Cheapest Car Insurance Companies in North Carolina (2022)

The cheapest insurers in North Carolina include NC Farm Bureau, $34 a month; State Farm, $38; and Allied, $40.

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North Carolina Farm Bureau and State Farm have the cheapest car insurance rates for most North Carolina drivers, according to our research. NC Farm Bureau charges an average $34 per month for a minimum liability policy, while State Farm costs about $38 each month. 

The average North Carolina driver pays approximately $44 per month for an auto insurance policy that meets the state's minimum requirements. The same driver pays $86 per month for full-coverage car insurance — which usually includes liability, collision and comprehensive protections.

In this article:

Cheapest car insurance companies in North Carolina

The three cheapest insurance companies in North Carolina are NC Farm Bureau, State Farm and Allied. They each offer competitive rates — $34 to $40 a month, on average — for policies that meet the minimum-coverage requirements in North Carolina. 

Company Average annual rate Average monthly rate
North Carolina Farm Bureau $408 $34
State Farm $461 $38
Allied $481 $40
State average $533 $44
Erie $580 $48
Progressive $596 $50
GEICO $599 $50
Nationwide $607 $51
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

A minimum-coverage policy has a low upfront cost, but if you get into an accident, it can be costly because the policy is meant to protect other drivers and their property — not your own. We recommend that drivers with expensive or new cars purchase additional coverage to avoid exorbitant out-of-pocket costs.

Car insurance requirements in North Carolina

Almost every state requires its drivers to obtain a minimum amount of car insurance to legally drive. In North Carolina, the minimum requirements include the following:

Coverage Limit
Bodily injury liability $30,000 per person/$60,000 per accident
​Property damage $25,000 per accident
Uninsured/underinsured motorist bodily injury $30,000 per person/$60,000 per accident
Uninsured motorist property damage $25,000 per accident

In North Carolina, the penalties for failing to meet these requirements are steep. The state may fine you $50 for your first car insurance lapse, $100 for your second lapse and $150 for each lapse after that. It also may charge you a $50 restoration fee. Additionally, your insurance company may penalize you for a lapse in coverage by charging higher rates.

Cheapest full-coverage car insurance in North Carolina

NC Farm Bureau and State Farm offer the most affordable full-coverage car insurance rates in North Carolina. The average premium from each provider costs an average $66 per month, significantly less than the state average.

Company Average annual rate Average monthly rate
NC Farm Bureau $787 $66
State Farm $788 $66
Average $1,028 $86
Allied $1,034 $86
Erie $1,054 $88
Progressive $1,099 $92
Nationwide $1,110 $92
GEICO $1,322 $110
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

There's some variation in the definition of a full-coverage policy, but it typically means that you have comprehensive and collision protections on top of your minimum-coverage policy.

Comprehensive coverage financially protects your car from damage caused by events out of your control. This includes natural disasters, theft or hitting an animal. On the other hand, collision coverage pays if your car is damaged by crashing into another vehicle or a stationary object, like a sign or pole.

Picture a scenario where you get into an expensive accident and your car is badly damaged. If you don't have collision coverage, you won't receive financial reimbursement for the crash. To repair your vehicle and any injuries that result from the accident, you'll have to pay out of pocket.

Cheapest car insurance for drivers after an accident

Even after an accident, NC Farm Bureau still offers the best car insurance rates for the average driver. The company charges about $86 per month in this scenario, a $20 monthly increase compared to a regular full-coverage customer.

Company Average annual rate Average monthly rate
NC Farm Bureau $1,032 $86
State Farm $1,092 $91
Nationwide $1,118 $93
Average $1,362 $114
Erie $1,421 $118
Progressive $1,483 $124
Allied $1,680 $140
GEICO $1,711 $143
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Having just one at-fault accident can result in an increase in your car insurance premium. Our research shows that it can bump up your rates by as much as 40%. The best way to mitigate the effects of an accident on your insurance is by maintaining a clean driving record afterward, as accidents may affect your insurance record for three years

Cheapest car insurance for drivers with a DUI

Due to the severity of a DUI, drivers caught under the influence typically pay substantially higher rates for coverage. In fact, NC Farm Bureau, the cheapest company for North Carolina drivers charged with a DUI, increases rates by nearly four-fold.

Company Average annual rate Average monthly rate
NC Farm Bureau $2,869 $239
Nationwide $3,207 $267
State Farm $3,303 $275
Average $3,800 $317
Allied $4,056 $338
Erie $4,168 $347
Progressive $4,361 $363
GEICO $4,632 $386
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Cheapest car insurance for drivers with a speeding ticket

Drivers caught having the need for speed pay higher premiums on average compared to their counterparts with clean records. According to our research, NC Farm Bureau increased monthly rates the least following a speeding citation.

Company Average annual rate Average monthly rate
NC Farm Bureau $1,032 $86
State Farm $1,092 $91
Nationwide $1,118 $93
Average $1,321 $110
Allied $1,389 $116
Erie $1,421 $118
Progressive $1,483 $124
GEICO $1,711 $143
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

The best way to remove a speeding ticket from your record is to wait for it to drop off on its own. Typically, it takes around three to five years. Alternatively, you can look for discounts and other savings opportunities to lower your premium.

Cheapest car insurance for teens in North Carolina

Two of the biggest determinants of your insurance rates are your experience and your age. New and teenage drivers have the highest rates out of any age group. This is due to the fact that they are among the most likely groups to be involved in an accident.

Minimum-coverage auto insurance for North Carolina teens

Due to the expensive prices, it's even more important that young drivers do everything they can to save money on car insurance. This includes shopping around at multiple companies. We recommend you start comparison shopping at State Farm and NC Farm Bureau, which offer some of the cheapest rates for teens.

Company Average annual rate Average monthly rate
State Farm $829 $69
NC Farm Bureau $903 $75
Allied $1,067 $89
Average $1,146 $96
GEICO $1,290 $108
Progressive $1,303 $109
Nationwide $1,307 $109
Erie $1,325 $110
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

To save as much money as possible on car insurance, we recommend teen drivers do the following:

Full-coverage auto insurance for teen drivers

The least expensive full-coverage car insurance policies for teenagers are offered by State Farm and NC Farm Bureau, at $117 and $138 per month, respectively.

Company Average annual rate Average monthly rate
State Farm $1,408 $117
NC Farm Bureau $1,652 $138
Average $2,137 $178
Allied $2,204 $184
Erie $2,251 $188
Progressive $2,317 $193
Nationwide $2,319 $193
GEICO $2,804 $234
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Car insurance for North Carolina teens after an accident

Incidents in your driving history can adversely impact your car insurance rates. We took a look at how an at-fault car accident, a speeding ticket and a DUI conviction affect premiums. Here are the rates we found after an accident.

Company Average annual rate Average monthly rate
State Farm $1,771 $148
NC Farm Bureau $1,907 $159
Nationwide $2,328 $194
Average $2,519 $210
Erie $2,624 $219
Progressive $2,701 $225
Allied $3,110 $259
GEICO $3,193 $266
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Drivers who have been involved in accidents are considered high risk and likely to get into another accident. As a result, these drivers are often charged higher car insurance premiums following a crash.

Accidents affect your driving record for three to five years, so the best thing you can do to get your rates back to normal is to drive safely during that time. If your premium has become unaffordable, you can start shopping around for cheaper insurers and take advantage of discounts.

Cheapest car insurance for teens with a DUI

Having a DUI on your driving record on top of being a teen will likely cause you to be classified as a high-risk driver. The cheapest insurance policy in this scenario comes from NC Farm Bureau, at $319 per month.

Company Average annual rate Average monthly rate
NC Farm Bureau $3,828 $319
State Farm $3,982 $332
Nationwide $4,417 $368
Average $4,945 $412
Allied $5,275 $440
Erie $5,417 $451
Progressive $5,579 $465
GEICO $6,114 $510
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Auto insurance for teens with a speeding ticket

The cheapest auto insurance for teens with a speeding ticket under their belt is offered by State Farm and NC Farm Bureau. Both have full-coverage plans at price points under $200 a month.

Company Average annual rate Average monthly rate
State Farm $1,771 $148
NC Farm Bureau $1,907 $159
Nationwide $2,328 $194
Average $2,441 $203
Allied $2,564 $214
Erie $2,624 $219
Progressive $2,701 $225
GEICO $3,193 $266
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Cheapest car insurance for seniors

NC Farm Bureau offers the least expensive car insurance for North Carolina seniors, at $34 per month, or $408 per year. The average cost of auto insurance for a senior North Carolina driver is $44 a month, or $533 a year. 

Older drivers are typically seen as lower risk by insurance companies because of their experience. As a result, they're usually rewarded with cheaper insurance rates.

Minimum-coverage car insurance for North Carolina seniors

The best car insurance plans for drivers seeking a minimum liability policy are offered by NC Farm Bureau and State Farm. Both offer policies less than $40 a month.

Company Average annual rate Average monthly rate
NC Farm Bureau $408 $34
State Farm $461 $38
Allied $481 $40
Average $533 $44
Erie $580 $48
Progressive $596 $50
GEICO $599 $50
Nationwide $607 $51
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Full-coverage car insurance for seniors in North Carolina

If you're a senior driver in North Carolina, you should contact NC Farm Bureau and State Farm to receive a car insurance estimate. Our research shows that both companies offer rates below the average cost of car insurance in North Carolina.

Company Average annual rate Average monthly rate
NC Farm Bureau $787 $66
State Farm $788 $66
Average $1,028 $86
Allied $1,034 $86
Erie $1,054 $88
Progressive $1,099 $92
Nationwide $1,110 $92
GEICO $1,322 $110
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Car insurance for seniors with an accident record

If you've been involved in an accident in the past three years, it will likely increase your car insurance rates. NC Farm Bureau offers the cheapest option for drivers with an accident, at $86 per month. State Farm is a great alternative, at approximately $91 per month.

Company Average annual rate Average monthly rate
NC Farm Bureau $1,032 $86
State Farm $1,092 $91
Nationwide $1,118 $93
Average $1,362 $114
Erie $1,421 $118
Progressive $1,483 $124
Allied $1,680 $140
GEICO $1,711 $143
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Car insurance rates for seniors with DUIs

DUIs are serious offenses, so it may be no surprise to hear that they usually increase your insurance premiums. While NC Farm Bureau offers the best car insurance rates to North Carolina drivers with DUIs, it comes in at $239 a month. The second-cheapest option is Nationwide, which charges an average $267 per month for drivers with a DUI.

Company Average annual rate Average monthly rate
NC Farm Bureau $2,869 $239
Nationwide $3,207 $267
State Farm $3,303 $275
Average $3,800 $317
Allied $4,056 $338
Erie $4,168 $347
Progressive $4,361 $363
GEICO $4,632 $386
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Auto insurance for seniors with speeding tickets

NC Farm Bureau has the cheapest car insurance for drivers with a speeding ticket, while State Farm is a close and worthwhile alternative.

Company Average annual rate Average monthly rate
NC Farm Bureau $1,032 $86
State Farm $1,092 $91
Nationwide $1,118 $93
Average $1,321 $110
Allied $1,389 $116
Erie $1,421 $118
Progressive $1,483 $124
GEICO $1,711 $143
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Average car insurance rates in North Carolina by city

The average cost of car insurance is influenced by several factors, including your city of residence. If you live in a neighborhood or city with high rates of vehicular crimes and dense populations, auto insurance premiums tend to be pricier than areas with lower rates of crime and fewer residents. 

For example, residents of Charlotte, the largest city in North Carolina, pay an average $616 annually for a minimum liability policy. Comparatively, drivers in Winston-Salem, which has roughly a quarter of Charlotte's population, pay $167 per year less.

City Average annual cost
Cary $461
Charlotte $616
Concord $538
Durham $486
Fayetteville $596
Greensboro $507
High Point $494
Raleigh $526
Wilmington $524
Winston-Salem $449
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Methodology

QuoteWizard utilized data provided by Quadrant Information Services to conduct this comprehensive study. Our sample driver is a 35-year-old male who owns a 2012 Honda LX. He drives an average 13,500 miles per year. The liability auto insurance plan in our study met the minimum coverage requirements needed to drive legally in North Carolina.

We define a full-coverage policy as follows:

  • $100,000/$300,000 bodily injury liability
  • $100,000 property damage liability
  • $30,000/$60,000 uninsured/underinsured motorist bodily injury
  • $25,000 uninsured motorist property damage
  • $500 collision and comprehensive deductible

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