The words “bargain” and “insurance” really don’t belong together, specifically when searching for the cheapest car insurance for immigrants. Because it’s not cheap, let’s start the ball rolling by going over some of the factors that determine auto insurance premiums, and see if you can reduce the price of the next policy you buy.
Finding decent, affordable car insurance is not the easiest thing to do, and determining which company offers the lowest-priced auto insurance rates for immigrants calls for more quotes for comparison.
Each insurer has a unique formula to set their prices, so we need to take a look at the most budget-friendly auto insurance companies in Honolulu. Keep in mind that Hawaii auto insurance rates are determined by lots of factors that will increase or decrease the price of coverage. This price variation is why Honolulu drivers need to shop around to find cheap car insurance rates for immigrants. Prices can be altered by many different factors and can decrease or increase without notice, so the cheapest option the last time you shopped around may now be costing you a lot of money.
Best Auto Insurance Prices for Migrants
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | USAA | $954 |
| 2 | State Farm | $1,120 |
| 3 | GEICO | $1,376 |
| 4 | Liberty Mutual | $1,464 |
| 5 | Progressive | $1,576 |
| 6 | Allstate | $1,984 |
| 7 | First of Hawaii | $2,006 |
| 8 | AIG | $2,373 |
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USAA normally has some of the most affordable car insurance rates in Honolulu at around $954 each year. This is $642 less than the average price paid by Hawaii drivers of $1,596. State Farm, GEICO, Liberty Mutual, and Progressive also make the cut as some of the more affordable Honolulu, HI auto insurance companies.
In the rate table above, if you currently buy coverage from Liberty Mutual and switched to USAA, you may see a yearly price reduction of around $510. Policyholders with Progressive could save as much as $622 a year, and Allstate policyholders might reduce prices by as much as $1,030 a year.
To find cheaper insurance rates for your vehicle, click here to start your custom quote or visit any of the low-priced companies below.
It’s important to note that these premium estimates are averages for all drivers and vehicles in Hawaii and do not take into consideration a specific vehicle garaging location for immigrants. So the insurer that can offer the best rates for your situation may not even be in the list above. That point stresses why you need to quote rates from as many companies as possible using your own specific driver information and vehicle.
For foreigners, one of the more important considerations that are used to help calculate the price you pay for insurance is where you live. Cities with larger populations tend to pay slightly more, whereas areas with lower crime rates and fewer weather claims tend to receive cheaper rates.
The table below ranks the most expensive cities in Hawaii for immigrants to purchase auto insurance in. Honolulu is ranked at #5 with the annual price of $1,047 for the average insured, which is around $87 per month.
| Rank | City | Premium Per Year |
|---|---|---|
| 1 | Hilo | $1,109 |
| 2 | Kailua | $1,062 |
| 3 | Makakilo | $1,057 |
| 4 | Ewa Gentry | $1,057 |
| 5 | Honolulu | $1,047 |
| 6 | Pearl City | $1,047 |
| 7 | Kaneohe | $1,047 |
| 8 | Ewa Beach | $1,046 |
| 9 | Wahiawa | $1,036 |
| 10 | Mililani Mauka | $1,036 |
| 11 | Kapolei | $1,036 |
| 12 | Mililani Town | $1,016 |
| 13 | Kihei | $1,016 |
| 14 | Royal Kunia | $1,015 |
| 15 | Waipahu | $1,015 |
| 16 | Nanakuli | $1,005 |
| 17 | Waianae | $1,005 |
| 18 | Halawa | $1,005 |
| 19 | Schofield Barracks | $1,005 |
| 20 | Waimalu | $1,005 |
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Premium costs are approximated as the specific garaging location can change insurance rates greatly.
Get discount Honolulu car insurance rates
Auto insurance companies that offer coverage for immigrants may have discounts that may potentially lower prices by as much as 25% or more if you are eligible to receive them. A few of the larger companies and some of their more popular discounts are:
- State Farm has savings for Drive Safe & Save, Steer Clear safe driver discount, student away at school, anti-theft, good student, and defensive driving training.
- Farmers Insurance offers premium reductions for alternative fuel, homeowner, good student, distant student, and early shopping.
- GEICO includes discounts for multi-vehicle, federal employee, air bags, anti-theft, five-year accident-free, membership and employees, and defensive driver.
- American Family may include discounts for defensive driver, air bags, bundled insurance, good student, TimeAway discount, and multi-vehicle.
- Nationwide discounts include accident-free, anti-theft, easy pay, family plan, multi-policy, and business or organization.
- Progressive offers discounts including multi-policy, continuous coverage, multi-vehicle, online quote discount, and homeowner.
The chart below visualizes the comparison of auto insurance costs with and without discounts being applied to the rates. The costs are based on a female driver, no accidents, no driving violations, Hawaii state minimum liability limits, comp and collision included, and $500 deductibles.
The first bar for each age group shows premium with no discounts. The second bar shows the rates with multiple policy, defensive driving course, multiple vehicle, passive restraint, accident-free, and marriage discounts applied. In this example, theaverage yearly reduction on auto insurance for immigrants is 28% or $448.
Do you need full coverage?
Lowering the price of auto insurance should be important to most people, and one of the best ways to pay lower rates for insurance for immigrants is to only buy liability coverage. The information below shows the comparison of yearly insurance costs when comparing full coverage to liability only. The information is based on no accidents or driving violations, $250 deductibles, drivers are not married, and no discounts are taken into consideration.
As an average, physical damage coverage costs an extra $1,895 per year more than buying just liability insurance. That may make you wonder if it’s a good idea to buy full coverage. There isn’t a written rule to eliminate physical damage insurance, but there is a guideline you can consider. If the yearly cost for physical damage coverage is more than 10% of the replacement cost of your vehicle minus the policy deductible, then you may need to consider dropping full coverage.
For example, let’s say your vehicle’s replacement value is $8,500 and you have $1,000 full coverage deductibles. If your vehicle is destroyed, the most your company would pay you is $7,500 after the deductible is paid. If premium cost is more than $750 a year to have full coverage, the it may be a good time to stop paying for full coverage.
There are a few situations where dropping full coverage is not in your best interest. If you have an outstanding loan on your vehicle, you have to maintain full coverage in order to keep the loan. Also, if you can’t afford to buy a different vehicle in the event your current vehicle is totaled, you should not buy liability only.
What is the best auto insurance company in Honolulu?
Buying coverage from the best insurance provider can be a challenge considering how many companies sell coverage in Hawaii. The company ratings in the next section may help you analyze which companies you want to consider when shopping around. The ratings below are only comprised of companies with a nationwide focus, so companies that focus mainly on Hawaii business will not be included in the list.
| Company | Value | Customer Service | Claims | Customer Satisfaction | A.M Best Rating | Overall Score |
|---|---|---|---|---|---|---|
| USAA | 98 | 100 | 100 | 94% | A++ | 98.6 |
| American Family | 98 | 89 | 100 | 86% | A | 95.4 |
| State Farm | 88 | 93 | 96 | 90% | A++ | 92.4 |
| The Hartford | 94 | 92 | 90 | 89% | A+ | 91.7 |
| AAA Insurance | 88 | 89 | 95 | 91% | A | 91.2 |
| GEICO | 84 | 93 | 93 | 89% | A++ | 90.3 |
| Progressive | 84 | 91 | 93 | 87% | A+ | 89.5 |
| Allstate | 85 | 90 | 92 | 88% | A+ | 89.3 |
| Nationwide | 87 | 88 | 84 | 90% | A+ | 88.7 |
| Liberty Mutual | 84 | 87 | 93 | 88% | A | 88.5 |
| Esurance | 85 | 80 | 95 | 87% | A+ | 85.9 |
| Safeco | 85 | 85 | 85 | 86% | A | 85.8 |
| Farmers Insurance | 78 | 87 | 88 | 79% | A | 84.3 |
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Data Source: Insure.com Best Car Insurance Companies
Are you paying too much for car insurance in Honolulu?
Honolulu, HI auto insurance rates are based on many factors that will increase or decrease the price you have to pay. Turning one year older, moving across town, or getting a few speeding tickets can trigger changes in premium resulting in some companies being cheaper than before. In addition to those changes, companies file new Hawaii auto insurance rates as often as every three months in order to be able to pay unexpected claims. Larger than normal claims may cause a rate increase, while a better claims history can produce lower-priced Honolulu car insurance rates.
The chart below shows which companies have the cheapest car insurance in Honolulu, HI for a 35-year-old female driver with no violations or accidents, and good financial standing. Based on her current risk profile, USAA may offer the best car insurance rates in Honolulu at $982 per year. This is $614 less than the average policy premium paid by Hawaii drivers of $1,596. State Farm, GEICO, Liberty Mutual, and Progressive are also on the list of the most affordable Honolulu, HI auto insurance companies.
Now we will pretend the driver in the first example a chargeable accident, a lower credit rating, and a traffic citation. Due to the fact that every auto insurer has their own formula for establishing rates, analyzing rate quotes may result in a substantially altered list of companies as shown below.
State Farm now has the cheapest auto insurance in Honolulu, HI with USAA, First of Hawaii, GEICO, and Liberty Mutual now being in the top five. This illustrates why Hawaii drivers need to take the time to shop around when trying to get the best car insurance quotes for immigrants. Prices can be altered by many risk factors and can increase or decrease at any time, so the most affordable company two years ago may now be one of the more expensive options.