Updated: December 16, 2025
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Auto-Owners: Most affordable for diverse driver types at $37 monthly for minimum coverage and $99 for full coverage. Drivers save 17% compared to Memphis's average rates.
Farm Bureau: Runner-up for affordability with $35 minimum and $107 full coverage monthly. It's especially competitive for senior drivers, drivers with an accident and drivers with a DUI.
Travelers: Stands out as an affordable choice for young drivers and senior drivers in Memphis, offering competitive alternatives to the top two providers.
Cheapest by Coverage and Driver Profile in Memphis:
Memphis drivers can save with the right insurer. Farm Bureau has the lowest rate for minimum coverage at just $35 monthly, saving you 34% compared to the city average, while Auto-Owners comes in second at $37 per month with 37% savings.
For full coverage, both Travelers and Auto-Owners tie at $99 monthly, each delivering savings of 32% and 37% respectively, below
| Farm Bureau | $36 | $108 | -34% |
| Auto Owners | $38 | $100 | -37% |
| Travelers | $49 | $99 | -32% |
| Erie Insurance | $54 | $144 | -9% |
| State Farm | $54 | $154 | -5% |
Not in Memphis? Read more about the cheapest car insurance in Tennessee or the best car insurance in Tennessee.
Inexperience behind the wheel makes 18-year-olds a higher risk, which means higher costs. Travelers offers the most budget-friendly option at $247 monthly, followed by Auto-Owners at $271 and Farm Bureau at $289. Before shopping for separate coverage, consider keeping your teen on your family policy since this saves hundreds.
| Travelers | $248 | $2,975 | -34% |
| Auto Owners | $272 | $3,261 | -27% |
| Farm Bureau | $289 | $3,470 | -22% |
| Erie Insurance | $310 | $3,722 | -17% |
| Penn National Insurance | $348 | $4,171 | -7% |
Senior drivers in Memphis get affordable premiums for Farm Bureau at just $114 monthly for full coverage. Travelers follows as the second most affordable option at $142 per month, while Auto-Owners rounds out the top three at $145 per month.
You can save by completing a defensive driving course, which provides up to 10% off premiums for three years. Most insurers extend accident forgiveness programs specifically for drivers 65 and older.
| Farm Bureau | $114 | $1,370 | -42% |
| Travelers | $143 | $1,712 | -27% |
| Auto Owners | $145 | $1,744 | -26% |
| State Farm | $175 | $2,103 | -11% |
| Penn National Insurance | $184 | $2,203 | -6% |
If you have a DUI, Farm Bureau offers the most affordable coverage at just $55 monthly for minimum coverage, while State Farm comes in second at $59. For speeding tickets, Farm Bureau again leads at $35 per month, followed by Auto-Owners at $52.
At-fault accidents also see Farm Bureau as the cheapest option at $35 monthly, with State Farm taking second place at $64. The key is shopping around since rate differences vary.
| At-Fault Accident | Farm Bureau | $36 | -63% |
| At-Fault Accident | State Farm | $65 | -33% |
| DUI | Farm Bureau | $56 | -49% |
| DUI | State Farm | $60 | -46% |
| Speeding Ticket | Farm Bureau | $36 | -58% |
| Speeding Ticket | Auto Owners | $53 | -37% |
The priciest area, 38126, costs $167 monthly for full coverage, while drivers in 38016 pay just $122 monthly for the same protection. That's a $45 difference simply based on where you park your car at night. Traffic patterns, crime statistics and accident rates in your specific ZIP code cause these price variations.
| 38126 | $167 |
| 38118 | $150 |
| 38116 | $149 |
| 38131 | $148 |
| 38114 | $148 |
| 38132 | $148 |
| 38134 | $148 |
| 38106 | $147 |
| 38127 | $147 |
| 38109 | $147 |
| 38016 | $122 |
| 38018 | $125 |
| 38119 | $128 |
| 38133 | $128 |
| 38137 | $130 |
| 38125 | $131 |
| 38117 | $135 |
| 38157 | $136 |
| 38141 | $140 |
| 38115 | $141 |
Auto-Owners has a MoneyGeek score of 96 out of 100. This insurer excels by delivering the most affordable rates in the city and has good customer satisfaction and minimal complaints.
Travelers, Farm Bureau, Erie and Progressive round out the top choices for Memphis drivers.
| Auto Owners | 97 | 1 | 1 | 6 |
| Travelers | 94 | 3 | 3 | 5 |
| Farm Bureau | 88 | 2 | 5 | 8 |
| Erie Insurance | 88 | 4 | 2 | 3 |
| Progressive | 79 | 8 | 4 | 2 |
Fast 'No Problem' claims processing service
Local independent agents with Tennessee expertise
Teen driver discounts for good grades
No local agents in the Memphis area
Lower coverage quality than most competitors
Limited have-to-have customer service options
Auto-Owners has good customer service and competitive rates. The company combines 24/7 digital tools with local agents. It offers unique coverage options like diminished value protection, addressing Memphis-specific risks, including theft and storm damage.
IntelliDrive program offers up to 30% savings
Accident forgiveness protects rates after claims
Best value for young Memphis drivers
Delays in claim processing and customer service
Liability coverage may not cover all damages
Fewer coverage options than top competitors
Travelers provides 24/7 claim reporting and mobile app access that works well during Memphis weather emergencies and unpredictable storms. It offers programs like IntelliDrive, which provide additional savings for maintaining safe driving habits.
Memphis drivers can shop and find savings.
Combine your auto policy with home or renters insurance for 15% to 25% savings. Stack on multi-car discounts (10% to 25% per vehicle) plus good driver and payment discounts. Memphis drivers can reach 30% to 40% total savings.
Increasing your deductible from $500 to $1,000 cuts premiums by 10-15% annually. This strategy works if you have emergency savings to cover the higher out-of-pocket cost.
Insurance companies regularly adjust rates based on Memphis area risk factors and claims data. Your driving record and rates also improve after three years without incidents.
Our team analyzed Memphis insurance options to help you understand coverage choices and find affordable rates.
Yes, Memphis car insurance is expensive. You'll pay around $142 monthly for full coverage here. Memphis actually ranks as the most expensive city in Tennessee, with rates higher than Bristol, the state's cheapest option at just $37 per month.
Finding affordable car insurance in Memphis starts with understanding how insurers price policies across the city. Traffic congestion, theft risk and Tennessee’s insurance requirements all shape your premium.
We partnered with the Tennessee Department of Commerce and Insurance and Quadrant Information Services to analyze hundreds of thousands of quotes from 12 insurers across every Memphis ZIP code.
Our ratings for the best car insurance in Memphis are calculated by a weighted score incorporating affordability (60%), customer experience (30%) and coverage options (10%).
Read more about our methodology, which reveals which insurers maintain competitive rates across Memphis neighborhoods and driver categories while delivering reliable claims service, not just advertised rates for perfect-record drivers.
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!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.
