The average car insurance cost depends upon the factors you consider or because of these factors, the average car insurance cost differs. Though, the average car insurance cost in the US is about $ 1,099 per year.
Moreover, car insurance rates also vary depending upon the factors, i.e. your geographical area, age, the insurance company you opt for, liability claim, etc. Apart from knowing car insurance costs, we should also consider the factor which can help in saving money on car insurance.
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Factors of The Average Car Insurance Cost :
- Average Car Insurance Costs by Company
- Average Car Insurance Costs by State
- Related: How much is car insurance in California?
- Average Car Insurance Costs by Age and gender
- Average Car Insurance Costs by Vehicle type
- Average Car Insurance Costs by Accident history
- Average Car Insurance Costs by Credit score
1. Average Car Insurance Costs by Company
The average cost of auto insurance provided by the companies are listed below in the table, which depicts the full as well as minimum coverage by the company. As companies do shake the cost of car insurance.
The company offering Full coverage insurance costs:
| Rank | Insurer | Annual premium |
| 1 | Erie | $ 1,521 |
| 2 | State Farm | $ 1,737 |
| 3 | Farm Bureau Mutual (IA Group) | $ 1,781 |
| 4 | American Family | $ 2,041 |
| 5 | Auto-Owners Insurance Co | $ 2,112 |
| 6 | GEICO | $ 2,158 |
| 7 | Nationwide | $ 2,293 |
| 8 | Progressive | $ 2,393 |
| 9 | Metropolitan | $ 2,447 |
| 10 | Travelers | $ 3,017 |
| 11 | Allstate | $ 3,545 |
| 12 | Farmers | $ 4,280 |
| NA | USAA | $ 1,307 |
Here, we have not ranked USAA car insurance as it is available only for military persons and their family members.
The Company offering Minimum car insurance coverage costs
| Rank | Insurer | Annual premium |
| 1 | Farm Bureau Mutual (IA Group) | $ 436 |
| 2 | Erie | $ 451 |
| 3 | Auto-Owners Insurance Co | $ 649 |
| 4 | State Farm | $ 712 |
| 5 | American Family | $ 811 |
| 6 | GEICO | $ 819 |
| 7 | Progressive | $ 924 |
| 8 | Metropolitan | $ 971 |
| 9 | Nationwide | $ 1,004 |
| 10 | Allstate | $ 1,390 |
| 11 | Travelers | $ 1,412 |
| 12 | Farmers | $ 1,469 |
| NA | The USAA | $ 430 |
Here, we have not ranked USAA car insurance as it is available only for military persons and their family members.
Average Insurance Cost of Companies on the basis of 6-month Premium
You can also compare the average insurance cost of companies on the basis of a 6-month premium. Here you can check out the best car insurance rates offered by the 5 best car insurance companies.
| Insurance company | 6-Month premium |
| Allstate | $ 1,011 |
| Farmers | $ 822 |
| GEICO | $ 602 |
| Liberty Mutual | $ 863 |
| Nationwide | $ 714 |
2. Average Car Insurance Costs by State
Each state offers different car insurance average cost to its customers. The average car insurance cost by states on the basis of full coverage option and minimum coverage is given as:
| Rank | State | Full coverage | Minimum coverage | Difference of coverage |
| 1 | Michigan | $ 8,723 | $ 5,282 | $ 3,441 |
| 2 | Rhode Island | $ 3,847 | $ 1,589 | $ 2,258 |
| 3 | Louisiana | $ 3,525 | $ 1,329 | $ 2,196 |
| 4 | Kentucky | $ 3,418 | $ 1,338 | $ 2,079 |
| 5 | Florida | $ 3,370 | $ 2,565 | $ 805 |
| 6 | Nevada | $ 3,190 | $ 1,295 | $ 1,895 |
| 7 | Colorado | $ 3,164 | $ 1,075 | $ 2,089 |
| 8 | New Jersey | $ 3,013 | $ 1,182 | $ 1,831 |
| 9 | Washington D.C. | $ 2,793 | $ 1,260 | $ 1,533 |
| 10 | New York | $ 2,752 | $ 1,323 | $ 1,429 |
In the above table state, Michigan is providing maximum full car insurance coverage which is $ 8,723, sate New York is providing the least full car insurance coverage which is $ 2,752.
Full Coverage most expensive car insurance cost and cheapest car insurance cost:
Here, we have covered the cheapest car insurance cost as well as the expensive car insurance cost in case of full coverage.
- States having the most expensive car insurance cost:
So, the most expensive car insurance cost is offered by the following states:
| State | Cost per year | Cost per month |
| Michigan | $ 8,723 | $ 727 |
| Rhode Island | $ 3,847 | $ 321 |
| Louisiana | $ 3,525 | $ 294 |
The average cheapest car insurance cost per year for Michigan, Rhode Island, and Louisiana is $ 8,723, $ 3,847 and $ 3,525 respectively. And the average cheapest car insurance cost per month for Michigan, Rhode Island, and Louisiana are$ 727, $ 321 and $ 294 respectively.
- States having the cheapest car insurance cost:
So, the cheapest car insurance cost is offered by the following states:
| State | Cost per year | Cost per month |
| Maine | $ 1,268 | $ 106 |
| Hawaii | $ 1,340 | $ 112 |
| North Carolina | $ 1,434 | $ 120 |
The average cheapest car insurance cost per month for Maine, Hawaii, and North Carolina are $ 106, $ 112 and $ 120 respectively. And the average cheapest auto insurance cost per year for Maine, Hawaii, and North Carolina is $ 1,268, $ 1,340, and $ 1,434 respectively.
Minimum coverage the most expensive car insurance cost and cheapest car insurance cost:
Here, we have covered the cheapest car insurance cost as well as the expensive car insurance cost car insurance in case of minimum coverage.
- States having the most expensive car insurance cost:
So, the most expensive car insurance cost is offered by the following states:
| State | Cost per year | Cost per month |
| Michigan | $ 5,282 | $ 440 |
| Florida | $ 2,565 | $ 214 |
| Rhode Island | $ 1,589 | $ 132 |
The average monthly cost for car insurance for Michigan, Florida, and Rhode Island is $ 440, $ 214, and $ 132 respectively. And the average car insurance cost per year for Michigan, Florida, and Rhode Island is $ 5,282, $ 2,565, and $ 1,589 respectively.
- States having the cheapest car insurance cost:
So, the cheapest car insurance cost is offered by the following states:
| State | Cost per year | Cost per month |
| Iowa | $ 357 | $ 30 |
| South Dakota | $ 420 | $ 35 |
| Hawaii | $ 475 | $ 40 |
Average Car Insurance Costs by Age and gender
The difference in Auto insurance quoted also varies based on gender. The car insurance cost for young and immature drivers is more than the cost of experienced and learner drivers.
Example: The cost of insurance for the 20-year-old driver will be more than the car insurance cost of the 30-year-old driver.
- Average car insurance rates on the basis of gender:
The female driver needs to pay less car insurance costs, where as the male driver needs to pay more car insurance costs.
| Driver profile | Annual auto insurance premium |
| 18 year old female | $ 6,797 |
| 18 year old male | $ 7,561 |
Here, the Annual average auto insurance cost of the premium for 18 year old female driver is $ 6,797, whereas the Annual average auto insurance cost of the premium for 18 year old male is $ 7,561.
- Average car insurance rates on the basis of age:
Average car insurance rates on the basis of age can be seen as follows with the help of the following table:
| Driver age | Annual average auto insurance premium |
| 18 | $ 7179 |
| 19 | $ 6021 |
| 20 | $ 5333 |
| 21 | $ 4453 |
| 22 | $ 4128 |
| 23 | $ 3840 |
| 24 | $ 3597 |
| 25 | $ 3207 |
As the age of the driver rises so does the car insurance cost. So, the teenage car insurance Average cost is higher as compared to the old age drivers or higher age drivers.
- Average Car Insurance Costs by Vehicle type
The cost of insurance also differs based on the type of vehicle you have. The higher model car insurances are expensive as compared to the car insurance of lower or basic car models. The vehicle identification number (VIN) is used by the car insurance companies in order to check your vehicle details such as mileage, accidents, etc by which the car insurance premium cost can be depicted.
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More:
| Vehicle type | 6 Month premium |
| Truck Vehicle | $ 865 |
| Van Vehicle | $ 844 |
| SUV Vehicle | $ 967 |
| Car Vehicle | $ 1,137 |
| Luxury Vehicle | $ 1,045 |
| Green Vehicle | $ 1,055 |
Average Car Insurance Costs by Accident history
Car insurance policies are also based on the accident levels and numbers. Higher the accident means lower the coverage offered. And in case of any violation, the insurance companies increase the premium amount. So, the rates of companies’ car insurance cost for drivers in case of accidents are as follows:
| Company | Rates, clean record | Rates, one accident | Percentage increase |
| Erie | $ 1,521 | $ 1,924 | 26 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| State Farm | $ 1,737 | $ 2,075 | 19 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Farm Bureau Mutual (IA Group) | $ 1,781 | $ 2,675 | 50 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| American Family | $ 2,041 | $ 2,962 | 45 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Auto-Owners Insurance Co | $ 2,112 | $ 2,742 | 30 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| GEICO | $ 2,158 | $ 3,140 | 46 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Nationwide | $ 2,293 | $ 3,132 | 37 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Progressive | $ 2,393 | $ 3,813 | 59 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Metropolitan | $ 2,447 | $ 3,959 | 62 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Travelers | $ 3,017 | $ 3,858 | 28 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Allstate | $ 3,545 | $ 5,360 | 51 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Farmers | $ 4,280 | $ 6,022 | 41 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| The USAA | $ 1,307 | $ 1,766 | 35 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
Here, the rates of progressive car insurance have increased the maximum from $ 2,393 in case of a clean record to $ 3,813 in case of one accident, giving a hike of about 59 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39}. Though, State Farm saw the least or minimum increase in price from $ 1,737 to $ 2,075, giving a hike of about 19 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39}, which is the least increase of car insurance price compared to all the other companies.
- Average Car Insurance Costs by Credit score
A Credit score also affects the insurance premium. As a good credit score drivers will receive good insurance or low cost car insurance rates. As it is familiar that a good credit score drive means he will be at lower risk and less prone to accidents.
| Company | Poor or no credit | Excellent credit | Discount |
| The USAA | $ 432 | $ 324 | 25 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Farm Bureau Mutual (IA Group) | $ 436 | $ 320 | 27 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Erie | $ 451 | $ 325 | 28 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Auto-Owners Insurance Co | $ 649 | $ 347 | 46 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| State Farm | $ 716 | $ 375 | 48 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| American Family | $ 811 | $ 496 | 9 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| GEICO | $ 842 | $ 520 | 38 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Progressive | $ 938 | $ 582 | 38 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Nationwide | $ 1,004 | $ 755 | 25 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Metropolitan | $ 1,108 | $ 980 | 12 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Allstate | $ 1,422 | $ 843 | 41 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Travelers | $ 1,486 | $ 967 | 35 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
| Farmers | $ 1,509 | $ 692 | 54 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} |
Here, we see that the Farmers are giving a maximum discount to its drivers which is about 54 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} while they drive safely, and Metropolitan is giving the least discount which is about 12 {367c01af22dc6c3a8611ff25983b0f0a247ed9fc1c45fd9103ad49b47a0c5f39} to its drivers while they drive safely.
Other things affecting car insurance rates:
Some of the other constraints that can affect car insurance rates are as follows:
- Driving experience
- Location within a state
- Insurance and claims history
- Mileage
- Discounts
- The Driving experience of the driver: Your driving experienced also affects the cost of car insurance. The much experienced you are as a driver the cheaper car insurance you will be provided. Apart from age, the experience of driving a car is counted.
- The customer Location within a state: Your geographical location as well as your location within the state also affects the car insurance cost. The farther you are from the available service the more cost you will need to bear.
- Insurance and claims history: Your previous car insurance data or the car insurance history depicts the car insurance cost. As in the case of no gap period involved while taking insurance you will be provided lower average auto insurance rates or cheaper auto insurance rates compared to others.
- Mileage of your car: The mileage of your cars affects the average cost of car insurance. Lower mileage cars will be offered lower car rates.
- Discounts offered or collected: Different car insurance discounts are offered by the companies, which can be a useful option to cut down your car insurance cost.
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