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Average Cost of Car Insurance in Memphis

Memphis$1,177
Tennessee$1,018
U.S.$1,424

The average car insurance rate in Memphis is $1,177 per year. In comparison, the annual average cost in Tennessee is $1,018, while the average cost nationwide is $1,424. The average cost of car insurance in Memphis is 15.6% more expensive than the typical cost in the rest of the state, but it is still 17.4% cheaper than the national average.

Car insurance rates vary depending on many factors, and you can find the best and most personalized auto coverage rates by requesting and comparing personalized quotes

Compare Car Insurance Rates in Memphis

Ensure you're getting the best rate for your car insurance. Compare quotes from the top insurance companies.

Insurance Rates

The Best Cheap Car Insurance Companies in Memphis

Among the car insurance companies in Memphis, USAA offers the cheapest average annual rate at $661. However, USAA only provides insurance for those in the military and their family members. The second cheapest average annual rate is $877 from GEICO. Meanwhile, Farmers is offering the most expensive annual average at $1,677, which is roughly $500 more expensive than the city average.

Although these auto insurance rates can be used for reference, it is important to know that these prices will vary from person to person. There are other factors that will significantly impact your insurance rates, such as your ZIP code and driving history.

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Personalized Quotes to Get You the Cheapest Car Insurance in Memphis

There are several factors that affect your profile and your personalized insurance rate. Aside from your coverage level, your ZIP code, driving history, make and model of vehicle and credit history will also greatly affect your profile. Even teenage drivers will have a different rate compared to other classes of drivers.

To have an idea of how your profile will affect your car insurance rates, it is advisable to get personalized car insurance quotes in Memphis on a regular basis. By doing so, you will also have the opportunity to see if there are discounts, savings or rebates available to you.

Compare Car Insurance Rates in Memphis

Ensure you're getting the best rate for your car insurance. Compare quotes from the top insurance companies.

Insurance Rates

Cheapest Car Insurance in Memphis by Coverage Amount

How much car insurance coverage you purchase in Memphis also affects how much your policy will cost. Coverage includes required liability coverage and optional items like collision, comprehensive, and deductibles.

Visit these guides to learn more:

Tennessee Minimum Liability Requirements

  • Item
    Description
  • Bodily Injury and Property Damage
    $25,000 per person, $50,000 per accident and $15,000 for property damage. A more protective level is 100/300/100.

The minimum coverage required per state will obviously cost less than getting full-coverage insurance. However, there are some locations where there is only a small pricing difference between the minimum and full coverage. For instance, in Memphis, GEICO’s state minimum liability-only policy costs an average of $409 per year.

However, there is a 50/100/50 option for both liability-only and full coverage, which covers $50,000 for injury expenses for a single person, $100,000 for all injuries per vehicle and $50,000 for property damage. GEICO has a plan that is only an average of $73 more expensive at $482 if you get a 50/100/50 liability-only policy. For the 50/100/50 full-coverage option, the cost is significantly higher at roughly $802 per year. However, since it covers both the third party and the driver, it may be an upgrade to consider.

Average Car Insurance Premiums by Coverage Type

Liability Only
Full Coverage
Compare Car Insurance Rates in Memphis

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Insurance Rates

Cheapest Car Insurance in Memphis if You Have Tickets

Driving history is a factor that will greatly affect your auto insurance rate. For instance, if you have a speeding ticket or an at-fault accident on your record, your insurance will cost more. Similarly, a DUI can increase your annual insurance rate. Car insurance in Memphis for those with no violations costs an average of $877 from GEICO. If you have a speeding ticket and have a plan with GEICO, you will have to pay an average of $130 more than the $877 average. A DUI on your record will significantly increase that cost, averaging out to be an additional expense of $682 more than a driver with a clean record.

If you want to save a significant amount on your auto insurance rate, it is important to have a clear driving history.

  • Company
    Speeding Ticketper year
    At-Fault Accidentper year
    DUIper year
  • 1. USAA
    $784
    $946
    $1,222
  • $1,027
    $1,114
    $1,027
  • 3. Erie
    $982
    $1,208
    $1,439
  • $1,008
    $1,396
    $1,559
  • 5. Tennessee Farmers
    $1,073
    $1,073
    $1,709
  • $1,464
    $1,840
    $1,225
  • $1,412
    $1,650
    $1,705
  • $1,680
    $1,755
    $1,949
  • $1,567
    $2,079
    $2,544
  • $2,189
    $2,320
    $2,462
  • $1,943
    $2,175
    $3,425

Average Cost of Car Insurance by Postal Code

Your ZIP code is another factor that will make a difference in your auto insurance rates. In some areas where there are higher cases of car thefts and accidents, it will cost you more to get car insurance. In Memphis, ZIP codes have slight differences in average annual premiums, ranging from $1,170 to $1,186 on average. The most expensive ZIP code for auto insurance is 38127, but rates in this area are only about $16 higher than those in 38116.

If you get your auto insurance in Memphis, you can expect to pay a higher price than in any city in Tennessee. Moreover, the highest insurance rates in Tennessee are all located in the Memphis metro area.

  • Zip Code
    State Minimumper year
  • 38116
    $1,170
  • 38109
    $1,173
  • 38128
    $1,179
  • 38127
    $1,186

Factors That Impact Insurance Costs in Memphis

In addition to individual driver needs and history, location-specific factors like the percentage of uninsured motorists and the rate of fatal accidents also contribute to car insurance rates in Memphis. How Memphis ranks compared to the 300 most populous cities in the United States can have a significant impact on premium costs.

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Most Accidents With Fatalities16th/300
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Most Car Thefts237th/300
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Most Uninsured Motorists by State5th/50
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Personal Injury Protection RequiredNo
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Most Annual Rainfall25th/300
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Most Rainy Days129th/300

Shopping around for car insurance in Memphis could save you $300, which is enough to buy:


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100Cups of Coffee
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23Months of Your Favorite Streaming Service

Methodology and Assumptions

MoneyGeek’s average premium rates for Memphis are based on 100/300/100 comprehensive collision coverage with a $1,000 deductible for a 40-year-old male driver. The average driver profiled drives a 2010 Toyota Camry LE and has no tickets or accidents on their record. Additional premiums are added based on coverage type, location and driving record. Learn more about MoneyGeek’s data and methodology here.

Compare Car Insurance Rates in Memphis

Ensure you're getting the best rate for your car insurance. Compare quotes from the top insurance companies.

Insurance Rates

About the Author


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The MoneyGeek editorial team has decades of combined experience in writing and publishing information about how people should manage money and credit. Our editors have worked with numerous publications including The Washington Post, The Daily Business Review, HealthDay, and Time, Inc., and have won numerous journalism awards. Our talented team of contributing writers include mortgage experts, veteran financial reporters, and award-winning journalists. Learn more about the MoneyGeek team.