Cheapest Car Insurance for Low-Income Drivers in Oregon (October 2024)

Kemper offers the cheapest car insurance for drivers with low income and poor credit history in Oregon at $67 per month. For families with low income, State Farm is the most affordable option at $65 per month. Oregon does not offer state-backed car insurance programs for families and individuals with low income. A key option to manage costs is finding the provider with the most affordable rate. There are also ways to get discounts to help alleviate the cost of car insurance.

Although minimum coverage will help you drive legally, there are downsides. For example, minimum coverage may not cover all the costs in an at-fault accident, leaving you financially vulnerable.

Car insurance companies in Oregon do not consider your income when calculating your rates. Instead, they look at factors like your age, driving record, credit history and the type of car you drive. At-fault accidents and moving violations will increase your rates. To find the cheapest rates, it’s best to compare quotes from several insurance companies. This lets you see which insurer offers the most affordable coverage for your needs.

If your budget is tight, a basic minimum coverage policy is often the cheapest way to stay legal on the road. Pay-per-mile insurance is also a great option for drivers who rarely drive. MoneyGeek rounded up the cheapest insurers for drivers with low income to help you save.

To legally operate a vehicle in the Beaver State, drivers must carry minimum car insurance requirements that include the following coverages:

• $25,000 for bodily injury liability per person
• $50,000 for bodily injury liability per accident
• $20,000 for property damage liability per accident
• $25,000 uninsured motorist bodily injury per person
• $50,000 uninsured motorist bodily injury per accident
• $15,000 personal injury protection (PIP) per person

Choosing the right insurance policy depends on individual needs and risk assessment. A liability-only car insurance policy is the most affordable option and covers damages to others if you're at fault in an accident. However, it won't cover damages to your own vehicle. For more comprehensive protection that covers your own vehicle, full coverage car insurance is necessary. This includes collision and comprehensive coverages, safeguarding against various non-collision incidents like theft or natural disasters.

Understanding the differences between policies allows you to choose coverage that aligns with your personal risk profile and financial situation.

Your credit record can affect your car insurance rates in Oregon. A lower credit-based insurance score may signal to insurers that you're a higher risk, which can lead to more expensive premiums.

Oregon drivers with poor credit records can find affordable rates with:

• Kemper: $803 per year; $67 per month
• Progressive: $819 per year; $68 per month

The cheapest car insurance in Oregon for drivers with low income and good credit history are:

• Kemper: $480 per year; $40 per month
• Travelers: $531 per year; $44 per month

Driving without insurance in Oregon is considered a misdemeanor and can lead to suspension of your driver's license and vehicle registration, fines ranging from $175 to $1,000 and other penalties. Make sure you're covered to drive legally and safely.

Car insurance rates are shaped by various factors but not directly by income. A single parent's annual premium in Oregon can differ by $666 compared to married couples with a teen. For the latter, insurance can be more affordable by $666 per year.

The cheapest car insurance companies for married couples with a teen in the Beaver State are:

• State Farm: $782 per year; $65 per month
• Nationwide: $833 per year; $69 per month

For single parents with a teen, the most affordable options are:

• State Farm: $1,448 per year; $121 per month
• Capital Insurance Group: $1,630 per year; $136 per month

Insurance rates for single parents are higher, reflecting the increased financial responsibility on one individual. Maintaining a solid credit score is key to accessing the best rates for minimum coverage auto insurance.

Car insurance premiums generally decrease as you reach the early senior years, typically around ages 55 to 65, especially if you have a clean driving record. The two cheapest car insurance for senior drivers with low income and poor credit history are:

• Capital Insurance Group: $788 per year; $66 per month
• Progressive: $815 per year; $68 per month

After age 70, car insurance rates typically increase as older drivers are statistically considered higher risk. This trend continues each year, meaning premiums generally rise as seniors age. Specific laws or guidelines may apply to seniors getting car insurance in Oregon.

Many factors influence car insurance rates in Oregon. Your income doesn't directly affect rates, but you might see higher rates if a low income leads to a poor credit record. Conversely, good credit can lower your rates. Understanding the factors contributing to car insurance rates can help you make informed decisions when choosing the best car insurance for you.

You don't need a state-sponsored program to cut costs — finding affordable car insurance in Oregon is possible with the right strategies. Here are some tips to lower your premiums:

Finding affordable car insurance can be challenging for drivers with low income in Oregon. Get answers to some of the most commonly asked questions about low-income car insurance in the Beaver State.