Cheap Hawaii Low-Income Car Insurance for Families and Individuals

Hawaii is one of the few states that has a state-sponsored program to assist low-income drivers with the cost of auto insurance. MoneyGeek found that GEICO has the cheapest car insurance for low-income families and individuals in Hawaii.

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Last Updated: 4/19/2022
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MoneyGeek analyzed the most important factors that affect car insurance costs in Hawaii. While your income is not considered, your driving record and coverage level you select do impact the price. MoneyGeek found the cheapest low-income car insurance in Hawaii to help drivers in their search for cheap car insurance.

Is There Car Insurance for Low-Income Families and Individuals in Hawaii?

Hawaii has a free no-fault government car insurance program that helps low-income drivers with auto insurance costs. However, one of the qualifications drivers must meet is that they receive financial security payments.

If you don’t qualify, you would need to buy a standard policy. The cheapest standard car insurance is a policy with minimum coverage that meets Hawaii’s state minimum requirements. Another option to save money is pay-per-mile insurance, which may suit low-income individuals who only occasionally drive.

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Hawaii’s Government Assistance Program for Low-Income Drivers

To get Hawaii’s no-fault car insurance at no cost, you must be a recipient of financial security payments or supplemental security income benefits. No-fault insurance, also called personal injury protection (PIP), covers you for medical expenses in an accident, but not the damages to your vehicle.

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ELIGIBILITY REQUIREMENTS FOR HAWAII GOVERNMENT CAR INSURANCE

To be eligible for Hawaii’s no-fault auto insurance , you must meet the following conditions:

  • You receive financial assistance payments or supplemental security income benefits.
  • You have a valid driver's license (or are an unlicensed, permanently disabled individual who is unable to operate your car).
  • You must be the sole registered owner of the vehicle.

The Cheapest Hawaii Car Insurance Companies for Low-Income Drivers

Car insurance companies in Hawaii can’t use your income when pricing your car insurance policy. However, they may consider your age which is related to income as an important factor.

There are several ways to lower your insurance premiums for low-income drivers. One is by getting state minimum coverage, which is the cheapest option in Hawaii. MoneyGeek analyzed the most affordable car insurance for low-income families and individuals of different ages. We found that GEICO’s policies are the cheapest for all driver profiles we studied.

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The Cheapest Hawaii Car Insurance Companies for Low-Income Families

Your income does not affect your car insurance rates. Nor is your credit score a factor, unlike most other states in the country. This makes car insurance in Hawaii more affordable than nearly any other state. MoneyGeek analyzed the cheapest minimum car insurance for low-income families and individuals of different ages.

The cheapest car insurance with minimum coverage for single parents with a teen driver is offered by:

  • GEICO: $553 per year
  • State Farm: $725 per year

USAA is much cheaper at an average of $494 per year for the same driver profile. However, only military members and their families can purchase insurance from USAA.

The cheapest car insurance with minimum coverage for a couple with a teen driver is offered by:

  • GEICO: $1,011 per year
  • State Farm: $1,136 per year

If you’re a member of the military, USAA is a better option here at $791 per year for a couple with a teen driver.

The table below shows the cheapest option for your profile.

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  • Company
    Annual Rates
  • USAA
    $494
  • GEICO
    $553
  • State Farm
    $725
  • Allstate
    $901
  • Farmers
    $1,117
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The Cheapest Hawaii Car Insurance Companies for Low-Income Individuals

For our sample individual 40-year-old low-income driver, the two cheapest car insurance companies in Hawaii are:

  • GEICO: $343 per year
  • State Farm: $449 per year

USAA offers the cheapest car insurance in the state for this driver profile at an average of $306 per year. However, USAA car insurance is exclusive to veterans, current members of the military and their families.

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  • Company
    Annual Rates
  • USAA
    $306
  • GEICO
    $343
  • State Farm
    $449
  • Allstate
    $558
  • Farmers
    $692

The Cheapest Hawaii Car Insurance Companies for Low-Income Students

In Hawaii, student drivers tend to pay more for car insurance than middle-aged drivers. This isn’t because most students and recent grads have low incomes. Rather, it’s their inexperience behind the wheel that makes them riskier to insure.

The cheapest car insurance companies for low-income students in Hawaii are:

  • GEICO: $335 per year
  • State Farm: $438 per year

Once again, USAA car insurance is the cheapest in Hawaii for low-income students at $299 per year and is exclusive to members of the military and their families.

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  • Company
    Annual Rates
  • USAA
    $299
  • GEICO
    $335
  • State Farm
    $438
  • Allstate
    $545
  • Farmers
    $676

The Cheapest Hawaii Car Insurance Companies for Low-Income Seniors

Senior drivers pay higher car insurance rates. They tend to get charged more because they are riskier to insure due to health concerns and age-related factors. The cheapest car insurance providers for low-income seniors in Hawaii are the following:

  • GEICO: $343 per year
  • State Farm: $449 per year

If you are a retired or current member of the military, you can opt for car insurance through USAA. It offers the cheapest car insurance in the state for low-income senior drivers at an average of $306 per year.

Switch by Credit Score:

Good Credit Score

Scroll for more

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  • Company
    Annual Rates
  • USAA
    $306
  • GEICO
    $343
  • State Farm
    $449
  • Allstate
    $558
  • Farmers
    $692

Does Income Affect Car Insurance Rates in Hawaii?

Car insurance companies can’t use income as a factor in calculating your car insurance rates in Hawaii. However, there are factors seemingly related to income that affect the rates.

As mentioned, car insurance rates are typically higher for student drivers. While insurers can’t consider your income, they do look at your history of claims. Low-income students and other young drivers tend to file claims more often than older drivers simply because they don’t have the money to pay for repairs out of pocket.

MoneyGeek looks at different factors that affect car insurance rates in Hawaii. The following have the most significant impact:

  • Your driving record.
  • The coverage level your select.
  • Your car model.

Adding a teen driver to your policy and the age of your car can also increase the cost of your annual premiums.

  • Factor
    How it Affects Your Rates
  • Driving Record

    Having a bad driving record in Hawaii can make your car insurance premiums three times more expensive.

  • Coverage Levels

    Full coverage car insurance is 2.5x more expensive than the state minimum in Hawaii.

  • Car Model

    Car insurance rates in Hawaii can be twice as expensive if you have the latest car model.

  • Adding a Teen Driver

    Adding a teen driver makes car insurance rates 1.7x more expensive in Hawaii.

  • Age of Car

    Newer cars tend to be 1.4x more expensive to insure than older vehicles.

  • Age of Driver

    Hawaii car insurance rates vary by 1.1x if you are a young driver versus a middle-aged driver.

Frequently Asked Questions About Low-Income Car Insurance in Hawaii

Below, MoneyGeek answers the following most frequently asked questions about low-income car insurance in Hawaii:

Methodology

MoneyGeek calculated the cost of car insurance for low-income drivers in Hawaii using quotes sourced in partnership with Quadrant Information Services. The sample driver is either a 40-year-old male, a single 40-year-old parent with a 16-year-old child, an adult couple each 40 years old or a couple with a 16-year-old child. The individual or family drives a 2010 Toyota Camry LE. The driver buys the minimum car insurance required in Hawaii.

Costs for poor and good credit scores were extrapolated based on MoneyGeek’s dataset of credit score rate adjustments by score categorization.

About the Author


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Mark Fitzpatrick is a senior content manager with MoneyGeek specializing in insurance. Mark has years of experience analyzing the insurance market and creating original research and content. He graduated from Boston College with a Bachelor of Arts and Johns Hopkins University with a Master of Arts.