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Comparing multiple car insurance quotes is the best way to get cheaper insurance. In fact, the average comparison shopper saves $60 per month on their car insurance by comparing quotes, according to our analysis. That means you could be leaving more than $700 on the table every year.
We’ll help you understand the importance of comparing quotes, how to compare them, and the factors that affect your premiums, in the sections below.
Key Takeaways
- Car insurance rates vary based on several factors, including your age and gender, your driving history, the car you drive, where you live, and more.
- Young drivers and people with recent accidents or traffic violations pay much more than the average driver.
- Vermont and Wyoming are the cheapest states for car insurance, while Florida and Louisiana are the most expensive.
Why It’s Important to Compare Car Insurance Quotes
Prices of consumer goods have been on the rise since the pandemic, and while inflation has begun to slow in 2024, the cost of auto insurance continues to skyrocket. In fact, auto insurance rates increased by nearly 25% in 2023, according to research from Insurify.
But that doesn’t mean you’re stuck with ever-increasing rates. Some insurers are raising premiums at a faster rate than their competitors, while others are better suited to withstand the rising automobile prices and repair costs that have caused the recent spike in insurance prices.
Either way, the single best way to get cheaper car insurance is to compare quotes from as many companies as possible.
“It’s very important for consumers to compare auto insurance quotes because it’s the easiest way to find better deals and less expensive premiums,” says Michael DeLong, research and advocacy associate at the Consumer Federation of America. “Competition drives our economic system; comparing rates allows consumers to see all the best insurance premium options available.”
We compared average quotes from dozens of car insurance companies for different driving profiles and rating factors to show you how much you could save.
Compare the Best Quotes from Dozens of Companies
Compare the Cheapest Quotes from the 10 Largest Car Insurance Companies
You’ve seen their commercials offering major savings, and you’ve probably wondered which insurance company really offers the lowest rates. But even the largest insurers in the U.S. have widely different average rates because each has its own formula for calculating monthly premiums.
The table below compares car insurance quotes for the country’s 10 largest auto insurance companies by market share, according to the National Association for Insurance Commissioners (NAIC).
| Insurer | Liability Only | Full Coverage |
|---|---|---|
| GEICO | $68 | $159 |
| Erie | $67 | $146 |
| State Farm | $76 | $139 |
| American Family | $95 | $166 |
| Progressive | $105 | $211 |
| AAA | $106 | $206 |
| Allstate | $110 | $273 |
| Travelers | $124 | $250 |
| Nationwide | $135 | $250 |
| Farmers | $151 | $295 |
We found that GEICO has the cheapest average rates for liability insurance, but State Farm offers the best full-coverage rates, on average. GEICO charges just $68 per month for a liability policy, while State Farm boasts average full-coverage rates around $139.
Compare the Cheapest Quotes from 10 Smaller Insurers
Just because an insurance company is large and advertises significant savings doesn’t mean it will be the cheapest option for you. When you compare car insurance quotes, don’t be afraid to check out lesser-known insurance companies.
We compared 10 smaller regional insurers with the cheapest average quotes in the table below, sorted by the cheapest liability policies.
| Company | Liability Only | Full Coverage |
|---|---|---|
| Hastings Mutual | $45 | $87 |
| Wawanesa | $45 | $93 |
| Plymouth Rock | $47 | $93 |
| General Casualty Insurance | $48 | $114 |
| Erie | $52 | $112 |
| Auto-Owners | $55 | $141 |
| Grange | $65 | $139 |
| NJM Insurance | $74 | $125 |
| Root | $83 | $144 |
| SafeAuto | $85 | $187 |
Hastings Mutual offers the cheapest average rates of any small insurer, according to our analysis. The average Hastings Mutual customer pays just $45 for a basic liability policy and $87 for full coverage.
How to Compare Car Insurance Quotes Online
Comparing car insurance quotes online can be quick and easy if you know how to do it. You can get free car insurance quotes online and, using these tips, find the best coverage from the most affordable company for your unique needs.
1. Determine your budget
Before you start comparing quotes, you need to determine your budget, the type of insurance you need, and how much coverage you require. By doing this as your first step, you can quickly weed out overpriced insurance companies and focus on the insurers with the lowest prices.
The average U.S. driver pays $135 per month for car insurance, according to Compare.com data, so that’s a good place to start.
2. Gather the relevant information
Make sure you have the right information available, like your:
- Date of birth
- Social Security number
- Driver’s license number
- Vehicle identification number (VIN)
- Current coverage details
3. Use an insurance-comparison website
Insurance-comparison websites make comparing quotes faster and easier because you only have to provide your information once. Plus, you can compare prices and coverage options from different companies at the same time.
But not all comparison sites are created equal. Several sites advertise the ability to compare quotes, but many are just lead-generation websites that sell your personal information. True comparison sites — like Compare.com, Insurify, and Jerry — partner with insurance companies to provide real-time quotes.
4. Research companies with the best quotes
The largest insurance companies won’t always have the best price for your specific needs. Do your research before committing to an insurer. Third-party websites — like J.D. Power and AM Best — analyze insurance companies based on customer feedback and experiences with things like website and mobile performance, the shopping experience, the claims process, and financial strength.
Here’s how a few of the top companies stack up among a few of the most reputable studies:
| Insurance Company | J.D. Power Customer Satisfaction Index | J.D. Power Claims Satisfaction Index | AM Best Financial Strength Rating | NAIC Complaint Index* |
|---|---|---|---|---|
| Allstate | 814 | 882 | A- | 1.71 |
| Farmers | 802 | 878 | A | 1.62 |
| GEICO | 818 | 871 | A++ | 2.63 |
| Liberty Mutual | 799 | 866 | A | 1.39 |
| Progressive | 812 | 870 | A+ | 1.30 |
| State Farm | 833 | 891 | A++ | 2.04 |
| USAA | 876 | 900 | A++ | 1.87 |
| Industry average | 820 | 878 | N/A | 1.00 |
| *A score of 1.00 represents the number of complaints NAIC expects for a similarly sized insurer, and scores below 1.00 indicate fewer claims than average. Each score above 1.0 represents how many more complaints the company has than expected.
For example, an insurer with a score of 2.0 has twice the number of expected customer complaints. |
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5. Select the best quote for you
After researching, you should have narrowed down your list to a few insurance companies. It’s time to choose which company best meets your coverage needs and budget. Review your auto insurance quotes again and select the best quote for you. Then, complete the application for your new policy.
6. Compare quotes again at renewal
When your policy comes up for renewal, you’ll typically get a renewal notice about 30 days before your renewal date. Take some time to compare car insurance quotes again to see if your current insurer is still the best deal. You won’t know if you could find lower rates or get a better deal if you don’t get new quotes.
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Compare Car Insurance Rates by State
The state you live in is one of the biggest factors affecting your car insurance rates. Insurance regulations are on a state level, so laws, coverage requirements, and minimum limits differ from state to state. These variables also affect the average cost of auto insurance in each state.
The table below shows the overall average quote in each state in the U.S.
| State | Liability Only | Full Coverage |
|---|---|---|
| Alabama | $94 | $228 |
| Alaska | $67 | $154 |
| Arizona | $138 | $273 |
| Arkansas | $97 | $242 |
| California | $133 | $278 |
| Colorado | $127 | $307 |
| Connecticut | $174 | $314 |
| Delaware | $157 | $272 |
| Florida | $281 | $408 |
| Georgia | $170 | $311 |
| Hawaii | $69 | $150 |
| Idaho | $72 | $162 |
| Illinois | $111 | $254 |
| Indiana | $75 | $173 |
| Iowa | $52 | $155 |
| Kansas | $101 | $264 |
| Kentucky | $163 | $314 |
| Louisiana | $312 | $498 |
| Maine | $55 | $126 |
| Maryland | $183 | $318 |
| Massachusetts | $148 | $276 |
| Michigan | $174 | $400 |
| Minnesota | $92 | $201 |
| Mississippi | $146 | $315 |
| Missouri | $115 | $244 |
| Montana | $76 | $224 |
| Nebraska | $77 | $198 |
| Nevada | $178 | $325 |
| New Hampshire | $71 | $157 |
| New Jersey | $247 | $409 |
| New Mexico | $94 | $220 |
| New York | $256 | $497 |
| North Carolina | $78 | $184 |
| North Dakota | $80 | $213 |
| Ohio | $81 | $172 |
| Oklahoma | $91 | $220 |
| Oregon | $185 | $292 |
| Pennsylvania | $122 | $299 |
| Rhode Island | $134 | $251 |
| South Carolina | $118 | $216 |
| South Dakota | $53 | $173 |
| Tennessee | $87 | $201 |
| Texas | $129 | $269 |
| Utah | $134 | $259 |
| Vermont | $48 | $130 |
| Virginia | $104 | $220 |
| Washington | $101 | $201 |
| Washington, D.C. | $105 | $197 |
| West Virginia | $83 | $221 |
| Wisconsin | $89 | $215 |
| Wyoming | $49 | $180 |
Compare Car Insurance Rates by Vehicle
Your vehicle’s make, model, and type also play a role in determining your insurance premiums. In the table below, you’ll find average monthly quotes for some of the bestselling vehicles in 2023, according to Kelley Blue Book.
| Vehicle | Body Type | Average Monthly Premium |
|---|---|---|
| Ford F-150 | Full-size truck | $150 |
| Toyota RAV4 | Crossover SUV | $146 |
| Tesla Model Y | Electric SUV | $181 |
| Toyota Camry | Sedan | $179 |
| Jeep Grand Cherokee | Full-size SUV | $165 |
| Toyota Tacoma | Midsize truck | $152 |
If you don’t see your model or body type listed, we gathered rates for various vehicle brands, including cars, trucks, and SUVs, to help you find the best vehicle that fits your needs and budget.
Find the Best Rate for Your Vehicle
Compare Car Insurance Quotes by Other Top Factors
Insurance companies use many factors to determine car insurance rates. Below, we highlight several with the greatest impact, like age, driving record, relationship status, and credit score.
Age
With age come maturity and smarter driving decisions, which typically translates to lower car insurance premiums. Teens usually pay the most, while drivers 40 and older usually pay the least for auto insurance.
| Age | Liability Only | Full Coverage |
|---|---|---|
| All Ages | $129 | $302 |
| 18 years old | $297 | $676 |
| 25 years old | $109 | $266 |
| 40 years old | $97 | $232 |
| 65 years old | $97 | $221 |
Young drivers will almost always pay the highest rates because they generally make riskier driving decisions, making them more likely to get tickets and cause accidents. But if you maintain a clean driving record, your rates should decrease considerably once you turn 25.
The average liability insurance rate for an 18-year-old is $297 monthly, while a 25-year-old pays an average of $109. Rates are fairly level from age 40 on but can start to climb again as you reach an age when vision or mobility challenges may affect your driving.
Driving record
Your driving record will also affect your auto insurance rates. Drivers without tickets, convictions, or at-fault accidents get the best pricing. In contrast, drivers with infractions are riskier to insure and usually pay more for the same coverage. The table below shows the overall average car insurance quotes for drivers with a clean record and those with different infractions.
| Driving Record | Liability Only | Full Coverage |
|---|---|---|
| Clean record | $91 | $217 |
| Speeding ticket | $113 | $268 |
| At-fault collision | $132 | $309 |
| DUI | $179 | $413 |
After a speeding ticket, drivers pay an average of $113 per month for liability insurance and $268 for full coverage. Drivers who cause a collision pay even more — $132 per month for liability and $309 for full coverage, respectively.
But drivers with a DUI pay more than any other group, with full-coverage rates averaging a staggering $413 per month.
Relationship status
Whether you’re married or single has an effect on your auto insurance rates. Married drivers tend to pay less for car insurance than single drivers, as shown in the table below.
| Marital Status | Liability Only | Full Coverage |
|---|---|---|
| Single | $153 | $356 |
| Married | $96 | $230 |
When comparing auto insurance quotes, we found that single drivers spend an average of $153 per month for liability coverage, while the average married driver pays $96. For full coverage, married drivers pay $230 per month, but single drivers can expect to pay $356.
Credit history
Lenders and employers aren’t the only ones interested in your credit score; some insurance companies also use your score to determine premiums. The better your credit score, the less you’ll likely pay for car insurance, as shown in the below table.
| Credit Score | Liability Only | Full Coverage |
|---|---|---|
| Excellent | $91 | $212 |
| Good | $108 | $253 |
| Fair | $129 | $302 |
| Poor | $189 | $444 |
Drivers with excellent credit pay an average of $91 and $212 per month for liability and full coverage, respectively, according to our analysis. On the other hand, people with poor credit scores pay $444 per month for full coverage and $189 for basic liability insurance.
How to Get Cheaper Car Insurance
When it comes to getting cheaper car insurance, you may have more options than you think. Here are some of the best ways to save money on your monthly bill.
- Take advantage of discounts: Most insurance companies offer a wide array of discounts to customers. You could save some serious money for things like driving a safe car, getting good grades, taking a driver improvement course, and more.
- Bundle your insurance policies: One of the best ways to save on car insurance is to purchase multiple insurance policies from the same company. For example, combining your home and auto insurance can save you as much as 30% on your monthly bill.
- Maintain a good driving record: As we showed above, the best way to get cheap car insurance is to have a clean driving record. But there’s still hope, even if you have a spotty record. Most insurance companies have a “look-back” period of three to five years, so today’s good driving can help you save in the future.
- Consider usage-based insurance: Speaking of safe driving, most big-name insurers offer telematics programs that reward you for good driving behaviors. Some of the best usage-based insurance programs include State Farm’s Drive Safe & Save, Nationwide’s SmartRide, and USAA’s SafePilot.
- Compare quotes from multiple companies: The best way to get cheaper insurance is to get quotes from several companies. After all, the U.S. has hundreds of insurance companies to choose from, so the only way to determine which has the best rates for your unique profile is to get quotes from as many as you can. Luckily, car insurance comparison sites give you the tools to compare multiple quotes side by side, making the whole process quicker and easier.
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What to Consider When Comparing Car Insurance Quotes
Although price is an important factor, it’s not the only one to consider when comparing auto insurance quotes. Your coverage choices and the insurance company should also factor into your decision.
Coverage options
You have multiple coverage options to choose from, including the ones listed below.
- Liability coverage: Included in every auto insurance policy, this coverage pays for the other party’s injuries and property damage in a covered accident.
- Collision coverage: If you cause an accident, collision coverage pays for damage to your own vehicle.
- Comprehensive coverage: This pays for damage to your own vehicle from “non-collision events,” such as weather, vandalism, or theft.
- Full coverage: Purchasing comprehensive and collision coverages on top of basic liability insurance gives you a “full-coverage” policy. This way, you’re covered if your vehicle gets damaged.
Additional coverages
You can also consider optional coverages, like those mentioned below.
- Uninsured or underinsured motorist coverage provides added protection if you’re hit by a driver who doesn’t have enough insurance to cover your damages.
- Medical payments (MedPay) and personal injury protection (PIP) cover your medical bills, regardless of fault.
- Roadside assistance pays for towing and labor costs if you’re stranded with a flat tire or dead battery, among other problems.
- Gap insurance pays for the difference between your loan balance and your car’s actual cash value if totaled.
- Rental car reimbursement covers rental car costs while yours is in the shop during a claim.
- New car replacement pays for a brand-new vehicle if your new car is totaled in an accident.
Policy limits
Your policy limits are the most the insurance company will pay per covered loss. Suppose you have 25/50 bodily injury liability. In that case, the most the company will pay is $25,000 per person and $50,000 per bodily injury claim. Higher limits will require higher premiums because the insurance company might have to pay more for each claim.
Deductibles
The deductible is the amount you pay if you file a comprehensive or collision claim. For instance, if your car receives $5,000 in hail damage and you have a $500 deductible, you’ll pay $500 to the body shop for repairs, and the insurance company will pay $4,500. Lower deductibles require higher rates because the insurance company pays more per claim.
Customer service and claims availability
You pay for customer service when you buy auto insurance, especially when going through the claims process. Before you commit to an insurance company, check their customer service and claims satisfaction. Companies like J.D. Power and the NAIC study insurance companies and use customer feedback to score them.
Compare Car Insurance FAQs
Doing your research can pay off when comparing car insurance. The following are answers to some common questions auto insurance shoppers have about comparing rates.
What do you need to compare car insurance quotes online?
To compare car insurance quotes online, you should have your personal information, vehicle type, VIN, and current policy details available. Being prepared will make the process faster and easier.
Why are your car insurance quotes so high?
Your quotes may be high for multiple reasons. It could be your age, driving record, vehicle type, or the insurance company. Comparing quotes could help you save.
When is the best time to compare car insurance quotes?
You can compare car insurance quotes at any time, including after getting a ticket or being involved in an accident. Depending on your insurer, when your policy renews may be the best time to compare; some insurance companies charge cancellation fees for terminating your policy before the renewal date.
What’s the best car insurance comparison site?
We’ve tried all the leading car insurance comparison sites and found that Compare.com and Insurify are the clear winners. Both sites have great customer reviews and provide the highest number of actual quotes.
How much should you be paying for car insurance?
We found the national average full-coverage auto insurance cost is $302 per month. How much you’ll pay for car insurance depends on factors like your age, driving history, where you live, and coverage choices.
How can you lower your car insurance cost?
You can lower your car insurance costs by checking for discounts and reviewing your coverage. Regularly comparing car insurance quotes can also help you get the lowest price.
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:
- AM Best, “Company ratings,” accessed May 14, 2024.
- Kelley Blue Book, “The 25 Best-Selling Cars of 2023,” accessed May 14, 2024.
- Insurance Research Council, “Auto Insurance Affordability: Countrywide Trends and State Comparisons,” accessed May 14, 2024.
- J.D. Power, “Insurance Research Dates and Details,” accessed May 14, 2024.
- Moody’s, “Property & Casualty – North America,” accessed May 14, 2024.
- National Association of Insurance Commissioners, “Consumer Insurance Search Results,” accessed May 14, 2024.
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