The top 10 cheapest car insurance companies in the U.S. among both national and regional insurers are:
| Cheapest Car Insurance Company | Average Monthly Minumum Coverage Rate | Average Monthly Full Coverage Rate |
|---|---|---|
| 1. USAA | $39 | $145 |
| 2. Central Insurance | $36 | $156 |
| 3. Travelers | $58 | $141 |
| 4. Auto-Owners | $42 | $158 |
| 5. Country Financial | $48 | $163 |
| 6. Erie Insurance | $55 | $158 |
| 7. Geico | $52 | $166 |
| 8. Nationwide | $73 | $172 |
| 9. Progressive | $72 | $194 |
| 10. State Farm | $72 | $212 |
Click the following links to jump to the cheapest companies nationally bystate,coverageanddriver profile.
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Cheapest Car Insurance Rates
To help you find which provider is the most affordable for you, we’ve summarized the lowest-cost companies by coverage and driving profile:
| Cheap Car Insurance Category | Cheapest Car Insurance Company (Among National Insurers) | Cheapest Monthly Car Insurance Rate |
|---|---|---|
| Minimum Liability | Geico | $52 |
| Full Coverage | Travelers | $141 |
| After a Speeding Ticket | Travelers | $68 |
| After an Accident | Travelers | $74 |
| After a DUI | Travelers | $81 |
| Poor Credit | Geico | $81 |
| Young Drivers | Travelers | $204 |
| Senior Drivers | Geico | $106 |
| Military Members | USAA | $38 |
Cheapest Car Insurance by State
The table below showcases the cheapest car insurance rates overall in each state regardless of the coverage level chosen. You can also search your state with the tool below to find more information about cheap insurers in your area to compare.
Select Your State
Alabama Arizona Arkansas California Colorado Connecticut Delaware Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington Washington DC West Virginia Wisconsin Wyoming
| State | Cheapest Car Insurance Company | Average Annual Car Insurance Cost |
|---|---|---|
| Alabama | Travelers | $916 |
| Alaska | Geico | $1,037 |
| Arizona | Geico | $992 |
| Arkansas | USAA | $772 |
| California | Geico | $1,406 |
| Colorado | American National | $893 |
| Connecticut | Geico | $1,084 |
| Delaware | Travelers | $1,062 |
| Florida | Geico | $1,368 |
| Georgia | Central Insurance | $1,204 |
| Hawaii | Geico | $753 |
| Idaho | USAA | $559 |
| Illinois | Travelers | $1,036 |
| Indiana | USAA | $744 |
| Iowa | Travelers | $774 |
| Kansas | USAA | $882 |
| Kentucky | Geico | $1,104 |
| Louisiana | Southern Farm Bureau | $1,561 |
| Maine | Travelers | $588 |
| Maryland | Geico | $1,098 |
| Massachusetts | Plymouth Rock | $1,107 |
| Michigan | USAA | $1,483 |
| Minnesota | USAA | $1,214 |
| Mississippi | Nationwide | $952 |
| Missouri | USAA | $805 |
| Montana | USAA | $785 |
| Nebraska | Farmers Mutual of Nebraska | $920 |
| Nevada | Travelers | $1,373 |
| New Hampshire | USAA | $715 |
| New Jersey | Geico | $1,173 |
| New Mexico | USAA | $762 |
| New York | Progressive | $2,169 |
| North Carolina | Progressive | $729 |
| North Dakota | USAA | $657 |
| Ohio | Nationwide | $613 |
| Oklahoma | USAA | $1,048 |
| Oregon | Travelers | $1,105 |
| Pennsylvania | Travelers | $1,088 |
| Rhode Island | USAA | $1,145 |
| South Carolina | American National | $545 |
| South Dakota | Farmers Mutual of Nebraska | $848 |
| Tennessee | USAA | $915 |
| Texas | Texas Farm Bureau | $955 |
| Utah | Nationwide | $928 |
| Vermont | Union Mutual | $488 |
| Virginia | Virginia Farm Bureau | $881 |
| Washington | USAA | $712 |
| Washington, D.C. | USAA | $996 |
| West Virginia | USAA | $984 |
| Wisconsin | Secura Insurance | $733 |
| Wyoming | American National | $661 |
Page 1 of 6
Cheapest Car Insurance By Coverage
Click each button below to see the cheapest car insurance for both state minimum and full-coverage car insurance.
Cheapest Liability-Only Car Insurance
Among nationally available providers, USAA offers the cheapest minimum liability car insurance at 46% below average. If you don’t have any military affiliation, Geico will be the most affordable option.
| Cheapest National Car Insurance Provider | Average Annual Minimum Car Insurance Rates | Average Annual Savings |
|---|---|---|
| 1. USAA | $471 | $398 |
| 2. Geico | $620 | $249 |
| 3. Travelers | $691 | $178 |
| 4. Progressive | $859 | $10 |
| 5. State Farm | $861 | $8 |
*All costs presented are for a 35-year old driver with good credit and no driving violations.
Read more: Cheapest Liability-Only Car Insurance
Cheapest Full-Coverage Car Insurance
Travelers is the cheapest option for full-coverage car insurance at around 37% cheaper than the national average.
| Cheap National Car Insurance Provider | Average Annual Minimum Car Insurance Rates | Average Annual Savings |
|---|---|---|
| 1. Travelers | $1,692 | $989 |
| 2. USAA | $1,741 | $940 |
| 3. Geico | $1,995 | $686 |
| 4. Nationwide | $2,063 | $618 |
| 5. Progressive | $2,326 | $355 |
*All costs presented are for a 35-year old driver with good credit and no driving violations
Read more: Cheapest Full-Coverage Car Insurance
Cheapest Car Insurance by Driver Profile
Below, you can see the cheapest car insurance for different driver profiles, including young drivers (those 25 years old and under), seniors (those 65 and 75 years old), drivers with poor credit and drivers considered high-risk (those who have a DUI, recent accident or speeding ticket). Click each button to learn more.
Read more: Best Car Insurance for High-Risk Drivers
Cheapest Car Insurance for Young Drivers
If you’re 25 years old or under and are enlisted, a veteran or a family member of someone who served, you can expect to get the best car insurance rates from USAA. If not, Travelers is the cheapest national provider.
| Cheap National Car Insurance Provider | Average Annual Minimum Coverage Rate | Average Annual Full Coverage Rate |
|---|---|---|
| 1. USAA | $1,240 | $3,493 |
| 2. Travelers | $1,426 | $3,456 |
| 3. Geico | $1,479 | $3,811 |
| 4. Nationwide | $2,174 | $3,978 |
| 5. State Farm | $2,212 | $5,175 |
Read more: Best Cheap Car Insurance for Young Drivers
Cheapest Car Insurance for Seniors
If you are aged 65 to 75 and are affiliated with the military, you can expect the best car insurance rates with USAA among national insurers. Travelers has the lowest prices for those who don’t have military affiliation.
| Cheap National Car Insurance Provider | Average Annual Minimum Coverage Rate | Average Annual Full Coverage Rate |
|---|---|---|
| 1. USAA | $560 | $1,840 |
| 2. Travelers | $736 | $1,753 |
| 3. Nationwide | $825 | $1,871 |
| 4. Geico | $704 | $2,113 |
| 5. Progressive | $917 | $2,302 |
Read more: Best Cheap Car Insurance for Seniors
Cheapest Car Insurance With Bad Credit
Geico has the cheapest car insurance for drivers with bad credit, offering rates that are 55% cheaper than the national average.
| Cheap National Car Insurance Provider | Average Annual Minimum Coverage Rate | Average Annual Full Coverage Rate |
|---|---|---|
| 1. Geico | $970 | $2,891 |
| 2. USAA | $812 | $3,161 |
| 3. Travelers | $1,199 | $2,825 |
| 4. Nationwide | $1,280 | $2,762 |
| 5. Progressive | $1,281 | $3,612 |
*All costs provided are based on a 35-year-old driver with no driving violations.
Read more: Best Cheap Car Insurance for Bad Credit
Cheapest Car Insurance With a Recent DUI
At 39% cheaper than the national average, Travelers offers the most affordable car insurance if you’ve had a recent DUI.
| Cheap National Car Insurance Provider | Average Annual Minimum Coverage Rate | Average Annual Full Coverage Rate |
|---|---|---|
| 1. Travelers | $968 | $2,345 |
| 2. State Farm | $1,008 | $2,728 |
| 3. Progressive | $1,052 | $2,696 |
| 4. USAA | $915 | $2,852 |
| 5. Geico | $1,520 | $3,690 |
*All costs provided are based on a 35-year-old driver with good credit.
Read More: How Does a DUI or DWI Affect Car Insurance Rates?
Cheapest Car Insurance With an Accident
If you’ve had an accident within the last three years, Travelers will likely be your cheapest car insurance option with rates that are 38% lower than the national average.
| Cheap National Car Insurance Provider | Average Annual Minimum Coverage Rate | Average Annual Full Coverage Rate |
|---|---|---|
| 1. Travelers | $889 | $2,148 |
| 2. USAA | $692 | $2,358 |
| 3. State Farm | $1,050 | $2,807 |
| 4. Geico | $1,084 | $3,183 |
| 5. Nationwide | $1,352 | $3,031 |
*All costs provided are based on averages of both full and minimum coverage quotes for a 35-year-old driver with good credit.
Read More: What Is Accident Forgiveness?
Cheapest Car Insurance With a Speeding Ticket
For those with speeding tickets on their record, USAA will be the cheapest option if you have military affiliations while Travelers if the most affordable option for other drivers.
| Cheap National Car Insurance Provider | Average Annual Minimum Coverage Rate | Average Annual Full Coverage Rate |
|---|---|---|
| 1. USAA | $574 | $2,067 |
| 2. Travelers | $816 | $2,083 |
| 3. Geico | $835 | $2,574 |
| 4. State Farm | $974 | $2,644 |
| 5. Nationwide | $1,155 | $2,554 |
*All costs provided are based on averages of both full and minimum coverage quotes for a 35-year-old driver with good credit.
Read more: Best Cheap Speeding Ticket Car Insurance
How To Get The Cheapest Car Insurance Rates
Finding the cheapest auto insurance premiums can seem daunting, but it’s easier than you might think. We’ve provided some simple methods that can help you save.
Read more: How To Save Money on Car Insurance
Going into the insurance buying process without knowing what coverage you need makes it easy to overpay. It’s required to have both collision and comprehensive coverage if you have an outstanding loan, but even so, the question of how much liability car insurance to get still remains. While the decision is ultimately based on your tolerance for risk, it mostly comes down to these considerations:
- Location: If you’re in a densely populated area with a lot of traffic, consider getting collision coverage and a higher liability limit so you’re financially protected in the event of an accident.
- Driving habits: The more you drive and the more trips you take, the higher your chances are of being in an accident.
- Your financial situation: If you can afford to pay out-of-pocket for possible damages to your vehicle, you’ll likely only need liability coverage.
- Your vehicle: If you have a vehicle over 10 years old, you’ll likely not need full-coverage car insurance due to the low value of the vehicle.
Read more: How Much Car Insurance Do You Need?
According to the Bureau of Labor Statistics’ (BLS) consumer price index (CPI), the total cost for motor vehicle insurance has increased by 42.8% since 2020. To keep a low rate, we recommend comparing your policy to new options when renewal is coming up and when you have major life changes (like marriage) to avoid these rising costs as much as possible.
Read more: What To Do About Rising Insurance Rates
It can be tempting to go with the first option that seems like a good deal, but comparing multiple options can get you the lowest price. There are three options for getting quotes: talking to insurance agents one-on-one, using an independent insurance agency to compare quotes or getting pricing online.
One of our team members, Connor Bolton, was in the market for new car insurance coverage after moving to South Carolina. He tested out each of these methods in his search and came to the following conclusion.
“I would recommend comparing online and through brokers since it is easier to find the best and cheapest option. If you are going to talk to any agents, research online about coverage, insurance prices and any discounts you may qualify for, and write down questions before speaking to anyone.”
Learn more about our first-hand experience.
Read more: How To Shop for Car Insurance
Depending on the state you live in, your credit score could be an influential factor in determining your car insurance rates. In states that allow credit to be considered in determining premiums, a bad credit score can increase pricing by 96% based on our cost analysis. Taking measures such as paying debts on time, keeping the balances on credit cards low and making sure to keep your oldest account can all help improve your credit score and get you lower rates over time.
Read more: How To Improve Your Credit Score
There are many common car insurance discount options available with most major companies that may help you save:
- Bundling: You can save a large sum on car insurance when bundling policies, and you’ll get the biggest discounts with a home and auto insurance bundle with average savings of $650 per year.
- Multi-Car: With a multi-car insurance policy, you can save up to 25% on premiums.
- Telematics Programs: With either a plug-in device or app that tracks your speed, braking and other factors, you can save up to 40% on your car insurance for good driving habits. Keep in mind that some telematics programs penalize bad habits with higher rates.
- Defensive Driving Course: Taking a defensive driving course or passing a program can save you a minimum of 5% of your policy and as much as 10%.
If your vehicle is older and you’re in the market for getting a new car, you should consider getting a vehicle that gets you lower insurance rates. For cheap rates, we recommend avoiding luxury vehicles and electric cars due to their high price tag and sticking to base models of affordable car brands.
Read more: Cheapest Cars to Insure and Most Expensive Cars to Insure
Risks of Getting Cheap Car Insurance
Buying the lowest-price policy available from the cheapest provider can save you money, but it may come with a few risks. When you find a provider you like, we recommend checking out more than just the price to avoid sticky situations with claims, coverage and policy management. Below, we’ll go over some of the risks of choosing the cheapest option you see without considering other factors.
Major factors that drivers should consider when comparing car insurance quotes are the types of coverage — including liability, collision, comprehensive and uninsured motorist coverage — policy limits, deductibles, an insurer’s financial strength and the quality and reputation of its claims service.
While minimum coverage may seem like a good deal, it can be risky to go without higher coverage limits if you can’t afford accident costs, especially if you drive a lot. Even if you can pay for out-of-pocket expenses, if your car gets totaled, your limits won’t cover another driver in an accident, and they may sue. If this is the case, you would be on the line for expenses for injuries, a lawyer — and if you lose your case — a settlement.
Not all companies handle claims or inform you about your policy in the same manner. Cheaper providers may lack the customer support and experience you get from more well-established companies that may cost a little more.
Who offers strong customer service: Allstate earned a high rating in our 2024 auto insurance customer sentiment analysis. This reflects strong customer reviews across a variety of platforms and review scores from J.D. Power.
Some car insurance companies tend to take longer to process a claim than others. While your claim is being processed, you may be without a vehicle, which can be a major headache. Waiting longer for a company that processes claims slowly could cause more issues than the savings are worth.
Who you can trust to handle claims: Erie Insurance claimed the second highest score of providers offering cheap car insurance in the J.D. Power 2023 U.S. Auto Claims Satisfaction Study™. This score indicates that Erie customers were happier with their claims process than those of other providers.
Larger companies offer mobile apps and online services that can make the entire insurance experience more convenient. Budget providers may lack some of these tools.
Who offers useful resources: State Farm has consistently high ratings for its apps and online services. These ratings suggest that State Farm customers are satisfied with its resources and tools.
Smaller companies with the lowest rates don’t always offer add-ons like roadside assistance and rental car reimbursem*nt. Sticking with a larger company may cost a little more, but you’ll have more choices available to get you the coverage you want and need.
Who offers great add-on options: Travelers has the largest array of add-on coverages among national insurers and some of the lowest rates based on our cost research.
Cheapest Auto Insurance: The Bottom Line
Our top 10 choices for cheap auto insurance companies in order are USAA, Central Insurance, Travelers, Auto-Owners, Country Financial, Erie Insurance, Geico, Nationwide, Progressive and State Farm. However, the most affordable option for you will differ based on your driver profile, location, and vehicle, so we encourage you to compare quotes from multiple companies to get the best deal.
Cheap Car Insurance: FAQ
Below are some frequently asked questions pertaining to the cheapest car insurance:
Overall, Travelers is the cheapest car insurance company with average rates of $691 per year for minimum coverage and $1,692 per year for full coverage. If you are a military member, USAA has the cheapest rates overall at $471 per year for minimum coverage and $1,741 per year for full coverage. However, Geico, Nationwide, Progressive and State Farm also have affordable rates for most drivers.
Minimum coverage policies, which only satisfy your state’s minimum insurance requirements, are the cheapest type of car insurance. However, these policies can put you at significantly more financial risk in the event of an accident than full-coverage or higher liability limits.
Those who are 55 years old tend to pay the lowest rates — no matter what driver profile they have — at an average rate of $804 per year for minimum coverage and $2,375 per year for full coverage.
Geico tends to be cheaper for most drivers than Progressive, based on our research. However, Progressive tends to have favorable rates for some drivers in some areas — namely drivers in high-risk categories like those with recent DUIs, accidents, tickets or poor credit (depending on the state you live in).
State Farm is the largest auto insurance company in the U.S. according to the National Association of Insurance Commissioners (NAIC). The company accounts for 18.31% of the total auto insurance market.
Other Best and Cheap Insurance Company Guides
If you’re looking for other insurance coverage, we’ve provided our reviews of our top picks along with supporting cost information to assist your search.
| Insurance Category | Best Companies | Cheapest Companies | Average Insurance Cost |
|---|---|---|---|
| Home Insurance | Best Home Insurance Companies | Cheapest Home Insurance Companies | Home Insurance Cost |
| Renters Insurance | Best Renters Insurance Companies | Cheapest Renters Insurance Companies | Renters Insurance Cost |
| Life Insurance | Cheapest Life Insurance Companies | Best Life Insurance Companies | Term Life Insurance Cost; Whole Life Insurance Cost |
| Pet Insurance | Best Pet Insurance Companies | Cheapest Pet Insurance Companies | Pet Insurance Cost |
| Motorcycle Insurance | Best Motorcycle Insurance Companies | Cheapest Motorcycle Insurance Companies | Motorcycle Insurance Cost |
| RV Insurance | Best RV Insurance Companies | Cheapest RV Insurance Companies | RV Insurance Cost |
| Boat Insurance | Best Boat Insurance Companies | Cheapest Boat Insurance Companies | Boat Insurance Cost |
| Travel Insurance | Best Travel Insurance Companies | Cheapest Travel Insurance Companies | Travel Insurance Cost |
Our Experts
Learn more about Jeungbo Shim
Jeungbo ShimAssociate Professor in the Risk Management and Insurance Program at the University of Colorado at Denver
How We Determined the Cheapest Car Insurance Providers
We based our national rankings on the average car insurance costs of a 35-year-old driver with good credit and a clean driving record for both minimum and full coverage. Coverage for liability estimates are based on minimum requirements in each state, and full-coverage estimates are based on a 50/100/50 policy that includes:
- $50,000 in bodily injury coverage per person
- $100,000 in bodily injury coverage per accident
- $50,000 in property damage coverage per accident
- $500 deductible
In the spirit of quality control, we filtered out insurance providers that don’t meet the standards we uphold for our readers. Every company you see mentioned in this article has been thoroughly researched, evaluated and approved by our insurance researchers.
Cheapest Car Insurance Companies: Our First-Hand Experience
In order to get a better understanding of the actual experience of shopping for the cheapest auto insurance rates, we asked Connor Bolton, a member of our team, to follow our tips and document his experience shopping for new car insurance coverage after moving to South Carolina. After testing different shopping methods, we interviewed Bolton to find out what he learned and fine-tune our advice.
Here is Connor Bolton’s profile:
- Age: 22
- Location: Cayce, S.C.
- Driving record: Clean
- Credit score: Good
- Vehicle: 2020 Hyundai Elantra SEL
How We Vetted and Ranked Car Insurance Providers
Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list.
Here are the factors our ratings take into account:
- Coverage (30% of total score): Companies that offer a variety of choices for insurance coverage are more likely to meet consumer needs.
- Cost and Discounts (25% of total score): Auto insurance rate estimates generated by Quadrant Information Services and discount opportunities are both taken into consideration.
- Industry Standing (20% of total score): Our research team considers market share, ratings from industry experts and years in business when giving this score.
- Customer Experience (15% of total score): This score is based on volume of complaints reported by the National Association of Insurance Commissioners (NAIC) and customer satisfaction ratings reported by J.D. Power. We also consider the responsiveness, friendliness and helpfulness of each insurance company’s customer service team based on our own shopper analysis.
- Availability (10% of total score): Auto insurance companies with greater state availability and few eligibility requirements score highest in this category.
If you have feedback or questions about this article, please email the MarketWatch Guides team at editors@marketwatchguides.com.
