Car insurance in Hawaii

Posted on September 25, 2014

Getting cheap car insurance in Hawaii can be difficult, sometimes. However, nothing is impossible. Here’s the latest available information on car insurance in Hawaii, along with helpful tips on how to choose the plan that works best for you.

Hawaii Minimum Liability Coverage

The minimum required car insurance coverage in the state of Hawaii is 20/40/10. This means that a driver must buy at least $20,000 in Personal Injury Protection (PIP) coverage, $40,000 in bodily injury coverage for other people involved in the accident, and $10,000 in coverage for property damage. However, the minimum requirement in most states often does not cover all of the expenses associated with an accident. This is why the Insurance Information Institute recommends that drivers nationwide purchase 100/300 coverage ($100,000 in personal injury and $300,000 in bodily injury coverage per accident).

Penalties for Driving Without Insurance in Hawaii

Licensed drivers in the state of Hawaii may neither register their vehicles nor renew their registrations without proof of the required minimum insurance coverage. In other words, to drive uninsured in Hawaii is also to be driving an unregistered vehicle. That’s two offenses for the price of one. The first offense is punishable by a $500 fine and having your license suspended for up to six months. The penalty for multiple offenses is at least $2,500 in fines per incident, as well as longer license suspensions, higher reinstatement fees and, in some cases, jail time.

Auto Insurance Rates in Hawaii

Despite recent hikes in car insurance premiums, the average premium for the state of Hawaii in 2016 was $1,049, well below the $1,347 national average rate for car insurance in 2016. Contact the Traffic Violations Bureau of Hawaii for information on topics like how long traffic violations remain on driving records, and how driving records affect car insurance premiums.

Low Cost Car Insurance Programs in Hawaii

Hawaii does not offer any particular programs for low-cost car insurance. However, drivers can lower their premiums and keep them low by maintaining good driving records. Also, purchasing multiple insurance products sometimes scores a discount. Always inquire about special deals and discounts with each company you contact for an auto insurance quote. Compare a lot of free quotes. Custom-create your own insurance package. Conduct thorough research to find your lowest possible rate.

Obtaining Auto Insurance Quotes in Hawaii

Based on 2017 comparison studies and customer satisfaction ratings, among the nation’s most popular auto insurance providers are Geico, Auto Owners Insurance, The Hartford, State Farm and 21^st Century. Auto Owners Insurance and The Hartford do not serve Hawaii, but State Farm is there. Also, 21^st Century is a highly regarded car insurance company, in and out of Hawaii. In fact, Hawaii is home to no less than twenty-five companies that provide auto insurance at competitive rates. Coincidentally, all of them are glad to assist you.

Hawaii Car Insurance

Hawaii is known for being an expensive tourist attraction, but Hawaii car insurance rates could be worse. Actually, Hawaii is the 15^th most expensive state in America to buy car insurance.

Still, most drivers in the state of Hawaii can reduce their car insurance rates by hundreds of dollars a year with the right preparation. This page will show you how to do it. Scan the demographics of Hawaii zip codes. See Hawaii poverty statistics, unemployment rates, populations by zip code, median incomes, and other elements that affect auto insurance rates in the state of Hawaii.

Find out what types of car insurance Hawaii drivers need, and the coverage requirements mandated by Hawaii state law. Review a list of the 10 largest car insurance companies in the state of Hawaii, along with a list of the 10 largest car insurance companies in America.

Also take a look at the average car insurance premium rates for the state of Hawaii, and compare this average to your own rates on Hawaii car insurance. See how Hawaii compares to other states in terms of average auto insurance rates. Become aware of certain Hawaii state traffic and car insurance laws. Here’s where you can learn all kinds of car insurance-related details about the state of Hawaii.

Best of all, this page describes how to get every possible discount on Hawaii car insurance. For comparison’s sake, see a list of the four cheapest and the four priciest zip codes in the state of Hawaii to insure your vehicle. In case you wonder, Honolulu does not occupy a space on either list, since car insurance rates in Honolulu are about average for the state of Hawaii.

Hawaii Car Insurance Statistics

According to a census bureau estimate from 2015, the state of Hawaii is home to just over 1.43 million people. The median resident age in the state of Hawaii is about 37.7 years.

The unemployment rate in Hawaii is only 2.7 percent, quite a distance below the national average unemployment rate of 4.4 percent. In fact, the state of Hawaii has the 2^nd lowest unemployment rate of any state in America. Only Colorado has a lower unemployment rate than Hawaii. The poverty rate in Hawaii is roughly 10.6 percent, again a clear distance below the national average poverty rate of 13.5 percent.

A team of researchers recently calculated that the statewide average annual premium rate for a car insurance policy purchased in the state of Hawaii was about $1,458, which was more than a hundred dollars above the national average car insurance rate of around $1,355. What do you expect from Hawaii?

In another study, a group of analysts from the Insurance Research Council studied a sample of drivers in Hawaii. Researchers concluded that only about 6.7 percent of drivers in Hawaii are driving uninsured vehicles. In fact, among states, Hawaii has one of the lower rates of uninsured drivers on the roads.

The 10 Largest Hawaii Car Insurance Companies

When looking for a Hawaii car insurance company, some drivers will opt for the largest carrier. Other drivers may take the advice of their friends. Still others may just pick a car insurance company at random, while some drivers will be swayed by ad campaigns. These may seem like easy, time-saving methods of buying a car insurance policy, but doing your own personal research is a much better way to save money.

Although there are quite a lot of Hawaii car insurance companies out there, choosing the right one need not be too difficult. To start, here is a list of the 10 largest car insurance companies in the United States, followed by a list of the 10 largest car insurance companies in the state of Hawaii.

According to researchers, the ten largest auto insurance companies in America are 1) Allstate Insurance, 2) State Farm Insurance, 3) Geico, 4) Progressive Insurance, 5) Nationwide Group, 6) AAA, 7) Liberty Mutual Insurance, 8) 21^st Century Insurance, 9) GMAC, and 10) AIG, in that order. Here, car insurance companies were ranked by the annual dollar amount of premiums written.

Shown below is a list of the ten largest car insurance companies in Hawaii. These carriers are also ranked by their total amount of direct annual written premiums, from which we can calculate each company’s total market share in the state of Hawaii.

Rank	Company	Premiums ($)	Market Share (%)
1	Berkshire Hathaway Insurance	$149,149	23.21
2	State Farm Insurance Group	$115,799	18.02
3	USAA Group	$81,998	12.76
4	Farmers Insurance Group	$58,381	9.09
5	Allstate Insurance Group	$54,399	8.47
6	Progressive Insurance Group	$43,292	6.74
7	Philadelphia Ins / Tokio Marine US	$37,908	5.9
8	Liberty Mutual Insurance	$29,626	4.61
9	MS & AD US Insurance Group	$20,302	3.16
10	Island Insurance Group	$19,210	2.99

It seems as though Berkshire Hathaway hold the most revenue from car insurance policies sold in the state of Hawaii. Coming in second is State Farm Insurance. These companies are probably reliable, but this is not to say that the largest car insurance company is the best one, necessarily. There is really no such thing as The One Best Hawaii Car Insurance Company.

Here’s how to research car insurance carriers to find the one that’s best for you.

Cutting Costs on Hawaii Car Insurance

Drivers in the state of Hawaii can save quite a bit of money on their annual premium rates for Hawaii car insurance. The trick is simply to go over a lot of consumer reviews of auto insurance companies you are considering, then compare a lot of online quotes, and finally, grab every available discount.

Reading consumer reviews will help keep drivers informed of the overall customer experience at each company. After reading many reviews, make a list of the auto insurance companies of your choice. Then visit the website of each company on your list to obtain online quotes. You can even compare quotes between different zip codes within the state of Hawaii: For instance, try entering your work zip code and your home zip code. Maybe even your school zip code. Most importantly, be sure to find out which discounts each Hawaii car insurance company offers.

Some discounts are automatically applied, but you can also call a company agent to ask about other discounts. To save significant money on Hawaii car insurance, it is crucial to actively seek out the discounts.

What Types Of Car Insurance Do Hawaii Drivers Need?

According to auto insurance laws in the state of Hawaii, all registered drivers must buy minimum coverage amounts of $20,000 for bodily injury to others, $40,000 in per-accident coverage, and $10,000 to cover the cost of property damage, for each vehicle owned. Also required in Hawaii is $10,000 coverage for Personal Injury Protection (PIP). Still, state minimum coverage requirements are all too often not enough to cover the cost of vehicle repairs and/or medical bills that can result from traffic accidents.

That’s why insurance experts in Hawaii (and in all other U.S. states) recommend coverage amounts of $100,000 for personal injury protection, $300,000 coverage against bodily injury to others, and no less than $50,000 to cover the cost of property damage.

Drivers in Hawaii who really want to protect their vehicles can also buy comprehensive and collision coverage. These policy enhancements will typically cover the cost of collisions, wildfires, floods, monsoons, falling trees, flying objects, vandalism, and car theft, among other unwelcome events.

Dubious Vehicle Laws In Hawaii

In the state of Hawaii, it is unlawful to ride in the back of a passenger car without a seatbelt, but it is perfectly legal to ride in the back of a pickup truck with no safety equipment at all.
Residents of the state of Hawaii can be fined for not owning a boat. (In other words, people in Hawaii can be fined for having low income. It figures.)
Children ages 4 thru 7 are required to ride in a booster seat or a car seat, unless the vehicle has lap-only seat belts in the back seat. (Lap-only seat belts are known to be dangerous!)
All drivers under the age of 17 must wear helmets when riding motorcycles. (Drivers over the age of 17 are entitled to suffer head injuries if they want to.)

Best And Worst Zip Codes For Hawaii Car Insurance

Car insurance rates vary between zip codes in Hawaii, due to the differences in population densities, unemployment rates, poverty statistics, median income levels, crime rates, the percentage of uninsured drivers on the roads, and any other car insurance-related demographic that changes between zip codes.

Here is a list of the four most expensive neighborhoods (on average) in the state of Hawaii to buy car insurance. Annual premium rates in these zip codes can range from about $960 to around $2,680.

Zip Code	Pop Density	Unemployed %	Poverty %
96728 (Honomu)	116	0.80%	16.40%

This Hawaii County zip code is home to less than 500 people. The unemployment rate here is nearly nonexistent, well below the already low state average of 2.7 percent. However, the poverty rate in this neighborhood is quite far above the 10.6 percent state average.

Zip Code	Pop Density	Unemployed %	Poverty %
96720 (Hilo)	160	6.80%	18.20%

Also in Hawaii County, this neighborhood is is home to roughly 48,000 people. The unemployment and poverty rates are well above the state average in this zip code.

Zip Code	Pop Density	Unemployed %	Poverty %
96749 (Hawaiian Paradise Park)	283	6.90%	27.00%

This Hawaii County zip code is home to approximately 18,000 people. The unemployment and poverty in this neighborhood are both approaching three times the state average rates.

Zip Code	Pop Density	Unemployed %	Poverty %
96743 (Kamuela)	36	7.20%	13.40%

This neighborhood is home to just over 13,000 people. Again, the unemployment and poverty rates are above the state averages, although the population density is very light around here.

Now compare the Hawaii zip codes listed above and the neighborhoods shown below. Here is a list of the four least expensive zip codes (on average) in the state of Hawaii to buy car insurance. Annual premium rates in these areas can range from around $780 to about $2,025.

Zip Code	Pop Density	Unemployed %	Poverty %
96714 (Hanalei)	9	5.30%	15.40%

Only about 700 people reside in this Kauai County neighborhood. The unemployment and poverty rates are still slightly above the state averages in this zip code.

Zip Code	Pop Density	Unemployed %	Poverty %
96754 (Kilauea)	97	3.60%	10.10%

This Kauai County zip code is home to about 4,000 residents. Although unemployment slightly exceeds the 2.7 percent state average, the poverty rate falls slightly below the state average poverty rate of 10.6 percent.

Zip Code	Pop Density	Unemployed %	Poverty %
96756 (Koloa)	225	7.20%	12.40%

This Kauai County neighborhood is home to less than 6,000 people. The unemployment and poverty rates in this area are above the state average, so it remains unclear why this zip code is listed as one of the cheaper zip codes to buy Hawaii car insurance.

Zip Code	Pop Density	Unemployed %	Poverty %
96796 (Waimea)	37	8.20%	13.10%

This neighborhood is home to only about 1,700 people. The population density is very low. However, the unemployment and poverty rates are still above the state average, which makes this zip code an unexpected place for cheap Hawaii car insurance.

All in all, the state of Hawaii is home to 137 zip codes covering 5 counties containing 91 cities, from Ahuimanu to Whitmore Village and everywhere in between. There is difference in average annual car insurance premium rates of more than $350 between the cheapest zip codes and the priciest zip codes in the state of Hawaii.

How much money can you save on Hawaii car insurance? Grab some quick online quotes today and find out.

by admin