Who Has the Cheapest Albuquerque Auto Insurance for a GMC Sierra?

Buying the cheapest car insurance for a GMC Sierra can be really easy, but it hinges on a large number of factors such as how far you drive to work, the likelihood of your vehicle being stolen, and any prior driving offenses you have. Drivers pay around $859 annually to insure their Sierra, but that cost is an approximation using a 50-year-old married female driver with full physical damage coverage and $500 deductibles.

There’s a good chance you’re not a 50-year-old female, possibly single instead of married, and maybe your Sierra just needs liability-only coverage. There is no perfect policy for every driver, so the only real way to find cheap auto insurance rates for your GMC is to do the rate comparisons yourself.

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The trim level of your Sierra tends to have a direct effect on the cost of coverage, so the price you will pay to insure a Sierra SLE Regular Cab 2WD will be $140 less expensive the price to insure the higher-end Sierra Denali Crew Cab 4WD version, as demonstrated by the prices below.

Prices based on married female driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and New Mexico minimum liability limits. Discounts applied include safe-driver, multi-policy, homeowner, claim-free, and multi-vehicle. Information does not factor in Albuquerque location which can change coverage rates substantially.

Deciding which companies offer the cheapest auto insurance rates for a GMC Sierra takes a bit more effort than just comparing rates from one or two companies. Every insurance provider uses their own calculation for determining prices, so we need to take a look at the auto insurance companies with the most affordable rates in New Mexico.

We do need to point out that Albuquerque, NM auto insurance rates are determined by lots of factors that will increase or decrease the policy price. Turning one year older, buying a home instead of renting, or getting into an accident can trigger changes in premium resulting in some companies being more affordable than competitors.

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USAA may offer some of the lowest car insurance rates in Albuquerque at around $663 a year. Allied, Safeco, Farm Bureau Mutual, and Farmers would also make the list of some of the cheapest Albuquerque, NM insurance companies.

As shown above, if you currently have coverage with Farm Bureau Mutual and switched to USAA, you might achieve a yearly price reduction of approximately $551. New Mexico drivers with Farmers could save as much as $600 a year, and State Farm insureds might reduce rates by $647 a year.

Bear in mind that those policy prices are averages for all types of drivers and the different vehicles they drive and do not take into consideration an exact zip code location for a GMC Sierra. So the car insurance company that has the lowest price for you may not even be in the top 17 companies shown above. That point stresses why you need to get quotes using your own personalized driver profile and vehicle information.

Full coverage versus liability-only in Albuquerque

Paying a lower price for auto insurance is probably important to most people, and one of the best ways to buy cheaper insurance for a GMC Sierra is to not insure for full coverage. The example below illustrates the difference between car insurance costs with full coverage and liability only. The premiums are based on no claims or driving violations, $1,000 deductibles, drivers are single, and no other discounts are factored in.

If averaged out across all ages, comprehensive and collision coverage on your policy costs an extra $1,713 per year more than just buying liability only. That is a big expense that brings up the question if buying full coverage is worth the money. There is no set guideline of when to phase out comp and collision coverage, but there is a general guideline you can use. If the annual cost of comprehensive and collision coverage is about 10% or more of the vehicle’s replacement cost less your deductible, then you may want to consider only buying liability coverage.

For example, let’s say your vehicle’s book value is $4,000 and you have $1,000 physical damage deductibles. If your vehicle is totaled in an accident, the most you would get paid by your company is $3,000 after paying your deductible. If premiums are more than $300 annually for comprehensive and collision coverage, then it might be time to consider dropping full coverage.

Your cheap Sierra insurance may actually be overpriced

Albuquerque auto insurance rates are influenced by many factors which can substantially change the price of your policy. Simply turning a year older, increasing deductibles, or getting a couple of tickets can cause premium changes resulting in some rates now being much cheaper than others. Not only may your situation change, but insurance companies change the rates they charge in New Mexico multiple times each year in order to remain profitable. Higher than normal claims may result in higher priced premiums, while profitable underwriting can cause lower-priced Sierra insurance rates.

The chart below shows which companies have the cheapest car insurance in Albuquerque, NM for a 35-year-old male driver with no accidents or violations, and a good credit rating. If we compare prices based on his current situation, USAA may offer the cheapest car insurance rates in Albuquerque at $857 a year. This is $711 less than the average price paid by New Mexico drivers of $1,568. Allied, Safeco, Farm Bureau Mutual, and Farmers round out the rest of the top five cheapest Albuquerque, NM auto insurance companies.

In the next rate comparison, we’ll give the driver from the first set of rates an at-fault accident, bad credit, and a few blemishes on his driving record. Since each auto insurer has their own formula to set their prices, comparing prices may now show a different list of the cheapest companies as shown below.

USAA now has the best price on car insurance in Albuquerque, NM with Central Mutual, Allied, The Hartford, and Safeco now rounding out the top five. This shows why Albuquerque drivers need to shop around when trying to get cheap car insurance rates for a GMC Sierra. Auto insurance prices are made up of many risk factors and can decrease or increase without notice, so the most economical company when you bought your policy may now be quite expensive.