Car insurance is a legal requirement for
drivers in Miami, but how much does it cost? The answer depends on many
factors, such as your age, driving record, credit score, vehicle type, coverage
level and the insurance company you choose.
In this post, we will explore the average
prices for car insurance in Miami and some tips to save money on your policy.
How much is car insurance
in Miami?
According to
Bankrate, the average annual cost of car insurance in Miami is $3,483 for full
coverage and $1,168 for minimum coverage. These rates
are higher than the national average of $2,016 for full coverage and $565 for
minimum coverage, and also higher than the state average of $3,190 for full
coverage and $1,101 for minimum coverage.
The reason why car insurance is so expensive
in Miami is because of the high risk of accidents, thefts, vandalism and
natural disasters in the city.
Miami has a population of over 2.7 million
people and is one of the most congested and traffic-prone cities in the
country. It also has a high crime rate, with 3,362 vehicle thefts reported in
2020.
Additionally, Miami is vulnerable to
hurricanes, floods and storms, which can cause significant damage to vehicles.
Which
are the cheapest car insurance companies in Miami?
The cheapest car insurance company in Miami may vary depending on your personal profile and preferences, but based on NerdWallet’s analysis of average rates for a 35-year-old driver with good credit and a clean driving record, the cheapest car insurance companies in Miami are:
State Farm: $2,408 per year for full coverage and $811 per year for minimum coverage.
Geico: $2,552 per year for full coverage and $787 per year for minimum coverage.
Progressive: $3,321 per year for full coverage and $1,393 per year for minimum coverage.
These rates are lower than the city average, but they are still higher than the rates offered by the same companies in other parts of the country.
For example, the national average rates for
State Farm, Geico and Progressive are $1,457, $1,405 and $1,509 per year for
full coverage, respectively.
How can you lower your car insurance rates in Miami?
There are several ways to lower your car insurance rates in Miami, such as:
Shopping around: Comparing quotes from different insurers can help you find the best deal for your needs and budget. You can use online tools like NerdWallet or Bankrate to compare rates from multiple companies in minutes.
Choosing a higher deductible: A deductible is the amount of money you have to pay out of pocket before your insurance kicks in. Choosing a higher deductible can lower your premium, but it also means you will have to pay more in case of a claim. Make sure you can afford the deductible you choose.
Bundling your policies: If you have other types of insurance, such as home, renters or life insurance, you may be able to get a discount by bundling them with your car insurance. Check with your insurer if they offer this option and how much you can save.
Taking advantage of discounts: Most insurers offer discounts for various reasons, such as being a good driver, a good student, a loyal customer, a military member, a senior citizen, a low-mileage driver, a safe driver, a driver with anti-theft devices, a driver with multiple vehicles, etc. Ask your insurer what discounts you qualify for and how to apply for them.
Improving your credit score: Your credit score is one of the factors that insurers use to determine your risk level and your premium. Having a good credit score can lower your rates, while having a bad credit score can increase them.
You can improve your credit score by paying your bills on time, keeping your credit card balances low, checking your credit reports for errors and disputing them, and avoiding applying for new credit frequently.
What are the minimum car
insurance requirements in Miami?
Miami follows the same minimum car insurance
requirements as the rest of Florida, which are:
·
$10,000 of bodily injury liability per person
·
$20,000 of bodily injury liability per accident
·
$10,000 of property damage liability per accident
·
$10,000 of personal injury protection (PIP) per
person
These are the minimum amounts of coverage you
need to drive legally in Miami, but they may not be enough to cover the full
cost of an accident.
If you cause an accident that results in
injuries or damages that exceed your limits, you will have to pay the difference
out of your own pocket.
That is why it is recommended to buy more
than the minimum coverage, especially if you have a valuable vehicle or assets
to protect.
Conclusion
Car insurance in Miami is expensive, but not impossible to afford. By shopping around, choosing the right coverage level, taking advantage of discounts and improving your credit score, you can find a policy that suits your needs and budget. Remember to compare quotes from different insurers at least once a year to make sure you are getting the best deal.
