Cincinnati Insurance is the cheapest overall car insurance in Kentucky for a few types of drivers. But Shelter, Nationwide and Auto-Owners are cheaper for certain other driver types.
The best car insurance companies in Kentucky offer a balance of cost and quality service.
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Cheapest Minimum Liability Car Insurance in Kentucky (September 2023)
MoneyGeek found that the cheapest car insurance companies in Kentucky for a minimum coverage policy are:
- Cincinnati Insurance: $260 per year
- Kentucky Farm Bureau: $400 per year; Auto-Owners: $400 per year
A minimum coverage policy from Grange is the most expensive in Kentucky at an average cost of $795 per year.
When you purchase a minimum coverage policy in Kentucky, your coverage is limited to bodily injury liability, property damage liability and personal injury protection up to the limits set by the state.
A minimum liability policy only offers protection for injuries or property damage you cause to a third party. Damages to your car are not covered. To get coverage for your vehicle, you need a policy with comprehensive and collision insurance, also known as full coverage insurance.
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Cheapest Full Coverage Car Insurance in Kentucky (September 2023)
According to MoneyGeek’s review, the following companies offer the cheapest full coverage car insurance in Kentucky:
- Nationwide: $790 per year
- Cincinnati Insurance: $826 per year
A full coverage policy from Progressive is the most expensive in Kentucky at an average of $1,555 per year.
Buying a policy with comprehensive and collision insurance usually costs more. In Kentucky, you will pay $530 more for a full coverage policy than the cheapest option for minimum coverage.
Full coverage car insurance offers coverage for both on-road damage to your car and off-road damage due to incidents like vandalism.
The cost of your policy will vary depending on how much car insurance you need. MoneyGeek’s analysis is based on a full coverage policy with the following limits:
- $100,000 in bodily injury liability per person
- $300,000 in bodily injury liability per accident
- $100,000 in property damage liability per accident
If you want cheaper rates, you can drop comprehensive and collision insurance, opt for lower liability limits or raise your deductible. Still, you risk having insufficient coverage in case of an accident.
How to Compare Cheap Kentucky Car Insurance Quotes Online
Most car insurance providers offer quotes online. However, the process can take up to 15 minutes, and if you want to compare quotes, you’ll have to do so across multiple websites.
MoneyGeek’s car insurance calculator offers a simple way to get a quick car insurance estimate without providing specific personal information. You can also use it to compare quotes and find the most affordable provider for your profile.
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Cheapest Car Insurance in Kentucky by Age (September 2023)
Age is one of the biggest factors affecting car insurance rates in Kentucky. MoneyGeek found that Cincinnati Insurance or Nationwide offer the cheapest options, depending on what age group you and your family belong to.
Cheapest Car Insurance in Kentucky for Teens and Their Families (September 2023)
MoneyGeek found that the cheapest car insurance options in Kentucky for parents who want to add teen drivers to their policies are:
- Nationwide: $1,872 for female teens; $1,996 per year for male teens
- Allstate: $1,887 for female teens; $1,985 per year for male teens
GEICO is the most expensive option in Kentucky for teens at an average of $4,491 per year for male teens and $3,666 for female teens.
Teenage drivers' car insurance rates diminish as they age, with 19-year-olds enjoying the most affordable rates. Among Kentucky's car insurance providers, Allstate ($1,674 per year) offers the cheapest rates for 19-year-old males.
Adding a teen to a parent’s policy is more cost-effective than purchasing an individual policy. For example, an individual 16-year-old policy costs approximately $6.068 per year, more than twice as much as adding them to the family policy, which only costs around $2,913 per year allowing for large savings totaling around $3,155 per year.
On average, car insurance rates for male teens tend to be significantly more expensive than for female teens. This rate difference is not as notable when drivers reach their 20s and beyond.
Families with teen drivers can save on their car insurance premiums by taking advantage of various student discounts. Insurers like Nationwide and State Farm offer discounts for teens with good grades. Some insurers also provide distant student and driver education discounts.
Cheapest Car Insurance in Kentucky for Young Adults (September 2023)
The cheapest car insurance companies in Kentucky for young adults are:
- Nationwide: $1,007 per year
- Shelter: $1,035 per year
Progressive is the most expensive provider for drivers in their 20s at an average of $1,802 per year.
Car insurance costs more for drivers in their 20s than for middle-aged drivers. A policy from Shelter for drivers in their 20s costs $217 more than the cheapest option for 40-year-olds.
Cheapest Car Insurance in Kentucky for Seniors (September 2023)
MoneyGeek found that the most affordable auto insurance companies in Kentucky for senior drivers are:
- Cincinnati Insurance: $674 per year
- Nationwide: $733 per year
The most expensive company for senior drivers is Progressive, at an average cost of $1,422 per year.
Senior drivers tend to pay less than middle-aged drivers for car insurance. For instance, a policy from Cincinnati Insurance is up to $116 cheaper for seniors compared with the cheapest policy in Kentucky for middle-aged drivers. However, car insurance rates typically increase once drivers reach their 70s and 80s.
Some insurers offer senior drivers discounts that help reduce car insurance costs. You should also compare car insurance quotes from multiple providers to determine the most affordable rates.
Cheapest Car Insurance for Higher Risk Drivers (September 2023)
The cheapest company for car insurance in Kentucky if you have a speeding ticket or an at-fault accident is Auto-Owners. Drivers with a DUI should pick Shelter.
Drivers with violations pay higher rates because insurers view them as high risk. However, you can still find affordable options by comparing quotes from multiple companies.
Auto-Owners is also cheapest for sports car owners. For people with poor credit, Nationwide has the most affordable policies.
Cheapest after a ticket: Auto-Owners ($957 per year)
Cheapest after an accident: Auto-Owners ($1,151 per year)
Cheapest after a DUI: Shelter ($1,341 per year)
Cheapest for poor credit: Nationwide ($1,166 per year)
Cheapest for sports cars: Auto-Owners ($860 per year)
Cheapest Car Insurance in Kentucky After a Ticket
MoneyGeek’s analysis found that the cheapest car insurance companies in Kentucky for drivers with a speeding ticket are:
- Auto-Owners: $957 per year
- Cincinnati Insurance: $992 per year
Grange is the most expensive option in Kentucky if you have a speeding ticket, at $1,946 per year.
On average, drivers with speeding tickets in Kentucky pay $217 more per year than drivers with clean records.
Cheapest Car Insurance in Kentucky After an Accident
MoneyGeek reviewed the cheapest auto insurance companies in Kentucky after an at-fault accident and found that the most affordable providers are:
- Auto-Owners: $1,151 per year
- Nationwide: $1,287 per year
GEICO is the most expensive option after an at-fault accident at an average cost of $2,428 per year.
Having an at-fault accident on record will increase your car insurance rates in Kentucky by up to $564 per year on average.
Cheapest Car Insurance in Kentucky After a DUI
The cheapest car insurance companies in Kentucky if you have a DUI are:
- Shelter: $1,341 per year
- Nationwide: $1,504 per year
GEICO has Kentucky’s most expensive full coverage policy after a DUI at $3,382 per year.
In Kentucky, having a DUI on your driving record will increase your car insurance premiums by an average of $975 per year.
Cheapest Car Insurance in Kentucky for Drivers With Poor Credit (September 2023)
MoneyGeek’s analysis found that the most affordable car insurance companies in Kentucky for drivers with poor credit scores (below 580) are:
- Nationwide: $1,166 per year
- Cincinnati Insurance: $1,385 per year
Kentucky Farm Bureau is the most expensive car insurance option for drivers with poor credit, at $3,166 per year.
On average, if you have poor credit, your car insurance rates will be up to $1,050 higher than rates for drivers with good credit ratings (above 750).
Some insurers charge higher car insurance rates if you have poor credit because a lower credit rating indicates that you are likely to file a claim. In some states, it is illegal to charge higher rates based on credit score, but it is legal in Kentucky.
You can get better car insurance rates by improving your credit score. In the short term, comparing quotes and taking advantage of discounts will help you save.
Cheapest Car Insurance in Kentucky for Sports Cars (September 2023)
MoneyGeek reviewed the most affordable car insurance companies in Kentucky for sports car drivers and found that the cheapest options are:
- Auto-Owners: $860 per year
- Nationwide: $881 per year
Progressive is the most expensive option if you drive a sports car, at an average of $2,631 per year.
On average, it costs up to $249 more per year to purchase a full coverage policy for a sports car than for a Toyota Camry in Kentucky.
For this analysis, MoneyGeek used a Ford Mustang as a sample sports car, but rates may vary significantly depending on the model you drive.
In most states, it is more expensive to insure electric, luxury and sports cars.
Cheapest Car Insurance in Kentucky for Military Drivers (September 2023)
Nationwide is the cheapest company for car insurance in Kentucky if you are a military member or veteran, at an average cost of $790 per year.
Although USAA is only fourth cheapest, it is tailored to the needs of military members. USAA full coverage car insurance costs an average of $990 per year in Kentucky and is available in all states.
- $790 per year
- First out of 13 insurers for affordability
Nationwide is the most affordable option if you are in the military. You can lower your rate further through discounts, such as bundling and multiple car discounts.
Drivers who take a defensive driving course may also qualify for a discount, as well as those who remain claims-free for five years. Anti-theft systems discounts are also available if your vehicle has enhanced safety features.
Cheapest Car Insurance in Kentucky by City
The cost of car insurance can vary significantly based on where you live in Kentucky. Location-specific risk factors like rates of car accidents, car thefts and traffic density vary from city to city, making some areas more costly for car insurance than others.
For instance, a full coverage car insurance policy from Nationwide costs $873 per year in Lexington, whereas a policy from Auto-Owners Insurance Co costs $1,119 per year in Louisville. Insurance rates can vary between cities, even when purchasing the same policy from the same company.
Car Insurance in Kentucky: What You Need to Know
Kentucky, like most states, requires that all drivers carry car insurance with specified minimum liability limits for bodily injury and property damage.
Kentucky Car Insurance Requirements
Kentucky car insurance laws require you to carry a minimum liability policy with bodily injury coverage and property damage coverage. State minimum policies are the cheapest option if you want to save on costs, but you risk having insufficient coverage in case of an accident.
MoneyGeek recommends getting as much liability coverage as you can afford to avoid incurring high out-of-pocket costs in case of an accident.
Bodily Injury Liability
Kentucky law requires that drivers have bodily injury liability of $25,000 per person and $50,000 per accident. Bodily injury liability covers the cost of any injuries you cause to a third party in an at-fault accident. This coverage is limited to $25,000 per person, so costs above this limit will be out-of-pocket costs.
Property Damage Liability
In Kentucky, all drivers must carry property damage liability of $25,000 per accident. This coverage will pay for damages you cause to other people’s property in an accident. Any damages above the specified are the policyholder’s responsibility.
Although a state minimum policy fulfills the liability limits set by law, it may not necessarily offer sufficient coverage. MoneyGeek recommends getting $100,000 bodily injury liability per person, $300,000 bodily injury liability per accident and $100,000 property damage coverage.
If you are financing your car, your lender may require that you purchase comprehensive and collision insurance. This insurance will cover damages to your car on the road and off-road incidents like vandalism.
MoneyGeek also advises that drivers with high-value cars get comprehensive and collision insurance, even if it is not a state requirement.
Car Insurance Alternatives in Kentucky
Kentucky drivers can self-insure through the Kentucky Self-Insured Auto Program (KSAP). You must submit an application for self-insurance and consent to pay all tort liability and basic reparation benefits incurred.
You will also need to submit a yearly income statement and balance sheet with your self-insurance application. The state requires security in the form of a bond, surety or an irrevocable letter of credit issued by a bank. You can terminate your self-insurance voluntarily by submitting a written request to the commissioner of insurance.
FAQs About Car Insurance in Kentucky
When looking for car insurance, you will have questions about cost and quality. We answered commonly asked questions below to help you learn more.
Expert Advice on Finding Cheap Car Insurance in Kentucky
To help you find credible and accurate insight on car insurance in Kentucky, MoneyGeek received expert advice from trusted professionals. The perspectives and opinions expressed are those of the individual contributor.
- What are the key factors drivers in Kentucky should look for when searching for the best auto insurance coverage?
- What steps can drivers in Kentucky take to find affordable car insurance?
- How do regulations and rules in Kentucky impact insurance pricing and how consumers might shop for coverage?
Professor of Economics at Thomas More University
Assistant Professor of Finance at Western Kentucky University
About Mark Fitzpatrick
- Ky.gov. "Title 806 | Chapter 039 | Regulation 050." Accessed December 14, 2022.