Deciphering which companies offer the cheapest insurance rates for welfare recipients will require more work than just comparing a company or two.
Each company has their own formula for determining prices, so let’s take a look at the most affordable insurance companies in Boston, MA.
Find Cheaper Car Insurance in Massachusetts
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | State Farm | $711 |
| 2 | National Grange Mutual | $807 |
| 3 | GEICO | $868 |
| 4 | OneBeacon | $885 |
| 5 | Commerce Group | $911 |
| 6 | Progressive | $1,019 |
| 7 | Arbella | $1,030 |
| 8 | USAA | $1,044 |
| 9 | Norfolk and Dedham | $1,046 |
| 10 | Amica | $1,131 |
| 11 | Vermont Mutual | $1,284 |
| 12 | Travelers | $1,310 |
| 13 | Safety Group | $1,326 |
| 14 | Quincy Mutual | $1,333 |
| 15 | Hanover | $1,399 |
| 16 | Peerless | $1,414 |
| 17 | MetLife | $1,439 |
| 18 | Plymouth Rock | $1,603 |
| 19 | Allstate | $1,755 |
| 20 | Liberty Mutual | $1,806 |
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State Farm offers some of the cheapest car insurance rates in Boston at around $711 annually. This is $524 less than the average price paid by Massachusetts drivers of $1,235. National Grange Mutual, GEICO, OneBeacon, and Commerce Group would also be considered some of the lowest-priced Boston, MA auto insurance companies.
In the above rates, if you currently have coverage with GEICO and switched to State Farm, you might see a yearly savings of in the neighborhood of $157. Policyholders with OneBeacon might save as much as $174 a year, and Commerce Group customers might reduce prices by as much as $200 a year.
Bear in mind that those premium estimates are averages across all drivers and vehicles and and are not figured with a specific zip code for welfare recipients. So the company that is best for you may not even be in the top 21 companies in the list above. That is why you need to quote rates from many companies using your own personalized driver profile and vehicle information.
One of the many criteria that are looked at to help calculate the price you pay for insurance is where you live in Boston. Cities with larger populations or higher claim trends will most likely pay more, whereas areas with lower vehicle theft rates and fewer weather claims have the enjoyment of a little cheaper coverage.
The table below ranks the priciest cities in Massachusetts for welfare recipients to buy an auto insurance policy in. Boston is ranked at #7 with the yearly price of $1,788 for car insurance, which is about $149 per month.
| Rank | City | Premium Per Year |
|---|---|---|
| 1 | Revere | $2,213 |
| 2 | Brockton | $2,080 |
| 3 | Lynn | $1,939 |
| 4 | Malden | $1,917 |
| 5 | Springfield | $1,908 |
| 6 | Lawrence | $1,896 |
| 7 | Boston | $1,788 |
| 8 | New Bedford | $1,768 |
| 9 | Worcester | $1,746 |
| 10 | Fall River | $1,666 |
| 11 | Somerville | $1,599 |
| 12 | Medford | $1,574 |
| 13 | Quincy | $1,534 |
| 14 | Lowell | $1,527 |
| 15 | Cambridge | $1,491 |
| 16 | Weymouth | $1,491 |
| 17 | Chicopee | $1,470 |
| 18 | Haverhill | $1,468 |
| 19 | Taunton | $1,440 |
| 20 | Framingham | $1,432 |
| 21 | Peabody | $1,420 |
| 22 | Brookline | $1,400 |
| 23 | Newton | $1,364 |
| 24 | Methuen | $1,361 |
| 25 | Waltham | $1,341 |
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Prices are comparative as the specific geographic location can increase or decrease premiums substantially.
Types of discounts on Boston auto insurance
Car insurance companies that sell policies for welfare recipients may provide discounts that could potentially reduce rates by as much as 40% or more if you meet specific criteria. Larger insurance companies and their offered discounts are included below.
- State Farm may include discounts for defensive driving training, good student, Steer Clear safe driver discount, good driver, accident-free, and passive restraint.
- Farmers Insurance includes discounts for distant student, alternative fuel, youthful driver, mature driver, good student, and pay in full.
- GEICO may have discounts that include driver training, military active duty, seat belt use, air bags, daytime running lights, and anti-lock brakes.
- American Family offers discounts including good student, multi-vehicle, air bags, accident-free, early bird, TimeAway discount, and bundled insurance.
- Nationwide has savings for good student, business or organization, family plan, accident-free, and easy pay.
- Progressive offers premium reductions for online quote discount, good student, multi-vehicle, homeowner, online signing, multi-policy, and continuous coverage.
The chart below shows the difference between auto insurance rates with and without policy discounts. The premium estimates are based on a female driver, no claims, a clean driving record, Massachusetts state minimum liability limits, full physical damage coverage, and $250 deductibles. The first bar for each age group shows premium with no discounts. The second bar shows the rates with homeowner, marriage, accident-free, safe-driver, multiple vehicle, and anti-theft discounts applied. In this example, theaverage amount saved on insurance for welfare recipients is 28% or $620.
The chart below shows how different deductible levels can raise or lower insurance rates when getting quotes for cheap insurance for welfare recipients. The rates are based on a single female driver, comp and collision included, and no discounts are applied to the premium.
As shown above, a 50-year-old driver could lower rates by $266 a year by switching the physical damage coverage from a $100 deductible up to a $500 deductible, or save $400 by using a $1,000 deductible. Even younger insureds, such as the Age 20 example, can save $672 every year just by choosing larger deductibles.
When using a larger deductible, it is a good idea to have additional funds in a savings account to enable you to pay the extra out-of-pocket expense, which is the main disadvantage of using high deductibles.
Massachusetts insurance companies
Insuring your vehicle with a good quality insurance company is difficult considering how many choices there are in Boston. The ranking information in the lists below could help you decide which auto insurance companies you want to consider when shopping insurance around for welfare recipients. These ratings are for major nationwide insurance companies, so smaller companies are not taken into consideration for the list.
| Company | Value | Customer Service | Claims | Customer Satisfaction | A.M Best Rating | Overall Score |
|---|---|---|---|---|---|---|
| The Hartford | 88 | 96 | 91 | 93% | A+ | 92.6 |
| Progressive | 84 | 94 | 99 | 90% | A+ | 92.4 |
| Travelers | 84 | 93 | 100 | 87% | A++ | 92.3 |
| State Farm | 84 | 93 | 95 | 87% | A++ | 91 |
| Farmers Insurance | 87 | 92 | 90 | 85% | A | 90.6 |
| Safeco Insurance | 85 | 91 | 87 | 86% | A | 88.4 |
| USAA | 71 | 93 | 98 | 87% | A++ | 88 |
| GEICO | 73 | 93 | 95 | 85% | A++ | 87.1 |
| Liberty Mutual | 72 | 91 | 97 | 83% | A | 86.4 |
| AAA Insurance | 85 | 85 | 88 | 86% | A | 85.8 |
| Allstate | 69 | 92 | 92 | 83% | A+ | 84.4 |
| American Family | 77 | 96 | 80 | 85% | A | 83.8 |
| Esurance | 70 | 80 | 89 | 77% | A+ | 79.2 |
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Data Source: Insure.com Best Car Insurance Companies
Don’t make the mistake of not shopping around
Massachusetts insurance rates are influenced by many factors which can significantly increase or decrease the price of coverage. Improving your credit score, marrying your spouse, or getting a DUI may prompt premium changes that can cause some rates to be cheaper than before.
Not only may things change on your end, but auto insurance companies amend pricing every year or even multiple times each year to adjust for unexpected claims or profits. Larger than normal claims may cause high rates, while a better claims history may produce cheaper Boston car insurance rates.
For instance, the bar chart below shows the cheapest car insurance in Boston, MA for a 40-year-old female driver with no prior accidents, a clean driving record, and a decent credit rating. If we compare prices based on her current risk profile, State Farm may have the most affordable car insurance rates in Boston at $958 annually. This is $277 less than the average premium paid by Massachusetts drivers of $1,235. National Grange Mutual, GEICO, OneBeacon, and Commerce Group are also on the list of the top five cheapest Boston, MA auto insurance companies.
Let’s now give the driver from the above example a couple of claims, slightly worse credit, and a speeding ticket. Since every car insurance company has their own guidelines for filing rates in each state, comparing quotes could result in a completely different list of the cheapest car insurance companies in Boston as shown below.
Arbella now has the best car insurance rate in Boston with USAA, Norfolk and Dedham, Amica, and National Grange Mutual now rounding out the top five. This example illustrates why it is so important to perform a complete rate comparison when trying to find the cheapest auto insurance rates for welfare recipients.
Insurance rates are calculated by many risk factors and change dramatically, so the best price two years ago may now be wasting a lot of money.