Car Insurance in Tempe, AZ

Dust storms, distractions, and speeding are many reasons why drivers in Tempe get into accidents. Whether you find yourself in a multi-vehicle collision on Interstate 10 or a fender-bender on Broadway Road, a good car insurance policy can shield you from significant financial losses.

Independent agents in Tempe can answer your questions about auto insurance and help you find the coverage you want at the most competitive price. Contact an independent insurance agent near you to start comparing a selection of customized car insurance quotes.

How Much Does Car Insurance Cost in Tempe, AZ?

The average cost of car insurance in Arizona is lower than the national average. However, premiums in Tempe tend to be higher.

• National average annual car insurance cost: $1,311
• Arizona average annual car insurance cost: $1,103
• Tempe average annual car insurance cost: $1,366

The price for coverage can vary significantly from one driver to the next because insurance companies calculate rates based on several factors such as:

• Details about your car, like its year, make, model, and value
• Details about you, like your age, occupation, driving record, claims history, and credit score
• Information about other licensed drivers in your household
• The amount of liability insurance you want to buy
• The coverage options (if any) you wish to include in your policy
• The size of your deductible

Comparing rates lets you be sure you are getting your coverage at a competitive price. This has the potential to save you hundreds of dollars a year.

Some people can save even more money by qualifying for car insurance discounts. Some potential discounts you may see offered by car insurance companies include rate reductions for:

• Bundling your coverage
• Having a safe driving record
• Being a good student
• Being a member of the armed forces
• Insuring more than one vehicle

Ask about all potential discounts when requesting customized car insurance quotes.

Is Car Insurance Required in Tempe, AZ?

Arizona law mandates that all residents of Tempe must cover their vehicles with a car insurance policy that meets or exceeds the state’s minimum coverage requirements.

That means that at a minimum, you must have a car insurance policy that includes liability insurance, which pays for injuries and property damage you may cause to other people if you are at fault for a collision. Your liability car insurance must include at least:

• Bodily-injury liability coverage per person: $25,000
• Bodily-injury liability coverage per accident: $50,000
• Property damage liability coverage per accident: $15,000

Some people try to save money by purchasing a simple, minimum-coverage policy. However, doing so can cost you more in the long run. If you cause an accident and your liabilities exceed your policy’s coverage limits, you will need to make up the difference, which can get very expensive.

Instead, many drivers in Tempe opt to purchase much more liability coverage than the state requires. Umbrella insurance provides an affordable solution for those who want to boost their liability coverage even higher than the limits their car insurance can offer.

What Else Does Car Insurance Cover in Tempe?

In addition to the mandatory liability insurance that the state requires, most insurance companies offer their policyholders several coverage options. These include things like:

• Physical damage coverage: This is typically required by lenders and dealerships if you are financing or leasing your car. It pays to repair or replace your vehicle if lost or damaged. Physical damage coverage includes:
  • Collision insurance: This covers the cost to repair or replace your vehicle if it is damaged or totaled in a collision, regardless of fault.
  • Comprehensive insurance: This covers the cost to repair or replace your vehicle if it is damaged or destroyed by a non-collision event such as a windstorm or theft.
• Uninsured motorist insurance: This covers medical treatments if you or your passengers are injured in a collision that an uninsured or underinsured driver caused.
• Medical payments insurance: This helps pay for medical treatments if you or your passengers are injured in a collision, regardless of fault. It can supplement the coverage offered by your health insurance by covering extra expenses like ambulance rides and copays.
• Roadside assistance: This covers the cost of assistance and tow truck services if your vehicle becomes disabled while on the road, like getting a flat tire or blowing a head gasket.
• Gap insurance: This can be beneficial in the first year or two of new car ownership when cars depreciate quickly. It can bridge the gap between your car's value and how much you still owe on your car loan. Therefore, if your vehicle is totaled in a covered event, you will have enough compensation to pay off your loan.
• Rental reimbursement coverage: This can cover the cost of renting a car while your vehicle is being repaired for damage that was sustained in a covered event.

Independent agents can help you review the details and costs of all offered coverage options. That way, you can decide which options are a good fit for you and your family.

Save on Car Insurance

Our independent agents shop around to find you the best coverage.

Request a Quote

What Is the Penalty for Driving without Car Insurance in Tempe, AZ?

Driving without insurance is illegal in Arizona. If caught, you can face penalties including:

• A civil penalty of $500 to $1,000
• The suspension of your driving privileges for three months to a year
• The need to pay a reinstatement fee to get your driving privileges back
• Higher car insurance rates

Additionally, if you cause an accident while you are uninsured, you will be responsible for paying for any injuries or property damage you may have caused. Depending on the severity of the accident, these costs can be overwhelming.

Despite this, more than one out of ten motorists in this state are driving uninsured vehicles.

• Percentage of US drivers who are uninsured: 13.0%
• Percentage of Arizona drivers who are uninsured: 12.0%

This is why many drivers in Tempe opt to include uninsured motorist insurance in their car insurance policies.

If you or your passengers are injured in a collision with an uninsured driver, this optional insurance can pay for your medical treatments. This saves you from the need to go through lengthy legal channels in an attempt to receive what is owed to you.

How High Is the Auto Theft Rate in Tempe, AZ?

The auto theft rate in Arizona is higher than the national average, and in Tempe, the rate is even higher. Residents of this city report around 500 vehicle thefts a year.

• National auto theft rate per 1,000 people: 2.29
• Arizona auto theft rate per 1,000 people: 2.67
• Tempe auto theft rate per 1,000 people: 3.09

Your car insurance company can reimburse you for a stolen vehicle, but only if your policy includes comprehensive coverage.

If you are leasing or financing your vehicle, chances are good you have this optional coverage already. If not, you may want to ask how much it would cost for you to add comprehensive coverage to your auto insurance policy.

What Are the Best Car Insurance Companies in Tempe, Arizona?

Qualities that make some insurance companies stand out above the rest include responsive customer service, reliable coverage, and competitive rates.

Independent insurance agents in Tempe have teamed up with some of the best car insurance companies in Arizona. Your agent can help you review policies and customized auto insurance quotes from these top-rated providers.

How Can an Independent Agent in Tempe, AZ Help Me Find the Best Car Insurance Policy?

Independent agents make shopping for car insurance easy. These agents can explain your various coverage options and answer your insurance-related questions. Also, because they are not tied to just one insurance provider, they can help you obtain and compare policies and rates from multiple companies.

It doesn’t cost anything to work with one of these experienced insurance professionals. Arrange an obligation-free meeting with an independent insurance agent in Tempe to start comparing customized car insurance rates.