If you have a car in Vermont, you might be wondering where you can get the best car insurance available. MoneyGeek ranked various companies to establish the cheapest car insurance providers in Vermont and help you find a premium that suits your needs. Factors such as driving record, location and age contribute to your premium cost. If you want to insure your car in this state, shop around for quotes from several providers. MoneyGeek's ratings reveal a potential savings of $1,044 when comparing car insurance costs from affordable companies in Vermont.
The Best Cheap Car Insurance in Vermont for 2021
The Cheapest and Best Car Insurance in Vermont
The most affordable auto insurance coverage in Vermont is a minimum liability policy. These policies meet the minimum car insurance requirements of the state but provide limited protection to Vermont residents.
According to MoneyGeek’s findings, the most affordable companies in Vermont for minimum liability coverage are:
- USAA: $160 per year (for current and former military members only)
- Vermont Mutual: $206 per year
The insurer with the highest rates for minimum liability insurance in Vermont is MetLife, costing $696 per year on average.
Average Cost for Minimun Liability Coverage
The above costs estimate what an average driver in Vermont is charged for minimum liability coverage and should only serve as a guide when comparing car insurance rates from multiple providers.
These prices are only estimates based on rates for an average Vermont driver and should not be used to compare insurance prices.
Minimum liability insurance includes bodily injury and property damage liability coverage, as well as uninsured/underinsured motorist coverage. While it is the cheapest car insurance option available, drivers seeking higher limits or added protection should consider purchasing a full coverage policy.
Vermont’s full coverage car insurance policy offers higher liability limits and comprehensive and collision insurance covering on-road and off-road accidents.
A full-coverage policy covers damage to your car, although it is often more costly than minimum liability insurance. Comparing quotes from multiple insurance companies can help you secure the lowest rates for your insurance needs.
Based on MoneyGeek’s research, the cheapest companies for full coverage in Vermont are:
- USAA: $389 per year (Only current and former military members are eligible)
- Vermont Mutual: $479 per year
Progressive has the highest car insurance rates in the state, with a cost of $1,432 per year.
Average Comprehensive and Collision Rates in Vermont
Your car insurance costs may vary from the above figures depending on factors like age and driving history. These costs represent a policy with comprehensive and collision coverage of $100,000 in bodily injury liability per person, $300,000 in bodily injury coverage per accident and $100,000 in property damage per accident.
The Best Car Insurance Companies in Vermont for 2021
MoneyGeek found that the best auto insurance companies in Vermont for most drivers are:
- Best Overall: State Farm
- Runner-up: GEICO
USAA received the highest score in Vermont by MoneyGeek's rating system. However, because USAA is only available to military members, veterans and their families, it is not listed as best overall.
MoneyGeek used a unique scoring system that combines various factors to rank Vermont’s best car insurance companies. To determine each score, MoneyGeek utilized information from J.D. Power and AM Best, along with unique pricing data.
MoneyGeek weighed factors like affordability, claims reputation, financial strength and user satisfaction equally to obtain a score out of 100. By using these rankings, you can easily find the best auto insurance within the state.
USAA offers cheap car insurance coverage in all parts of the country, including Vermont. Its policies, however, are only available to current and former military members.
Based on MoneyGeek’s findings, USAA is the top car insurance provider in Utah. Policyholders enjoy many unique perks. For example, those who garage their car on base often enjoy reduced premiums. If you are eligible for USAA’s coverage and your parents are also USAA holders, you also qualify for reduced rates.Read MoneyGeek's USAA auto Insurance Review
State Farm ranks second in Vermont for car insurance and features high user satisfaction, affordability and financial stability ratings. Policyholders who use their cars to drive for Uber and Lyft receive rideshare insurance coverage at an added cost.
State Farm has various affordable options for young student drivers up to the age of 25. The company works with several agents across the state, providing support wherever you are. Drivers with the Drive Safe & Save app also receive low rates depending on their driving records.Read MoneyGeek's State Farm auto Insurance Review
While USAA scores highly in many areas, this provider is only available to military members, veterans and their families.
List of the Largest Insurance Companies in Vermont
Market share is a ratio of the number of premiums written by an insurance company against the number of total premiums written in the state. Market share represents a company’s financial strength and ability to pay legitimate claims. According to MoneyGeek, the three largest insurance companies in Vermont are Progressive (17.7%), GEICO (14.9%) and Liberty Mutual (9.0%). Insurance providers with a high market share are more financially stable, which is highly desired by some drivers. However, a larger company may not be the best option for every driver.
- CompanyMarket Share
How to Compare Cheap Vermont Car Insurance Quotes Online
Most car insurance companies in Vermont allow customers to request accurate quotes through their websites easily.
While looking for the best car insurance rates, specify consistent limits to all the potential providers. For example, if you ask for a quote for a policy with $50,000 in bodily liability insurance per accident from one provider, use the same amount for quotes from other providers.
Review quotes from the best insurers in Vermont by providing your ZIP code below. Alternatively, you can use MoneyGeek’s price study to identify the cheapest companies to contact for a quote.
Based on MoneyGeek's findings, Vermont's cheapest car insurance providers are USAA, Vermont Mutual and Allstate
What Is the Average Cost of Car Insurance in Vermont?
Car insurance premiums in Vermont rely on several factors. MoneyGeek acquired average rates for comprehensive and collision insurance for a 40-year-old driving a Toyota Camry with no history of accidents or tickets. Your insurance costs may be higher or lower than these Vermont rates depending on your location, age, driving history and coverage.
- Average Driver: $812
- DUI: $1,484
- Speeding Ticket: $963
- Poor Credit Score: $1,439
- Seniors: $802
- Students: $2,072
Drivers with serious traffic offenses like driving under the influence (DUI) are riskier to insure in Vermont and will pay higher car insurance costs.
The average cost for a driver without a DUI is $812 per year, while one with a DUI pays $1,484.
The cheapest car insurance companies for drivers with a DUI in Vermont are:
- USAA: $758 per year (only available to current and former military members)
- State Farm: 784 per year
USAA has the lowest rates for drivers with or without a DUI. State Farm is the second-cheapest for those with a DUI, while Vermont Mutual is the second most affordable option for drivers with a clean record.
Average Car Insurance Rates With a DUI
The real costs of a DUI impact your car insurance rates for years, but comparing personalized quotes from multiple auto insurance companies can help you find the best rate. If you can’t obtain insurance after a DUI, exploring state-sponsored auto insurance programs can provide a solution. These programs were created to provide insurance to high-risk drivers while sharing the risk of insuring this type of driver between multiple providers.
Vermont drivers with minor traffic violations, such as speeding tickets, pay more for car insurance. A ticket for distracted driving or other offenses makes you a higher-risk driver to insure, which will impact your monthly premiums.
A driver with a speeding ticket pays $963 per year on average, while drivers without tickets pay $812.
The cheapest companies for drivers with speeding tickets in Vermont are:
- USAA: $440 per year (only available to current and former military members)
- State Farm: $569 per year
USAA remains the cheapest insurance option for drivers with or without speeding tickets. However, State Farm is the fourth-least expensive option for drivers without tickets.
Average Car Insurance Rates With a Ticket
According to the National Highway Traffic Safety Administration (NHTSA), distracted driving resulted in 60 crashes in the state of Vermont in 2018. If you find yourself searching for affordable car insurance after a distracted driving or speeding ticket, know that your rates will likely increase. Finding cheap insurance for drivers with a ticket can be done by comparing quotes with more than one of the top-rated auto insurance companies in Vermont. The above table illustrates estimates of what Vermont residents can expect to pay if they’re penalized for speeding or distracted driving.
A traffic violation will impact your rates, especially if your distracted driving causes an accident, but for how long depends on your insurance provider and your driving record before the incident. A citation from distracted driving can make you a higher-risk driver, which will impact your monthly premiums. Compare car insurance quotes from multiple providers to find the best rates after a citation.
Vermont drivers with bad credit scores pay more than those with high scores.
The average cost of car insurance for a driver with a low credit score is $1,439 per year, almost double what a driver with good scores pays at $812.
MoneyGeek established that the most affordable insurers for drivers with bad credit scores in Vermont include:
- USAA: $704 per year (only available to current and former military members)
- Allstate: $953 per year
USAA is the cheapest for Vermont residents with good and bad credit scores. Allstate is the second-best for those with poor credit and the third-best for those with good credit.
Average Car Insurance Rates for Drivers With Bad Credit
Your credit score shows insurers how financially responsible you are, so a lower score will lead an insurance provider to set a higher premium to protect themselves from financial losses. Educate yourself on how to improve your credit score before shopping for car insurance in Vermont.
Senior drivers in Vermont pay slightly less for car insurance than younger drivers. They pay an average of $802 per year, compared to the $812 paid by an average 40-year old driver.
The most affordable company for senior drivers in Vermont are:
- USAA: $421 per year (for former and current military members)
- Vermont Mutual: $479 per year
USAA and Vermont Mutual offer the cheapest car insurance for both seniors and younger drivers.
Average Car Insurance Rates for Seniors
Finding cheap car insurance for seniors in Vermont can be impacted by a unique set of factors. Older drivers face physical limitations to driving, such as changes in eyesight and reaction time, which can cause insurance providers to see them as high-risk drivers. In 2017, seniors made up 17.2% of all traffic fatalities in Vermont, according to the NHTSA. In the hopes of protecting drivers of all ages, the DMV of Vermont conducts driver re-examination tests for mature drivers on a requested basis to assess the capabilities of older drivers. The above table provides some estimations of what seniors in Vermont can expect to pay for their auto insurance.
Rates for seniors can vary based on age and driver history. Insurance companies tend to see senior drivers as a higher-risk group due to common physical obstacles that come with age (such as vision, reflexes and attention). It is important for older drivers to discuss these factors with insurance providers when requesting car insurance quotes.
Young student drivers in Vermont are charged more than adult drivers due to inexperience and higher risk level. The cost of auto insurance for a student driver is $2,072, more than double what an adult driver pays per year.
The cheapest car insurance providers in Vermont for student drivers are:
- Allstate: $1,564 per year
- State Farm: $2,005 per year
While USAA and Vermont Mutual offer the cheapest coverage for adult drivers, Allstate and State Farm are best for student drivers.
Average Car Insurance Rates for Students
For younger drivers, being insured for a sedan will be cheaper than being insured for a sports car. Parents may also be able to get a good student discount or a discount for having their young drivers take a defensive driving course. It’s a good idea to ask a prospective insurer about any discounts for young drivers when you’re getting your quote.
If you're a college student coming to Vermont, you have 60 days to register your vehicle and make sure your insurance meets the legal requirements for the state. Remember that responsible driving can result in lower insurance rates, including putting your phone away while you’re behind the wheel (60% of teen driver crashes involve distractions, according to AAA).
The above table demonstrates the approximate rates offered by insurance providers in Vermont. It’s important to understand that a variety of factors can impact your rates as a student driver, including your driving record, how long you’ve been a licensed driver and the type of car you drive.
Insurance Rate Information for Military Drivers and Veterans
Insurers operating in Vermont that give discounts to military personnel and veterans include GEICO and USAA. With GEICO specifically, you may see discounts of up to 15%.
Average Rates for Vermont service members
Car Insurance in Vermont: What You Need to Know
According to the Vermont Department of Motor Vehicles, if you register, drive or park a vehicle on the street in Vermont, you must insure it.
Proof of Insurance in Vermont
Vermont doesn't require proof of insurance when you register your car at the DMV. But if the police pull you over, you'll need to show proof of insurance or another document proving financial responsibility.
Minimum Liability Insurance Requirements in Vermont
Vermont requires that all drivers get liability insurance designed to cover third-party injuries and property damage. The mandatory coverage levels are:
- $25,000 for bodily injury or death per person
- $50,000 for bodily injury or death per accident
- $10,000 for property damage
Vermont also requires uninsured/underinsured motorist coverage in case you're involved in an accident with a driver who lacks sufficient insurance:
- $50,000 for bodily injury per accident
- $100,000 for multiple persons per accident
- $10,000 for property damage
However, insurance experts and consumer groups generally consider these limits to be insufficient. If you commit a traffic violation or drive without insurance, the state may require you to purchase Financial Responsibility Insurance.
High-Risk Auto Insurance Program in Vermont
High-risk drivers who can’t find standard insurance due to problems with their driving records can choose from several insurers providing high-risk coverage, including Esurance, GEICO, Hartford, State Farm and Travelers.
Alternatives to Insurance in Vermont
If you don’t want to purchase auto insurance, there is an alternative to make sure you can compensate others if you are involved in an accident. In the state of Vermont, drivers can pay a $115,000 bond or deposit to the state instead of car insurance.
How Much Coverage Do You Need in Vermont?
Even though Vermont requires several important types of car insurance, experts and consumer groups urge you to get liability coverage of $100,000 per bodily injury and $300,000 per accident.
Additionally, if you have a fairly new car, you may want to consider collision and comprehensive coverage. This will cover vehicle costs due to a traffic accident, theft or natural disaster.
Average Insurance Rate by City in Vermont
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FAQs About Car Insurance in Vermont
The most common questions about car insurance in Vermont are often centered around costs and coverage limits. Some that you may come across include:
Expert Advice on Finding Cheap Car Insurance in Vermont
To help you find credible and accurate information on car insurance in Vermont, MoneyGeek received expert advice from established professionals. The perspectives and opinions expressed are those of the individual contributor.
- What are the key factors drivers in Vermont should look for when searching for the best auto insurance coverage?
- What steps can drivers in Vermont take to find affordable car insurance?
Assistant Professor of Economics at Middlebury College
Associate Professor at Landmark College
About the Author
- Governing: The Future of States and Localities. "Military Active-Duty Personnel, Civilians by State." Accessed March 7, 2020.
- National Association of Insurance Commissioners. "2018 Market Share Reports." Accessed March 7, 2020.
- United States Census Bureau. "Vermont Veteran Statistics." Accessed March 7, 2020.