Best Auto Insurance Rates in North Carolina

On average, your neighbors pay $54 a month.

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Cheap car insurance in North Carolina (2020)

State Farm, North Carolina Farm Bureau and Progressive are your best options if you’re looking for cheap car insurance in North Carolina, according to QuoteWizard research.

Our data shows that an average North Carolina driver pays $275 per year for the minimum amount of auto insurance the state requires if they buy it from State Farm. The same driver pays $578 per year for full-coverage car insurance — which usually includes liability, collision and comprehensive protection — from the same company.

Compare that to what car insurance costs most people in North Carolina each year. In our study, the average driver in the Tar Heel State pays $434 annually for state-minimum coverage and $890 annually for full coverage.

This article will tell you more about the:

Where can I get the cheapest car insurance in North Carolina?

State Farm offers the cheapest car insurance in North Carolina for state-minimum coverage, with a $275 average annual premium, based on rate data we gathered for a standard driver. State Farm also offers the best rates in the state for full coverage, according to our research, with a $578 average annual premium.

State Farm isn’t the only company offering affordable car insurance in North Carolina, though. Our data shows that North Carolina Farm Bureau and Progressive offer car insurance rates that are also a lot cheaper than the state average.

average cost of minimum car insurance coverage in north carolina

The rate quote North Carolina Farm Bureau sent our sample driver for state-minimum insurance coverage was $302 per year. Progressive’s quote was $329 per year.

Erie, GMAC and Travelers also sent us rate quotes that were cheaper than the state average of $434 per year, or $36 per month.

average cost of full coverage car insurance in north carolina

As for full-coverage car insurance, the rate quotes North Carolina Farm Bureau and Progressive sent our sample driver were both comparable to State Farm’s and cheaper than the state average. North Carolina Farm Bureau’s offered rate was $633 per year, while Progressive’s rate was $648.

Erie and GMAC sent us rate quotes lower than the state average of $890 per year, or $74 per month, as well.

Something to keep in mind while you consider this data is that several rate factors determine the cost of car insurance. Where you live and the kind of vehicle you drive are two examples. Another is whether or not you have tickets, accidents or even DUIs on your insurance record.

What are the best car insurance companies in North Carolina?

North Carolina Farm Bureau, Progressive and Erie join State Farm as the best car insurance companies in North Carolina, based on our research of the state’s providers.

State Farm: best rates

North Carolina drivers who need or want cheap car insurance should get a quote from State Farm when they shop for a policy. The quotes State Farm sent our sample drivers were the lowest of all the companies we surveyed. This was true for both for state-minimum and full coverage.

For example, the rates we got from State Farm for state-minimum auto insurance were $27 per year less than the ones runner-up North Carolina Farm Bureau sent us. And they were $54 per year less than the rates Progressive provided.

Of course, the rates State Farm offers you might be higher or lower than these amounts. That’s why shopping around and comparing car insurance quotes from a number of companies is so important.

North Carolina Farm Bureau: best local provider

If you live and drive in North Carolina and you don’t want to buy car insurance from a nationwide company, North Carolina Farm Bureau may be a good option for you. After all, the rates it offered our sample driver were only a few dollars per month higher than the ones we got from State Farm.

At $302 per year, the rates North Carolina Farm Bureau sent us for state-minimum auto insurance were just $27 more than State Farm’s rates. That’s a difference of a little over $2 per month.

The difference was greater for a full-coverage policy, but not by much. North Carolina Farm Bureau’s quoted rate of $633 per year is about $4.50 per month more than State Farm’s quoted rate.

Erie: best regional provider

Erie is another good option for people who want cheap car insurance in North Carolina and want to get it from a small rather than a big provider.

Why might you choose Erie over North Carolina Farm Bureau? One reason is that Erie offers some discounts and perks that North Carolina Farm Bureau doesn’t. For example, Erie offers:

  • Coverage for pets, roadside assistance and locksmith services.
  • Numerous discounts, including ones for teen drivers and safe drivers.

Progressive: runner-up for best nationwide provider

North Carolina drivers who prefer to buy their auto insurance from a nationwide provider should get a quote from Progressive as well as State Farm. In our survey of the state’s insurance companies, Progressive’s rates were only a few dollars more than State Farm’s.

Specifically, the rate quote Progressive sent us for state-minimum car insurance was $54 per year, or $4.50 per month, more than what State Farm sent us. And the quote Progressive sent us for a full-coverage policy was $70 per year, or about $6 per month, more than what State Farm offered.

In both cases, Progressive’s rate quotes were well below what we found to be the state averages for these types of auto coverage.

Our data shows that State Farm is the best and cheapest car insurance company in North Carolina. It’s also the state’s most popular provider, according to market share data gathered from S&P Global.

Last year, State Farm wrote 13.3% of auto insurance policies in North Carolina. That’s just enough for it to be the largest car insurance company in the state. GEICO is neck-and-neck, writing 13.2% of North Carolina’s auto policies in 2019.

Most popular car insurance companies in North Carolina
Company Market share
State Farm 13.3%
GEICO 13.2%
Nationwide 11%
National General 10%
North Carolina Farm Bureau 9.2%
USAA 7.9%
Allstate 7.7%
Progressive 7.5%
Erie 3.9%
Liberty Mutual 3.3%
Source: S&P Global

Nationwide and National General are close behind, with 11% and 10% market share in the state, respectively. North Carolina Farm Bureau sits in fifth place, with 9.2% of the local market share.

Progressive and Erie, two of North Carolina’s best auto insurance companies, based on our survey, are the eighth- and ninth-largest providers in the state. Progressive writes 7.5% of policies in North Carolina, while Erie writes around 4%.

What are North Carolina’s auto insurance requirements?

State law requires all vehicles with a valid North Carolina registration to have continuous liability insurance coverage.

Here are the minimum bodily injury and property damage limits North Carolina drivers need to carry to avoid penalty:

  • $30,000 of bodily injury liability coverage for one person.
  • $60,000 of bodily injury liability coverage for two or more people.
  • $25,000 of property damage liability coverage per accident.

North Carolina drivers also need at least 30/60/25 of uninsured and underinsured motorist coverage.

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.

Methodology

We conducted a comprehensive study of car insurance rates in North Carolina through Quadrant Information Services. The collected quotes were for a single, 35-year-old male who has an excellent credit score and a clean driving record. He owns a 2012 Honda Accord and drives it an average of 15,000 miles a year. His car insurance policy has 100/300/50 coverage limits and a $1,000 deductible.

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