Best Cheap Car Insurance Companies for High-Risk Drivers in North Carolina


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ByMark Fitzpatrick
Edited byMargarita Barresi
ByMark Fitzpatrick
Edited byMargarita Barresi

Updated: May 20, 2024

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Typically, drivers with a history of accidents pay higher insurance premiums. High-risk auto insurance quotes tend to be more expensive than quotes for drivers with clean records because insurers anticipate high-risk drivers will file more claims.

Comparing insurance quotes in North Carolina can help high-risk drivers find the cheapest insurance for their needs. With an average rate of $1,363, Nationwide provides the cheapest rates for those with poor records. However, several factors, such as your credit score and age, can impact your premium.

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2024

Best Companies for High-Risk Drivers in 2023

Some factors that classify high-risk drivers include having numerous traffic offenses and accidents, operating a vehicle while impaired by drugs or alcohol or being a teen or young adult with limited driving experience.

If you're a high-risk driver in North Carolina, you’ll spend about 58% more for insurance than a driver with a spotless record. Since insurance companies may have to cover the cost of damaged property, legal defenses and medical expenses, high-risk drivers come with greater risks. In addition, irresponsible drivers are likely to file more claims than average.

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WHAT EXACTLY IS A HIGH-RISK DRIVER?

High-risk drivers can be classified into different groups. Factors such as your age, gender and desired coverage levels may increase the price of your vehicle insurance premium, even if you have a spotless driving record.

Common high-risk driver groups include:

  • Drivers with a history of traffic violations or at-fault accidents
  • Drivers with a DUI conviction
  • Drivers caught driving with a suspended or revoked license
  • Young drivers with a lack of driving experience
  • Drivers who drive sports cars or participate in drag racing
  • Drivers with bad credit or lapses in insurance coverage

Cheapest Car Insurance in North Carolina for High-Risk Drivers

MoneyGeek found that North Carolina’s cheapest high-risk insurance company is Nationwide. Its car insurance premiums cost an average of $1,363 per year.

MoneyGeek's Nationwide review rates the company's customer service, discounts and add-on auto coverages to help you decide whether Nationwide is the right provider for you.

NationwideAnnual Premium$1,363
State FarmAnnual Premium$1,448
ErieAnnual Premium$1,643
GEICOAnnual Premium$2,053
TravelersAnnual Premium$2,207
ProgressiveAnnual Premium$2,315
AllstateAnnual Premium$2,501
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SR-22 INSURANCE

North Carolina does not require drivers who have a DUI or have been ticketed for reckless driving to apply for SR-22 insurance. However, some states require that your insurance carrier file an SR-22 with the state proving your auto insurance meets the bare minimum requirements for high-risk coverage. Other common names for SR-22 insurance are "SR-22 Bond" or "Certificate of Financial Responsibility."

Best Car Insurance in North Carolina for High-Risk Drivers

MoneyGeek compared several insurers for high-risk drivers and found that the best overall in North Carolina is Nationwide, with a total score of 93 out of 100. The second-best option is State Farm, with a total score of 88 out of 100.

For a more thorough understanding of its services, MoneyGeek’s State Farm review investigates its typical costs, insurance options, and advantages and disadvantages.


1
State FarmBest for High-Risk Drivers
Score:96

5/5

Affordability Rating

5/5

Satisfaction Rating

4.5/5

Claims Rating

5/5

Financial Stability Rating

Geek Quick Take
Geek Quick Take

In North Carolina, State Farm charges high-risk drivers an average annual premium of $1,448, 57% more than drivers with clean records pay.

More About State Farm

State Farm has the greatest market share among U.S. insurers. It offers coverage alternatives like rideshare insurance, reimbursement for rental cars and roadside assistance. On the other hand, it does not provide OEM coverage.

Generally, it is a reasonably priced option for inexperienced and reckless drivers. It also ranks high among auto insurance providers in terms of financial stability.

2
Nationwide
Score:40

0.2/5

Affordability Rating

4.5/5

Satisfaction Rating

4/5

Claims Rating

4.5/5

Financial Stability Rating

Geek Quick Take
Geek Quick Take

High-risk drivers in North Carolina pay an average annual premium of $1,363 with Nationwide. This amount is 57% more than its rate for a driver with a good record.

More About Nationwide

Nationwide offers plenty of coverage options, including gap insurance, deductible modification and identity theft coverage. It also provides discounts on bundling several insurance policies, practicing safe driving and having an anti-theft system in your car.

Some areas of improvement include customer satisfaction and overall affordability.

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MONEYGEEK EXPERT TIP

If your auto insurance premiums are too high for your budget, you may be able to reduce those costs in other ways. For instance, you can apply for car insurance for those with low income in North Carolina that satisfies the state's minimum criteria, or you might want to think about getting pay-per-mile insurance if you don't drive very frequently.

Cheapest Car Insurance in North Carolina for Drivers With a DUI

MoneyGeek determined that Nationwide offers the most affordable auto insurance for North Carolina drivers with a DUI, with an annual premium of $2,209 on average. Drivers with a DUI typically pay higher premiums than drivers with a clean driving record.

Members of the military and their families may also find more reasonable rates for drivers with a DUI through USAA.

NationwideAnnual Premium$2,209
State FarmAnnual Premium$2,473
ErieAnnual Premium$2,792
GEICOAnnual Premium$3,678
TravelersAnnual Premium$3,839
ProgressiveAnnual Premium$4,042
AllstateAnnual Premium$4,049
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LOOK-BACK PERIODS

A look-back period is the window of time a DUI remains on your driving record. Look-back periods can be long or permanent to discourage drivers from committing multiple DUI offenses. North Carolina drivers convicted of DUI face a look-back period of 7 years, and a third or subsequent DUI in this state qualifies as a felony.

Cheapest Car Insurance in North Carolina for Teenage Drivers

Due to their inexperience and likelihood to file claims, teen drivers frequently pay higher premiums. However, some providers offer discounts to teens who finish safe driving courses or meet high GPA requirements. State Farm provides the most affordable insurance in North Carolina for young drivers at an average yearly rate of $1,595.

State FarmAnnual Premium$1,595
GEICOAnnual Premium$1,735
NationwideAnnual Premium$2,152
AllstateAnnual Premium$3,053
ProgressiveAnnual Premium$3,075
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MONEYGEEK EXPERT TIP

Even though it may be more expensive, MoneyGeek recommends buying full coverage rather than the minimal amount of auto insurance for teens because higher coverage limits can provide greater financial protection in the event of a major crash. You can compare prices across insurance companies that offer the lowest auto insurance for students and explore potential discounts for additional savings.

Cheapest Car Insurance in North Carolina for Drivers With Bad Credit

Auto insurance quotes for persons with bad credit are significantly higher than for those with good credit scores. According to MoneyGeek, GEICO offers the least expensive auto insurance for people with poor credit in North Carolina, with a $535 yearly rate.

GEICOAnnual Premium535Percent Change-47%
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MONEYGEEK EXPERT TIP

You can get auto insurance if your credit score is below average. If you are unhappy with your current auto insurance coverage, comparing quotes in your state may help you find a cheaper alternative that fits your needs.

How Much Does Car Insurance Cost for High-Risk Drivers in North Carolina?

In North Carolina, MoneyGeek found that car insurance for high-risk drivers costs 54% to 61% more than a policy for drivers with a good driving history.

Auto insurance for high-risk drivers is often much more costly. Because drivers with a poor driving history are more likely to be involved in serious collisions, insurance firms charge them higher premiums to cover these risks. You can reduce the cost of your high-risk premium by taking a defensive driving course and constantly obeying driving laws.

Annual Car Insurance Cost in NC for Low-Risk vs. High-Risk Drivers

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Annual Premium

Low-Risk Driver

$983
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Annual Premium

High-Risk Driver

$2,501
In North Carolina, high-risk drivers pay:$1,518 more

This is 154% more expensive.

MoneyGeek’s North Carolina auto insurance calculator can provide a personalized estimate based on your gender, credit score, driving history and other criteria. However, the price of your auto insurance coverage may be higher or lower than the estimate, depending on your situation.

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Rates updated:

Jun 17, 2024

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Can You Still Get Car Insurance in North Carolina if Insurers Refuse to Insure You?

Due to the voluntary nature of the insurance market, certain North Carolina vehicle insurance providers may decline to cover you if they feel it would be too costly. You can contact the Automobile Insurance Plan Service Office (AIPSO) if this occurs. AIPSO is a non-profit company that offers insurance services to anyone who meets the state's eligibility conditions through the auto insurance residual market.

North Carolina Automobile Insurance Plan

The North Carolina Reinsurance Facility (NCRF), which was initially founded in 1973, is the state residual market plan in North Carolina. It serves those unable to get auto insurance through conventional means. Since it was established, NCRF's market share for auto insurance in North Carolina has averaged 25%.

    building icon

    Office Hours

    N/A

    subscribe icon

    Email

    membership@ncrb.org

    smartphone icon

    Phone

    (919) 783-9790

    other icon

    Fax

    N/A

    business icon

    Mailing Address

    2910 Sumner Blvd., Raleigh, NC 27616

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Frequently Asked Questions

Getting high-risk auto insurance in North Carolina can be challenging if you don't know where to begin. MoneyGeek answers frequently asked questions about high-risk insurance providers in North Carolina to assist you.

Which car insurance company is best for high-risk drivers in North Carolina?
How much does car insurance in North Carolina cost for high-risk drivers?
Who do insurers classify as a high-risk driver?
Where do I get car insurance coverage in North Carolina if insurers reject my application?

Methodology

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.

About Mark Fitzpatrick


Mark Fitzpatrick headshot

Mark Fitzpatrick has analyzed the property and casualty insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. Currently, he leads P&C insurance content production at MoneyGeek. Fitzpatrick has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.

Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.


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