Iowa drivers pay an average of $1,162 per year for full coverage car insurance and $386 for minimum coverage. Keep in mind these rates are based on a 40-year-old driver with good credit and a clean driving record, so your actual costs may be different based on your personal details.
Average Cost of Car Insurance in Iowa
Updated: August 19, 2025
Advertising & Editorial Disclosure
Key Takeaways
Car insurance costs can range anywhere from $386 to $5,362 per year on average depending on your chosen coverage, driving profile and location.
With rankings of fourth for minimum coverage and 11th for full coverage, Iowa offers some of the most budget-friendly car insurance rates in the nation.
To secure the cheapest car insurance in Iowa, start by deciding your coverage requirements, then research various companies before comparing quotes extensively.
Average Car Insurance Cost In Iowa
| Full Coverage | $97 | $1,162 |
| Minimum Coverage | $32 | $386 |
*Rates are based on a 40-year-old driver with good credit and a clean record driving a 2012 Toyota Camry LE. Minimum coverage means basic liability required by state law. Full coverage includes 100/300/100 liability limits plus comprehensive and collision with $1,000 deductibles.
Average Iowa Car Insurance Cost by Category
Your individual characteristics, geographic location, and vehicle choice all play major roles in determining car insurance costs. Below, you'll find average rates for various driver categories and profiles.
| Young Drivers | $80 | $214 |
| Adult Drivers | $32 | $94 |
| Senior Drivers | $46 | $112 |
| Drivers With An Accident | $45 | $133 |
| Drivers With A DUI | $58 | $173 |
| Drivers With A Speeding Ticket | $40 | $123 |
| Drivers With Bad Credit | $124 | $323 |
| Drivers With Low Income | $76 | $194 |
| Drivers With Newer Cars | $44 | $136 |
| Drivers With Old Cars | $28 | $85 |
*We modified rates based on the same 40-year-old driver profile with these changes: young drivers (16 to 25), adults (26 to 64), seniors (65+), low income (fair credit), bad credit (poor credit), newer cars (2025 Toyota Camry LE), older cars (2007 Toyota Camry LE). Driving violation profiles include only that specific violation.
FIND THE BEST CHEAP PROVIDER FOR YOUR PROFILE
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Personalized Average Iowa Car Insurance Costs
General driver categories offer basic estimates, but your costs will be different. Our filterable table below shows personalized rates based on your specific profile.
Data filtered by:Results filtered by:
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Coverage Level:100/300/100 Full Cov. w/$1,000 Ded.
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Age Group:Adult Drivers
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Gender:Female
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Credit Alignment:Below Fair
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Driving Record:At Fault Accident ($1000-$1999 Prop Dmg)
| 100/300/100 Full Cov. w/$1,000 Ded. | 361 | 4334 |
*Rates for the age groups are based on the following assumptions: young drivers (16 to 25), adults (26 to 64), seniors (65+).
Average Iowa Car Insurance Cost by City
Where you live in Iowa directly impacts your car insurance costs. Full coverage rates range from $339 per year in Coralville to $1,342 in Council Bluffs. Use the comparison tool below to see both full and minimum coverage rates for your city and other areas across Iowa.
Data filtered by:Results filtered by:
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City:Ackley
| Full Coverage | $89 | $1,063 |
| Minimum Coverage | $30 | $363 |
*Rates are based on a 40-year-old driver with good credit and a clean record driving a 2012 Toyota Camry LE. Minimum coverage means basic liability required by state law. Full coverage includes 100/300/100 liability limits plus comprehensive and collision with $1,000 deductibles.
Is Iowa Car Insurance Expensive?
Iowa ranks fourth for minimum coverage affordability and 11th for full coverage among the 50 states and Washington, D.C. However, this is only an overall statistic comparing average rates for entire states, and affordability rankings for your city compared to the rest of the United States will vary widely.
Why Is Car Insurance More Affordable In Iowa?
Below we'll explore the reasons for Iowa's high car insurance rates:
Low Rate of Uninsured Drivers
Iowa operates under a traditional at-fault insurance system, meaning the driver who causes an accident is financially responsible for damages. Unlike no-fault states that require expensive personal injury protection (PIP) coverage, Iowa drivers turn to the at-fault party's insurance for compensation after accidents. This fault-based approach results in lower base insurance costs since drivers aren't required to carry mandatory PIP coverage. Iowa's system means that responsible drivers pay less while those who cause accidents face higher premiums.
Weather-Related Risks
Iowa faces weather-related challenges that directly impact insurance costs. Iowa ranks among the top states for hail claims, with major insurers paying out substantial amounts in claims within the state. The state experiences numerous hail events per year on average, causing financial losses. Hailstorms have increased substantially in recent years, contributing to property damage and rising insurance premiums.
Moderate Healthcare Costs
Iowa requires all auto insurance policies to include uninsured and underinsured motorist coverage at levels equal to your liability limits, unless you specifically reject this coverage in writing. This requirement is important because roughly 9% of drivers in Iowa are uninsured, meaning there's roughly a one in 11 chance the other driver won't have coverage if you're in an accident. The mandatory offering of UM/UIM coverage helps protect Iowa drivers from financial losses caused by uninsured motorists.
Low Insurance Fraud Rates
Despite severe weather challenges, Iowa maintains competitive auto insurance rates compared to national averages. The average cost of car insurance in Iowa is well below national averages. Iowa drivers pay less per year for full coverage car insurance and minimum coverage, both lower than national averages. The state's competitive rates help offset the impact of weather-related claims.
Low Vehicle Theft Rates
Iowa uses modified comparative negligence when determining fault in an accident, meaning fault can be assigned to both parties to varying degrees. In order to recover damages in Iowa, the other driver must be at least 51% at fault. For example, if you're in an accident where you're 25% at fault and the other driver is 75% at fault, you can still recover damages, but they'll be reduced by your percentage of fault. This system ensures that drivers who are primarily responsible for accidents bear the greater financial burden.
Balanced Driver Demographics
Young drivers in Iowa face higher insurance costs due to inexperience and higher accident risk. The average annual rate for young drivers in Iowa is higher than for seniors. 18-year-old men have high average premiums for full coverage. The good news is that with time and a clean driving record, rates decrease as drivers gain experience and demonstrate responsible driving habits.
Moderate Inflation Impact
Iowa offers unique alternatives to traditional auto insurance for meeting financial responsibility requirements. Drivers can file a surety bond or real estate bond with the Iowa Department of Transportation or make a deposit with the department. While these alternatives exist, traditional auto insurance remains the most practical and affordable option for most drivers. These alternatives are primarily used by commercial operators or drivers who can't obtain traditional coverage.
How to Lower Car Insurance Costs in Iowa
Below we've created a step-by-step guide to lowering your car insurance costs:
- 1
Decide on coverage needs beforehand
Deciding on your coverage needs beforehand is important so you're not oversold on too much coverage. Consider your financial situation, driving habits, car details and your risk tolerance when making this decision.
- 2
Research costs and discounts
To save money for your particular profile, know your average costs for your desired coverage level. Research car insurance discounts you may qualify for and look into the best home and auto insurance or other bundles for the most balanced perspective.
- 3
Look into company reputations and coverage options
Cost isn't everything. Consider add-on coverage options and customer experiences with different providers to help narrow down which companies you'd like to compare quotes from. Use resources like industry studies, review forums and public forums like Reddit.
- 4
Compare quotes through multiple means
Compare multiple company quotes to find the best deal possible. Use different methods of getting quotes like online comparison sites and independent agents since pricing varies widely by method.
Cost of Car Insurance in Iowa: Bottom Line
Iowa car insurance costs are among the most affordable in the United States, but smart shopping can still help you save even more. Decide on coverage needs beforehand, do thorough research and compare quotes from the right insurers for your situation.
Cost of Car Insurance in Iowa: FAQ
Below are answers to frequently asked questions about Iowa car insurance costs:
How much is Iowa car insurance per month?
Per month, Iowa car insurance costs $32 for minimum coverage and $97 for full coverage policies. However, rates can range anywhere from $28 to $323 monthly depending on your unique driver profile and coverage choice.
What factors affect Iowa car insurance costs?
Driving history, age, location, vehicle type, coverage levels, credit score and annual mileage determine rates. Urban areas and younger drivers face higher premiums.
Why is Iowa car insurance so affordable?
Iowa operates a traditional at-fault system with mandatory uninsured motorist coverage and approximately nine percent uninsured drivers. The state ranks seventh nationally for hail claims, with 177 hail events annually causing $27.7 million in losses. Despite severe weather challenges, Iowa maintains competitive rates with full coverage averaging $1,630 annually, well below national averages. Modified comparative negligence laws allow fault sharing in accidents.
How expensive is Iowa car insurance?
With rankings of fourth for minimum coverage affordability and 11th for full coverage, Iowa stands out as one of the more budget-friendly destinations for auto insurance across the U.S.
How We Determined Iowa Car Insurance Costs
We used the following profile and modifications of this profile to determine Iowa auto insurance costs across all available zip codes and cities in the state:
- 40-years-old
- Clean driving record
- Good credit
- 2012 Toyota Camry LE
Minimum coverage was defined as a state's minimum liability coverage and full coverage is a policy with 100/300/100 liability limits and a $1,000 deductible for comprehensive and collision coverage.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.
sources
- CBS 2 Iowa. "Iowa's Forecast: Hail, Wind and Soaring Home Insurance Bills." Accessed August 25, 2025.
- Nolo. "Iowa Car Insurance Laws." Accessed August 25, 2025.