Cheapest Car Insurance for Low-Income Drivers in Mississippi (October 2024)


Direct General Insurance offers the cheapest car insurance for individual drivers with low income and poor credit in Mississippi at $33 per month. For families with low income, Progressive is the most affordable provider at $22 per month. Mississippi does not offer state-backed car insurance programs for families and individuals with low income. Finding the most affordable provider is one option to manage costs, and there are also ways to get discounts to help alleviate the cost of car insurance.

Although minimum coverage will help you drive legally, it has downsides. For example, minimum coverage may not cover all damages in an at-fault accident, leaving you with significant out-of-pocket expenses.

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Cheapest for Individuals With Low Income

Direct General Insurance is the cheapest car insurance provider in Mississippi for individual drivers with low income and poor credit history. Its average minimum coverage premium is $33 per month or $398 per year.

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Cheapest for Families With Low Income

Progressive is the cheapest car insurance provider in Mississippi for families with low income. Its average minimum coverage premium is $22 per month or $265 per year.

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Cheapest for Senior Drivers With Low Income

Progressive is the cheapest car insurance provider in Mississippi for seniors with low income and poor credit scores. Its average minimum coverage premium is $34 per month or $412 per year.

Why Trust MoneyGeek? We analyzed thousands of data points and quotes from Quadrant Information Services and the Mississippi Insurance Department to get the cheapest average costs for drivers with low income in Mississippi.

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10Companies Compared
 
19ZIP Codes

Does Mississippi Offer Low-Income Insurance?

Car insurance companies in Mississippi do not consider income when calculating your car insurance rates. Instead, they look at factors like age, driving record, credit history and the type of car you drive. At-fault accidents and moving violations can also increase your rates. The best way to find the cheapest rates is to compare quotes from several insurance companies. This helps you see which provider offers the most affordable plan for your situation.

If your budget is tight, a basic minimum coverage policy is often the cheapest way to stay legal on the road. If you rarely drive, pay-per-mile insurance might be the best option to save money. MoneyGeek rounded up the cheapest insurers for drivers with low income in Mississippi to help you save.

Minimum Car Insurance Requirements in Mississippi

To legally drive in Mississippi, you must have car insurance that meets the state minimum car insurance requirements. Your policy must include at least the following coverage amounts:

  • $25,000 for bodily injury liability per person
  • $50,000 for bodily injury liability per accident
  • $25,000 for property damage liability per accident

Mississippi law requires drivers to carry liability-only car insurance at a minimum. This coverage pays for the other driver's expenses if you're at fault in an accident, but it doesn't cover damages to your vehicle. For more comprehensive protection, including your own vehicle's damages, you'll need a full coverage car insurance policy. This includes both collision and comprehensive coverages, safeguarding against various incidents, such as accidents, theft and natural disasters.

Understanding the risks and benefits of different coverages can help you determine the right insurance for your needs.

Cheapest Car Insurance for Individuals With Low Income in Mississippi

Your credit record can affect your car insurance rates in Mississippi. A lower credit-based insurance score may signal to insurers that you're a higher risk, which can lead to more expensive premiums.

Mississippi drivers with poor credit records can find affordable rates with:

  • Direct General Insurance: $398 per year; $33 per month
  • Progressive: $455 per year; $38 per month

The cheapest car insurance in Mississippi for drivers with low income and good credit history are:

  • Direct General Insurance: $306 per year; $26 per month
  • State Farm: $315 per year; $26 per month

Driving without insurance in Mississippi is considered a misdemeanor and can lead to suspension of your driver's license and vehicle registration, fines ranging from $175 to $1,000 and other penalties. Make sure you're covered to drive legally and safely.

Data filtered by:Results filtered by:
Credit Score:
Credit Score:Poor
Direct General Insurance$398$33
Progressive$455$38
Mississippi Farm Bureau$564$47
Nationwide$738$62
Travelers$759$63
Allstate$888$74
GEICO$943$79
Shelter$1,149$96
State Farm$1,742$145
Compare Auto Insurance Rates

Ensure you're getting the best rate for your auto insurance. Compare quotes from the top insurance companies.

Cheapest Car Insurance for Families With Low Income in Mississippi

While your income doesn't directly impact car insurance rates, your family situation can. In Mississippi, a single parent with a teen faces an annual premium of $1,310, whereas married couples with a teen enjoy a lower rate at $265, saving $1,045 per year.

The most affordable car insurance providers for married couples with a teen in the Magnolia State are:

  • Progressive: $265 per year; $22 per month
  • Nationwide: $848 per year; $71 per month

For single parents with a teen, the cheapest options are:

  • Progressive: $1,310 per year; $109 per month
  • State Farm: $1,339 per year; $112 per month

The gap in premiums reflects the risk insurers associate with different family structures. Single parents may find their rates higher due to the perceived added risk. Keeping a strong credit score is essential for securing more affordable car insurance rates.

Data filtered by:Results filtered by:
Family Type:
Family Type:Married Couple with Teen
Progressive$265$22
Nationwide$848$71
State Farm$867$72
Allstate$868$72
Travelers$994$83
GEICO$1,254$104

Cheapest Car Insurance for Seniors With Low Income in Mississippi

Car insurance premiums generally decrease as you reach the early senior years (typically around age 55 to 65), especially if you have a clean driving record. The two cheapest car insurance companies for seniors with low income and poor credit history are:

  • Progressive: $412 per year; $34 per month
  • Direct General Insurance: $424 per year; $35 per month

After the age of 70, car insurance rates typically increase as older drivers are statistically considered higher risk. This trend continues each year, meaning premiums generally rise as seniors age. There are specific guidelines for seniors getting car insurance in Mississippi, so it's important to stay informed.

Data filtered by:Results filtered by:
Credit Score:
Credit Score:Poor
Progressive$412$34
Direct General Insurance$424$35
Mississippi Farm Bureau$499$42
Nationwide$733$61
Travelers$817$68
Shelter$853$71
GEICO$972$81
Allstate$979$82
State Farm$1,639$137
Compare Auto Insurance Rates

Ensure you're getting the best rate for your auto insurance. Compare quotes from the top insurance companies.

What Factors Affect Car Insurance Rates in Mississippi?

Income doesn't directly affect car insurance rates in Mississippi. However, if a low income leads to a poor credit record, this can result in higher rates. Conversely, good credit can help you get lower rates. Understanding the factors contributing to car insurance rates can help you make informed decisions when choosing the best car insurance for you.

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    Driving record

    At-fault accidents and moving violations increase rates for drivers. Insurance companies see these as indicators of risky behavior and adjust premiums accordingly.

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    Age and gender

    Younger drivers and males often pay more for car insurance. Insurers consider these groups to be higher risk based on statistical data.

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    Credit history

    A poor credit history can lead to higher insurance rates. Insurers use credit-based insurance scores to predict the likelihood of filing a claim.

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    Location

    Living in urban areas or places with high crime rates can increase your premiums. Insurers consider these locations at higher risk for theft and accidents.

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    Vehicle type

    Expensive or high-performance vehicles usually cost more to insure. These cars often have higher repair costs and are more likely to be stolen.

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    Coverage levels

    Higher coverage levels lead to higher premiums. Opting for state minimum coverage can help keep costs down.

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    Insurance company

    Different insurers have unique underwriting methodologies and discounts, so it's important to compare quotes.

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    Claims history

    Filing a claim can lead to higher rates as it indicates a higher risk to insurers. If you can afford to pay for your own repairs, it might pay not to file a claim.

How to Save on Car Insurance in Mississippi

You don't need a state-sponsored program to cut costs — finding affordable car insurance in Mississippi is possible with the right strategies. Here are some tips to lower your premiums:

  1. 1
    Choose minimum coverage

    Opting for the state-mandated minimum coverage helps you save while meeting legal requirements to drive in Mississippi. This basic coverage keeps you compliant at a lower cost.

  2. 2
    Comparison shop

    Obtain quotes from multiple insurers to compare rates and discounts. Shopping locally might provide the lowest rates specific to Mississippi, helping you find the best deal.

  3. 3
    Look for discounts

    Insurance companies offer various discounts for factors like a safe driving record, good grades, military service or bundling policies. Taking advantage of these can lead to significant savings.

  4. 4
    Increase your deductible

    Choosing a higher car insurance deductible can significantly lower your monthly premium. Ensure you can afford to pay the deductible out of pocket in case of an accident.

  5. 5
    Consider pay-per-mile insurance

    If you drive fewer miles annually, pay-per-mile insurance is an excellent option. You pay a base rate plus a per-mile fee, which lowers costs for low-mileage drivers.

  6. 6
    Bundle your policies

    Bundling your auto insurance with homeowners or renters insurance can often result in discounts. The best home and auto bundles can save you around $496 annually.

  7. 7
    Drive a cheaper car

    The make, model and year of your car significantly impact your insurance costs. Driving one of the cheapest cars to insure can save you hundreds of dollars each year.

FAQ: Low-Income Car Insurance in Mississippi

Finding affordable car insurance for drivers with low income in Mississippi is often difficult due to high rates. Get answers to some of the most commonly asked questions about low-income car insurance in the Magnolia State.

Does Mississippi have a state-backed low-income car insurance program?

How can low-income families get affordable car insurance in Mississippi?

Does your income affect the cost of car insurance in Mississippi?

What are the benefits of usage-based telematics programs for drivers with low income in Mississippi?

About Mark Fitzpatrick


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Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He 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.