Erie and State Farm are the best companies for cheap car insurance in Memphis, with both charging an average of $48 a month for state-minimum coverage.
When it comes to full-coverage insurance, most Memphis drivers will find the cheapest rates with State Farm. It charges $105 per month, on average, for such policies.
USAA offers even cheaper full-coverage car insurance plans to Memphis drivers, at an average monthly rate of $96. That said, USAA only provides insurance to former and current military members, as well as their families.
In this article
Cheapest car insurance in Memphis
State Farm and Erie offer the cheapest car insurance rates in Memphis. Both providers offer minimum-coverage policies for $48 a month.
USAA and Tennessee Farmers also offer plans below the citywide average of $68 a month. But USAA’s rates, which cost an average of $50 a month, are only for those with ties to the military.
| Company | Monthly rate |
|---|---|
| Erie | $48 |
| State Farm | $48 |
| USAA | $50 |
| Tennessee Farmers | $60 |
| City Average | $68 |
| GEICO | $70 |
| Allstate | $73 |
| Progressive | $76 |
| Nationwide | $122 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Tennessee law requires drivers to have a minimum amount of liability car insurance coverage. The state’s minimum requirements are:
- $25,000 for each injury or death in an accident
- $50,000 for all injuries and deaths in an accident
- $15,000 for property damage in an accident
The majority of Memphis drivers will find the best full-coverage car insurance rates at State Farm, which charges $105 a month. This is well below the citywide average of $151 a month for full-coverage policies.
USAA offers cheaper rates — $96 a month, on average — but only for those who qualify. Erie and Progressive present the next-best options, with average monthly rates of $111 and $140, respectively.
| Company | Monthly rate |
|---|---|
| USAA | $96 |
| State Farm | $105 |
| Erie | $111 |
| Progressive | $140 |
| City Average | $151 |
| Allstate | $164 |
| GEICO | $169 |
| Tennessee Farmers | $170 |
| Nationwide | $253 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Full-coverage car insurance typically includes liability, collision and comprehensive coverage. Drivers may also add coverage for towing, rental vehicles, uninsured drivers and more.
No state requires full-coverage car insurance, but some lenders and lessors do. Also, it’s often recommended for those with new or expensive vehicles.
Compare rates from top car insurance companies
Cheapest car insurance in Memphis for drivers with a DUI
State Farm has the cheapest auto insurance in Memphis for drivers with a DUI on their records, charging them an average rate of $115 a month.
In Memphis, a DUI increases a driver’s average monthly car insurance cost by 68%, from $151 to $253.
| Company | Monthly rate |
|---|---|
| USAA | $115 |
| State Farm | $166 |
| Erie | $166 |
| Progressive | $183 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Cheapest car insurance in Memphis for drivers with accidents or tickets
Memphis drivers with an accident history will find the best car insurance rates with State Farm. On average, the company charges these drivers $125 a month for full coverage.
Erie and USAA trail just behind, offering policies for $140 and $144 a month, respectively. Those rates are still far cheaper than the citywide average of $198 a month.
| Company | Monthly rate |
|---|---|
| State Farm | $125 |
| Erie | $140 |
| USAA | $144 |
| Tennessee Farmers | $170 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Meanwhile, drivers in Memphis with a speeding ticket on their record have several strong options. Erie, State Farm and USAA all offer full-coverage car insurance for an average cost of $115 a month.
It’s worth noting again that USAA’s policies are only available to those who are affiliated with the military.
| Company | Monthly rate |
|---|---|
| Erie | $115 |
| State Farm | $115 |
| USAA | $115 |
| GEICO | $169 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Cheapest car insurance for teen drivers in Memphis
Erie has the cheapest car insurance for teen drivers in Memphis. The provider charges 18-year-olds with clean driving records an average of $103 a month for minimum-coverage policies.
Teen drivers in Memphis cost significantly more to insure. For all drivers citywide, the average minimum-coverage rate is $68 a month. But for teens, the monthly average is $264, almost four times more.
| Company | Monthly rate |
|---|---|
| Erie | $103 |
| USAA | $139 |
| State Farm | $155 |
| Tennessee Farmers | $201 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
The best full-coverage car insurance rates in Memphis also come from Erie. Teen drivers with a clean record pay $251 a month, on average, for the company’s full-coverage plans. USAA and State Farm present the next-best options for Memphis teens who want full coverage.
| Company | Monthly rate |
|---|---|
| Erie | $251 |
| USAA | $266 |
| State Farm | $336 |
| Tennessee Farmers | $529 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Get cheap car insurance in Memphis
Cheapest car insurance for senior drivers in Memphis
Senior drivers get the most affordable car insurance rates from Erie at an average $43 a month for minimum coverage.
State Farm, USAA and Tennessee Farmers fall closely behind, with average monthly rates of $46, $50 and $54, respectively. All three are cheaper than the citywide average of $63 a month.
| Company | Monthly rate |
|---|---|
| Erie | $43 |
| State Farm | $46 |
| USAA | $50 |
| Tennessee Farmers | $54 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Most seniors in Memphis find the cheapest full-coverage car insurance rates at State Farm. It charges $97 a month.
On average, Memphis seniors pay less for car insurance than the overall city average. The typical senior pays $133 for full coverage, while the average driver in Memphis pays $151.
| Company | Monthly rate |
|---|---|
| USAA | $93 |
| State Farm | $97 |
| Erie | $100 |
| Progressive | $115 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Memphis car insurance requirements
Memphis drivers must adhere to Tennessee state law, which requires all drivers to hold at least 25/50/15 car insurance. This means each driver must have:
- $25,000 of bodily injury liability coverage for each injury or death in an accident
- $50,000 of bodily injury liability coverage for all injuries and deaths in an accident
- $15,000 of liability coverage for property damage in an accident
Drivers can opt for full coverage, typically by adding comprehensive and collision insurance to their policies. However, there are all kinds of additional coverage options — including for towing, rental vehicles, uninsured drivers, underinsured drivers and more.
No state requires full-coverage insurance, although those with new or expensive vehicles may want to consider it.
Methodology
We obtained non-binding quotes from Quadrant Information Services for a typical driver in every Memphis ZIP code to find the cheapest car insurance companies and rates. Unless otherwise noted, the driver is a 35-year-old male with a clean driving record. He owns a 2012 Honda Accord LX and drives an average 13,500 miles a year.
The teen driver in this article is 18 years old but otherwise fits the same profile as the 35-year-old driver above. The same is true of our senior driver, who is 60.
Minimum-coverage car insurance rates highlighted on this page are based on a policy that meets Tennessee’s minimum liability requirements. Full-coverage rates are based on a policy with the following limits and deductibles:
- $100,000 bodily injury liability coverage per person
- $300,000 bodily injury liability coverage per accident
- $100,000 property damage liability coverage
- $500 deductibles for both collision and comprehensive coverage
Sources:
Auto insurance by city
- Memphis
- Nashville
QuoteWizard.com LLC has made every effort to ensure that the information on this site is correct, but we cannot guarantee that it is free of inaccuracies, errors, or omissions. All content and services provided on or through this site are provided "as is" and "as available" for use. QuoteWizard.com LLC makes no representations or warranties of any kind, express or implied, as to the operation of this site or to the information, content, materials, or products included on this site. You expressly agree that your use of this site is at your sole risk.