Who Has the Cheapest Car Insurance Rates in Honolulu?

Honolulu is the largest urban center for the island state of Hawaii. The population of the greater Honolulu area is below a million (980,080) which is rather low, compared to other major metro areas. Nevertheless, even Honolulu’s relatively low population density can result in heavy traffic and increased risk for its drivers. In fact, drivers in Honolulu spend a surprisingly long time commuting to work. Their one-way drive time is an average of 27.7 minutes, a time that rivals that of their peers in Southern California.

On top of these long commutes, Honolulu drivers need to be alert for auto theft. The metro area is in the top 100 metro areas for automobile theft. They rank 96th nationally with 2,763 total thefts recorded in 2018. The population-adjusted rate for that year is 281.92 per 100k local residents. These factors all are considered by insurance adjusters when they calculate premiums for their insured drivers.

Honolulu drivers can help to mitigate these factors by taking measures like working from home, carpooling, utilizing public transportation, or cycling to work. Drivers can also be more alert on the road and reduce their premiums by maintaining stellar driving records, good grades in school, and combining their auto policy with other policies such as home insurance.

This page is designed to help Honolulu drivers find the best and most affordable automobile insurance.

What Insurance Coverage is Needed for Drivers in Honolulu

When Honolulu drivers shop for insurance, they might first consider the state law pertaining to minimum requirements for automobile insurance. State law in Hawaii requires that drivers carry insurance that covers $10,000 of medical costs for passengers in the insured’s car and $20,000 per person for those injured by an at-fault driver. These and other costs should be covered by any basic automobile insurance policy, most often referred to as a liability policy.

Liability insurance is the minimum coverage required for Hawaii drivers. It’s tempting to purchase these policies due to the low price tag. However, these insurance packages may be far from optimal depending on what kind of coverage you actually want. That’s because liability doesn’t cover damages when a driver’s car is pelted by a flying debris in a hurricane. Hawaiian motorists should consider a collision or comprehensive policy that can cover incidental damage to their car that results from another motorist or other causes.

Most Expensive and Least Expensive Insurance Rates by Zip Code

Cheap Car Insurance in Honolulu by Insurer

Everybody wants to cut their re-occurring costs and insurance is one bill that can be reduced to help keep monthly costs low. The following chart details the cheapest car insurance companies for Hawaiian drivers. Note that there are other ways to reduce your rates, such as a spotless driving record or combining auto and other policies; even being an excellent student can shave your costs. Consult your insurance agent for specifics.

Compare cheap auto coverage quotes by state.

Low Cost Auto Insurance for Bad Credit in Honolulu

Luckily, Hawaiian insurers are unable to base insurance premiums on a driver’s credit rating. They can only use the driving record when assessing rates. This helps good drivers who have a less-than-good financial history contain their insurance costs and hopefully have the chance to improve their credit. After all, higher premiums make it harder to amend other financial difficulties.

Learn how your credit score determines your car insurance premiums.

Full Coverage Vs. Liability, Which is Best For You?

What is Liability Only Coverage?

Liability-only policies cover any damage you do as a driver, or which results from your automobile. These policies meet the minimum requirement for drivers in Fresno, California and are generally the cheapest. That is because the policy does not cover your car. Thus, if an uninsured driver hits your car, and is at fault, any damage you incur must be repaired at your expense. You will also be unable to make a claim if your car is damaged due to weather or as a result of some other non-driving incident.

What is Full Coverage?

Full coverage is not a category used by insurance companies. Rather, it is a colloquial term used to describe policies that cover both you and other drivers. Thus, if you are in a collision with an uninsured motorist, you can make a claim to repair damage to your car. If your car is injured by some other sort of accident or even vandalism, you can claim those repairs, too.

When you purchase a car on a financing plan, your lender will probably insist that you cover the car with a comprehensive policy that will cover any damage. Even if you purchase a car outright you might want to purchase a comprehensive policy so that your beautiful car remains pristine for as long as possible.

What is the Difference Between the Two Types of Car Insurance?

The main difference between liability and full coverage insurance is that full coverage will cost more than liability insurance and this is because it protects you against many more possible risks that liability doesn’t cover.

In addition, liability insurance only covers other people’s injury claims and damages to other vehicles where full coverage will cover other’s injuries and vehicle damages as well as your injuries and damage to your own vehicle.

Average Annual Car Insurance Rates in Hawaii by City

Additional cities in Hawaii you can check out.

East Honolulu

Pearl City


Ways to Lower Your Auto Insurance Rates

Find additional ways to save on your Honolulu car insurance premiums with these insurance discounts:

  • Don’t Speed

    If you are caught speeding, your license will accrue points. With each additional point, your insurance company considers you more of a liability and so will charge you more for insurance. Stick to local in-town limits and use your cruise control on the highway to avoid excessive speed.

  • Shop Around

    Different insurers charge different premiums for virtually the same policies. Since the essential service is often identical from company to company, you are sure to save money by comparing rates from multiple companies.

  • Avoid Accidents

    When you are at fault in an accident, law enforcement will add points to your license. Further, the other party is likely to file a claim against your policy. When insurers pay out on claims, they typically raise the premiums for those policy holders.

  • Bundled Insurance Packages

    If you have renter’s insurance or are a homeowner, you may be able to add your automobile to the policy. This also goes for other vehicles or even health insurance. Insurance companies love to bundle policies and offer incentives for customers to do so. You will only have one premium payment to make, which makes things easy, and you’ll save money, as well.

  • Insure Multiple Cars

    If you own multiple cars, your per-car rates are bound to be lower if you put them all on the same policy. You can also include a car owned by your spouse or domestic partner. You could also add your partner to health insurance or cover their recreational vehicles under your policy.

Not sure which discounts you may qualify for, consult this guide to learn more.

Factors That Affect Your Car Insurance Premiums

As you can see, car insurance rates are influenced by a complex set of factors, all of them are determined by risk data for each insurance agency. How much each agency charges, though, based upon similar risk data, can vary widely. In the case of younger drivers, they can save literally thousands of dollars each year by shopping around. The insurance agencies will charge drivers different rates for their automobile insurance premiums by their age and marital status, driving record, area they live in, and whether they carry liability-only or full coverage insurance. If the customer opts for collision insurance, the carriers will charge more for a lower deductible.

Since there are so many factors to take into consideration in how much an insurance agency charges you for automobile insurance, it quite literally pays to thoroughly educate yourself about automobile insurance and to shop around for the best quote.

Use this guide to find low cost rates with accidents from the top insurance companies.

Helpful Honolulu, Hawaii Vehicle Resources:

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