The Cheapest Car Insurance in Vermont (September 2023)

State Farm is the most affordable provider of minimum coverage car insurance policies in Vermont. Vermont Mutual and Concord Group also provide the cheapest rates for certain types of drivers.

Overall, the best auto insurance companies in Vermont balance service quality and cost.

The cheapest car insurance providers for a minimum coverage policy in Vermont are:

• State Farm: $201 per year
• Vermont Mutual: $219 per year

GEICO has the priciest premiums in the state, costing around $394 annually.

Vermont law mandates that all drivers have basic insurance coverage, which includes bodily injury liability, property damage liability and uninsured/underinsured motorist coverage.

A minimum coverage policy only covers the damage or injury you cause others. Drivers who want coverage for the cost of damages to their car will need full coverage insurance — also called comprehensive and collision insurance.

Auto insurance companies that offer cheapest full coverage in the Green Mountain State are, on average:

• Vermont Mutual: $514 per year
• State Farm: $515 per year

GEICO has the most expensive full coverage premiums, roughly $915 per year. Full coverage insurance from Vermont Mutual costs $295 more per year than minimum coverage.

Full coverage gives drivers better financial protection. It typically covers damages from a hit-and-run driver, fire or vandalism.

The amount of car insurance you need will significantly impact your auto insurance quote. MoneyGeek outlined a sample full coverage policy with the following liability protection:

• $100,000 bodily injury per person
• $300,000 bodily injury per accident
• $100,000 property damage per accident

Drivers who need to cut costs can remove comprehensive and collision coverage, opt for a lower liability limit or increase their deductible. The resulting coverage, however, may be inadequate if you’re in an accident.

Getting an auto insurance estimate online can take roughly 15 minutes. Insurance companies may also ask you to input personal information. Thus, the process can take time, especially if you want to compare premiums.

With MoneyGeek’s car insurance calculator, you can quickly get a quote without providing personal information. Just submit your driving record, age and gender to immediately receive an estimate. You can then start your research to find the cheapest car insurance.

Age is one of the biggest factors affecting car insurance rates in Vermont. MoneyGeek found that Concord Group and State Farm offer the cheapest options on average, depending on what age group you and your family belong to.

In Vermont, the most affordable policies for teens on their family policy are:

• Concord Group: $1,330 per year for male teens and State Farm: $1,177 per year for female teens
• Nationwide: $1,392 per year for male teens and $1,197 per year for female teens

Progressive is the priciest option for those on their parent’s car insurance policy, costing around $2,136 per year for male teens and $1,960 per year for female teens.

As teens get older, their car insurance rates get lower. For 19-year-old males in Vermont, Statefarm ($1,120) offers them the cheapest car insurance rates.

Adding a teen to a family policy is cheaper than purchasing a separate one. A 16-year-old male Vermonter might spend roughly $3,245 per year on an individual policy. However, rates drop to an average of $1,751 per year if they are included in their family policy. That’s a staggering $1,494 difference.

Many insurers offer discounts tailored to young drivers. Allstate, Progressive and State Farm offer good and distant student discounts, whereas GEICO and Nationwide just give lower rates to students with good marks.

Vermonters in their 20s might secure the most affordable full coverage rates with the following carriers:

• State Farm: $640 per year
• Vermont Mutual: $816 per year

GEICO is the priciest option at $1,173 per year, on average. Younger drivers pay roughly $125 more per year for a full coverage policy than their middle-aged counterparts.

Senior drivers in the Green Mountain State can find the cheapest full coverage policies with the following providers:

• State Farm: $469 per year
• Vermont Mutual: $523 per year

A full coverage policy with Progressive costs $828 annually, making it the priciest option. Senior Vermonters pay $46 more for full coverage than middle-aged drivers. Rates tend to increase as drivers reach their 70s and 80s.

Several auto insurance providers in Vermont have discounts for seniors: Allstate, American Family and GEICO. Note that age isn't the only factor influencing premiums, so comparing multiple carriers can help you find the cheapest option.

Drivers with a violation on their record typically pay higher premiums. State Farm is the cheapest provider for those with a ticket or DUI, whereas Vermont Mutual is a low-cost option for those with an at-fault accident on their records.

Drivers with a speeding ticket can get the cheapest auto insurance from companies like:

• State Farm: $550 per year
• Vermont Mutual: $689 per year

With an annual rate of $1,203, Progressive stands out as the priciest carrier in the state. We found that people with a ticket pay around $162 more yearly for a full coverage policy.

Following an at-fault accident, the cheapest auto insurance options in Vermont are:

• Vermont Mutual: $523 per year
• State Farm: $594 per year

GEICO remains the most expensive option, costing roughly $1,592 per year. Drivers with an at-fault accident on their record tend to pay an average of $326 more annually.

On average, the cheapest car insurance companies for drivers with a DUI are the following:

• State Farm: $550 per year
• Allstate: $1,026 per year

GEICO offers the most expensive policy at an average of $2,646 per year. If a driver is convicted of a DUI, annual rates can increase by $742.

The most affordable auto insurance policies for those with poor credit are:

• Concord Group: $1,042 per year
• Nationwide: $1,057 per year

State Farm is the most expensive option in Vermont, costing $1,640 per year.

Your credit score is one of the main factors insurers examine to compute your rates. In the Green Mountain State, drivers with poor credit (below 580) usually pay $608 more each year than those with good credit (750 and above).

Because individuals with poor credit have a higher likelihood of filing claims, their premiums are usually more expensive. This practice isn’t legal in some states, but Vermont law allows it.

Improve your credit standing to get a more affordable rate. Another way to cut down on expenses is to maximize common discounts and weigh different insurer options.

Sports car owners may find the most affordable quotes with the following providers:

• State Farm: $624 per year
• American Family: $748 per year

With Progressive, full coverage auto insurance can cost roughly $1,174 annually. MoneyGeek determined that rates are higher for sports car drivers since repairs and replacements cost more.

The cost to insure a Toyota Camry LE is $193 cheaper than the cost to cover a sports car.

Our analysis used a Ford Mustang as a sample sports car. Note that your final quote will depend on your car model. Unless you have a sports, electric or luxury vehicle, the model of your car won’t significantly impact your rates.

USAA is the cheapest auto insurance provider for those with a military background. Its policies cost $472 per year. The carrier is available nationwide and caters specifically to active military members, veterans and eligible military families.

Vermont law requires that drivers have minimum car insurance requirements, which include bodily injury and property damage liability. Drivers also need uninsured/underinsured motorist coverage, which other states usually don’t require. Ensure that you’re sufficiently protected by understanding how much auto insurance you need.

Drivers are only required to purchase Vermont’s minimum insurance coverage (bodily injury liability, property damage liability, plus uninsured/underinsured motorist coverage). Although it’s cheaper to purchase just the state minimum coverage, expenses may skyrocket if you’re in an accident.

Vermont requires SR-22 insurance for drivers with repeated or severe driving violations, which may result in pricier premiums and increased coverage mandates.

Drivers can get more extensive protection by increasing limits to $100,000 in bodily injury liability insurance per person, as well as $300,000 in bodily injury liability insurance and $100,000 in property damage insurance per accident.

Comprehensive insurance pays for off-road damages like animal damage, natural disasters and theft. Collision insurance protects against expenses if a driver crashes into another vehicle or hits a tree.

The Green Mountain State offers drivers ways to operate a vehicle legally without the required minimum coverage.

According to the Vermont Department of Motor Vehicles, drivers can obtain Financial Responsibility Insurance. This option provides liability insurance coverage for an individual (as opposed to the usual coverage for both an individual and a vehicle). With Financial Responsibility Insurance, drivers don't necessarily need to own their vehicle. Thus, it's an ideal option for drivers who often rent cars or those who work for ride-sharing companies.

Alternatively, Vermonters can pay a $115,000 bond or deposit to the state instead of purchasing minimum auto insurance. This guarantees drivers can provide monetary compensation to others if involved in an accident.

It’s normal for drivers to ask questions about car insurance affordability and quality since it’s an important investment. MoneyGeek answers frequently asked questions about auto insurance in Vermont.