North Carolina car insurance costs about $1,264 per year for full coverage and $604 for minimum coverage, based on a 40-year-old driver with good credit and no driving violations. Rates vary depending on your unique profile.
Average Cost of Car Insurance in North Carolina
Updated: August 15, 2025
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Key Takeaways
North Carolina car insurance costs range from $516 to $4,824 per year depending on your chosen coverage, driving profile and location.
North Carolina is more towards the affordable side for car insurance in the country ranking 25th and 17th overall for minimum and full coverage affordability respectively.
Find the cheapest car insurance in North Carolina by deciding on coverage beforehand, researching costs and companies, and comparing multiple quotes.
Average Car Insurance Cost In North Carolina
| Full Coverage | $105 | $1,264 |
| Minimum Coverage | $50 | $604 |
*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 North Carolina Car Insurance Cost by Category
Car insurance varies widely depending on your unique characteristics, location and car. Here are average rates for common categories of drivers so you can see how pricing can vary.
| Young Drivers | $98 | $190 |
| Adult Drivers | $50 | $105 |
| Senior Drivers | $58 | $117 |
| Drivers With An Accident | $71 | $148 |
| Drivers With A DUI | $189 | $402 |
| Drivers With A Speeding Ticket | $73 | $152 |
| Drivers With Bad Credit | $127 | $276 |
| Drivers With Low Income | $82 | $177 |
| Drivers With Newer Cars | $66 | $139 |
| Drivers With Old Cars | $43 | $91 |
*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.
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Personalized Average North Carolina Car Insurance Costs
Our general driver categories offer basic estimates, but your costs will be different. Use our table below to find rates that match your personal 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. | 321 | 3848 |
*Rates for the age groups are based on the following assumptions: young drivers (16 to 25), adults (26 to 64), seniors (65+).
Average North Carolina Car Insurance Cost by City
Where you live in North Carolina significantly impacts your car insurance costs. Annual rates for full coverage range from $525 in Carrboro to $2,097 in Fort Bragg. Below you can compare both full and minimum coverage rates for your city and other areas across the state.
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City:Alachua
*Rates are for a 40-year-old driver with good credit and no driving violations who is insuring a 2012 Toyota Camry LE. Minimum coverage represents the minimum required liability coverage in the state while full coverage is representative of a 100/300/100 liability policy with a $1,000 deductible for comprehensive and collision coverage.
Is North Carolina Car Insurance Expensive?
North Carolina ranks 25th for minimum coverage and 17th for full coverage affordability, making it more affordable than many states. This reflects statewide averages, and affordability rankings for your city differ from the rest of the United States.
Why Is Car Insurance More Expensive in North Carolina?
Below we'll explore the reasons for North Carolina's high car insurance rates:
Mandatory Uninsured Motorist Coverage
Unlike many states, North Carolina requires uninsured/underinsured motorist coverage with minimum limits of $30,000 per person and $60,000 per accident for bodily injury, plus $25,000 for property damage. This additional required coverage provides protection against uninsured drivers but adds to the overall cost of minimum coverage policies.
Below-National-Average Insurance Costs
Despite various risk factors, North Carolina maintains below-average insurance costs, with full coverage averaging $1,827 and minimum coverage costing $536 annually. These rates are below national averages of $2,273 for full coverage and $621 for minimum coverage, making North Carolina relatively affordable for auto insurance.
Strict Insurance Compliance Requirements
North Carolina has strict penalties for insurance lapses, with fines of $50 for first offense, $100 for second and $150 for subsequent lapses, plus a $50 restoration fee. The state requires continuous coverage and will revoke license plates within 10 days of receiving a liability insurance termination notice, making compliance important for legal driving.
Hurricane-Prone Coastal Environment
North Carolina experiences major storms making direct landfall roughly every other year, with recent devastating examples including Hurricane Helene in 2024. The state's coastal location exposes it to hurricane damage, flooding and severe weather events that can damage cars and increase comprehensive insurance claims, particularly in the 20 coastal counties.
Severe Weather and Flooding Risks
The state faces weather-related risks from hurricanes, flooding and severe storms. Very few residents hold flood insurance, with fewer than 1% of Asheville residents having flood coverage despite recent catastrophic flooding. This creates substantial uninsured losses and demonstrates the gap between weather risks and insurance coverage.
Extended Inexperienced Driver Surcharges
Starting July 2025, North Carolina will extend the inexperienced driver surcharge period from three to eight years for newly licensed drivers. This means families with teen drivers will face higher insurance costs for nearly twice as long as before, impacting long-term insurance expenses for young drivers.
At-Fault State with Contributory Negligence
North Carolina is an at-fault state, meaning the driver who causes an accident is responsible for damages. However, the state follows a harsh pure contributory negligence rule where if you're found even 1% at fault for an accident, you can't recover any compensation from the other party. This rule exists in only five U.S. jurisdictions and impacts settlement negotiations and insurance claims.
Increasing Minimum Coverage Requirements
Effective July 2025, North Carolina is raising minimum liability limits from 30/60/25 to 50/100/50, with property damage coverage increasing from $25,000 to $50,000. This change will increase premiums for the estimated 35% of drivers who carry minimum coverage, with rates expected to rise by about $44 annually for policies with higher limits.
How To Lower Car Insurance Costs In North Carolina
Want to save even more on those reasonable premiums? Here's how to lower your car insurance costs:
- 1
Decide on coverage needs beforehand
Deciding on your coverage needs is important so you're not oversold on too much coverage. Consider your financial situation, driving habits, car details and risk tolerance when making this decision.
- 2
Research costs and discounts
To save money for your profile, know the average costs for your preferred coverage level. Research car insurance discounts you may qualify for and look into the best home and auto insurance 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 quotes from multiple companies to find the best deal possible. Use different methods of getting quotes, such as comparison sites and independent agents, since pricing varies widely by method.
Cost of Car Insurance in North Carolina: Bottom Line
North Carolina car insurance costs fall in the middle range compared to other U.S. states, making it important to take advantage of savings strategies. Decide on your coverage needs beforehand, do thorough research and compare quotes from the right insurers.
Cost of Car Insurance in North Carolina: FAQ
Below are answers to frequently asked questions about North Carolina car insurance costs:
How much is North Carolina car insurance per month?
Per month, North Carolina car insurance costs $50 for minimum coverage and $105 for full coverage policies. However, rates can range anywhere from $43 to $402 monthly depending on your unique driver profile and coverage choice.
What factors affect North Carolina car insurance costs?
Primary factors include driving history, age and location. Drivers with accidents, violations or those who are young face higher rates, while urban areas cost more than rural ones. Car type, coverage amounts, credit score and annual mileage also impact premiums, along with factors like gender and marital status in some states.
Why is North Carolina car insurance affordable?
North Carolina follows harsh contributory negligence laws where even 1% fault prevents damage recovery. The state increased minimum coverage from 30/60/25 to 50/100/50 in July 2025 and extended inexperienced driver surcharges from three to eight years. North Carolina faces hurricane risks and maintains below-average costs at $1,827 annually for full coverage despite requiring comprehensive mandatory coverage.
How expensive is North Carolina car insurance?
Auto insurance costs in North Carolina fall into the moderate range nationally, with the state placing 25th for minimum coverage and 17th for full coverage affordability—putting it squarely in the middle tier of U.S. states.
How We Determined North Carolina Car Insurance Costs
We used the following profile and modifications of this profile to determine North Carolina 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
- Grist . "Hurricane Helene flood damage cost insurance ." Accessed August 15, 2025.
- Insurify . "North Carolina Hurricane Insurance ." Accessed August 15, 2025.