Compare the Cheapest Car Insurance Quotes in Tempe, AZ

Tempe’s average car insurance cost is $1,259 yearly, which is less than Arizona’s state average. While rating the insurers based on the coverage level and driver profile, MoneyGeek found that the cheapest widely available insurer in Tempe is GEICO. If you’re looking for affordable insurance with great quality, MoneyGeek has recommended the best insurers in Tempe.

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Last Updated: 5/16/2022
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For full coverage policies, liability insurance and drivers with speeding tickets, GEICO provides the cheapest car insurance in Tempe. For military members, USAA is an affordable alternative insurer. GEICO was also named the best overall car insurance provider in the city by MoneyGeek because of its exceptional customer service and affordability.

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The Cheapest and Best Car Insurance in Tempe

The Cheapest Car Insurance Companies in Tempe

The following car insurance companies, on average, provide Tempe's cheapest and widely available full coverage insurance:

  • GEICO: $720 per year
  • Progressive: $975 per year

For service members and their families, USAA has the city's lowest insurance coverage at $762 per year.

GEICO’s premiums are 169% less than the most expensive insurer in the city, MetLife. A full coverage insurance policy also includes comprehensive and collision coverages, with premiums largely determined by the plan's liability coverage limits.

Cheapest Car Insurance in Tempe
Full Coverage 100/300/100
  • Company
    100/300/100per year
  • 1.
    GEICO
    $720
  • 2.
    USAA
    $762
  • 3.
    Progressive
    $975
  • 4.
    State Farm
    $1,073
  • 5.
    Nationwide
    $1,121
  • 6.
    Hartford
    $1,128
  • 7.
    American Family
    $1,160
  • 8.
    Travelers
    $1,178
  • 9.
    Country Financial
    $1,181
  • 10.
    Esurance
    $1,184
  • 11.
    CSAA
    $1,337
  • 12.
    Allstate
    $1,453
  • 13.
    Mercury
    $1,464
  • 14.
    Farmers
    $1,709
  • 15.
    MetLife
    $1,937

This study used the average insurance rates for a 40-year-old male driver covered by a full coverage insurance policy.

Full coverage plans include the following two coverages in addition to liability insurance, which makes them more expensive:

  • Collision Coverage: Covers losses caused by a collision with another vehicle or object.
  • Comprehensive Coverage: Protects your car against non-crash damages or losses caused by fire, theft, vandalism and storms.

Liability-only insurance or state minimum coverage may be a better choice if the cost of a full coverage policy exceeds the replacement value of your car, which is usually the case for older vehicles.

Compare Car Insurance Rates in Tempe

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

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Insurance Rates

Cheapest Car Insurance in Tempe for Minimum Coverage

For the cheapest insurance premiums, you’ll need to choose a plan with the minimum level of coverage. On average, the following insurers provide the most affordable minimum liability insurance in Tempe:

  • GEICO: $349 per year
  • Progressive: $503 per year

Those in the military can purchase a USAA policy, which costs $381 and is the city's second lowest rate. GEICO’s average quote is $644 cheaper than MetLife's of $993.

Minimum insurance plans are less expensive because they have lower coverage limits. While you’ll pay less in premiums, you risk being underinsured if you do not have comprehensive and collision coverages. The table depicts how higher coverage limits affect insurance premiums.

Cheapest Minimum Liability Car Insurance in Tempe
State Minimum

In Arizona, drivers must have a minimum of 25/50/15 liability insurance. While this is the most affordable insurance plan in Tempe, it also gives the lowest protection. It also adds more financial obligation to the policyholder following an at-fault accident.

For example, if you cause an accident and it costs $25,000 to cover the property damages to the other driver, you will have to pay $10,000 out of pocket, with your liability insurance only covering $15,000 of the damages.

Arizona 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.

Cheapest Car Insurance in Tempe if You Have Driving Violations

Drivers who have been convicted of a traffic offense such as speeding, at-fault accident or driving under the influence (DUI) will face higher insurance rates. For the most common traffic offenses, the cheapest car insurance rates in Tempe are:

  • Cheapest after a ticket: GEICO, $853 per year
  • Cheapest after an at-fault accident: GEICO, $1,041 per year
  • Cheapest after a DUI: Progressive, $1,152 per year

USAA is the second-cheapest insurer for those with speeding tickets and at-fault accident history. However, their policies are only available to members of the military and their families.

If you maintain an excellent driving record in the future, you may gradually decrease your insurance premiums. In the meantime, you may be able to find lower rates by checking insurance rates from several companies to find the best deal for drivers with bad records.

Cheapest Car Insurance in Tempe With a Violation
Speeding Ticket

Average Cost of Car Insurance in Tempe

Tempe$1,259
Arizona$1,284
U.S.$1,424

The average cost of car insurance in Tempe comes to $1,259 per year. This is just 1.9% lower than the state average of $1,284 and 11.6% cheaper than the national average of $1,424.

Personalized Quotes to Get You the Cheapest Car Insurance in Tempe

In Tempe, car insurance providers calculate annual premium costs by assessing various individual factors like age, driving record, credit score, location and the vehicle’s make and model. As your situation changes, your auto insurance rates can change and you may be eligible for discounts and rebates.

To ensure that you have the most accurate rate, regularly compare quotes from multiple auto insurance providers.

Compare Car Insurance Rates in Tempe

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

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Insurance Rates

The Best Car Insurance Companies in Tempe

The car insurance companies in Tempe were assessed based on their level of customer service and affordability. According to MoneyGeek's analysis, the following are the best insurance companies in the city:

  • GEICO: MoneyGeek score of 90 of 100
  • State Farm: MoneyGeek score of 85 of 100

USAA came out on top with a perfect score of 100 out of 100. However, since the insurer covers military members and their dependents exclusively, we did not include it in our list of the best car insurance companies in Tempe.

MoneyGeek ranked these car insurance companies using several factors, such as insurer financial stability, customer satisfaction and affordability. We used multiple resources to perform this study, including findings by data analytics and consumer intelligence company J. D. Power.


1
USAA
Score:100

5/5

Affordability

5/5

Claims Ratings

5/5

User Satisfaction

A++

Financial Stability

2
GEICO
Score:90

5/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A++

Financial Stability

3
State Farm
Score:85

3/5

Affordability

3/5

Claims Ratings

5/5

User Satisfaction

A

Financial Stability

4
Allstate
Score:82.5

3/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A+

Financial Stability

5
CSAA
Score:82.5

5/5

Affordability

2/5

Claims Ratings

3/5

User Satisfaction

A

Financial Stability

6
Liberty Mutual
Score:82.5

3/5

Affordability

4/5

Claims Ratings

3/5

User Satisfaction

A

Financial Stability

7
American Family
Score:80

3/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A

Financial Stability

8
Travelers
Score:80

2/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A++

Financial Stability

9
Safeco
Score:77.5

2/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A

Financial Stability

10
Farmers
Score:77.5

2/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A

Financial Stability

11
Progressive
Score:77.5

3/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

12
Nationwide
Score:75

2/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

Average Cost of Car Insurance by Postal Code

Where you live in Tempe can also impact your car insurance costs, as rates sometimes vary for different ZIP codes. The difference between the most affordable and most expensive auto insurance neighborhoods in Tempe is about $35. Drivers in ZIP code 85281 pay approximately $1,243 per year, while drivers in ZIP code 85282 pay about $1,278.

  • Zip Code
    State Minimumper year
  • 85281
    $1,243
  • 85283
    $1,255
  • 85282
    $1,278

Factors That Impact Insurance Costs in Tempe

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 Tempe. How Tempe ranks compared to the 300 most populous cities in the United States can have a significant impact on premium costs.

accident2 icon
Most Accidents With Fatalities50th/300
handcuffs2 icon
Most Car Thefts127th/300
uninsured icon
Most Uninsured Motorists by State24th/50
insurance2 icon
Personal Injury Protection RequiredNo
rain icon
Most Annual Rainfall290th/300
umbrella icon
Most Rainy Days260th/300

Methodology and Assumptions

MoneyGeek’s average premium rates for Tempe 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.

About the Author


expert-profile

Mark Fitzpatrick is a senior content manager with MoneyGeek specializing in insurance. Mark has years of experience analyzing the insurance market and creating original research and content. He graduated from Boston College with a Bachelor of Arts and Johns Hopkins University with a Master of Arts.