Locating budget insurance is challenging, and figuring out which companies quote the best insurance rates for first-time drivers involves even more shopping around. Every car insurance company uses their own method for determining prices, so to begin we’ll rank the overall cheapest insurance companies in Omaha.
It’s important that you understand Omaha, NE insurance rates are impacted by many factors that can increase the price you pay for coverage. Getting older, buying a different home, or having an at-fault accident can trigger rate changes that can cause some rates to be much cheaper than others.
Compare Cheap Insurance Quotes for Inexperienced Drivers
Safeco may offer some of the lowest car insurance rates in Omaha at around $812 annually. This is $504 less than the average policy premium paid by Nebraska drivers of $1,316. The Hartford, Auto-Owners, Allied, and Farm Bureau Mutual also are some of the best Omaha, NE insurance companies.
As illustrated above, if you are a customer of The Hartford and switched to Safeco, you could realize an annual premium reduction of upwards of $27. Customers with Auto-Owners may save as much as $93 a year, and Allied policyholders might lower prices by $127 a year.
To find out how your current rates compare, click here or quote rates from the companies below.
Remember that these premium estimates are averages for all insureds and vehicles and do not factor in a specific location for first-time drivers. So the insurer that can offer you the best price may not even be in the list above. That’s why you need to get car insurance quotes using your own driver and vehicle profiles.
The vehicle driven is one of the biggest factors when quoting the best car insurance for first-time drivers. Vehicles with high performance, poor passenger safety features, or a history of substantial liability claims will cost significantly more to insure than safer models. The table below illustrates auto insurance rates for the cheapest automobiles to buy insurance for.
| Vehicle | Estimated Cost for Full Coverage |
|---|---|
| Honda Accord LX 4-Dr Sedan | $4,015 |
| Honda CR-V EX-L 4WD | $4,053 |
| Ford F-150 XL Regular Cab 2WD | $4,216 |
| Ford Escape Limited 4WD | $4,308 |
| Toyota Prius | $4,349 |
| Ford Edge SE 2WD | $4,469 |
| Ford Explorer XLT 2WD | $4,507 |
| Dodge Grand Caravan SE | $4,513 |
| Honda Odyssey EX W/Rear Entertainment | $4,725 |
| Toyota Tacoma 2WD | $4,733 |
| Chevrolet Impala LS | $4,725 |
| Chevrolet Malibu Hybrid | $4,763 |
| Chevrolet Equinox LS 2WD | $4,770 |
| Jeep Grand Cherokee Laredo 4WD | $4,763 |
| GMC Sierra SLE Crew Cab 2WD | $4,768 |
| Toyota RAV4 Limited 4WD | $4,763 |
| Ford Fusion S 4-Dr Sedan | $4,770 |
| Toyota Camry LE | $4,763 |
| Jeep Wrangler Unlimited Sport 2WD 4-Dr | $4,978 |
| Ford Focus SES 4-Dr Sedan | $4,986 |
| Honda Civic LX 4-Dr Sedan | $4,978 |
| Hyundai Elantra SE 4-Dr Sedan | $5,016 |
| Volkswagen Jetta SE 4-Dr Sedan | $5,056 |
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Data rating is based on single female driver age 17, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Nebraska minimum liability limits. Discounts applied include claim-free, and safe-driver. Information does not factor in vehicle garaging location which can revise prices significantly.
Based on these rates, we can assume that vehicles like the Honda Accord, Honda CR-V, Ford F-150, Ford Escape, and Toyota Prius are likely to be the cheaper vehicles to insure for new drivers. Car insurance rates will be more expensive just because there is a higher risk for first-time drivers, but in general those vehicles will tend to have the cheapest rates compared to other vehicles.
For new drivers, one of the more important criteria that aid in calculating the amount you pay for auto insurance is your zip code. More densely populated places will most likely pay more, whereas areas with fewer weather claims and lower vehicle theft rates benefit from having to pay less for coverage.
The illustration below shows the priciest cities in Nebraska for first-time drivers to purchase a policy in. Omaha is ranked #8 having an annual price of $1,257 for the average insurance policy, which is approximately $105 monthly.
| Rank | City | Premium Per Year |
|---|---|---|
| 1 | McCook | $1,331 |
| 2 | Scottsbluff | $1,320 |
| 3 | Gering | $1,317 |
| 4 | Alliance | $1,314 |
| 5 | South Sioux City | $1,264 |
| 6 | Lexington | $1,264 |
| 7 | North Platte | $1,262 |
| 8 | Omaha | $1,257 |
| 9 | Seward | $1,227 |
| 10 | Kearney | $1,224 |
| 11 | Beatrice | $1,222 |
| 12 | Nebraska City | $1,212 |
| 13 | Crete | $1,210 |
| 14 | Blair | $1,200 |
| 15 | Bellevue | $1,190 |
| 16 | York | $1,180 |
| 17 | Fremont | $1,177 |
| 18 | Grand Island | $1,170 |
| 19 | Columbus | $1,150 |
| 20 | La Vista | $1,150 |
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Information shown are estimated as zip code location can increase or decrease premiums significantly.
Discounts on Omaha insurance
Insurance companies that offer coverage for first-time drivers may additionally offer policy discounts that may potentially lower prices by 25% or more if you meet certain criteria. Larger insurance companies and a summarized list of policyholder discounts are detailed below.
- Progressive has savings for homeowner, online quote discount, multi-policy, multi-vehicle, continuous coverage, online signing, and good student.
- The Hartford may offer discounts for driver training, bundle, good student, vehicle fuel type, and anti-theft.
- Mercury Insurance may include discounts for annual mileage, location of vehicle, multi-policy, type of vehicle, good driver, and good student.
- GEICO may have discounts that include military active duty, five-year accident-free, daytime running lights, driver training, air bags, and defensive driver.
- AAA offers premium reductions for multi-car, education and occupation, anti-theft, AAA membership discount, and good driver.
- State Farm has discounts for safe vehicle, defensive driving training, multiple autos, Drive Safe & Save, Steer Clear safe driver discount, and good driver.
The illustration below illustrates the comparison of insurance costs with and without discounts being applied to the rates. The rate quotes are based on a male driver, no claims or driving citations, Nebraska state minimum liability limits, comp and collision included, and $1,000 deductibles.
The first bar for each age group shows insurance cost with no discounts. The lower bar shows the rates with continuous coverage, anti-theft, paperless filing, paid-in-full, passive restraint, and good student discounts applied. When discounts are applied, theaverage amount saved on insurance for first-time drivers is 28% or $452.
The diagram below demonstrates how deductibles can affect insurance premiums when quoting cheap insurance for first-time drivers. The premiums are based on a single male driver, comp and collision included, and no discounts are applied.
The data above shows that a 30-year-old driver could lower their car insurance rates by $374 a year by changing their physical damage coverage from a $100 deductible up to a $500 deductible, or save $564 by switching to a $1,000 deductible. Young drivers, such as the 20-year-old chart data, have the ability to save up to $1,114 annually by choosing larger deductibles on their policy. If you do make the decision to raise your deductibles, it will be important to have enough spare savings to enable you to pay the extra out-of-pocket expense, which is the primary disadvantage of high deductibles.
A good deal can quickly turn bad
Omaha, NE insurance rates are based on many factors which can substantially decrease or increase the cost of a policy. Improving your credit rating, moving to a different location, or getting caught speeding can cause premium changes that may make certain companies affordable when they were higher priced. In addition to those changes, insurance companies change prices every year to adjust for unexpected claims or profits. Significantly higher claims can result in increased policy costs, while a lower level of claims can result in lower-cost Omaha car insurance rates.
To illustrate this point, the data below shows which company has the cheapest car insurance in Omaha, NE for a 35-year-old female driver with no accidents, a clean driving record, and a good credit rating. Based on her personal risk profile, Safeco has the cheapest car insurance rates in Omaha at $961 a year. This is $355 less than the average price paid by Nebraska drivers of $1,316. The Hartford, Auto-Owners, Allied, and Farm Bureau Mutual also make the list of the top five cheapest Omaha, NE auto insurance companies.
The example below compares rates after we give the driver in the first example some claims, less-than-perfect credit, and a blemish on her driving record. Because each company has their own guidelines to establish rates, getting updated rate quotes may result in a completely different list of affordable companies as shown below.
State Farm now has the cheapest auto insurance in Omaha, NE with Nationwide, General Casualty, American National, and USAA now being in the top five. This example demonstrates why consumers need to compare rates when trying to find the most budget-friendly auto insurance rates for first-time drivers. Auto insurance prices consist of many things and can increase or decrease at any time, so the best option when you bought your policy may now be costing you a lot of money.
If you have questions and prefer to get some professional advice when shopping for the best coverage for new drivers, the agents listed below can probably aid you in deciding which coverages are best.
To locate an Omaha car insurance agency close to where you live, click the button below the list.
- State Farm® insurance – Cort Bonner
3125 N 120th St – Omaha, NE 68164 – (402) 934-4141 - American Family Insurance – Robert Vacanti Agency Inc.
2928 N 108th St – Omaha, NE 68164 – (402) 496-1550 - Action Insurance
12100 W Center Rd #208 – Omaha, NE 68144 – (402) 697-8181 - Aaron Stockton – State Farm Insurance Agent
1411 N 72nd St – Omaha, NE 68114 – (402) 551-3455
View more Omaha, NE insurance agents
Tips to find cheaper auto insurance for first-time drivers
The list below summarizes many penny-pinching solutions that can help Nebraska drivers locate cheap car insurance.
- Improve your credit rating
- Increase physical damage deductibles
- Avoid getting tickets or violations
- Insure your home and auto with the same company
- Avoid accidents
- Too many claims can make car insurance unaffordable
- Keep rates low by comparing prices once a year
That last idea is remarkably necessary, as was discussed in the article above. Car insurance rates change frequently, so don’t be tentative to buy a policy from a new company if a cheaper rate is available.
Staying with the same company for years is fine, but it’s not a great idea if that devotion results in you overpaying money that could be used for better things. It only take a few minutes to shop around to find cheaper auto insurance for first-time drivers in Omaha.