Cheap Louisiana Low-Income Car Insurance for Families and Individuals

There is no government car insurance program in Louisiana for low-income drivers. MoneyGeek analyzed car insurance providers to help low-income drivers save money. We discovered Southern Farm Bureau offers the most affordable car insurance in Louisiana for low-income families and individuals.

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Last Updated: 11/25/2022
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Income isn’t a factor when pricing an auto insurance premium. The two most significant factors in Louisiana that determine car insurance rates are coverage levels and whether a teen driver is on the policy.

MoneyGeek found the cheapest car insurance in Louisiana for low-income individuals and families with poor or good credit scores.

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

In Louisiana, there is no government car insurance program to help low-income families and individuals with car insurance costs. Some of the 11.7% of uninsured drivers in Louisiana may be avoiding car insurance because it is expensive, even though it is required.

When shopping for low-income car insurance in Louisiana, a traditional minimum coverage policy is probably your best bet. For some low-income drivers who don’t spend much time in their car, pay-per-mile insurance is a good option, but it’s currently unavailable in Louisiana.

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Does Louisiana Have a Government Program to Support Low-Income Drivers with Insurance?

Louisiana does not provide any government assistance programs to help low-income drivers. Comparing prices from several insurance companies is the best approach to finding low-cost car insurance. MoneyGeek found the top car insurance providers in Louisiana for low-income drivers to help them save money.

The Cheapest Louisiana Car Insurance Companies for Low-Income Drivers

When determining your car insurance premium in Louisiana, companies cannot take income into account. However, they do consider age and credit score, which can relate to income level.

The least expensive car insurance policy is minimum coverage. MoneyGeek found Southern Farm Bureau to be the cheapest insurance provider for various low-income driver profiles in Louisiana.

MoneyGeek also analyzed the cheapest minimum car insurance coverage for low-income individuals and families in Louisiana from different age groups.

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The Cheapest Louisiana Car Insurance Companies for Low-Income Families

Car insurance providers don't charge based on income, but a family’s credit score affects how much they pay for insurance. Rates in Louisiana differ by roughly $3,596 per year whether they have a poor credit score versus a good credit score for MoneyGeek’s sample single parents. Rates for a couple with a child differed by around $5,332 per year if they had a poor credit score or a good credit score.

On average, the cheapest companies for a couple with a child and poor credit score in Louisiana are:

  • Southern Farm Bureau: $6,528 per year
  • State Farm: $9,350 per year

USAA is the cheapest option for a couple with a child and poor credit score with an eligible military background at around $6,252 annually.

On average, the cheapest insurance companies for a single parent with a child and poor credit score are:

  • Southern Farm Bureau: $4,231 per year
  • State Farm: $5,848 per year

USAA is the cheapest option for a single parent with a kid, poor credit and a military background at roughly $4,037 per year.

Having a low income doesn't mean that you have a poor credit score. You can toggle the table below to find the best deals in Louisiana for your family’s profile.

Sort by family type:

Single parent w/ a kid

Switch by Credit Score:

Good Credit Score

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  • Company
    Annual Rates
  • USAA
    $2,113
  • Southern Farm Bureau
    $2,214
  • State Farm
    $3,060
  • Allstate
    $3,503
  • GEICO
    $4,238
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The Cheapest Louisiana Car Insurance Companies for Low-Income Individuals

Rates for MoneyGeek’s sample 40-year-old driver in Louisiana vary by around $1,242 between a poor credit score and a good credit score.

On average, the cheapest companies for low-income adult drivers with poor credit in Lousiana are:

  • Southern Farm Bureau: $1,521 per year
  • GEICO: $2,060 per year

If you have a military affiliation, the cheapest option could be USAA at around $1,456 annually.

Having a low income doesn’t translate to having a poor credit score. For an adult driver with good credit, Southern Farm Bureau costs around $796 a year and GEICO roughly $1,078 annually. USAA is roughly $762 a year.

Switch by Credit Score:

Good Credit Score

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  • Company
    Annual Rates
  • USAA
    $762
  • Southern Farm Bureau
    $796
  • GEICO
    $1,078
  • State Farm
    $1,125
  • Allstate
    $1,316

The Cheapest Louisiana Car Insurance Companies for Low-Income Students

MoneyGeek discovered that because of their inexperience, young student drivers pay more for car insurance in Louisiana. They are not charged for having a low income, but since college students may not have much money, their car insurance takes up a larger portion of their budget.

On average, the following companies provide the cheapest car insurance in Louisiana to students with poor credit:

  • Southern Farm Bureau: $3,294 per year
  • GEICO: $4,462 per year

If you are a student driver from a military family, the cheapest choice is USAA, costing around $3,154 a year.

Having a low income doesn't imply you have a poor credit score. For student drivers with good credit in Louisiana, Southern Farm Bureau costs around $1,724 per year, GEICO roughly $2,335 a year, and USAA is around $1,651 annually.

Switch by Credit Score:

Good Credit Score

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  • Company
    Annual Rates
  • USAA
    $1,651
  • Southern Farm Bureau
    $1,724
  • GEICO
    $2,335
  • State Farm
    $2,437
  • Allstate
    $2,850

The Cheapest Louisiana Car Insurance Companies for Low-Income Seniors

Car insurance rates are often higher for older drivers than the middle-aged, and their credit score may also affect their rate. The cost of insurance in Louisiana for MoneyGeek’s sample 70-year-old driver with poor credit was around $1,310 per year more than if they had a good credit score.

On average, the companies with the cheapest auto insurance for senior drivers in Louisiana with poor credit are:

  • Southern Farm Bureau: $1,879 per year
  • GEICO: $2,081 per year

For senior drivers in Louisiana with a military background, USAA is the most affordable option at roughly $1,689 a year.

Not all low-income seniors have a poor credit score. With good credit, senior drivers pay roughly $983 a year with Southern Farm Bureau, around $1,089 a year with GEICO, and about $884 annually with USAA.

Switch by Credit Score:

Good Credit Score

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  • Company
    Annual Rates
  • USAA
    $884
  • Southern Farm Bureau
    $983
  • GEICO
    $1,089
  • State Farm
    $1,198
  • Allstate
    $1,442

Does Income Affect Car Insurance Rates in Louisiana?

In Louisiana, car insurance companies cannot take your income into account when calculating your premium. However, what you pay for car insurance could relate to your income.

For example, a driver with a low income is more likely to make a claim for repairs because the out-of-pocket cost is too much for them to afford. Insurance companies consider claims history when calculating rates and often charge drivers with more claims a higher premium.

MoneyGeek uncovered the factors that may relate to income that Louisiana car insurance companies weigh most heavily when pricing a policy:

  • ​​Coverage levels.
  • Adding a teen driver.
  • Credit score.

Your age and the model of your car can also impact your car insurance premium in Louisiana.

  • Factor
    How It Affects Your Rates
  • Coverage Levels

    Coverage levels are the most significant factor in Louisiana. Buying a full coverage policy is 3.0x more expensive than state minimum coverage.

  • Adding a Teen Driver

    Adding a teen driver in Louisiana can make the rate 2.6x more expensive.

  • Credit Score

    Having poor credit could result in paying 2.5x more than if you had a good credit score.

  • Age of Driver

    In Louisiana, rates can be 2.2x more for young drivers versus middle-aged drivers.

  • Car Model

    Depending on the model of your car, insurance could be twice as expensive.

Frequently Asked Questions About Low-Income Car Insurance in Louisiana

Searching for low-income car insurance in Louisiana may bring about questions. MoneyGeek answers the most frequently asked questions below to help you get the best Louisiana low-income car insurance for individuals or families.

Methodology

MoneyGeek calculated the cost of car insurance for low-income drivers in Louisiana 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 Louisiana.

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.


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