As the largest city in Illinois, it makes sense that Chicago has higher auto insurance rates than other areas. You also have many choices because you can choose from several auto insurance providers in Chicago. Regardless of whether you currently live or work in Chicago, it is best if you take the time to look around so that you can get the best price that fits your budget when you look for the best Chicago car insurance.
Reporting from the trusted site The Zebra, if you pay attention to this, the average cost of auto insurance in Chicago is around $ 1,711. Yes, quite surprising because, after all, the numbers may be much higher than you expect since the average cost of auto insurance in the state is only $ 1303. Not only that, but you also need to spend more because Chicago car insurance costs are higher than the average in the US, which is $ 1,548.
What makes Chicago Car Insurance So Expensive?
Yes, it doesn’t happen without causes. Several factors play an essential role in the high or low insurance rates. So it’s not surprising if you find rates that vary from one driver to another. Some of the key points that directly affect Chicago insurance rates are the driver’s age (driver’s risk), the area you live in, your driving record, your insurance claim record, the type of vehicle you use, and your credit score.
Don’t just stick to one quote, but you have to be more active to compare several insurance companies’ rates. An insurance policy that can meet your needs at an affordable price is what you’re looking for, and you can always find one in Chicago.
Insuring your vehicle with a provider will affect insurance rates. There are many insurance providers in Chicago, and each one of them is competing to meet their driver or client’s needs. If you ask who the insurance giant in Chicago is, according to BankRate.com, the answer is State Farm. They own no less than 22.59% of the market and also usually have the lowest rates.
Another primary insurance provider is Allstate, with a 10.55% market share. Meanwhile, the other two players who are pretty reckoned with are Progressive and Country Financial.
Age VS Auto Insurance Cost in Chicago
How old are you now? If you are under 21 years old, be prepared for a higher rate because you are a high-risk driver for most insurers. So, there is a relationship between age and the high or low cost of car insurance.
In this case, how old are the drivers in Chicago to get the best rates? Now drivers around 50 years of age will usually get the best rates for insurance.
However, this is not the case with teenage drivers who tend to have a strong passion for speeding on the highway. It seems unfair that they have to pay very high insurance costs, averaging $ 6358 / year, but that’s how insurance works. However, as you get older, you will pay cheaper insurance rates. Of course, this is good news.
The following is a table of the driver’s age VS car insurance rates.
If you look at the table above, drivers’ insurance rates in their teens and 20s are the highest. Furthermore, insurance rates will go up again when they are in their 70s.
Gender and Marital Status
The cost of insurance in Chicago also takes into account marital status and gender. Both of these factors will affect the insurance price that you have to pay. If you are married, then you will pay less insurance than other people who are single because they have to pay $ 164 / year more than you.
Meanwhile, if you are a man, you will pay less insurance per year than women. However, the gender factor does not significantly affect the nominal insurance rate as the difference is only about $ 5 per year.
Driving Records and Credit Tier
Sometimes having a good driving record gives you peace of mind when you are looking for car insurance. Especially with this smooth record, you will get a much better insurance rate.
Conversely, DUI faults or as negligence that causes accidents can make insurance rates higher—driving recklessly in Chicago? Drivers may pay a $ 1000 / year insurance increase rate.
You may also see rates skyrocket by $ 920 / year when you have DWI or DUI charges. Plus, you’ll work even harder to find the best insurance rates in Chicago.
Improving your credit score can be helpful when you want to get a low insurance price. If your tier credit is in the 800-850 range, you have the opportunity to get savings of up to 58% compared to when you have a score of 300-579.
Areas in Chicago with the Cheapest and Most Expensive Auto Insurance Rates
You can find some areas with the cheapest insurance rates in the zip code 60625 60647, 60657, and 60618. Whereas areas with postal codes 60617, 60634, 60628, 60629 will have the highest insurance rates.
Best and Cheapest Car Insurances In Chicago
The following are the best insurance companies based on trusted ratings from AM Best and JD Power. Besides, the selection of this insurance is also based on affordability, availability of complete protection options, and the number of discounts for drivers in Chicago.
Below are the cheapest insurance companies in Chicago from some of the trusted insurance providers based on market share.
You can just choose the minimum coverage with the lowest rates, but the consequence is that if there is an accident or theft of a vehicle then you need more expenses. An important tip that you should do when comparing insurance between providers is that you have to know about the coverage needs first and then you can start shopping for the best auto insurance company in Chicago.