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The Best Cheap Car Insurance Companies for Kentucky Drivers in 2020

Most drivers in Kentucky can get free quotes from the state’s five top-rated auto insurance companies. The table below shows estimated monthly costs for recommended coverages (higher than minimum auto insurance requirements) for the average driver. Auto insurance is highly personalized so these rates may not be the same price you receive from a personal quote.

Company
Amount
1. USAA
In 2020, USAA ranked #1 in Kentucky for the cheapest car insurance on average.
$785
per year
2. State Farm
In 2020, State Farm ranked #2 in Kentucky for the cheapest car insurance on average.
$872
per year
3. GEICO
In 2020, GEICO ranked #3 in Kentucky for the cheapest car insurance on average.
$874
per year
4. Kentucky Farm Bureau
In 2020, Kentucky Farm Bureau ranked #4 in Kentucky for the cheapest car insurance on average.
$1,006
per year
5. Allstate
In 2020, Allstate ranked #5 in Kentucky for the cheapest car insurance on average.
$1,250
per year

The cost of car insurance in Kentucky is determined by various factors including age, gender, marital status, household drivers, types of vehicles being insured and a person’s driving and claims histories. Before seeking free car insurance quotes, consult our checklist to make sure you’re getting the right coverage for your household and are getting all the discounts you’re eligible for.

The Best Car Insurance Companies in Kentucky for 2020

It’s natural for drivers to want to be insured by the best auto insurance companies that their state offers. Two companies, AM Best and JD Power, have a scoring model that does just that. They score all the car insurance companies in Kentucky using specific criteria: affordability, claims process handling, financial strength to pay claims and customer satisfaction.

MoneyGeek has come up with our own unique scoring system using a combination of these scoring models, to show you the best auto insurance companies in Kentucky.

Expand all Rankings +

1

USAAScore: 95
+

4/5

User Satisfaction

5/5

Claims Ratings

4/5

Affordability

A++

Financial Stability

2

ErieScore: 92.5
+

4/5

User Satisfaction

5/5

Claims Ratings

4/5

Affordability

A+

Financial Stability

3

Auto-Owners Insurance CoScore: 90
+

4/5

User Satisfaction

3/5

Claims Ratings

4/5

Affordability

A++

Financial Stability

4

ALFAScore: 87.5
+

4/5

User Satisfaction

4/5

Claims Ratings

4/5

Affordability

A

Financial Stability

5

North Carolina Farm BureauScore: 87.5
+

4/5

User Satisfaction

4/5

Claims Ratings

4/5

Affordability

A

Financial Stability

6

GEICOScore: 85
+

3/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A++

Financial Stability

7

State FarmScore: 82.5
+

4/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A

Financial Stability

8

NationwideScore: 80
+

3/5

User Satisfaction

3/5

Claims Ratings

2/5

Affordability

A+

Financial Stability

9

TravelersScore: 80
+

2/5

User Satisfaction

3/5

Claims Ratings

2/5

Affordability

A++

Financial Stability

10

MetLifeScore: 80
+

2/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A+

Financial Stability

Market Share by Company

The National Association of Insurance Commissioners’ annual report shows the three auto insurance companies in Kentucky who insure the most drivers are State Farm, Kentucky Farm Bureau, and Progressive. The table below shows how much of the market each of the companies insures in the state.

Company
Market Share
1. State Farm
22.46%
2. Kentucky Farm Bureau
18.90%
3. Progressive
9.34%
4. GEICO
6.93%
5. Liberty Mutual
6.47%

Cheapest Car Insurance for Drivers With a DUI in Kentucky

A DUI in Kentucky can affect more than just car insurance rates. Even the first offense can mean jail time, fines, substance program requirements, ignition interlock and license suspension. According to the Insurance Institute for Highway Safety, 71% of driver deaths in 2018 involved alcohol. The table below provides an estimate of the monthly premium the average driver can expect to pay with a DUI on their driving record in Kentucky.

Company
Amount
1. State Farm
In 2020, State Farm ranked #1 in Kentucky for the cheapest car insurance for drivers with a DUI.
$939
per year
2. USAA
In 2020, USAA ranked #2 in Kentucky for the cheapest car insurance for drivers with a DUI.
$1,256
per year
3. Allstate
In 2020, Allstate ranked #3 in Kentucky for the cheapest car insurance for drivers with a DUI.
$1,620
per year
4. Progressive
In 2020, Progressive ranked #4 in Kentucky for the cheapest car insurance for drivers with a DUI.
$1,839
per year
5. Kentucky Farm Bureau
In 2020, Kentucky Farm Bureau ranked #5 in Kentucky for the cheapest car insurance for drivers with a DUI.
$2,228
per year

A conviction for DUI can stay on your driving record for five years and a commercial license for 10 years. Find out the true cost, besides an increase of insurance premiums with our guide outlining the true cost of receiving a DUI.

Cheapest Car Insurance for KY Speeding or Distracted Driving Tickets

Speeding and distracted driving tickets can affect your chances of getting cheap car insurance in Kentucky. Receiving tickets is a sign to insurance companies that you may be a risky driver. The table below shows the average monthly auto insurance premium for the average driver with a speeding or distracted driving ticket.

Company
Amount
1. State Farm
In 2020, State Farm ranked #1 in Kentucky for the cheapest car insurance for distracted drivers.
$939
per year
2. USAA
In 2020, USAA ranked #2 in Kentucky for the cheapest car insurance for distracted drivers.
$965
per year
3. GEICO
In 2020, GEICO ranked #3 in Kentucky for the cheapest car insurance for distracted drivers.
$968
per year
4. Kentucky Farm Bureau
In 2020, Kentucky Farm Bureau ranked #4 in Kentucky for the cheapest car insurance for distracted drivers.
$1,006
per year
5. Allstate
In 2020, Allstate ranked #5 in Kentucky for the cheapest car insurance for distracted drivers.
$1,457
per year

Currently, the law bans cell phone use for teens but allows calls to be made by drivers 18 and older. However, a bill is being considered in 2020 to outlaw hand-held cell phone use for all drivers and drivers who are caught will receive higher fines for each offense. Distracted driving is more than using cell phones, it also includes grooming, eating, drinking and talking or interacting with other passengers. Learn more about the effects of distracted driving and how to prevent distractions with our guide.

Cheapest Car Insurance Companies in KY for Drivers With Bad Credit

Credit scoring is used in auto insurance as a predictor for claims, according to a study by the Federal Trade Commission. The average credit score in Kentucky is 692, slightly lower than the national average of 703. Depending on your credit score, you may still qualify for the best and cheapest car insurance rates in Kentucky. The following table provides estimates of what drivers in Kentucky can expect to pay in auto insurance if they have low credit scores.

Company
Amount
1. USAA
In 2020, USAA ranked #1 in Kentucky for the cheapest car insurance for drivers with poor credit.
$1,520
per year
2. State Farm
In 2020, State Farm ranked #2 in Kentucky for the cheapest car insurance for drivers with poor credit.
$1,682
per year
3. GEICO
In 2020, GEICO ranked #3 in Kentucky for the cheapest car insurance for drivers with poor credit.
$1,873
per year
4. Allstate
In 2020, Allstate ranked #4 in Kentucky for the cheapest car insurance for drivers with poor credit.
$2,039
per year
5. Travelers
In 2020, Travelers ranked #5 in Kentucky for the cheapest car insurance for drivers with poor credit.
$2,366
per year

Consult our guide for ways you can improve your credit score to help you qualify for the most affordable car insurance with the best coverage.

Cheapest Car Insurance Companies in Kentucky for Seniors

Many states have specific driving and renewal rules for seniors, however, Kentucky is not one such state. Even without restrictions, seniors should use caution when driving to maintain safety; Always wear a seatbelt, only driving during clear conditions and avoid consuming substances that will impair your driving (check with a health care professional for guidance about taking certain medications and driving). The table below shows the average cost per month that seniors can expect to pay for auto insurance in Kentucky.

Company
Amount
1. State Farm
In 2020, State Farm ranked #1 in Kentucky for the cheapest car insurance for seniors.
$836
per year
2. USAA
In 2020, USAA ranked #2 in Kentucky for the cheapest car insurance for seniors.
$861
per year
3. Kentucky Farm Bureau
In 2020, Kentucky Farm Bureau ranked #3 in Kentucky for the cheapest car insurance for seniors.
$1,027
per year
4. GEICO
In 2020, GEICO ranked #4 in Kentucky for the cheapest car insurance for seniors.
$1,067
per year
5. Allstate
In 2020, Allstate ranked #5 in Kentucky for the cheapest car insurance for seniors.
$1,329
per year

Slowed reaction times, reduced vision, and certain medications can impair a senior’s ability to drive, resulting in increased chances of getting a ticket or into an accident. To maintain eligibility for the cheapest auto insurance rates in Kentucky, follow some of our suggestions when shopping for auto insurance as a senior in Kentucky.

Cheapest Car Insurance for Students

Texas Car Insurance: How Much a Teen Driver Will Cost You

Median annual price change for families with a teen driver on their policy:

$1,786 INCREASE

This is a difference of 116%.

According to the Kentucky Transportation Cabinet, teenagers make up around 6% of all the state's drivers, but are involved in close to 18% of all collisions. The state requires parents of drivers under 18 years old to sign a statement saying they are liable in case of an accident. Teenagers will need to be added to the family insurance plan when they get their intermediate driver's license. Kentucky, in its manual A Parent's Guide for First Time Drivers, has an essential tip for parents: Be as involved in the learning process as possible.

Kentucky has a pretty straightforward rule for college students: whether they're from Kentucky or from out-of-state, they don't need to change their insurance or registration while going to school in Kentucky. They just need to carry their student identification card with them whenever they drive.

Both high school and college students may be eligible for discounts to make the auto insurance more affordable: good student, being away at college more than 100 miles from home, driving a safe car and maintaining a clean driving record all help reduce the cost of insurance. Consider the following estimates when looking for auto insurance for a young driver in Kentucky.

Company
Amount
1. Allstate
In 2020, Allstate ranked #1 in Kentucky for the cheapest car insurance for students.
$2,253
per year
2. State Farm
In 2020, State Farm ranked #2 in Kentucky for the cheapest car insurance for students.
$2,603
per year
3. GEICO
In 2020, GEICO ranked #3 in Kentucky for the cheapest car insurance for students.
$3,042
per year
4. Progressive
In 2020, Progressive ranked #4 in Kentucky for the cheapest car insurance for students.
$4,294
per year
5. Nationwide
In 2020, Nationwide ranked #5 in Kentucky for the cheapest car insurance for students.
$5,864
per year


Premium Comparison by Student Type

PREMIUM COMPARISON FOR TWO ADULTS + A 16-YEAR-OLD

car
Average premium for two 2014

Mustang GTs

$4,715
car
Average premium for two 2008

Town and Country Limiteds

$2,872
Annual benefits of minivans:$1,843 saved

This is 39% less expensive.

Cheaper premium for college vs. high school drivers

Median premium change with a college student vs. high school driver:

$771 DECREASE

This is a savings of 22%.

Potential discounts for teens in Kentucky

Impact on annual premium with good student and defensive driving discounts:

coins
$314 SAVED

Kentucky students: a long-distance discount

You may pay a smaller annual family premium if your child lives 150 miles or more away from home.

male
Average premium for a 19-year-old male
car

$3,258 at home

graduation

$2,777 at school

$481 IN SAVINGS

female
Average premium for a 19-year-old female
car

$2,892 at home

graduation

$2,554 at school

$338 IN SAVINGS

Insurance Rate Information for Military Drivers and Veterans

If you're a veteran or one of the 31,000+ active-duty military personnel living in Kentucky, always compare prices on auto insurance and ask for a military discount to save money. Bundling policies with the same carrier can also cut costs. Veterans may also be eligible for reduced rates on car insurance.

Whether living in Kentucky or deployed out of state, military members can register their vehicles with proof of insurance by mailing the fees to the County Clerk's office in your hometown. Military personnel can also renew online for a small fee. The following table showcases what active-duty members and veterans can expect to pay for auto insurance in Kentucky.

Age savings for Kentucky service members

male
25 years$1,412
50 years$1,087
female
25 years$1,318
50 years$1,064

$325 Saved
$254 Saved

Median auto insurance for service members: $1,148

Who Needs Car Insurance in Kentucky?

Unless a vehicle is registered as either salvage or a classic motor vehicle project — which means it isn't fit for the road — a car needs to be registered in Kentucky. Inoperable cars that remain on the property do not need to be insured, but drivers should notify the state that a car is out of commission. Vehicles used seasonally do not have to be insured year-round, but motorists have to turn in their license plates to the county clerk to avoid fines when the car is not in use.

Proof of Insurance in Kentucky

Kentucky insurers provide motorists with proof of coverage in the form of a paper insurance card, although drivers can request electronic versions, which are also valid. Either way, it will have the insurer's information, the driver's name and the vehicle type along with the policy dates, number and type.

Drivers will likely need to show this card or other proof when they:

  • Register their vehicle
  • Are pulled over for a traffic stop
  • Are in a collision

Minimum Liability Insurance Requirements in Kentucky

Here is the minimum amount of coverage drivers in Kentucky must have:

  • $25,000 for injuries to one person
  • $50,000 for injuries to multiple people
  • $25,000 for property damage
  • $60,000 single limit is also acceptable

Kentucky residents must also carry $10,000 of personal injury protection, which pays for injuries regardless of who was at fault (also called "no-fault" coverage).

You can opt out of this protection by filing a form at the Kentucky Department of Insurance, but doing so will make it easier for you to get sued.

Alternatives to Insurance in Kentucky

Kentucky drivers have the option of self-insuring their vehicles. They must file paperwork with the Executive Director of Insurance showing that they can pay claims if needed and that they either have deposited cash to cover minimum liability or hold property that can be liquidated to pay for a claim. Typically, you will also need to provide a list of vehicles to be self-insured and make a security payment via a surety bond.

Self-insurance, it should be noted, does not provide extra protection if you are at fault. You also will end up paying out of your own pocket should a claim be made — and a large claim can wipe out your savings.

Car Insurance Requirements in Kentucky: How Much Coverage Do You Need?

What percentage of drivers in Kentucky lack vehicle insurance?

11.5%

National average: 13%

Source:

Insurance Information Institute.

Insurance experts generally recommend coverage of $100,000/$300,000 for bodily injury. Comprehensive and collision coverage should also be considered. Comprehensive covers weather events, if you hit an animal and for glass damage. Collision coverage will pay to fix your vehicle if it’s involved in an accident. Speak with an insurance professional to determine if these coverages are needed for your vehicle(s).





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