Why do You Need Auto Insurance?
Even though it’s expensive, maintaining auto insurance is required for several reasons.
First, almost all states have mandatory liability insurance requirements which means you are required to carry a specific level of liability in order to drive the car legally. In Oregon these limits are 25/50/20 which means you must have $25,000 of bodily injury coverage per person, $50,000 of bodily injury coverage per accident, and $20,000 of property damage coverage.
Second, if you have a loan on your vehicle, almost every bank will make it mandatory that you buy insurance to guarantee payment of the loan. If you do not keep the policy in force, the bank will be required to insure your vehicle at a more expensive rate and force you to pay a much higher amount than you were paying before.
Third, insurance safeguards not only your vehicle but also your assets. Insurance will also pay for many types of medical costs for you, any passengers, and anyone injured in an accident. Liability coverage, the one required by state law, also pays for attorney fees and expenses if you are sued as the result of your driving. If you receive damage to your vehicle caused by a storm or accident, comprehensive (other-than-collision) and collision coverage will pay all costs to repair after the deductible has been paid.
The benefits of buying enough insurance definitely exceed the cost, particularly if you ever have a claim. In a recent study of 1,000 drivers, the average customer is overpaying over $810 a year so compare rates at least once a year to ensure rates are competitive.
Whether you pay cheap or expensive rates for car insurance coverage depends on a wide range of factors, but the average policy rate in Portland is around $1,060 per year. On average, drivers in other states pay approximately $1,230 a year, so Portland drivers actually have it pretty good when it comes to affordability.
Auto insurance rates in Portland are calculated based upon a lot of variables, and one important factor is the car, truck, or SUV you are insuring. The rate data below details insurance cost for some of the most popular vehicles sold in Portland.
| Make, Model, and Trim Level | Annual Cost | Semi-Annual Cost | Monthly Cost |
|---|---|---|---|
| Chevrolet Silverado Crew Cab Hybrid 4WD | $1,178 | $589 | $98 |
| Dodge Ram Quad Cab SLT 4WD | $1,094 | $547 | $91 |
| Ford Edge SE AWD | $988 | $494 | $82 |
| Ford Escape XLS 4WD | $850 | $425 | $71 |
| Ford Explorer XLT AWD | $948 | $474 | $79 |
| Ford F-150 Lariat Crew Cab Harley 4WD | $1,118 | $559 | $93 |
| Ford Focus SE 2-Dr Coupe | $1,134 | $567 | $95 |
| GMC Sierra SLE Crew Cab 2WD | $1,094 | $547 | $91 |
| Honda Accord EX-L 2-Dr Coupe | $1,156 | $578 | $96 |
| Honda CR-V EX-L 2WD | $872 | $436 | $73 |
| Honda Civic LX 2-Dr Coupe | $1,232 | $616 | $103 |
| Hyundai Elantra Blue 4-Dr Sedan | $1,050 | $525 | $88 |
| Jeep Grand Cherokee Limited 4WD | $1,094 | $547 | $91 |
| Jeep Wrangler Rubicon 4WD 2-Dr | $948 | $474 | $79 |
| Kia Optima EX | $1,156 | $578 | $96 |
| Nissan Altima 2.5 S 4-Dr Sedan | $1,072 | $536 | $89 |
| Toyota Camry XLE | $1,072 | $536 | $89 |
| Toyota Corolla XRS | $1,094 | $547 | $91 |
| Toyota Prius | $956 | $478 | $80 |
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Data rating is based on single male driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and Oregon minimum liability limits. Discounts applied include multi-policy, claim-free, homeowner, safe-driver, and multi-vehicle. Premium amounts do not factor in vehicle garaging location which can influence premium rates significantly.
The information below shows how different deductible levels and can impact insurance costs for each age group. Data assumes a single female driver, full physical damage coverage, and no discounts are applied.
How to find cheaper Portland car insurance rates
The most effective way to find low-cost auto insurance rates in Portland is to compare prices once a year from providers in Oregon.
- First, get an understanding of the different coverages in a policy and the changes you can make to prevent expensive coverage. Many factors that drive up the price such as traffic violations and a bad credit score can be controlled by paying attention to minor details. Read the full article for the details to help reduce premium rates and get discounts that may be overlooked.
- Second, obtain price quotes from exclusive agents, independent agents, and direct providers. Direct and exclusive agents can only give prices from one company like Progressive or Farmers Insurance, while agents who are independent can give you price quotes from multiple companies.
- Third, compare the quotes to the premium of your current policy to determine if switching companies saves money. If you find a better price, verify that coverage does not lapse between policies.
- Fourth, give notification to your agent or company to cancel the current policy and submit the required down payment along with the signed application for your new policy. Make sure you place your new certificate verifying proof of insurance with your registration paperwork.
The critical component of shopping around is to compare identical coverages on each price quote and and to look at as many different insurance providers as possible. This guarantees a fair rate comparison and plenty of rates choose from.
| 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 |
| The General | 89 | 91 | 89 | 88% | A- | 90 |
| Titan Insurance | 90 | 87 | 91 | 95% | A+ | 89.6 |
| Progressive | 84 | 91 | 93 | 87% | A+ | 89.5 |
| Mercury Insurance | 88 | 91 | 90 | 85% | A+ | 89.4 |
| 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 |
| 21st Century | 85 | 86 | 87 | 88% | A | 86.7 |
| Esurance | 85 | 80 | 95 | 87% | A+ | 85.9 |
| Safeco | 85 | 85 | 85 | 86% | A | 85.8 |
| Travelers | 80 | 87 | 87 | 83% | A++ | 85.2 |
| Compare Rates Now Go | ||||||
Learn how to lower your car insurance costs
Lots of things are considered when quoting car insurance. Some of the criteria are obvious such as your driving record, but other criteria are more transparent like where you live and annual miles driven. One of the most helpful ways to save on car insurance is to to have a grasp of the factors that play a part in calculating the price you pay for car insurance. If you understand what determines base rates, this enables you to make decisions that can earn you lower rates.
Extra coverages you don’t use – There are a ton of optional add-on coverages that sound like a good idea at the time on your policy. Coverage for things like rental car coverage, towing coverage, and membership fees could be just wasting money. They may sound like good ideas initially, but if you’ve never needed them in the past get rid of them and save.
Use credit responsibly and save – Credit score can be a huge factor in determining what you pay for car insurance. If your credit history is not that good, you could be paying less to insure your vehicle by taking the time to improve your credit score. Insureds that have excellent credit tend to be better risks to insure than drivers with lower ratings.
Combine policies to earn discounts – The majority of insurers apply a discount to customers that have more than one policy in the form of a multi-policy discount. Even though this discount sounds good, it’s still a good idea to get quotes from other companies to make sure you are getting the best deal.There is a chance you can find a better deal by buying car insurance from a different company.
High premiums for teen drivers – Teenage drivers in Oregon are known to be inattentive in a vehicle therefore car insurance rates are much higher. Older insureds tend to be more responsible, tend to file fewer claims, and receive fewer citations.
Liability is important – Liability coverage will provide protection when you are found liable for damages from an accident. This coverage provides legal defense which can be incredibly expensive. Liability is cheap when compared with rates for comp and collision, so buy as much as you can afford.
More performance means higher rates – The type of vehicle you need to insure makes a huge difference in your car insurance bill. Small economy passenger cars receive the most favorable rates, but the final cost of insurance is determined by many other factors.
How many miles do you drive? – Driving more miles in a year the more you’ll pay to insure it. Almost all companies charge rates based upon how much you drive. Vehicles that have low annual miles receive better premium rates than those that get driven frequently. It’s a good idea to make sure your car insurance policy is showing the proper vehicle usage.
Higher rates for specific occupations – Careers such as real estate brokers, business owners, and medical professionals tend to pay the highest rates attributed to intense work requirements and lots of time spent at work. Conversely, professions such as actors, students and homemakers have the lowest average rates.