The cheapest auto insurance in the US
The cheapest option will likely be your state’s minimum auto insurance requirements, so we focused our analysis on those minimums. In many states, this is liability-only auto insurance, which covers property damage and third-party medical bills in accidents you cause. If you live in South Florida, you can see which is the cheapest car insurance in Miami.
The cheapest rate we found for minimum auto insurance was an average of $9 a month or $108 a year. However, how much you pay for car insurance will vary depending on the state you live in and how clean your driving record is, among other factors.
Here are the cheapest car insurance companies in general, plus the cheapest options for various types of drivers:
- The cheapest car insurance company for good drivers: State Farm at $37 per month, on average.
- Cheapest median insurance company: Auto-Owners at $28 per month, on average.
- Cheapest auto insurance after a speeding ticket: State Farm at $45 per month, on average.
- Cheapest auto insurance after an accident: State Farm at $50 per month, on average.
- Cheapest auto insurance after a DUI: State Farm at $67 per month, on average.
- The cheapest car insurance for people with bad credit: Geico at $73 per month, on average.
1: Cheapest Auto Insurance Company Overall: State Farm
It is the largest provider of property, casualty, and automobile insurance in the United States. State Farm offers a variety of insurance products, including life, home, and auto insurance. In addition to insurance, State Farm has expanded into financial services such as banking and mutual funds.
The cheapest auto insurance from the biggest companies
2: The Cheapest Midsize Car Insurance Company: Auto-Owners
Auto-Owners and Erie are smaller insurance companies that offer auto insurance coverage in multiple states and have even more affordable rates than State Farm. While GEICO and Allstate are also known for offering affordable car insurance, Auto-Owners is a good option for Spanish speakers looking for affordable car insurance.
It is true that availability may be limited, however, medium-sized insurers may outperform the cheaper auto insurance prices of larger companies.
|Company||Average annual rate||Average monthly rate|
|Auto Club of Southern California||$634||$53|
We decided to choose these companies because of their relatively cheap rates and availability in several states. However, there may be more affordable auto insurance options where you live.
3: The Cheapest Auto Insurance After a Speeding Ticket: State Farm
State Farm has the most affordable rates after a speeding ticket, with an average annual fee of $545 or $45 per month. However, it’s important to note that the exact increase in insurance rates after a speeding ticket can vary based on several factors, such as the driver’s age, location, driving history, and the severity of the violation.
In general, speeding tickets can increase insurance rates by an average of 21%. It is recommended to contact your insurance provider directly to get a more accurate estimate of how a speeding ticket may affect your insurance rates.
4: The Cheapest Auto Insurance After an Accident: State Farm
Depending on each person’s driving record, the most affordable auto insurance company may vary. The table below shows the average auto insurance rates from the largest companies for drivers with a recent accident on their driving record.
According to this analysis, State Farm is the insurer that currently offers the lowest average rate for drivers with a wrongful injury, at $600 per year or $49 per month.
5: The Cheapest Auto Insurance After a DUI: State Farm
It’s no secret to anyone that a DUI on your driving record can greatly increase the amount you pay for car insurance. According to our analysis, State Farm is the insurer that has the most affordable policies after a DUI, averaging $817 per year or $67 per month.
Now, if you are looking for even cheaper auto insurance, our recommendation is that you try a smaller insurer. Drivers with violations such as an at-fault accident or recent DUI can find the cheapest auto insurance rates with Erie and other midsize insurers.
6: Cheapest Auto Insurance for Bad Credit: Geico
Auto insurance companies often use credit-based insurance scores to help calculate insurance rates, which can make it difficult to get cheap car insurance with bad credit in many states.
Drivers with bad credit pay significantly more for auto insurance than those with excellent credit, with an average annual full coverage premium of $3,002 compared to $1,556 for those with excellent credit. However, some states do not allow insurance companies to use credit scores to determine rates.
A credit-based score includes the same factors as a regular credit score, such as debt and payment history, but weights them differently. California, Hawaii, Massachusetts, and Michigan do not allow insurers to use credit to determine auto insurance rates.
If you’re looking for affordable car insurance from a large company, Geico could be a great alternative to start with. Based on our analysis of large insurers, the company has the lowest average rates for good drivers with bad credit, at $870 per year, or $73 per month, on average.
Cheapest Auto Insurance by State
It is important to clarify that the actual cost of auto insurance can vary significantly depending on the state and desired coverage. On average, Americans pay about $1,311 a year ($109 a month) for their auto insurance. Look at the chart below:
|State||Cheapest company||Average annual rate|
29. New Hampshire
30. New Jersey
31. New Mexico
32. New York
33. North Carolina
Dakota 35. Ohio
39. Rhode Island
Carolina 41. South
Dakota 42. Tennessee
48. Washington DC
Virginia 50. Wisconsin
State Farm Noblr
Geico American National State Farm California Casualty State Farm Auto-Owners Geico
State Farm Auto-Owners
State Farm State Farm Kentucky Farm Bureau Southern Farm
State Farm Farm Missouri Farm Bureau State Farm American National
State Farm Concord Group
State Farm Central Insurance
North Carolina Farm Bureau
State Farm State Farm
State Farm Travelers
American National State Farm Auto-Owners
How to Find Cheap Auto Insurance for New Drivers
If you’re a new driver, you may have difficulty getting affordable car insurance because insurers view drivers without a recent driving history as riskier to insure. However, there are options available for new drivers, such as adding them to an existing policy, looking for specific policies for new drivers, or looking for ways to get cheaper rates, such as bundling policies or paying in full.
To find cheap car insurance for new drivers, there are several options available. Some insurers offer specific insurance for new and teen drivers, such as State Farm and Allstate
Other insurers, such as Geico and Freeway Insurance, offer ways to get lower rates, such as adding multiple cars or drivers to the policy, bundling auto and home policies, and paying for the annual policy. Auto insurance comparison websites can also be used to compare quotes and learn about factors that affect the insurance premium.
How to Get Cheap Auto Insurance
Getting cheap auto insurance is a task that many drivers look for to save money on their monthly expenses. There are several ways to get an affordable auto insurance policy without sacrificing the quality of coverage. Here are some tips for getting cheap auto insurance:
- Compare prices: Price comparison is one of the best ways to find cheap auto insurance. You can use online tools to compare rates from different insurance companies and choose the best one that suits your needs and budget.
- Increase your credit score: Your credit score can affect the cost of your auto insurance. If you have a good credit rating, you’re more likely to be able to get a lower fee. Therefore, it is important to maintain a good credit rating by paying your bills on time and keeping your debts under control.
- Group your auto and home policies: If you have a home insurance policy, consider bundling it with your auto insurance policy. Many insurance companies offer discounts to customers who have multiple policies with them.
- Increase your deductible: If you’re willing to take on a little more risk, you can raise your deductible to lower the cost of your auto insurance. However, it’s important to make sure you can pay the deductible in the event of an accident.
- Drive with caution: Maintaining a clean driving record can help you get cheap car insurance. If you have traffic tickets or accidents on your driving record, you’re more likely to pay more for your auto insurance.
In short, getting cheap auto insurance requires a bit of research and effort on your part. Compare prices, increase your credit score, bundle your auto and home policies, increase your deductible, and drive cautiously to get the best rate possible. Remember that auto insurance is an important investment to protect your vehicle and yourself in the event of an accident.