The Cheapest Car Insurance in Tennessee for 2022

MoneyGeek compiled quotes from car insurance companies in Tennessee to identify the state's cheapest provider. GEICO, on average, offers the most affordable car insurance rates in Tennessee. By comparing quotes to find the cheapest insurance policy, an average driver can save up to $689 yearly.

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GEICO offers the most affordable auto insurance policies in Tennessee. However, factors such as age, credit score, driving history, and coverage level all affect premiums.

If you have a DUI on your driving record, State Farm offers the cheapest policies, on average. USAA features the most affordable liability-only and full coverage policies, but only active or retired military members and their families qualify for its insurance.

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Cheapest Minimum Liability Car Insurance in Tennessee

In an at-fault accident, liability-only coverage covers third-party costs and not your own. This type of coverage is the cheapest insurance in Tennessee and only meets the minimum coverage requirements in the state.

The cheapest car insurance companies for minimum coverage in Tennessee are:

  • GEICO: $369 per year
  • State Farm: $389 per year

USAA has an even more affordable average annual rate of $324. However, its policies are exclusively for military members and their families. Meanwhile, MetLife is the costliest provider of minimum coverage, with average rates of $686 per year.

Cheapest Minimum Car Insurance in Tennessee
  • Company
    Annually
    Monthly
  • 1.
    $324
    $27
  • 2.
    $369
    $31
  • 3.
    $389
    $32
  • 4.
    Tennessee Farmers
    $395
    $33
  • 5.
    $427
    $36

These prices are only estimates based on rates for an average Tennessee driver and should not be used to compare insurance prices.

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Cheapest Full Coverage Car Insurance in Tennessee

A full coverage policy with comprehensive and collision insurance and higher liability limits can shield you against most road and off-road accidents in Tennessee. It costs more than minimum liability insurance, but it also covers your car. To reduce your premiums, compare car insurance quotes from multiple providers.

The least expensive car insurers in Tennessee for full coverage are:

  • GEICO: $776 per year
  • State Farm: $826 per year

For military drivers, USAA's average rate of $602 per year will likely be the most affordable option. The most expensive car insurance for full coverage is Farmers, costing $1,291 per year on average.

Cheapest Full Coverage Car Insurance in Tennessee

Please note that your individual costs will vary from these examples. Rates are for a policy with comprehensive and collision insurance with $100,000 in bodily injury liability coverage per person, $300,000 in bodily injury liability coverage per accident and $100,000 in property damage coverage per accident.

How to Compare Cheap Tennessee Car Insurance Quotes Online

You can get a reasonably accurate quote using the online quote tool provided by most insurers in Tennessee.

  • When comparing quotes, use consistent limits. For example, if you get a quote with one carrier for $50,000 in bodily liability insurance per accident, you should use the same number when comparing costs with other providers.
  • Most Tennessee insurance companies allow you to receive quotes online. Compare costs for an average driver by using MoneyGeek's auto insurance calculator. For a more personalized quote, you'll need to provide insurers with your specific needs and driver profile or use MoneyGeek’s price data as a guide to find suitable company websites to review.
  • The three cheapest companies for liability coverage in Tennessee are USAA, GEICO and State Farm. You can begin your research by getting rates from these insurers.

Auto Insurance Calculator

State

Tennessee

Age

40

Driving Record

Clean

Credit Score

Excellent

Vehicle Type

Compact

Vehicle Year

2020

Liability Coverage

State Min

Comprehensive and Collision Insurance

None

Gender

Female

Click the section of the wheel in your price range to see options.

low end

on average

high end

Click your preferred price range to see company options.

Click an insurer below to visit their review page or continue to your personalized quote.

Company

Average Annual Rates

1.

USAA

$335

2.

GEICO

$389

4.

Tennessee Farmers

$397

5.

Erie

$429

Cheapest Car Insurance for Drivers With a DUI in Tennessee

A severe driving offense in Tennessee, like a DUI, can raise your car insurance costs. A Tennessee driver with a recorded DUI needs to pay $1,637 per year on average for their auto insurance coverage compared to $1,018 for the average driver with a clean record.

The cheapest car insurance companies in Tennessee for a driver with a DUI and full coverage are:

  • State Farm: $902 per year
  • Progressive: $1,048 per year

In comparison, GEICO offers the cheapest widely available insurance for drivers with a clean record in Tennessee.

Average Car Insurance Rates With a DUI

Insurance premiums are a direct reflection of how risky an insurance company believes you are. Getting in trouble with the law, especially while behind the wheel and under the influence, is a big red flag for insurance companies and always results in substantial rate increases. According to the Centers for Disease Control and Prevention (CDC), 2,663 people in Tennessee died in alcohol-related crashes between 2009 and 2018. 1.4% of Tennessee drivers admit to driving after drinking too much in the previous 30 days.

In Tennessee, a DUI could affect your insurance premiums for up to ten years. Once you’ve received a DUI, you’re considered a “high-risk” driver, but keeping a clean driving record can help you get lower insurance premiums as time goes on. It’s a good idea to research the real costs of a DUI and how to avoid getting one so you know the best plan of action should you find yourself in an unfavorable situation.

Cheapest Car Insurance in Tennessee for Drivers With an At-Fault Accident

Drivers deemed "at fault" in an accident in Tennessee will likely have to pay increased premiums. On average, a driver with an at-fault accident on their record in Tennessee pays an annual rate of $1,377.

The following companies, on average, offer the most affordable car insurance in Tennessee for drivers who have a history of at-fault accidents:

  • State Farm: $979 per year
  • Tennessee Farmers: $1,033 per year

USAA's annual average quote of $859 is the lowest in the state, but the company's policies are only available to military members and their families.

Cheapest Car Insurance With an At-Fault Accident

Cheapest Car Insurance for Drivers With Tickets in Tennessee

Even a minor offense like a ticket can increase your auto insurance prices. In Tennessee, a driver with a speeding ticket is charged an average annual rate of $1,233 for their car insurance coverage compared to $1,018 for the average driver with a spotless record.

The most affordable car insurance providers in Tennessee for a driver with a speeding ticket and full coverage are:

  • GEICO: $888 per year
  • State Farm: $902 per year

For military members and their families, USAA's average annual rate of $713 is typically the cheapest if you have tickets.

Average Car Insurance Rates With a Ticket

Unfortunately, Tennessee continues to see a rise in accidents as a result of distracted driving. According to the Tennessee Highway Safety Office, in 2017, there were 24,700 crashes in the state that were related to distracted driving. Receiving a speeding ticket or distracted driving ticket can add anywhere from three to eight demerit points to your license. The more points you have the higher your insurance premiums will be. If you have a ticket on your record, you can expect to pay the following insurance rate estimates.

We all make mistakes and getting a ticket is not usually the end of the world. The demerit points you receive from a speeding ticket can be removed from your record by taking an online driving class. The key to not having your tickets affect your insurance for a long period of time is to try and avoid getting multiple tickets. The more tickets you receive the more your rates will increase and it will be hard to find affordable car insurance.

Cheapest Car Insurance Companies in Tennessee for Drivers With Bad Credit

Drivers with low credit scores in Tennessee tend to be charged higher rates than those with good scores. A Tennessee driver with a bad credit score shells out an average annual cost of $1,885 for car insurance compared to $1,018 for the average driver with healthy credit.

In Tennessee. the least expensive carriers for a driver with poor credit and full coverage are:

  • GEICO: $1,160 per year
  • Tennessee Farmers: $1,194 per year

For military drivers with bad credit, USAA's $995 average annual rate is likely the cheapest.

Average Car Insurance Rates for Drivers With Bad Credit

Although Tennessee’s average FICO score is 690, that falls just below the national average of 703. A poor credit score can lead to much higher premiums. Insurers have found a link between people with poor credit and the number of claims that are filed. Ultimately, those with poor credit are more likely to file claims and so insurance companies make up for the risks by increasing the price of premiums. The table below provides some examples of the cost of insurance for those who have a low credit score.

A credit score is only one factor that companies take into consideration so rates will vary for drivers with bad credit. Fortunately, it’s possible to raise your credit score so if you’re feeling less than stellar you can always work to increase your score and apply for a cheaper rate.

Cheapest Car Insurance in Tennessee for Seniors

Senior drivers are generally charged slightly higher insurance rates. In Tennessee, a senior driver needs to pay $1,055 per year on average for their auto insurance coverage compared to $1,018 for the average 40-year-old driver.

The cheapest car insurance companies in Tennessee for senior drivers with full coverage are:

  • State Farm: $805 per year
  • GEICO: $861 per year

If you or a family member are a current or former military member, you can access USAA's coverage, averaging $633 per year for seniors in Tennessee.

Average Car Insurance Rates for Seniors

17% of fatal accidents in Tennessee in 2017 were caused by drivers over the age of 65.

If you’re looking for cheap car insurance in Tennessee for seniors, there are a couple of factors you’ll want to keep in mind. While the state has no additional requirements for senior drivers outside of renewing their license every five years, driving can be negatively affected by the natural changes that come with aging.

Due to those changes, insurance companies pay close attention to senior drivers. A few average monthly costs for seniors are highlighted in the above table.

Like all factors that affect insurance rates for seniors, everyone is different so seniors can expect different rates based on their age, driving history, health and the type of vehicle they drive.

Cheapest Car Insurance in Tennessee for Young Drivers

Insurers typically charge young drivers higher car insurance rates due to their lack of experience on the road. Fortunately, premiums tend to decrease as drivers age. A 16-year-old driver's auto insurance policy in Tennessee costs an average of $2,515 per year, while a 25-year-old driver pays an average annual rate of $1,058.

Although Progressive provides the cheapest auto insurance for 16-year-old drivers in the state, GEICO provides the most affordable quotes to the majority of age groups in the 16–25 age range, on average.

Annual Car Insurance In Tennessee for Young Drivers

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  • Age
    Average Cost
    Cheapest Company
    Company Cost
  • 16
    $2,515
    Progressive
    $1,677
  • 17
    $2,315
    GEICO
    $1,736
  • 18
    $2,140
    GEICO
    $1,586
  • 19
    $2,390
    GEICO
    $1,748
  • 20
    $2,058
    GEICO
    $1,556
  • 21
    $1,569
    GEICO
    $1,210
  • 22
    $1,431
    GEICO
    $1,084
  • 23
    $1,255
    GEICO
    $876
  • 24
    $1,160
    GEICO
    $827
  • 25
    $1,058
    GEICO
    $808

Once it’s time to insure your teen, there’s a good chance your rates will increase.

If your young driver is in school, there’s a good chance your auto insurance carrier will offer a discount to students who maintain good grades. At the end of the day, teens and student drivers lack the experience to be great drivers on the road, so teaching your teen good driving habits and ensuring they maintain a good driving record can lower rates over time.

Insurance Rate Information for Military Drivers and Veterans

Many auto insurance companies in Tennessee will offer military discounts to active-duty personnel and retired veterans. The state is home to hundreds of thousands of active-duty personnel and retired veterans. Rates will vary, so shopping around for quotes is a good idea.

If you know you will be deploying, you can work with your insurance company to temporarily suspend your insurance and pause payments. Military drivers and veterans in Tennessee can register their vehicles at their county clerk’s office. If you’re living out of state, you can mail your registration to any county clerk’s office. Some counties will allow you to renew registration online. Below is a sample of insurance costs for active and retired military members in Tennessee.

Average Rates for Tennessee service members

male
25 years$1,359
50 years$1,040
female
25 years$1,268
50 years$1,018

Car Insurance in Tennessee: What You Need to Know

If you’re operating a vehicle in Tennessee, you need insurance because the state fines uninsured drivers and revokes driving privileges. The only time you don’t need to insure a vehicle is if it is inoperable.

Proof of Insurance in Tennessee

In Tennessee, you have to provide proof of insurance in the following situations:

  • If a police officer asks for it
  • If you're in a car accident that causes injury, death or more than $400 in property damages

An ID card (or digital version) is the most common proof of insurance, but drivers can also carry an insurance binder or policy declaration page.

Minimum Liability Insurance Requirements in Tennessee

If you live and drive in Tennessee, you're required to carry liability auto insurance in at least these amounts:

  • $25,000 for one injury or death
  • $50,000 for all injuries and deaths per accident
  • $15,000 for property damage per accident

Alternatives to Insurance in Tennessee

Instead of buying auto insurance, Tennessee residents can post a $60,000 secure bond with the DMV for each automobile. However, if an accident costs more than that, you'll be liable for the extra costs.

How Much Coverage Do You Need in Tennessee?

While each state has its minimum car insurance requirements, these amounts will often not fully cover you in an accident. The general recommendation for insurance coverage is $100,000 per injury or death and $300,000 for total injuries or deaths, according to the Insurance Information Institute.

Additional car insurance policies that are worth considering include uninsured motorist coverage, collision and comprehensive insurance.

Cheapest Car Insurance in Tennessee by City

The cost of car insurance in Tennessee can vary substantially based on your location within the state. Chattanooga's average full-coverage car insurance rate of $800 per year is the lowest in the state. Memphis, however, features the most expensive average auto insurance costs at $1,177 per year.

Simply click on the name of your city to learn more about its average insurance rates.

Average Insurance Rate by City in Tennessee

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FAQs About Car Insurance in Tennessee

MoneyGeek answers commonly asked questions about car insurance in Tennessee to help consumers make the right choice.

Expert Advice on Finding Cheap Car Insurance in Tennessee

To help you find credible and accurate details on car insurance in Tennessee, MoneyGeek received expert advice from trusted professionals. The perspectives and opinions expressed are those of the individual contributor.

  1. What are the key factors drivers in Tennessee should look for when searching for the best auto insurance coverage?
  2. What steps can drivers in Tennessee take to find affordable car insurance?
  3. How do regulations and rules in Tennessee impact insurance pricing and how consumers might shop for coverage?
Hank Bahr
Hank Bahr

Adjunct Lecturer at Haslam College of Business at The University of Tennessee, Knoxville

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About the Author


expert-profile

Sara East is a freelance writer and content marketing professional based in Reno, NV. She has more than 10 years marketing experience in public relations, content and digital marketing. Sara has been a published writer for more than 10 years having written articles about finance, business, entrepreneurship, education, travel, real estate, insurance, healthy living, social media, travel and study abroad.

Sara's writing has been published in national news sites including Mashable, The Muse and The Next Web as well as on a variety of blogs. When she's not writing, Sara enjoys spending time with her fur kids exploring the mountains of Reno/Tahoe and enjoying the outdoors.


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