When you start browsing for the best car insurance in Delaware, it’s essential to consider all of your options carefully.
Getting a great price is fantastic, but it’s just as important to get a good product for your money.
You can accomplish this by comparing the claims processes, coverage options, and customer reviews and ratings for each insurer in the First State.
These steps help make sure the company you select can be relied upon if you have to file a claim.
Many factors impact your insurance rates, including your age, gender, driving record, and the make and model of your vehicle.
Similarly, where you live affects your rates.
Understanding how these factors influence the premiums insurers quote you can help you strategize to obtain the best deal.
The information below can help you gain a better understanding of how the price of car insurance is determined for Delaware drivers and prepare you to find the policy with the best coverage and price for your needs.
The Average Cost of Car Insurance in Delaware
This guide can help you answer the question, “How much is car insurance in Delaware?”
Knowing about the price of car insurance for most drivers in Delaware helps you determine if your quotes are reasonable.
According to the National Association of Insurance Commissioners, insurance rates in Delaware increased between $20 to $40 per year between 2011 and 2015.
Compared with surrounding states, except New Jersey, the average price of insurance in Delaware is much higher.
It’s also significantly higher than the national average.
As such Delaware ranks as the eighth most expensive state on the Insurance Information Institutes Top Most Expensive States for auto insurance.
|Average Cost of Car Insurance in Delaware||$1,241|
|Average Cost of Car Insurance in Pennsylvania||$971|
|Average Cost of Car Insurance in Maryland||$1,116|
|Average Cost of Car Insurance in New Jersey||$1,383|
|Countrywide Average Cost of Car Insurance||$1,009|
When you look for car insurance, remember that other factors besides your driving history impact your rates.
One of those factors is your place of residence, which encompasses several items specific to where you live, including:
1. Traffic Conditions in Delaware
Traffic density and accident rates directly affect the rate you pay for insurance.
It’s important to review these statistics, keeping in mind that rates in metropolitan areas such as Wilmington and Dover are normally higher than in rural areas throughout the state.
According to the NAIC’s Auto Insurance Database Report on traffic density, there were 1,497,800 vehicle miles driven per highway mile throughout Delaware in 2014.
This figure is calculated as the number of vehicle miles traveled (all the miles traveled by all the cars) against miles of road (all the highways in the state).
Delaware’s traffic density was much higher than the countrywide average of 724,348. Vehicle miles per registered vehicle was 10,349, which is lower than the U.S. average of 12,010.
Fatal accidents in Delaware occurred at a rate of 0.13 per 1,000 registered vehicles, which is on par with the U.S. average of 0.13.
The high traffic density in Delaware may increase insurance rates for drivers throughout the state, but the lower fatality rate might offset that somewhat.
2. Vehicle Theft Rates in Delaware
According to the Insurance Information Institute, Delaware ranks sixth in the top 10 states with the fewest motor vehicle thefts.
Throughout the state, 159.7 auto thefts occurred per 100,000 residents in 2016, largely in the state’s metropolitan areas. This rate is below the U.S. average of 236 motor vehicle thefts per 100,000 residents.
Throughout 2016, 86 Honda Accords and 71 Honda Civics were stolen.
Other vehicles that are common targets of theft in the state are the Toyota Camry, Nissan Altima, and Jeep/Grand Cherokee.
To help reduce insurance costs, choose a vehicle with lower theft rates.
3. Population Density in Delaware
According to the NAIC, population density may not have a direct effect on your insurance rate.
However, it impacts your rates indirectly because areas with higher population densities have a greater number of vehicles, so there’s an increase in crime and accident rates.
In Delaware, the population density in 2014 was 478 persons per square mile, which is more than five times the national rate of 90. Most of Delaware’s population, 77.9 percent, lives in metropolitan areas.
Those who reside in rural areas may receive lower insurance rates.
4. Disposable Income in Delaware
Another metric that influences insurance rates is the average disposable income throughout the state.
States with higher disposable incomes typically have more high-value cars, resulting in a higher risk for insurance companies.
According to the NAIC, the per capita disposable income per person in 2014 was $40,256, just below the national average of $40,859.
It’s important to note that income varies in metropolitan and rural areas with those living in large cities generally having higher incomes.
7 Best Car Insurance Companies in Delaware
When you shop for car insurance in Delaware, ask for quotes from a minimum of three insurance companies so you can compare each one’s coverage, rates, discounts, reviews, and financial strength.
Some companies offer very low rates but may not serve their customers’ needs regarding coverage.
That’s why it’s best to shop around and find an insurance provider that has the best value for the coverage you require.
If you want to make sure you’re getting insurance from a reliable provider, look for reputable companies with recognizable names, such as:
Allstate started in 1931 as a small insurance company but has grown its business so that it now offers insurance policies to over 16 million households. It provides home, auto, and business policies and is well-known for its safe driving bonus.
Esurance is a subsidiary of Allstate and has over 5 million drivers subscribing to its simple insurance plans that provide no-frills coverage at a reasonable rate. It also allows policyholders to file claims online.
3. Liberty Mutual
Liberty Mutual boasts insurance services for personal auto, life, and home insurance, and it also sells commercial underwriting services. The company has a global presence, and its perks include a 12-month rate guarantee as well as a new car replacement policy.
Metlife provides an array of insurance and financial services to clients. Its insurance policy offerings include auto, dental, health, home, and life. Policyholders may qualify for a slew of discounts.
Progressive, founded in 1937, has a great reputation for its reliable coverage for American drivers. It offers low auto insurance rates and friendly, professional customer service.
6. American Family Insurance
American Family Insurance, based in Wisconsin, was founded in 1927 and offers auto and other insurance. The company is committed to customizable plans based on their customer’s needs and location, and its service interactions have been highly rated.
Travelers sells auto insurance and is dedicated to corporate citizenship and environmentally friendly practices. With roots that go back to 1853, the company has an array of coverage and discount options.
What Car Insurance Coverages Are Mandatory in Delaware?
In most states, there are minimum auto insurance requirements.
According to the Delaware Department of Insurance, all drivers must have liability insurance.
The limits defined by the state for how much coverage each driver needs are as follows:
- $25,000 for injuries per person
- $50,000 for total injuries per accident
- $10,000 for property damage
Drivers in Delaware must show proof of insurance to register their vehicle.
How to Reduce the Cost of Your Car Insurance in Delaware
When you buy car insurance, you’re protecting yourself from high medical bills or costly repairs to your vehicle.
Many people experience sticker shock when they first receive quotes from insurers.
However, it’s far cheaper than the cost of paying extremely high deductibles or paying for damage that is typically covered by insurance.
Although auto insurance is a large part of many people’s budgets, you can take steps to keep costs affordable.
Once you’ve chosen the best car insurance for your vehicle in Delaware, take the time to follow these suggestions to lower your insurance rate:
- Request an increase to your deductible to lower your premium.
- Bundle your auto policies with your home, life, and other policies.
- Reduce coverage on older vehicles whose value may not warrant expensive coverage.
- Pay your insurance policy a year at a time, or set up automatic payments to take advantage of discounts.
- Buy a vehicle with safety features that can score you a discount on your insurance.
Most insurance providers offer discounts or credits when policyholders show consistently safe driving habits, and you can often receive a reduced rate for a student driver with good grades.
As you shop around for an insurance policy, keep the following information handy, so you receive an accurate quote with all possible discounts:
- Vehicle information such as the make, model, year, VIN, usage habits (mileage, types of travel), safety features, and anti-theft devices
- Household data such as address and parking accommodations and an estimate of assets that you want to include in your coverage
- Information for all drivers on your policy, including their age and driving history
- For teen drivers, include the grades if your child is a B student or better
What Can Increase the Cost of Your Car Insurance in Delaware?
We have discussed many factors that can lower your insurance premiums, but it’s just as important to avoid circumstances that lead to higher rates.
Although some items are beyond your control, others depend on your personal or driving habits.
- Vehicle Value: A vehicle with a higher price is probably going to result in a higher insurance premium because the cost of repairs or replacement is logically going to be more expensive, especially if you’re involved in an accident. Choose a car with a lower total value to help keep your rates down.
- Vehicle Safety Ratings: Pay attention to vehicle safety ratings before you buy a car to help keep your rates down. Conversely, a vehicle that has consistently been given negative ratings in the IIHS or NHSTA safety tests is probably going to increase your insurance rates.
- Driving Record: Higher insurance rates can also be the result of multiple traffic violations or driving under the influence. Taking the time to enroll in traffic courses if you do get a ticket can help keep your rate down.
Equipped with the above information, you should feel confident enough to answer your question, “How much is car insurance in Delaware?”
You now have the tools to effectively compare top insurance companies and decide which one offers the best value and coverage for your needs.*While we make every effort to keep our site updated, please be aware that "timely" information on this page, such as quote estimates, or pertinent details about companies, may only be accurate as of its last edit day. Huntley Wealth & Insurance Services and its representatives do not give legal or tax advice. Please consult your own legal or tax adviser.