The quickest way to answer the question “How much is car insurance?” is to reach out for personalized car insurance quotes. Auto insurance rates are tailored to each customer based on a number of factors, such as age, gender, location, and driving history. 

In this article, we’ll explain how each of these factors determines your auto insurance premiums. We also discuss average rates for several types of drivers to give you an idea of what you can expect to pay for your own coverage. This information can help guide you as you compare quotes from the best car insurance companies.

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In This Review:

    Average Car Insurance Rates

    The average cost of car insurance was $1,056.55, or about $88.05 per month, in 2018 according to the National Association of Insurance Commissioners (NAIC). Drivers paid an average of $644.11 for liability car insurance, $377.62 for collision insurance, and $167.91 for comprehensive insurance.

    State

    Average Expenditure

    State

    Average Expenditure

    Alabama

    $904.56

    Alaska

    $965.44

    Arizona

    $1,046.40

    Arkansas

    $898.89

    California

    $1,034.05

    Colorado

    $1,132.81

    Connecticut

    $1,216.55

    Delaware

    $1,291.39

    District of Columbia

    $1,429.43

    Florida

    $1,426.46

    Georgia

    $1,212.04

    Hawaii

    $829.15

    Idaho

    $722.06

    Illinois

    $916.49

    Indiana

    $767.72

    Iowa

    $700.71

    Kansas

    $805.15

    Kentucky

    $936.91

    Louisiana

    $1,545.82

    Maine

    $686.25

    Maryland

    $1,211.83

    Massachusetts

    $1,167.16

    Michigan

    $1,469.73

    Minnesota

    $872.65

    Mississippi

    $971.19

    Missouri

    $913.81

    Montana

    $825.87

    Nebraska

    $796.87

    Nevada

    $1,260.43

    New Hampshire

    $847.58

    New Jersey

    $1,385.61

    New Mexico

    $915.62

    New York

    $1,425.00

    North Carolina

    $734.06

    North Dakota

    $686.08

    Ohio

    $794.91

    Oklahoma

    $915.49

    Oregon

    $990.21

    Pennsylvania

    $991.23

    Rhode Island

    $1,333.12

    South Carolina

    $1,093.97

    South Dakota

    $721.67

    Tennessee

    $855.78

    Texas

    $1,152.25

    Utah

    $941.14

    Vermont

    $778.29

    Virginia

    $853.78

    Washington

    $1,035.34

    West Virginia

    $938.71

    Wisconsin

    $755.97

    Wyoming

    $765.81

    Countrywide

    $1,056.55

    Your rates may be higher or lower than those listed above based on the many factors that insurers use to calculate car insurance premiums.

    Factors That Affect The Cost Of Car Insurance

    While every insurer uses a different formula to determine your car insurance rates, many consider the same factors when setting policy prices. The most prominent include:

    • Age: Young drivers typically see the highest rates for car insurance. Rates drop most dramatically after drivers turn 25 and often continue to drop each year until around age 65.
    • Driving history: Drivers with a recent at-fault accident, speeding ticket, or DUI see higher rates. Getting convicted of a DUI can increase your rates significantly.
    • Gender: Men typically have higher car insurance rates than women, though this is not the case in every state. In California, Hawaii, Massachusetts, Michigan, Montana, North Carolina, and Pennsylvania, insurers are not allowed to use gender to determine how much your car insurance rates will be.
    • Marital status: Married drivers are less likely to file claims, so insurers offer lower rates to couples than to single drivers.
    • Car: Your vehicle can determine your auto insurance rates. Many insurers offer discounts for new vehicles and cars that have safety devices and anti-theft features.
    • Location: Both city and state have an impact on car insurance rates. Living in a densely populated area with a high number of traffic incidents will mean increased rates. You may also see higher rates if you park your vehicle in an area with high crime statistics.
    • Credit score: Drivers with good credit are often offered better rates. In the states of California, Hawaii, and Massachusetts, insurers are not allowed to base auto insurance rates on credit history.
    • Coverage: The more coverage you purchase, the higher your rates will be. You will get the cheapest auto insurance coverage by purchasing only the minimum required auto insurance. Full coverage car insurance policies with high limits for valuable cars are more expensive.
    • Deductible: Most collision and comprehensive auto insurance policies include a deductible that you must pay before your insurer will cover damages. A higher deductible means a lower premium payment.

    How Much Is Car Insurance For High-Risk Drivers?

    High-risk drivers often see some of the highest car insurance premiums. Certain insurers will penalize drivers with a DUI, speeding ticket, or recent accident more than others. Our research shows that USAA provides some of the cheapest rates for high-risk drivers at about $2,258 annually.

    Cheapest Car Insurance Estimates for High-Risk Drivers

    Car Insurance Company

    Annual Rate Estimate

    USAA

    $2,258

    Erie Insurance

    $2,505

    Progressive

    $2,572

    State Farm

    $2,678

    American Family Insurance

    $2,761

    Travelers

    $2,882

    How Much Is Car Insurance For Teen Drivers?

    Drivers under the age of 25 also see especially high rates for car insurance. In addition to purchasing a policy with a company that offers low rates for young drivers, you can reduce premiums by looking for discounts offered specifically to young drivers.

    Many insurers offer reduced rates for students who have good grades, complete a driver safety course, or leave their vehicle at home while away at college. Our research shows that USAA, Geico, and State Farm typically have low rates for young drivers.

    Cheapest Car Insurance Estimates for Young Drivers

    Car Insurance Company

    Annual Rate Estimate

    USAA

    $1,422

    Geico

    $1,627

    State Farm

    $1,765

    Progressive

    $2,029

    Nationwide

    $2,293

    Allstate

    $2,959

    How Much Is Minimum Coverage Car Insurance?

    If you’re trying to get the cheapest coverage possible, you can purchase only the state-required minimum car insurance coverage. Minimum coverage requirements vary by state, but most states require at least a liability insurance policy. Several states also require personal injury protection, medical payments coverage, and/or uninsured/underinsured motorist coverage.

    The table below shows the average liability coverage premiums paid by drivers in each state in 2018, according to the most recent NAIC insurance cost report.

    State

    Average Liability

    Premium

    State

    Average Liability

    Premium

    Alabama

    $511.13

    Alaska

    $576.09

    Arizona

    $646.75

    Arkansas

    $486.72

    California

    $616.51

    Colorado

    $687.40

    Connecticut

    $784.70

    Delaware

    $900.32

    District of Columbia

    $809.41

    Florida

    $1,009.94

    Georgia

    $797.80

    Hawaii

    $479.27

    Idaho

    $425.89

    Illinois

    $515.94

    Indiana

    $442.69

    Iowa

    $348.87

    Kansas

    $421.78

    Kentucky

    $611.54

    Louisiana

    $1,015.36

    Maine

    $374.59

    Maryland

    $737.73

    Massachusetts

    $658.47

    Michigan

    $952.15

    Minnesota

    $499.48

    Mississippi

    $538.35

    Missouri

    $520.45

    Montana

    $435.81

    Nebraska

    $429.35

    Nevada

    $900.40

    New Hampshire

    $436.76

    New Jersey

    $955.93

    New Mexico

    $576.81

    New York

    $920.25

    North Carolina

    $391.29

    North Dakota

    $307.97

    Ohio

    $448.59

    Oklahoma

    $508.89

    Oregon

    $689.74

    Pennsylvania

    $555.42

    Rhode Island

    $885.33

    South Carolina

    $702.37

    South Dakota

    $333.44

    Tennessee

    $477.07

    Texas

    $659.47

    Utah

    $601.77

    Vermont

    $376.99

    Virginia

    $492.68

    Washington

    $689.18

    West Virginia

    $521.74

    Wisconsin

    $422.28

    Wyoming

    $356.25

    Countrywide

    $644.11

    Recommendations For Car Insurance

    The cost of car insurance is an important factor to keep in mind when choosing a provider. However, it isn’t the only thing to consider. It can be worth paying a little more for better coverage with a provider that offers reliable claims service. A low-cost policy isn’t worth it if your insurer doesn’t pay out when it comes time to file a claim or draws out the claims process.

    We recommend getting auto insurance quotes from top insurers to compare cost and coverage options and find the best fit for your needs. Be sure to consider two of our top-recommended insurers: Geico and USAA.

    Compare car insurance rates
    Answer a few simple questions to save money on your policy

    Geico: Best Overall Provider

    Geico is a national insurer and often the cheapest car insurance option for many drivers, especially those with clean driving records. Geico has an A+ rating from the Better Business Bureau (BBB) and an A++ financial strength rating from AM Best.

    The insurance company offers an easy-to-use rate calculator through its website, so it doesn’t take long to figure out how much car insurance with Geico might be. Customers can save by taking advantage of Geico discounts such as:

    • Vehicle equipment discounts
    • Accident-free discount
    • Seat belt discount
    • Defensive driving discount
    • Driver education discount
    • Good student discount
    • Government employee discount
    • Multi-vehicle discount
    • Multi-policy discount

    Learn more in our complete Geico insurance review.

    USAA: Best For Military Members

    USAA has been providing quality car insurance coverage to its customers for almost 100 years, but it isn’t available for every driver. Policies with USAA can only be purchased if you are a member or veteran of the U.S. armed forces or if you have a parent or spouse that has an account with USAA.

    USAA provides banking services as well as insurance products, which makes paying for your car insurance premium simple and easy. USAA has an online insurance quote tool and offers the following discounts to customers:

    • Good student discount
    • Good driver discount
    • Military garage discount
    • Bundling discount
    • New vehicle discount
    • Anti-theft discount
    • Deployment discount
    • Loyalty discount

    Read our comprehensive USAA auto insurance review to find out more about coverage.

    How We Rate Insurers

    Our review process aims to deliver consistent and unbiased assessments of car insurance providers. While there are multiple qualities that make a car insurance company successful, our review team focuses on those we believe are the most important for consumers:

    • Cost: Cost can be difficult to compare between insurers because so many factors impact annual premiums. The cheapest insurer for one driver may not be the cheapest for another. To determine our cost score, we look at insurance rate estimates generated by Quadrant Information Services, discount opportunities, and consumer reports.
    • Coverage: To determine our coverage score, we look at the number of coverage options available as well as coverage limits and deductible options. Our ratings also take into account additional services and benefits like roadside assistance.
    • Reliability: It’s important that an auto insurer is able to meet its claims obligations. Companies with a strong financial strength rating from AM Best score best in this category. Established insurers with a long history of reliable service also receive positive marks.
    • Service: We comb through customer reviews on sites like the BBB to learn about customer experiences. Insurers with a low volume of complaints score well in this area. We also consider the claims process, giving higher ratings to car insurance providers that offer easy-to-use claims apps.

    *Data accurate at time of publication.