State Farm, American Family and Progressive are the cheapest car insurance companies among large providers available nationwide. However, depending on where you live, you may find lower rates from a regional carrier, such as Concord Group, Erie or IMT.
The actual auto insurance rate you receive from a company depends on a number of factors about you and your car, including your driving record, age and ZIP code. Read on for tips on finding cheap auto insurance near you.
In this article
- Cheapest overall car insurance: State Farm
- Cheapest regional car insurance company: Concord Group
- Cheapest car insurance company for drivers with a clean record: American Family
- Your state’s cheapest car insurance
- Cheapest car insurance company for drivers with a speeding ticket: State Farm
- Cheapest car insurance company for drivers with an accident: State Farm
- Cheapest car insurance company for drivers with a DUI: Progressive
- Cheapest car insurance company for teens: Nationwide
- Cheapest car insurance company for seniors: State Farm
Cheapest overall car insurance company: State Farm
State Farm is the cheapest car insurance company overall among large providers available nationwide, according to our analysis of car insurance quotes for sample drivers in every state.
State Farm’s rates for most drivers, with the exception of teens, are cheaper than those available from most other large national companies.
State Farm’s rates for minimum-coverage car insurance average $838 a year, or $70 a month, which is 20% lower than the national average of $87 a month.
While State Farm’s rates are cheapest among large mainstream car insurance companies, USAA’s rates are often lower than those available from other insurance companies. However, USAA is only available to current and former military members and their families.
Since you may qualify for a lower rate with a different insurance company, it’s best to compare quotes from multiple companies when you shop for car insurance.
Find cheap car insurance near you
Cheapest regional car insurance company: Concord Group
Among the regional companies in our analysis, Concord Group, IMT and Grange are among the cheapest car insurance companies in the areas they serve.
Concord Group’s minimum-coverage car insurance rates average $39 a month, while its full-coverage rates average $68 a month.
Concord Group offers auto insurance in four New England states. IMT serves six states in the Midwest, while Grange car insurance is available in 12 states.
| Company | Minimum coverage (monthly) | Full coverage (monthly) |
|---|---|---|
| Concord Group | $39 | $68 |
| IMT | $25 | $76 |
| Grange | $67 | $83 |
| Island Insurance | $43 | $92 |
| Safety | $48 | $95 |
| Westfield | $41 | $98 |
| Mutual of Enumclaw | $79 | $117 |
| Secura | $44 | $121 |
| Rates are for car insurance for a 35-year-old male with a good driving record. | ||
Cheapest car insurance company for good drivers: American Family
American Family has a slight edge over State Farm for cheapest full-coverage car insurance rates for good drivers.
American Family’s average rate for a full-coverage car insurance policy is $125 a month for drivers with a clean record, compared to State Farm’s rate of $130 a month.
Full-coverage car insurance includes collision coverage and comprehensive coverage, which are typically required for a car loan or lease, as well as higher liability limits than most states require.
| Company | Annual rate | Monthly rate |
|---|---|---|
| American Family | $1,498 | $125 |
| State Farm | $1,566 | $130 |
| Progressive | $1,991 | $166 |
| Nationwide | $2,149 | $179 |
| GEICO | $2,224 | $185 |
| Travelers | $2,553 | $213 |
| Farmers | $2,561 | $213 |
| Allstate | $2,584 | $215 |
| USAA* | $1,110 | $93 |
| Rates are for full-coverage car insurance for a 35-year-old male with a good driving record. *Only available to current/former military members and their families. | ||
Cheapest minimum-coverage car insurance company: State Farm
State Farm has the cheapest minimum-coverage car insurance among large insurance companies, charging rates that average $70 a month. However, State Farm’s rate is only slightly cheaper than American Family’s rate of $72 a month
| Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $838 | $70 |
| American Family | $868 | $72 |
| Progressive | $943 | $79 |
| GEICO | $1,034 | $86 |
| Nationwide | $1,157 | $96 |
| Allstate | $1,275 | $106 |
| Travelers | $1,374 | $115 |
| Farmers | $1,406 | $117 |
| USAA* | $516 | $43 |
| Rates are for minimum-coverage car insurance for a 35-year-old male with a good driving record. *Only available to current/former military members and their families. | ||
Minimum-coverage car insurance, sometimes called minimum-liability coverage, meets auto insurance requirements that vary by state.
- Most states require you to carry liability insurance for injuries and property damage you may cause to others in a car accident.
- Some states also require uninsured motorist coverage.
- If you live in a no-fault insurance state, you are typically required to have personal injury protection (PIP), in addition to any other coverages your state may require.
Cheapest car insurance company in your state
State Farm is the cheapest car insurance company in 24 states, based on minimum-coverage rates, while GEICO is cheapest in six states. Progressive has the lowest rate in four states, and Farm Bureau affiliates are cheapest in four others.
| State | Cheapest insurer | Annual rate |
|---|---|---|
| Alabama | State Farm | $956 |
| Alaska | Allstate | $824 |
| Arizona | State Farm | $1,173 |
| Arkansas | GEICO | $668 |
| California | CSAA | $834 |
| Colorado | State Farm | $1,273 |
| Connecticut | Travelers | $1,305 |
| Delaware | State Farm | $1,423 |
| Florida | GEICO | $1,109 |
| Georgia | Auto-Owners | $1,002 |
| Hawaii | GEICO | $724 |
| Idaho | State Farm | $495 |
| Illinois | State Farm | $903 |
| Indiana | Auto-Owners | $615 |
| Iowa | State Farm | $521 |
| Kansas | State Farm | $600 |
| Kentucky | State Farm | $1,151 |
| Louisiana | State Farm | $1,520 |
| Maine | State Farm | $495 |
| Maryland | State Farm | $1,264 |
| Massachusetts | Safety | $1,071 |
| Michigan | Progressive | $2,842 |
| Minnesota | State Farm | $857 |
| Mississippi | State Farm | $769 |
| Missouri | State Farm | $900 |
| Montana | State Farm | $750 |
| Nebraska | Farm Bureau | $678 |
| Nevada | State Farm | $1,760 |
| New Hampshire | Hanover | $561 |
| New Jersey | GEICO | $1,246 |
| New Mexico | State Farm | $849 |
| New York | Progressive | $1,571 |
| North Carolina | Farm Bureau | $549 |
| North Dakota | American Family | $522 |
| Ohio | Progressive | $1,023 |
| Oklahoma | Progressive | $985 |
| Oregon | State Farm | $1,658 |
| Pennsylvania | Progressive | $847 |
| Rhode Island | Amica | $1,615 |
| South Carolina | Auto-Owners | $1,065 |
| South Dakota | Farmers | $351 |
| Tennessee | Farm Bureau | $785 |
| Texas | GEICO | $967 |
| Utah | State Farm | $991 |
| Vermont | State Farm | $409 |
| Virginia | Farm Bureau | $1,026 |
| Washington | State Farm | $1,129 |
| Washington DC | Erie | $783 |
| West Virginia | State Farm | $740 |
| Wisconsin | State Farm | $762 |
| Wyoming | GEICO | $458 |
| Rates are for minimum-coverage car insurance for a 35-year-old male with a good driving record. | ||
Cheapest car insurance company for drivers with a speeding ticket: State Farm
State Farm and American Family have the cheapest car insurance rates for drivers with a speeding ticket, charging $80 a month and $84 a month, respectively, for minimum coverage.
A speeding ticket increases the average cost of car insurance by 24% to $108 a month for minimum coverage.
| Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $962 | $80 |
| American Family | $1,013 | $84 |
| Progressive | $1,185 | $99 |
| GEICO | $1,317 | $110 |
| Nationwide | $1,470 | $123 |
| Allstate | $1,505 | $125 |
| Travelers | $1,676 | $140 |
| Farmers | $1,912 | $159 |
| USAA* | $623 | $52 |
| Rates are for minimum coverage for a 35-year-old male with one speeding ticket on his driving record. *Only available to current/former military members and their families. | ||
Cheapest car insurance company for drivers with an at-fault accident: State Farm
State Farm has the cheapest car insurance for drivers with a prior at-fault accident, charging rates that average $87 a month for minimum coverage. The next-best rates are available from Progressive, $117 a month, and American Family, $126 a month.
On average, a driver with a prior at-fault accident pays 48% more for car insurance than a driver with a clean record. However, State Farm only raises its rates for drivers with an accident history by 24%.
| Company | Annual Rate | Monthly Rate |
|---|---|---|
| State Farm | $1,042 | $87 |
| Progressive | $1,409 | $117 |
| American Family | $1,515 | $126 |
| Nationwide | $1,536 | $128 |
| GEICO | $1,733 | $144 |
| Travelers | $1,888 | $157 |
| Allstate | $2,020 | $168 |
| Farmers | $2,099 | $175 |
| USAA* | $732 | $61 |
| Rates are for minimum coverage for a 35-year-old male with a prior at-fault accident.*Only available to current/former military members and their families. | ||
Cheapest car insurance company for drivers with a DUI: Progressive
Progressive has the cheapest car insurance for drivers with a DUI, charging rates that average $98 a month for minimum coverage.
A DUI raises the average price of car insurance by 64% to $143 a month for minimum coverage.
| Company | Annual rate | Monthly rate |
|---|---|---|
| Progressive | $1,177 | $98 |
| American Family | $1,296 | $108 |
| State Farm | $1,341 | $112 |
| Allstate | $1,853 | $154 |
| Travelers | $2,031 | $169 |
| Farmers | $2,184 | $182 |
| Nationwide | $2,206 | $184 |
| GEICO | $2,452 | $204 |
| USAA* | $954 | $80 |
| Rates are for minimum coverage for a 35-year-old male with a prior DUI.*Only available to current/former military members and their families. | ||
Cheapest car insurance company for teens: Nationwide
Nationwide has the cheapest car insurance for teen drivers, charging 18-year-olds an average of $385 a month for full coverage.
A family can typically save on combined car insurance costs by placing a teen on a parent’s policy, when possible, rather than having separate policies.
| Company | Annual rate | Monthly rate |
|---|---|---|
| Nationwide | $4,620 | $385 |
| GEICO | $5,579 | $465 |
| American Family | $5,654 | $471 |
| State Farm | $6,887 | $574 |
| Progressive | $7,339 | $612 |
| Allstate | $7,438 | $620 |
| Travelers | $8,304 | $692 |
| Farmers | $8,769 | $731 |
| USAA* | $4,418 | $368 |
| Rates are for full-coverage car insurance for an 18-year-old male with a good driving record. *Only available to current/former military members and their families. | ||
Cheapest car insurance company for seniors: State Farm
State Farm is the cheapest car insurance company for senior citizen drivers, charging 65-year-olds an average of $67 a month for minimum coverage.
If you’re a senior driver, you may be able to score a discount on your car insurance by completing an approved driver education class, and an online class may be available. It’s best to check with your insurance company on the courses that qualify for a discount before you enroll in one.
| Company | Annual Rate | Monthly Rate |
|---|---|---|
| State Farm | $799 | $67 |
| American Family | $814 | $68 |
| Progressive | $933 | $78 |
| GEICO | $1,040 | $87 |
| Nationwide | $1,106 | $92 |
| Travelers | $1,267 | $106 |
| Allstate | $1,357 | $113 |
| Farmers | $1,421 | $118 |
| USAA* | $529 | $44 |
| Minimum-coverage rates are for a 65-year-old male with a clean driving record. *Only available to current/former military members and their families. | ||
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How to get cheap car insurance
Since car insurance can get expensive, consider these money-saving tips for a cheaper rate.
Compare quotes from multiple companies
Insurance companies evaluate several factors about you to determine your rate, and each company tends to weigh these factors differently. This is the main reason why you may qualify for a significantly lower rate with one company than you do with others. It’s best to get quotes from at least three companies when you shop.
Consider higher deductibles
Increasing your collision and comprehensive deductibles is an easy way to reduce your insurance costs. You don’t want your deductible to be too high. However, just increasing your deductibles from $500 to $1,000, for example, can often save you about $20 a month.
Bear in mind that comprehensive coverage tends to be cheaper than collision coverage. You may be able to find a happy medium by choosing a low comprehensive deductible and a high collision deductible, depending on the insurance company you choose.
Remove full coverage from an older car
If you drive an older car, you may be better off removing collision and comprehensive coverage from your policy altogether.
The most you can receive from an insurance company for a stolen or totaled car is its market value minus your deductible. If you total your $1,500 car and have a $500 collision deductible, you’ll only get $1,000 from the insurance company
Avoid inexpensive collision claims
If you cause minor damage to your own car and/or someone else’s vehicle, you may be better off footing the repair bill yourself to avoid a claim that may impact your rates.
However, If you are involved in an accident that results in injuries or significant damage, it’s generally best to report it to your insurance company as soon as possible.
You don’t have to worry about reporting glass breakage to your insurance company. Window repair or replacement claims typically do not affect your rates.
Discounts to get cheaper car insurance
A 2% discount here or a 5% discount there may not seem like much, but you may be surprised by how quickly car insurance discounts can add up. Although discounts vary by company, here’s a look at some of the most common discounts that can help you score a cheaper rate on car insurance.
Multipolicy/bundling discount
Most insurance companies offer a generous discount for bundling an auto policy with your home or renters insurance. Multipolicy discounts are also available for combining any other insurance you may have, such as coverage for your motorcycle, boat and/or rental property, with your auto policy.
Safe-driving discount
Several car insurance companies offer a sizable discount just for enrolling in their safe driver programs, which are typically managed by a smartphone app.
The app monitors your driving and gives you a score, based on how well you avoid excessive speeds, hard braking and other risky behaviors. You can typically qualify for discounts on future renewals if you maintain a high-enough driving score.
Military/affiliation discounts
When an insurance agent asks about your occupation, educational background or military status, they are typically trying to see if you qualify for any of the discounts their company may offer.
Some companies offer discounts to current and/or former military members, while others offer discounts to those in certain professions and/or with a postgraduate degree.
Though the questions may feel invasive, don’t be shy about sharing information about yourself with an insurance company. It may save you some money.
Good student discount
Most parents experience sticker shock when it’s time to add their newly licensed teen to their insurance policy, but your teen can help keep your family’s car insurance costs down by maintaining good grades.
Many insurance companies offer a good student discount to young drivers with a B average or better in high school or college. You typically need to provide a copy of school transcripts to the insurance company for verification.
Cheap car insurance companies: FAQs
The cheapest car insurance is not always the best deal. Your policy needs to provide enough coverage to protect your finances, and it’s generally best to choose a company with a fair, convenient and prompt claims process. J.D. Power’s overall customer satisfaction index is a good indicator of an auto insurance company’s customer-service standards.
Young drivers tend to see their car insurance rates get cheaper in their mid-20s. Our research shows that 20-year-olds pay 33% less for car insurance than 18-year-olds. Meanwhile, 25-year-olds pay 62% less than 18-year-olds and also 44% less than 20-year-olds.
Minimum-coverage car insurance is generally the cheapest type of car insurance. As the term implies, a minimum-coverage policy meets your state’s minimum insurance requirements and typically does not cover damage to your own vehicle.
Car insurance quotes are free, no-obligation car insurance estimates that most companies provide upon request. You typically need to provide basic details about yourself, your vehicle and any other drivers in your household to get a quote. Comparing quotes from multiple companies is the best way to find the cheapest car insurance rate.
Methodology
Rates shown in this analysis are based on non-binding quotes for minimum-coverage and full-coverage car insurance obtained from Quadrant Information Services from each state and Washington, D.C.
Rates were pulled from the 10 largest insurance companies in the U.S. by market share. Liberty Mutual was excluded from this analysis because the company does not disclose its rates to Quadrant.
Unless otherwise noted, the typical driver is a 35-year-old male who drives a 2012 Honda LX for an average of 13,500 miles a year.
Minimum-coverage car insurance rates are derived from the average cost of a policy that meets a state's minimum insurance requirements.
Full-coverage car insurance includes the following coverages, limits and deductibles:
- Bodily injury liability: $100,000 per person/$300,000 per year
- Property damage liability: $100,000
- Collision: $500 deductible
- Comprehensive: $500 deductible
In states where uninsured/underinsured motorist coverage and personal injury protection are required, the minimum limits required by law are included in the quoted policy.
Prior incidents include the following types of accidents or violations:
- An at-fault accident resulting in $2,000 or more in property damage
- A conviction of DUI for driving with blood alcohol content of 0.08% or greater
- A speeding ticket for exceeding the speed limit by an unspecified amount
References:
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