Best Cheap Car Insurance Companies for High-Risk Drivers in Iowa

Drivers with several violations on their record are classified by insurance companies as risky to insure and are thus charged more expensive premiums. But there are still ways to save, such as comparing rates from multiple providers.

MoneyGeek found that GEICO is the best auto insurance for high-risk drivers in Iowa, and State Farm is the cheapest option. A standard policy from these insurers costs an average of $734 and $687 per year, respectively.

Driving history is one of the main determinants of insurance rates. Companies use this information to measure the likelihood and frequency of an individual filing a claim. Drivers with a DUI, ticket or at-fault accident on their record are charged more expensive premiums to offset the projected increase of filed claims. Similarly, teen drivers are charged higher rates due to their lack of driving experience.

In Iowa, high-risk drivers pay an average of $960 per year on auto insurance, while drivers with a clean record only pay $713 per year, which is a 23% difference in annual premiums.

State Farm is the cheapest car insurance company in Iowa for high-risk drivers, according to MoneyGeek’s research. This insurer’s auto policy is priced at an average of $687 annually.

For more information, read MoneyGeek’s State Farm review, where we provide a more detailed analysis of its pros, cons and average auto insurance rates.

With a 92 out of 100, GEICO is MoneyGeek’s top pick for Iowa's best car insurance for high-risk drivers. You can find out more about this insurer’s average rates, customer service reputation and coverages from our comprehensive GEICO review.

A close runner-up is State Farm, scoring 91 out of 100. It is also the cheapest option across the state.

A DUI can cause your insurance premiums to skyrocket. MoneyGeek found that State Farm provides the cheapest car insurance in Iowa for drivers with a DUI conviction at roughly $670 per year. To learn more about this company, read MoneyGeek’s State Farm review, detailing its coverages, rates and discounts.

Alternatively, military personnel and their families might find affordable rates from USAA.

With an average annual premium of $2,402, GEICO is Iowa’s cheapest car insurance company for teenage drivers based on MoneyGeek’s comprehensive study. However, premiums for teen drivers vary depending on an individual’s actual age.

Check our GEICO review for the latest information on its car insurance products.

Having bad credit may also cause you to be classified as a high-risk driver. In Iowa, the cheapest car insurance for drivers with poor credit is GEICO, which offers policies at an average annual cost of $653. Head over to MoneyGeek’s GEICO review for a more thorough discussion of this provider’s coverages, discounts and average rates.

If you’re wondering how much more a high-risk driver pays on car insurance compared to the average driver, MoneyGeek’s comparison shows that high-risk drivers in Iowa pay roughly $960 in annual premiums. In contrast, drivers with a clean record pay 23% less at an average of $713 per year.

For a free, quick and personalized estimate of your car insurance costs, you can use MoneyGeek's Iowa car insurance calculator by entering your personal details and preferred coverage. This insurance tool may also be used to determine which factors tend to have the most impact on your rates.

Insurance companies in the voluntary auto insurance market have the right to select which drivers to cover and which ones to reject. Fortunately, there are alternative ways to get coverage even if you’re considered too risky to insure.

The insurance industry created the auto insurance residual market as a solution for drivers denied coverage in the traditional marketplace. Within the residual market, the Automobile Insurance Plan Service Office (AIPSO) is the preferred network by the insurance industry. It has provided high-risk drivers access to car insurance plans for almost 50 years.

The Iowa Automobile Insurance Plan (IAAIP) is AIPSO’s residual market plan designed to cater to the coverage needs of high-risk drivers who cannot purchase a plan in the traditional insurance market.

To be eligible for IAAIP coverage, drivers must present a certification showing that they have been unable to secure a policy from the voluntary market in the preceding 60 days of their IAAIP application and that they couldn’t purchase a plan at reasonable rates.

Getting car insurance can be complicated, especially for high-risk drivers. Read MoneyGeek’s answers to the most frequently asked questions about high-risk car insurance in Iowa to jumpstart your search for the best plan that fits your situation.

MoneyGeek calculated average rates using full coverage car insurance policies with 100/300/100 liability insurance and comprehensive and collision coverage with a $1,000 deductible. Minimum coverage car insurance policy rates were calculated based on each state’s minimum car insurance requirement.

To calculate rates for high-risk drivers, MoneyGeek averaged the premiums insurance companies charge for three of the most common driving violations: speeding, at-fault accident and DUI.

To determine the best car insurance company for high-risk drivers, MoneyGeek scored companies based on affordability, customer satisfaction and complaints — obtained from J.D. Power surveys and NAIC complaint scores — and financial strength ratings as calculated by AM Best. Affordability received the greatest weighting in our calculations.