Village Car Insurance: Explained Simply
Village car insurance companies are small businesses that offer personalized customer service. These companies will provide the minimum amount of coverage required by your state, and often supplemental coverage options as well. Learn how to find the right company for your needs.
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Joel Ohman
Founder & CFP®
Joel Ohman is the CEO of a private equity backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He has an MBA from the University of South Florida. Jo...
Founder & CFP®
UPDATED: Jul 9, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single company.
Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Jul 9, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single company.
Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Village insurance companies include a collection of small, local car insurance companies rather than a specific type of car insurance policy
- Legally, village insurance is just as legitimate as car insurance from larger auto insurance companies
- As with many small businesses, village insurance companies may offer more costly services compared to larger companies
Hundreds of auto insurance companies and policies exist. It is best to understand all your options before committing to a policy, including village auto insurance.
With a quick internet search, you will find that many companies go by “Village” auto insurance. Usually, companies that go by “Village” auto insurance simply use the word for company branding. However, village car insurance, by definition, does not refer to a specific company or insurance policy. Instead, the term refers to smaller, more local auto insurance companies compared to some of the most well-known auto insurance companies available.
Village Auto Insurance in Detail
The concept of village auto insurance is relatively simple. However, you may have plenty of questions to research before you commit to a village auto insurance policy. You will find that although smaller, village auto insurance functions similarly to larger auto insurance companies.
The main factor that sets village auto insurance companies apart from other insurance companies is that they operate as small businesses. Village auto insurance companies are famous for providing excellent, personal customer service compared to their larger counterparts. However, this customer service comes with slightly higher rates than other insurance companies.
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Will village insurance adequately meet state auto insurance laws?
Village auto insurance coverage will usually meet state minimum requirements and laws without any issue. The majority of states in the U.S. require all drivers to obtain auto insurance from a legitimate, licensed auto insurance company. Village auto insurance companies are almost always licensed and legitimate.
Generally, most states also require a minimum for insurance coverage to legally operate a motorized vehicle. For example, no matter if you buy village car insurance or car insurance from a well-known company, your home state may require you to have auto insurance coverage for:
- Accidents with an underinsured or uninsured motorist
- Accidents that cause damage to property
- Accidents that result in physical injury
Auto insurance policies for uninsured or underinsured motorists will cover physical injuries or property damages that ensue after an accident happens with a driver who does not have enough auto insurance coverage. Coverage for accidents that result in damages to property will help pay for damages to another’s vehicle or parts of another’s home. In the case of accidents that result in physical injury, you must have auto insurance coverage that will pay for any doctoral expenses on behalf of yourself or other parties involved in the collision.
Of course, before investing in any auto insurance coverage plan, make sure that you research your state’s laws to determine the minimum coverage required to legally operate your car. Every state will be different.
This table shows you the average cost difference in high, medium, and low coverages.
| Companies | Average Monthly Car Insurance Rate for Low Coverage | Average Monthly Car Insurance Rate for Medium Coverage | Average Monthly Car Insurance Rate for High Coverage |
|---|---|---|---|
| Allstate | $385.67 | $408.07 | $428.25 |
| American Family | $280.71 | $295.36 | $284.70 |
| Farmers | $326.87 | $347.19 | $374.51 |
| Geico | $250.16 | $267.83 | $285.76 |
| Liberty Mutual | $483.81 | $504.88 | $529.67 |
| Nationwide | $282.90 | $287.48 | $292.11 |
| Progressive | $311.43 | $334.87 | $362.58 |
| State Farm | $254.62 | $272.48 | $287.90 |
| Travelers | $351.97 | $371.84 | $384.92 |
Though the prices are higher for full coverage, your risk is lessened since you are covered for more damages.
Do village insurance companies calculate insurance rates differently?
Village auto insurance companies calculate car insurance rates like any other auto insurance company. For example, all legitimate auto insurance companies determine an individual’s insurance rates by considering a motorist’s driving history, car model, demographics of the motorist in question, and where the motorist lives.
Let’s look at how age, gender, and marital status affect your rates.
| Companies | Average Annual Rates for a Single 17-Year-Old Female | Average Annual Rates for a Single 17-Year-Old Male | Average Annual Rates for a Single 25-Year-Old Female | Average Annual Rates for a Single 25-Year-Old Male | Average Annual Rates for a Married 35-Year-Old Female | Average Annual Rates for a Married 35-Year-Old Male | Average Annual Rates for a Married 60-Year-Old Female | Average Annual Rates for a Married 60-Year-Old Male |
|---|---|---|---|---|---|---|---|---|
| USAA | $4,807.54 | $5,385.61 | $1,988.52 | $2,126.14 | $1,551.43 | $1,540.32 | $1,449.85 | $1,448.98 |
| Geico | $5,653.55 | $6,278.96 | $2,378.89 | $2,262.87 | $2,302.89 | $2,312.38 | $2,240.60 | $2,283.45 |
| Nationwide | $5,756.37 | $7,175.31 | $2,686.48 | $2,889.04 | $2,360.49 | $2,387.43 | $2,130.26 | $2,214.62 |
| State Farm | $5,953.88 | $7,324.34 | $2,335.96 | $2,554.56 | $2,081.72 | $2,081.72 | $1,873.89 | $1,873.89 |
| American Family | $5,996.50 | $8,130.50 | $2,288.65 | $2,694.72 | $2,202.70 | $2,224.31 | $1,992.92 | $2,014.38 |
| Farmers | $8,521.97 | $9,144.04 | $2,946.80 | $3,041.44 | $2,556.98 | $2,557.75 | $2,336.80 | $2,448.39 |
| Progressive | $8,689.95 | $9,625.49 | $2,697.73 | $2,758.66 | $2,296.90 | $2,175.27 | $1,991.49 | $2,048.63 |
| Allstate | $9,282.19 | $10,642.53 | $3,424.87 | $3,570.93 | $3,156.09 | $3,123.01 | $2,913.37 | $2,990.64 |
| Travelers | $9,307.32 | $12,850.91 | $2,325.25 | $2,491.21 | $2,178.66 | $2,199.51 | $2,051.98 | $2,074.41 |
| Liberty Mutual | $11,621.01 | $13,718.69 | $3,959.67 | $4,503.13 | $3,802.77 | $3,856.84 | $3,445.00 | $3,680.53 |
You can see that older married females pay less than younger single males.
Overall, the main goal of a village auto insurance company and large insurance companies is to determine all the risks a driver poses before insuring them. Any insurance company seeks to maximize profit by making sure it pays the least amount possible for any insurance claims.
To illustrate, if you are a driver with high-risk factors, you are more likely to get into an accident that will require an insurance company to pay more in claims. So, you as a driver will likely have higher insurance rates compared to other drivers.
This table shows you just how much money one traffic ticket can cost you.
| Companies | Average Rates With a Clean Record | Average Rates With 1 Accident | Average Rates With 1 DUI | Average Rates With 1 Speeding Violation |
|---|---|---|---|---|
| USAA | $1,933.68 | $2,516.24 | $3,506.03 | $2,193.25 |
| Geico | $2,145.96 | $3,192.77 | $4,875.87 | $2,645.43 |
| American Family | $2,693.61 | $3,722.75 | $4,330.24 | $3,025.74 |
| Nationwide | $2,746.18 | $3,396.95 | $4,543.20 | $3,113.68 |
| State Farm | $2,821.18 | $3,396.01 | $3,636.80 | $3,186.01 |
| Progressive | $3,393.09 | $4,777.04 | $3,969.65 | $4,002.28 |
| Travelers | $3,447.69 | $4,289.74 | $5,741.40 | $4,260.80 |
| Farmers | $3,460.60 | $4,518.73 | $4,718.75 | $4,079.01 |
| Allstate | $3,819.90 | $4,987.68 | $6,260.73 | $4,483.51 |
| Liberty Mutual | $4,774.30 | $6,204.78 | $7,613.48 | $5,701.26 |
A traffic violation can cost you thousands in fines and higher insurance rates. Obeying traffic laws is an easy way to save money on your car insurance.
What types of village auto insurance policies exist?
Village auto insurance policies include the same types of car insurance policies as other auto insurance companies. In a nutshell, three main auto insurance policies are available to drivers. These insurance policies include comprehensive insurance coverage plans, liability plans, and collision plans.
Comprehensive auto insurance coverage pays for any damages that do not result from a collision. For example, a comprehensive plan will cover damages caused by natural disasters, vandalism, or even windshield damage. Liability coverage policies cover any damage or injury that another driver experiences if you are at fault for a collision. Lastly, collision coverage plans will pay for any damages or injury that you or your passengers experience if you also cause a collision.
Additionally, you may invest in a full coverage auto insurance plan through village auto insurance companies or any other insurance companies if you wish to include all three main types of car insurance coverage.
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Do village auto insurance companies offer any discounts?
Like well-known auto insurance companies, most village auto insurance companies will offer discounts that you may qualify for, especially if your insurance rates are high. The most common auto insurance rate markdowns apply if you or your child are a student with good grades, you have a multi-vehicle insurance policy, take a defensive driving course, or serve in any branch of the military. In order to qualify for an auto insurance discount, you must provide proof that you do in fact qualify for whichever auto insurance policy discount you apply for.
No discount will be the same everywhere as most auto insurance companies will offer discounts unique to their company policies. As such, contact any village auto insurance company to determine if you qualify for any of the discounts they offer.
Defining Village Auto Insurance
Village insurance refers to auto insurance companies that are small and locally owned rather than big corporations. Besides the fact that village auto insurance companies provide excellent customer service and usually require higher rates, not many differences exist between village auto insurance companies and larger auto insurance companies. Some drivers may be willing to pay slightly higher rates for a more personal touch.
Case Studies: Exploring Village Car Insurance
Case Study 1: The Personal Touch
John Smith, a resident of a small village, was in search of car insurance that would provide him with personalized customer service. He valued having a direct point of contact with his insurance provider and wanted the assurance that his specific needs would be taken into account.
After conducting research, John discovered Village Insurance Company, a local business known for its excellent customer service. He decided to opt for their coverage despite the slightly higher rates compared to larger insurance companies.
John appreciated the personalized experience and felt confident that his insurance needs were being addressed.
Case Study 2: Meeting State Requirements
Emily Davis recently moved to a small village and needed to fulfill the state’s auto insurance requirements. She wanted to find a reputable insurance company that would provide her with the necessary coverage.
Emily researched several village auto insurance companies and found that they were all licensed and legitimate, ensuring compliance with state laws. She chose Village Auto Insurance Services, which offered the minimum coverage required by her state.
Emily was satisfied with her decision and felt confident that she had met the necessary legal obligations.
Case Study 3: Comprehensive Protection
Sarah Johnson, a village resident, wanted to ensure that she had comprehensive coverage to protect her vehicle from various risks. She sought an insurance policy that would cover damages not resulting from collisions, such as those caused by natural disasters or vandalism.
Sarah compared quotes from different village auto insurance companies and selected Village Assurance for their comprehensive coverage option. Although the rates were slightly higher, Sarah believed that the added protection was worth the investment.
She could rest easy knowing that her vehicle was safeguarded against a range of potential damages.
Frequently Asked Questions
What is village car insurance?
Village car insurance refers to smaller, locally-owned auto insurance companies that offer personalized customer service. These companies provide the minimum coverage required by the state, along with additional coverage options.
Does village insurance meet state auto insurance laws?
Yes, village auto insurance coverage typically meets the state minimum requirements and laws. Village insurance companies are licensed and legitimate, ensuring compliance with state regulations.
How do village insurance companies calculate rates?
Village auto insurance companies calculate rates using similar factors as larger insurance companies. These factors include driving history, car model, demographics, and location. The goal is to assess the risks a driver poses and determine appropriate insurance rates.
What types of policies are offered by village auto insurance companies?
Village auto insurance companies offer the same types of policies as other companies. These include comprehensive coverage, liability coverage, collision coverage, and optional full coverage, which combines all three types of coverage.
Do village insurance companies offer discounts?
Yes, like larger insurance companies, village auto insurance companies often provide various discounts. These discounts may be based on factors such as good grades for students, multi-vehicle policies, completion of defensive driving courses, or military service. The availability and eligibility criteria for discounts may vary among different village insurance companies.
Free Car Insurance Comparison
Enter your ZIP code below to view companies that have cheap car insurance rates.
Secured with SHA-256 Encryption
Joel Ohman
Founder & CFP®
Joel Ohman is the CEO of a private equity backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He has an MBA from the University of South Florida. Jo...
Founder & CFP®
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.