/model for USAA members vs non-members.
The Discounts related to driving habits are as follows
- Safe driver discount: This applies to drivers without accidents for at least five years.
- Defensive driving: This applies to drivers who have completed a defensive driver’s training course.
- Driver training: Young drivers under 21 years of age can earn a discount if they have taken an introductory training course.
- Good student: Students with above a 3.0 GPA can earn a discount.
Following are the Discounts related to your membership status
- Family discount: If your parents were USAA members, your personal USAA policy would be discounted by 10%.
- Length of membership savings: USAA advertises you can save by staying with their services by offering competitive insurance premiums.
- Military installation discount: If your vehicle is garaged on an army base, you can save 15% on your comprehensive coverage.