What is the Average Cost of Car Insurance?

pierre fruchard Pierre Fruchard  updated on December 1, 2020

The average price of car insurance in the US is $1496 per year, or $125 per month. What does this mean for you? 

We have broken down the data so you can find the average cost of car insurance based on state, credit score, type of coverage, insurer, type of vehicle, driving record, marital status and other factors to get the best car insurance estimate for your particular situation.

What is the average car insurance cost in my state?

Car insurance rates by state vary, and depend on your particular situation and driving record. Since insurance companies take into account the likelihood of a claim being filed based on the density and frequency of claims filed in a particular zip code, where you live has a major impact on car insurance prices.

For low cost car insurance, Iowa, South Dakota, and Vermont offer the lowest monthly premiums for minimum coverage between $26 and $27 per month. Michigan is the most expensive at $107 per month for minimum coverage. In Maine there is only a $46 difference between a minimum coverage and full coverage policy which are priced $36 and $76 per month respectively. Comparatively, the average cost of a minimum coverage policy in Louisiana is $96 with a whopping $152 difference in price for a full coverage policy priced at $248 per month.

Every state in the US but New Hampshire requires that all drivers have car insurance. The minimum level of coverage a company is required to provide and that a driver must have is regulated by state law, therefore, requirements vary from state to state. Some states, like Florida, only require a minimum of: 

  • Bodily injury liability
  • Property damage liability

However, in addition to the two mentioned above, you will find that most states also require at least one or both of the following:

  • Personal Injury Protection
  • Uninsured/underinsured motorist protection

Full coverage insurance policies are more expensive than policies that meet only minimum state requirements. The added benefits vary between insurer and policy but often include:

  • comprehensive coverage
  • collision coverage

The type of policy has an impact on the average car insurance cost in your state:

StateMinimum CoverageFull CoverageMonthly DifferenceAnnual Difference
Alaska$40$98$58$700
Arizona$48$117$69$828
Arkansas$47$119$72$869
California$83$136$53$636
Colorado$53$131$78$934
Connecticut$71$140$69$829
Delaware$60$130$70$839
Florida$99$196$97$1,164
Georgia$58$133$75$904
Hawaii$41$98$57$689
Idaho$30$78$48$575
Illinois$36$97$61$726
Indiana$34$83$49$585
Iowa$26$83$57$688
Kansas$36$109$73$872
Kentucky$82$180$98$1,178
Louisiana$96$248$152$1,821
Maine$31$76$46$549
Maryland$67$133$66$795
Massachusetts$46$108$62$749
Michigan$107$194$87$1,046
Minnesota$48$107$58$701
Mississippi$43$115$73$872
Missouri$42$112$70$834
Montana$33$104$71$857
Nebraska$35$98$63$761
Nevada$75$157$82$979
New Hampshire$35$88$53$641
New Jersey$83$147$64$765
New Mexico$40$103$63$757
New York$86$164$78$936
North Carolina$34$90$55$664
North Dakota$33$103$70$835
Ohio$39$88$49$588
Oklahoma$49$133$84$1,012
Oregon$53$102$49$589
Pennsylvania$34$97$63$754
Rhode Island$68$140$72$864
South Carolina$55$122$67$802
South Dakota$26$104$78$933
Tennessee$36$98$62$744
Texas$55$123$67$807
Utah$51$104$53$641
Vermont$27$83$56$666
Virginia$32$80$48$579
Washington$54$105$51$609
West Virginia$42$109$67$803
Wisconsin$30$84$54$646
Wyoming$28$99$71$851
Average Monthly Car Insurance Rates by State

What is average car insurance cost for poor and good credit score?

Insurance companies in most states use an insurance-based credit score as a factor when determining someone’s car insurance rate. The average cost of car insurance for someone with a poor credit score is $257 per month. In comparison, someone with excellent credit will pay $149 less with a monthly rate of $108.

Credit ScoreMonthly RateAnnual Premium
Poor (300-579)$257$3,084
Fair (580-669)$182$2,184
Good (670-739)$170$2,040
Very Good (740-799)$126$1,512
Exceptional (800-850)$108$1,296
Car insurance average cost based on credit score

An insurance based credit score is based off of different aspects of the three-digit credit score you are probably most familiar with. Insurance companies tend to analyze payment history, unpaid debts, and length of credit history over income to determine your insurance based credit score.  The degree to which your credit score will impact the price of your premium depends on the company you choose to be insured through. 

The state where you live also influences how your credit score will affect car insurance prices. Taking someone’s credit score into account when buying insurance is illegal in:

  • Massachusetts
  • California
  • Hawaii 

What is the Average car insurance cost depending on the type of coverage?

CoverageAverage Monthly RateAverage Annual Premium
Minimum (as required by state)$60$720
100/300/100 Bodily Injury Liability/Personal Damage Liability$72$864
Average car insurance cost

Averaged between all 50 states, the cost of car insurance is $60 per month for a policy that fulfills only minimum requirements. The recommended 100/300/100 policy costs only $12 more per month.

The minimum amount of required coverage varies greatly between states so it is important to check for your specific state.

For example, Florida only requires:

  • $10,000 personal injury protection
  • $10,000 property damage liability per accident

While New York has a minimum requirement of:

  • $25,000 bodily injury liability per accident
  • $50,000 death liability per person
  • $100,000 liability for death per accident
  • $50,000 personal injury protection
  • $25,000 uninsured motorist coverage per person
  • $50,000 uninsured motorist coverage per accident

New York is quite exceptional in its minimum requirements, most states require much less coverage. This is why, for most people, it is often recommended taking out a policy with the minimum shown in the table above of: 

  • $100,000 Bodily Injury Liability Per Person
  • $300,000 Bodily Injury Liability Limit Per Accident 
  • $100,000 Property Damage Liability

What is the Average car insurance cost by company? 

According to our averages, Erie has the lowest car insurance rates at $25 per month, for minimum coverage. However, the Hartford has the lowest average rate for a full coverage policy at $125 per month. 

Insurance companiesMonthly Rates: Minimum CoverageMonthly Rates: Full Coverage
allstates logo 1$65$295
american family logo$50$170
auto owners logo$43$176
aaa logo$45$143
erie insurance logo$25$127
farmers insurance 1$77$357
geico png 1$68$180
the hartford insurance logo$45$125
logo liberty mutual$75$148
nationwide logo$57$191
progressive logo$77$199
logo state farm$59$145
travelers logo$68$127
Average car insurance cost by company

It is important to keep in mind that the quote you may receive from an insurance company may not reflect these averages as insurance companies take into account a multitude of factors when determining individual car insurance rates. You can use our car insurance estimator to compare prices.

What is the average car insurance cost  by age and gender?

Insurance companies tend to see the very young and elderly as high risk drivers.

So, how much does car insurance cost for someone considered “high risk?”

Young drivers between the ages of 16 and 19 will see the highest premiums and a monthly bill of $167. People in the age bracket of 71 to 80 years old, on average, have the second highest premiums at $162 per month.

AgeAverage Monthly RateAverage Annual Premium
16-20$167$1,980
21-30$124$1,524
31-40$119$1,464
41-50$109$1,356
51-60$117$1,380
61-70$130$1,608
71-80$162$1,872
Average car insurance cost  by age and gender

People between the ages of 31-51 see the lowest car insurance cost as they are likely to be driving with a family and statiatically tend to take fewer risks and have fewer accidents. 

What is the Average Cost of Car Insurance by Gender?

AgeGenderAverage Monthly Car Insurance Rate
16-19Female$171
16-19Male$191
Average cost of car insurance by gender

Car insurance rates tend to even out between male and female drivers as they get older. However, we found that the greatest difference exists between young male and young female drivers. Males between the age of 16 and 19 often have some of the highest rates for car insurance depending on their state and the company they choose to be insured through. Insurance companies use collected data that tends to show  young male drivers are more likely to have an accident, receive a speeding ticket, and drink and drive than young female drivers. They adjust the premiums according to these risk factors. This is not true for every state, however. 

Using gender as a factor in determining individual auto insurance rates is illegal in:

  • North Carolina
  • Montana 
  • Hawaii
  • Massachusetts
  • California 
  • Areas of Michigan

What is the Average car insurance cost by marital status?

Married couples tend to pay less per person for car insurance than single drivers.

Since a married couple is more likely to own a house and bundle insurance policies, cover multiple vehicles and add more than one person to a policy, insurance companies view married couples as a better investment than single drivers. Data also shows that married couples tend to file fewer claims. 

For two married people with two cars, an annual premium is $2,232. For a single person it is $1,465. Married couples pay $767 less per year for car insurance than single people.  

Marital StatusAnnual Premium
Single$1,465
Married (two cars)$2,232
Average car insurance cost by marital status

What is the Average car insurance cost by vehicle make and model?

The car you drive plays an important role in the price of car insurance. In general, we found that the price of insuring a Subaru is, on average, $150, while high-end luxury and sports car makes like Ferrari are the most expensive at $901 per month.  The Jeep Wrangler Sport wins as the cheapest vehicle to insure with a rate of $108 per month.

What are the Cheapest Makes to Insure?

MakeMonthly Car Insurance RateAnnual Premium
Subaru$150$1,800
Honda$157$1,884
Toyota$165$1,980
Jeep$180$2,160
Ford$180$2,160
Cheapest Makes to Insure

What are the Most Expensive Makes to Insure?

MakeMonthly Car Insurance RateAnnual Premium
Ferrari$901$10,812
Lamborghini$497$5,964
Maserati$400$4,800
BMW$350$4,200
Mercedes$337$4,044
Most Expensive Makes to Insure

What are the Cheapest Vehicles to Insure?

Vehicle Make and ModelMonthly Car Insurance RateAnnual Premium
Jeep Wrangler Sport$108$1,296
Honda Odyssey$109$1,308
Subaru Outback$110$1,320
Honda CRV$111$1,332
Ford Escape$112$1,344
Cheapest Vehicles to Insure

What are the Cheapest Vehicles to Insure?

Vehicle Make and ModelMonthly Car Insurance RateAnnual Premium
Rolls Royce Phantom$1,420$17,040
Ferrari 812$1,176$14,112
Aston Martin Db11$658$7,896
Lamborghini Aventador$559$6,708
Maserati Granturismo$524$6,288
Cheapest Vehicles to Insure

What are the Average Car Insurance Rate by Vehicle Type?

Vehicle TypeMonthly RateAnnual Premium
SUV$141$1,692
Van$145$1,740
Truck$145$1,740
Car$187$2,244
Luxury or Sport$266$3,192
Average Car Insurance Rate by Vehicle Type

How does vehicle type  influence average car insurance cost?

  • Risk of theft: some vehicles are more likely to be targeted for theft because they are easy to break into (soft top convertibles, for example) or are shown to be broken into more often than other vehicles.
  • Repair costs: Vehicles that are expensive to repair require higher coverage rates which will raise the cost of insurance.
  • Safety: If your car has a great safety, it usually corresponds to a lower claim likelihood in the eyes of insurance companies.
  • Sports cars: These cars come equipped with a powerful engine…a strong temptation for owners of these vehicles to drive fast. Insurers see this as a high risk for accidents. 

What is the Average car insurance cost after an accident?

Car insurance companies base prices off of is how risky a driver appears. After an at-fault accident it is likely that your insurance premiums will rise. We found that after one, relatively minor, at fault accident with less than $5,000 in property damage, car insurance rates increased by 32%-50%. The specific amount, however, depends on your provider, state, and the provisions of your policy :

What is the Average car insurance cost after an accident?

Car insurance companies base prices off of is how risky a driver appears. After an at-fault accident it is likely that your insurance premiums will rise. We found that after one, relatively minor, at fault accident with less than $5,000 in property damage, car insurance rates increased by 32%-50%. The specific amount, however, depends on your provider, state, and the provisions of your policy:

What is the Average car insurance rate after one at-fault accident?

DamageAvg car Insurance RateRate after accidentMonthly Increase ($)Annual Increase ($)Increase (%)
At fault property damage less than $5,000$119/month$169/month$50$60042%
Average car insurance rate after one at-fault accident

Insurance companies that have smaller rate increases, on average, after an at-fault accident:

  • State Farm: on average auto insurance rates increase by 17% after one at-fault accident, or around $338 per year.
  • Erie: the average auto insurance cost increases by 19% or $400 annually after an at-fault accident.
  • Travelers: car insurance prices increase by 27% or $841 per year after an at-fault accident.

What is Average car insurance based on driving record?

A violation on your record will inevitably result in an increase in your premium. Getting a DUI or having a hit-and-run on your record can raise your annual premium by $1,092 and $1,220 respectively. However, being involved in an accident that was not your fault will also make your bill grow by $84 per year. Take a look at how average car insurance rates will vary by violation:

ViolationAnnual PremiumAnnual Increase ($)
No violation$1,572
Speeding ticket$1,920$348
DUI$2,664$1,092
Hit-and-run$2,792$1,220
Texting while driving$1,906$334
Accident (not your fault)$1,656$84
Accident (at fault)$2,028$456
Running a red light$1,910$338
Average cost of car insurance with driving record

What are the others factors that can affect car insurance cost?

  • Zip code and address: As insurers base prices off of how likely they think you are to make a claim, where you live can make a noticeable difference in the price you pay. For example, if you live on a busy street where accidents are likely to occur you will often pay more than a person who lives in the same neighborhood but two blocks away from the same street. Car insurance rates are often higher in metropolitan areas as the risk of accidents is higher.
  • Lapses in coverage: insurers want to see that you have been continuously covered
  • Level of education
  • Occupation
  • Discounts: many insurers provide discounts that, depending on your situation and driving history, you may be eligible for. 
  • Mileage: The more miles you clock in your car on average, the more likely it will need repairs. If you drive frequently you are also exposing yourself to the possibility of an accident. Cars with fewer miles are less likely to be involved in an accident.

How much is car insurance, really?

There is no one-size-fits-all when it comes to auto insurance. In order to estimate car insurance rates as accurately as possible, it is always best to receive a quote based on your particular situation and driving history. You can use these averages as a good jumping off point to get an idea of the best low cost auto insurance, but your specific quote may vary significantly from a national average due to the factors mentioned above. You can use our car insurance calculator to find an individualized quote.

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