Who does not want to save money? Everyone wants to pay a little less, no matter where. But when it comes to cars, there’s hardly any way you can save an extra bit of cash, and if you look at the rising gas prices, all the people driving a gas car (which is almost 90% of the drivers), you need to rob a bank if you want to drive without worrying about spending. But that’s not all. When it comes to car expenses, there’s one more thing looking at your wallet; auto insurance. 

Auto insurance policies are unavoidable. If you try avoiding them, you’d end up spending more money. One cannot drive a car without proper liability coverage in almost every state in the US, and without a personal injury protection plan in 12 states. Then there’s collision coverage, comprehensive coverage, uninsured motorist coverage, and the list goes on. 

So what about the people who do not own a car? If you are one of them, then you need a non-owners car insurance policy. This policy is liability coverage for people who do not own a car and usually borrow or rent a car. While renting and borrowing do save money, you might overspend if you do not get a cheap non-owner car insurance policy. So let’s take a look at all the ways to do that. 

How to Get Cheap non-Owner Car Insurance

Here’s great news for you; non-owners’ car insurance is usually much cheaper than general car insurance policies. This is because non-owner auto insurance policies just have the minimum coverage limit mandated by the state, and they do not offer collision or comprehensive coverage. 

What this translates to is if you get in an accident and it is your fault, your non-owner car insurance will pay for the bodily injuries and property damage, but since the minimum coverage limit is low, you might end up paying some amount from your pocket. So it is better to get a policy with a higher coverage limit. 

The other thing is since non-owner car insurance does not come with collision or comprehensive policies, the policy won’t cover any damages to your car in any accident. If your car (rented or borrowed) crashes and gets stolen or damaged due to natural calamities, you’ll have to cover the cost of repairs. This is why many car rental companies require you to buy additional coverage that includes collision and comprehensive coverage. 

Coming to the average cost, a non-owners car insurance policy would cost you around $500 to $700 per year, but there are a lot of factors that can either increase the price or decrease it. USAA, for example, has some of the lowest rates, starting at just $280. But you need to have someone in the military to get USAA policies. Geico comes in second with just over $450, with Travelers and State Farm not far behind. 

Factors Affecting Non-Owner Car Insurance Rates

Here are all the different factors that will affect your car insurance rates. Do note that some factors might not be considered by some car insurance companies. Also, the weightage of these factors varies from one company to another. 

Driving Record 

The most important factor in determining your auto insurance rates, no matter which policy you are going with, is your driving record. Your driving record is what tells the insurance company how likely you are to be in a car accident and make an insurance claim. 

So if your driving record is poor, with speeding tickets, rash driving, or the most dreaded of all, a DUI charge, you could be paying a lot more for non-owner car insurance. Sadly, there’s no way you can change your driving record instantly. But try improving it and avoid getting points on your driver’s license to improve your auto insurance rates for the future. 

Age and Gender

Old age brings backaches and wrinkles, but one beneficial thing is low car insurance rates. People who are over the age of 40 have to pay the lowest when it comes to age as a factor. The worst? People under the age of 25. Starting from 16, the car insurance rates for teenagers are highest, slowly going down as they reach older age.

But as the age goes up, over the age of 55, auto insurance rates start climbing up again. These age groups (16-25 and 55-70) are more likely to be in a car accident, hence they are charged more. 

Credit Score and Area

It might be shocking to some people, but your credit score is also considered when getting non-owner car insurance. People with poor credit scores are charged more, as they are more likely to miss a premium payment. This practice of credit score as a factor is now not allowed in many states. 

The area also plays an important role in deciding the rates. For example, if you look for cheap Illinois auto insurance, you’d get a lot of options to choose from. But the same cannot be done for New York, where the auto insurance rates are some of the highest.

Past Insurance Claims 

Any of your past auto insurance claims will increase your future auto insurance rates. This is why you need to be very careful when claiming your auto insurance. If the cost of the accident is not too high and you can pay for it from your pockets, then consider doing that. Making an insurance claim, paying the deductibles, and then getting only a few hundred dollars is not worth increasing your auto insurance rates forever. 


A deductible is an amount that you need to pay before the auto insurance company pays the rest of the insurance amount. Deductibles are usually a percentage of the total insured amount. Here’s the thing; lower deductibles will increase the insurance premium rates, while higher deductibles will decrease them. 

The catch here is that in an accident, you’ll have to pay more from your own pockets if you keep your deductibles low. So make the choice accordingly and you’d be saving a lot of money.