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On average, Phoenix drivers pay $173 per month for auto insurance, while the Arizona state average is $145 per month. Still, you can find a great policy for much cheaper — if you know where to look. We found that Auto-Owners has the best overall rates in Phoenix, but the cheapest company for you will depend on your unique driver profile and other important factors.
We analyzed thousands of car insurance quotes in Phoenix to find the cheapest companies for various age groups, coverage levels, and driving records.
Key Takeaways:
- Auto-Owners is the cheapest car insurance company in Phoenix, with rates averaging $74 per month.
- Full-coverage car insurance costs $226 per month, while liability-only averages $119 in Phoenix.
- Arizona drivers must have at least 25/50/15 liability insurance to legally drive in the Grand Canyon State.
In This Article:
- Average Price for Car Insurance in Phoenix
- Cheapest Phoenix Car Insurance Companies
- Best Phoenix Car Insurance Companies of 2024
- Phoenix Rate Breakdowns by Driver and Coverage Type
- Arizona Auto Insurance Requirements
- Frequently Asked Questions
How Much Is Car Insurance in Phoenix?
We already covered that the average Phoenix driver pays $173 per month, but these types of broad averages can only be so useful, since several different types of policies are available. The table below showcases average rates for the two most common policies — liability and full coverage — in Phoenix, Arizona, and across the U.S.
| Area | Average Monthly Premium: Liability | Average Monthly Premium: Full Coverage | Average Monthly Premium: All Policies |
|---|---|---|---|
| Phoenix | $119 | $226 | $173 |
| Arizona | $96 | $194 | $145 |
| United States | $106 | $210 | $158 |
The average cost of car insurance in Phoenix is $119 per month for liability-only and $226 for full coverage, according to Compare.com data. But you can still find a better deal if you know where to look.
Check out the next section if you’re looking for the cheapest rates in Phoenix.
Compare Quotes from Phoenix’s Cheapest Insurers
Phoenix’s Cheapest Car Insurance Companies
Although Phoenix’s average car insurance rate is $173 per month, some companies offer policies for much less.
The table below shows Phoenix’s cheapest car insurance companies, according to Compare.com data.
| Company | Average Monthly Premium |
|---|---|
| Auto-Owners | $74 |
| State Farm | $91 |
| GEICO | $94 |
| Root | $99 |
| USAA | $102 |
Our research found that Auto-Owners is the cheapest auto insurance company in Phoenix, with rates averaging $74 per month. Now, let’s look at the top insurance companies and the cheapest insurers based on the most significant rating factors.
Top 3 Best Phoenix Insurance Companies of 2024
No single insurance company is best for everyone. The company that’s best for you ultimately depends on things like your age, driving record, budget, and coverage needs.
We evaluated dozens of Phoenix insurance companies to find the best options based on average rates, discounts, customer ratings, and available coverages.
The three companies below are some of your best bets if you have a spotty driving record, are a young driver, or are looking for the most discounts in Phoenix.
Best for Phoenix drivers with spotty records: Auto-Owners
- Average premium: $74 per month
- Compare.com Rating: 4.43 out of 5
Pros:
- Offers rental auto gap coverage
- Higher-than-average customer satisfaction
- Multiple discounts available
Cons:
- Quotes only available through independent agents
- Below-average customer reviews
- Can’t report auto claims online
Auto-Owners is one of our top picks for affordable car insurance in Phoenix. It’s among the cheapest options for Arizona drivers with spotty driving records, whether you have a speeding ticket or a DUI. It also offers several unique coverages like rental auto gap coverage and has multiple discounts to help you get lower rates.
That said, you can’t file auto claims online except for glass claims. Quotes are also available only through independent insurance agents. Though Auto-Owners earned second place in the Southwest region in J.D. Power’s 2024 Auto Insurance Study, it has a poor customer rating for claims experience on Trustpilot.
Best for young Phoenix drivers: State Farm
- Average premium: $91 per month
- Compare.com Rating: 4.90 out of 5
Pros:
- Multiple ways for young drivers to save
- Online quotes available
- Can file and track claims online
Cons:
- Fewer available coverage options than competitors
- Poor customer reviews
- Most discounts require a clean driving record
State Farm offers Phoenix’s teens and young drivers multiple ways to save on insurance premiums, like Steer Clear, Drive Safe & Save, and driver training. But you typically must have a clean driving record to qualify.
You can get quotes, file claims, and track them online through State Farm’s website and mobile app. But State Farm doesn’t offer as many coverage options as its competitors and has earned poor reviews on Trustpilot for claims satisfaction.
Best for discounts: GEICO
- Average premium: $94 per month
- Compare.com Rating: 4.65 out of 5
Pros:
- Long list of available discounts
- Many insurance products available
- Highly rated mobile app
Cons:
- Gap coverage not available
- Only four local insurance agents in Phoenix
- Below-average customer and claims satisfaction
GEICO offers a long list of discounts to help you get lower rates in Phoenix, many of which don’t require a clean driving record. Still, the company has only a few agents in the area if you prefer to do business locally. Though it offers rental reimbursement and mechanical breakdown insurance, gap coverage isn’t available.
GEICO’s highly rated mobile app allows you to get quotes, make changes, file claims, and track claims 24/7. But it has a below-average rating in J.D. Power’s Auto Claims Satisfaction Study in the Southwest region.
Find the Best Phoenix Insurer for You
Cheapest Company for Liability Insurance: Auto-Owners
The level of coverage you choose has a direct effect on your car insurance rates. Liability coverage equal to the state’s minimum requirements is the cheapest insurance policy available. It covers others if you cause injuries or property damage in an accident, but it doesn’t cover you or your vehicle.
State-minimum coverage averages $119 per month in Phoenix, but many companies offer policies for much less. The table below breaks down the cheapest liability-only companies in Phoenix, according to Compare.com data.
| Company | Average Monthly Premium |
|---|---|
| Auto-Owners | $58 |
| State Auto | $72 |
| State Farm | $73 |
| GEICO | $75 |
| Root | $79 |
Phoenix’s cheapest liability-only insurance company is Auto-Owners, averaging $58 monthly. If you need full-coverage car insurance, let’s find out which companies are the cheapest.
Cheapest Company for Full-Coverage Insurance: Auto-Owners
Full-coverage insurance usually includes liability, comprehensive, collision, medical, and uninsured motorist coverage. These coverages can pay for everyone’s injuries and property damage, regardless of fault, which is why it’s more expensive than a liability-only policy.
The average cost of full-coverage car insurance in Phoenix is $226 per month. But the cheapest insurers in the area are far less expensive, as shown in the table below.
| Company | Average Monthly Premium |
|---|---|
| Auto-Owners | $89 |
| State Farm | $110 |
| GEICO | $113 |
| Root | $119 |
| USAA | $123 |
Auto-Owners has the cheapest average full-coverage insurance rates in Phoenix, at $89 per month.
Compare Phoenix Auto Insurance Rates by Driving Record
Your driving history significantly affects your auto insurance rates because the more accidents and moving violations you’re involved in, the more likely you are to file future claims. High-risk drivers pay higher rates to offset the likelihood of future claims, while people with a clean history often get the best rates.
The table below highlights how your driving record affects rates in Phoenix specifically, according to Compare.com data.
| Driving Record | Citywide Average Monthly Premium | Cheapest Insurer | Cheapest Insurer’s Average Monthly Premium |
|---|---|---|---|
| Clean record | $173 | Auto-Owners | $74 |
| Speeding ticket | $249 | Auto-Owners | $112 |
| At-fault accident | $254 | Auto-Owners | $115 |
| DUI | $289 | Auto-Owners | $135 |
Cheapest car insurance in Phoenix after a ticket: Auto-Owners
Expect your rates to increase if you get a speeding ticket. In fact, the national average rate increase is 27% with one speeding ticket, according to our data. The average Phoenix driver pays $249 per month after a speeding ticket, but some companies offer policies for much cheaper.
We found that Auto-Owners has the most affordable average premium for Phoenix drivers with a ticket, at $112 per month.
Cheapest car insurance in Phoenix after an accident: Auto-Owners
You’ll pay higher rates if you cause a car accident — premiums increase by an average of 34% nationally after an at-fault accident, according to Compare.com data. In Phoenix, you can expect to pay around $254 per month after a single at-fault accident, based on our research.
The cheapest insurer for Phoenix drivers with an at-fault accident on their record is Auto-Owners, averaging $115 per month.
Cheapest car insurance in Phoenix after a DUI: Auto-Owners
A DUI is a severe violation that can dramatically affect your car insurance premiums. Nationally, the average insurance increase after a DUI conviction is 50%, according to our rate analysis. In Phoenix, a DUI conviction increases average rates from $173 per month to a lofty $289, but that doesn’t mean you just have to accept these higher rates.
We found that Auto-Owners offers the lowest average rates for Phoenix drivers with a DUI conviction, at $135 per month.
Get Cheaper Rates, Regardless of Driving Record
Compare Phoenix Auto Insurance Rates by Age
One of the most significant rating factors for car insurance is your age. Young drivers typically pay the highest rates because they don’t have much driving experience and are more likely to be involved in accidents. But as you age, your insurance rates should decrease as you gain experience behind the wheel and prove you’re a safe driver.
The table below illustrates the average monthly rate in Phoenix and the insurers that offer the cheapest rates by age group, according to Compare.com data.
| Age Group | Citywide Average Monthly Premium | Cheapest Insurer | Cheapest Insurer’s Average Monthly Premium |
|---|---|---|---|
| Teens | $336 | Auto-Owners | $148 |
| 20s | $220 | Auto-Owners | $108 |
| 30s | $166 | Auto-Owners | $81 |
| 40s | $148 | Auto-Owners | $74 |
| 50s | $131 | Auto-Owners | $67 |
| 60s | $119 | Auto-Owners | $61 |
| 70s | $129 | Auto-Owners | $61 |
Let’s take a look at which insurers are the cheapest for two age groups — teens and seniors.
Cheapest car insurance for Phoenix teens: Auto-Owners
Teenagers are the most expensive age group to insure because they’re the riskiest drivers. Teen drivers often speed, drive distracted or while drowsy, and don’t wear seat belts, contributing to higher-than-average car accidents and deaths, according to the National Transportation Safety Board (NTSB).
The average Phoenix teen pays $336 per month for car insurance, but Auto-Owners has the lowest rates in Phoenix, averaging $148 per month.
Cheapest car insurance for Phoenix seniors: Auto-Owners
Seniors often get the cheapest car insurance rates of any age group because they usually avoid driving during peak times and tend to be more cautious than other age groups. This is good news for retirees, who typically have to tighten their budgets as they transition from working to enjoying their golden years.
Auto-Owners has the best rates for seniors, averaging just $61 per month for Phoenix residents in their 70s, according to our research. That’s much less than the citywide average of $129 per month.
Arizona Auto Insurance Requirements
State laws include minimum-coverage requirements that all drivers must follow, and Arizona is no different. Phoenix drivers must have limits of at least 25/50/15, according to the Arizona Department of Insurance and Financial Institutions, which breaks down to:
- $25,000 of bodily injury liability (BI) coverage per person
- $50,000 of BI coverage per accident
- $15,000 of property damage liability (PD) coverage
Insurers must offer the same minimum limits for uninsured motorist coverage, but you can waive this coverage if you don’t want it. Keep in mind, though, that uninsured motorist coverage can protect you if someone hits you and doesn’t have insurance, doesn’t have enough liability coverage to pay for your injuries and vehicle damage, or leaves the scene without a note.
How to Get Cheaper Car Insurance in Phoenix
If you think you’re paying too much for your Phoenix car insurance policy, follow these tips to save money without sacrificing important coverage:
- Improve your credit score. Insurers use a credit-based insurance score to determine insurance costs. Paying your bills on time and having good credit can lower your rate.
- Bundle your policies. Combining your car and homeowners insurance with the same company makes you eligible for a multi-policy discount, providing up to 25% in savings on your auto insurance.
- Buy only the coverage you need. You probably need full coverage if you can’t afford to replace your vehicle or if you have a loan or lease. But if you have an older car you can afford to replace, consider liability-only coverage.
- Compare quotes annually. It’s a good idea to compare car insurance quotes from multiple companies each year to ensure you’re getting the best price.
Compare Quotes from Phoenix’s Best Insurers
Phoenix Auto Insurance FAQs
The following answers to some of the most commonly asked questions on car insurance in Phoenix may help you snag the lowest rates for your specific needs.
Which company has the cheapest car insurance in Phoenix?
Auto-Owners has the cheapest car insurance in Phoenix, with an average cost of $74 per month, according to Compare.com data. But it won’t necessarily be the cheapest for you, since rates vary by several personal factors, like age, driving record, and coverage level.
Why is car insurance so expensive in Phoenix?
Car insurance is expensive in Phoenix because of higher vehicle values, repair costs, and costly technology, according to a recent story by 12News. Each of these factors increases claim expenses, which means insurers pay more. Insurance companies don’t have to get approval to raise rates in Arizona; they just have to justify why they’re charging more.
What’s the best car insurance company in Phoenix?
The best car insurance company depends on your coverage needs, driving record, age, and budget. That said, we found that Auto-Owners has some of the most affordable rates in Phoenix, averaging $74 monthly.
How much car insurance coverage does Arizona require?
The state of Arizona requires drivers to have at least 25/50/15 liability insurance and uninsured/underinsured motorist (UM/UIM) insurance, though you can decline the latter.
What happens if you drive without insurance in Phoenix?
The Arizona Motor Vehicle Division (MVD) will suspend your driver’s license and vehicle plates if it finds out you’re driving without insurance. If found guilty, you’ll pay fines of $986.30 for the first offense, $1,425.80 for the second, and $1,883.30 for the third offense.
Data Methodology:
Data scientists at Compare.com analyzed more than 50 million real-time auto insurance quotes from more than 75 partner insurers in order to compile the rates and statistics seen in this article. Compare.com’s auto insurance data includes coverage analysis and details on drivers’ vehicles, driving records, insurance histories, and demographic information.
All the rates listed in this article have been collected from a combination of real Compare.com quotes and external insurance rate data gathered in collaboration with Quadrant Information Services. Compare.com uses these observations to provide readers with insights into how auto insurance companies determine their premiums.
Sources:
- J.D. Power, “2024 U.S. Auto Insurance Study,” accessed July 28, 2024.
- J.D. Power, “2023 U.S. Auto Claims Satisfaction Study,” accessed July 28, 2024.
- National Transportation Safety Board, “Teen and Young Driver Safety,” accessed July 28, 2024.
- Arizona Department of Insurance and Financial Institutions, “Minimum Coverage Required for Arizona Drivers,” accessed July 26, 2024.
- AZ Court Help, “What happens if I am pulled over and do not have car insurance?,” accessed July 26, 2024.
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