For drivers on welfare, one of the big factors that aid in calculating the price you pay for insurance is your zip code in Lincoln. Areas with more people or more claims tend to pay more, whereas more rural areas benefit from lower prices.
The illustration below rates the highest-priced areas in Nebraska for welfare recipients to buy auto insurance in. Lincoln is ranked at #24 costing $1,106 for the average insured, which is around $92 each month.
| Rank | City | Premium Per Year |
|---|---|---|
| 1 | Scottsbluff | $1,360 |
| 2 | McCook | $1,318 |
| 3 | Gering | $1,317 |
| 4 | Alliance | $1,314 |
| 5 | Lexington | $1,277 |
| 6 | South Sioux City | $1,264 |
| 7 | North Platte | $1,262 |
| 8 | Kearney | $1,236 |
| 9 | Seward | $1,227 |
| 10 | Nebraska City | $1,224 |
| 11 | Beatrice | $1,222 |
| 12 | Omaha | $1,220 |
| 13 | Crete | $1,198 |
| 14 | Hastings | $1,193 |
| 15 | Blair | $1,188 |
| 16 | Grand Island | $1,170 |
| 17 | La Vista | $1,150 |
| 18 | York | $1,145 |
| 19 | Bellevue | $1,144 |
| 20 | Fremont | $1,142 |
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Premium costs are approximated as the specific garaging location can impact coverage prices noticeably.
Finding reasonably-priced insurance is hard enough, and figuring out which companies quote the cheapest auto insurance rates for welfare recipients requires additional perseverance. Every insurance company uses a different method for determining rates, so we’ll go over the most budget-friendly auto insurance companies in Lincoln.
Best Auto Insurance Prices in Nebraska
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | Safeco | $780 |
| 2 | The Hartford | $873 |
| 3 | Allied | $911 |
| 4 | Auto-Owners | $932 |
| 5 | Farmers Mutual of Nebraska | $989 |
| 6 | Farm Bureau Mutual | $990 |
| 7 | Nationwide | $1,007 |
| 8 | State Farm | $1,033 |
| 9 | American National | $1,098 |
| 10 | General Casualty | $1,114 |
| 11 | USAA | $1,162 |
| 12 | American Family | $1,284 |
| 13 | MetLife | $1,293 |
| 14 | GEICO | $1,308 |
| 15 | Iowa Mutual | $1,308 |
| 16 | California Casualty | $1,309 |
| 17 | EMC | $1,340 |
| 18 | Progressive | $1,445 |
| 19 | North Star | $1,642 |
| 20 | Farmers | $1,650 |
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Safeco normally has some of the best car insurance rates in Lincoln at around $780 a year. This is $536 less than the average price paid by Nebraska drivers of $1,316. The Hartford, Allied, Auto-Owners, and Farmers Mutual of Nebraska also make the cut as some of the more affordable Lincoln, NE auto insurance companies.
As illustrated above, if you buy coverage from Allied and switched to Safeco, you may see a yearly savings of about $131. Policyholders with Auto-Owners might save as much as $152 a year, and Farmers Mutual of Nebraska customers might lower prices by $209 a year.
To find the cheapest coverage for you, click here to start your custom quote or quote rates from the companies below.
Bear in mind that those premiums are averages for all types of drivers and the different vehicles they drive and and are not figured with an exact location for welfare recipients. So the insurer that is best for you may not even be in the top 24 companies shown above. That is why you need to compare prices as often as possible using your own individual information.
The illustration below shows how different deductible levels can raise or lower insurance costs when quoting cheap insurance for welfare recipients. The premiums are based on a single female driver, full coverage, and no discounts are taken into consideration.
A 40-year-old driver could cut expenses by $330 a year by switching their comprehensive and collision coverages from a $100 deductible up to a $500 deductible, or save $500 by choosing a $1,000 deductible. Even younger drivers, like the age 20 example, could lower their rates as much as $844 or even more by choosing a larger deductible amount.
If you do decide to increase your deductibles, it is essential to have spare funds to cover the extra out-of-pocket expense. That is the one disadvantage of using higher deductibles.
Liability rates compared to full coverage
Reducing premiums for auto insurance is important to the majority of vehicle owners, and one common way to save on the cost of insurance for welfare recipients is to only buy liability coverage. The information below visualizes the comparison of annual premium costs when comparing full coverage to liability only. The rates are based on no accidents, no driving violations, $500 deductibles, drivers are single, and no discounts are taken into consideration.
On average, comprehensive and collision coverage on your policy costs an additional $1,417 per year over liability only. That may make you wonder if physical damage coverage is worth the money. There is no exact rule of when to drop physical damage insurance, but there is a general school of thought. If the yearly cost for physical damage coverage is 10% or more of the replacement cost of your vehicle minus the policy deductible, then it may be the right time to buy liability only.
Why you are probably overpaying for car insurance
Nebraska auto insurance rates are based on many factors that control the cost of a policy. Turning one year older, buying a different home, or getting a speeding ticket may prompt premium changes that may make certain companies affordable when they were higher priced. In addition, insurance companies change the rates they charge in Nebraska as needed in order to protect their financial rating. Unexpectedly high claims can cause more expensive premiums, while a better loss history may result in lower-priced Lincoln car insurance rates.
To illustrate this point, the bar chart below shows the company with the cheapest car insurance in Lincoln, NE for a 30-year-old male driver with a clean driving record, no accidents, and excellent credit. Based on his current situation, Safeco has the most affordable car insurance rates in Lincoln at $812 annually. This is $504 less than the average rate paid by Nebraska drivers of $1,316. The Hartford, Allied, Auto-Owners, and Farmers Mutual of Nebraska are the remaining cheapest Lincoln, NE auto insurance companies.
Now we will give the driver from the first set of rates a claim, less-than-perfect credit, and a couple of points charged on his driving record. Due to the fact that every auto insurer has a proprietary method to set their prices, comparing insurance quotes may now present a substantially altered list of affordable Lincoln car insurance companies as shown below.
Nationwide now has the cheapest auto insurance in Lincoln, NE with State Farm, General Casualty, American National, and USAA now rounding out the top five. This shows why it is critical to spend some time comparing rates when trying to find the cheapest car insurance quotes for welfare recipients.
Insurance prices are impacted by many risk factors and change substantially, so the cheapest rate a year ago may now cost much more than other companies.