Cheapest Car Insurance Companies

GEICO leads the market for cheap car insurance companies, offering the most affordable minimum coverage nationwide with rates just $43 monthly. Travelers provides the lowest-cost car insurance for drivers seeking comprehensive protection at $97 monthly.

The best budget-friendly car insurance company for you depends on your unique profile and coverage needs. Below, you'll find the lowest rates broken down by policy type, age group, and driving history to help you identify which companies offer the most affordable policies for your situation.

*USAA is consistently the cheapest car insurance company for military members, veterans, and their families for most policies, but availability is limited to those who qualify for membership.

Travelers offers the cheapest full coverage car insurance nationwide at $97 monthly, making it the top choice for drivers who want comprehensive protection. GEICO is the second most affordable car insurance company for full coverage, with rates only $1 more than Travelers, averaging $98 monthly.

GEICO is the cheapest car insurance company for drivers seeking minimum coverage, consistently offering lower premiums than other major national auto insurers with rates as low as $43 monthly. National General comes in second at $48 monthly, while State Farm, Progressive, and Travelers round out the top five low-cost liability auto insurers.

The cheapest car insurance companies vary by state. GEICO offers the lowest car insurance in 32 states, with rates as low as $41. Travelers is the most affordable insurer in several competitive markets, with premiums as cheap as $41 per month. State Farm provides budget-friendly coverage in select states like Arkansas and Iowa, where having a local agent relationship gives them an edge.

Use the table below to find the most affordable car insurance company in your state:

*The low-cost rates shown are for a full coverage policy with 100/300/100 limits and a $1,000 deductible for collision and comprehensive coverages. You can customize your deductibles, choosing different amounts for each coverage.

Since the cheapest insurance company can vary depending on your age group, we've analyzed rates across three key demographics to help you find the most affordable coverage for your specific situation. The data below shows which insurers offer the lowest premiums for minimum and full coverage at different ages, along with potential savings compared to more expensive auto insurance companies.

GEICO is cheapest car insurance company for most teen drivers seeking minimum coverage, with rates dropping as teens gain experience. At 17 years old, drivers pay $237 monthly, while 18-year-olds see rates fall to $205 monthly, and 19-year-olds get even better deals. However, State Farm is the most cost effective for 16-year-olds at $271 monthly, making it the most affordable car insurance company for the youngest drivers just starting. Teen drivers pay higher rates for auto insurance coverage because this age group is three times more likely to get into an accident compared to older policy holders.

GEICO is the cheapest car insurance company for young adults for minimum and full coverage protection. Its rates for minimum coverage drop from $132 monthly at age 20 to $75 monthly by age 25. For full coverage, GEICO's rates decline from $288 monthly at age 20 to $164 monthly by age 25, making it the most affordable car insurance company throughout the young adult years.

State Farm is the cheapest car insurance company for senior drivers looking for budget-friendly insurance policies. Minimum coverage quotes start at $137 monthly, saving seniors $633 annually. Travelers is the second most affordable company, saving senior citizens $550 annually with rates as low as $144 monthly.

GEICO emerges as the clear winner for full coverage rates, providing the lowest car insurance for rate seniors at $124 monthly. Seniors who choose GEICO potentially save $506 per year over pricier companies. Compare cost-effective car insurance companies' quotes for senior citizens below.

State Farm offers the cheapest car insurance for high-risk drivers across all violation types, providing the lowest car insurance premiums for drivers with at-fault accidents, averaging $62 monthly. Drivers with a DUI violation usually pay rates of $72 monthly, and drivers with speeding tickets can expect premiums of around $56 monthly. Use the table below to compare the most affordable car insurance companies for your high-risk situation.

GEICO is the cheapest car insurance company for drivers with bad credit, with the lowest premiums at $141 monthly. Auto-Owners takes second place for credit-challenged drivers at $155 monthly, while Travelers rounds out the top three budget-friendly car insurance companies at $159 monthly. Your credit score can seriously impact your car insurance rates in most states, but the good news is that some companies are more forgiving than others:

USAA stands alone as the cheapest car insurance for company military members, veterans, and their families, delivering unmatched rates that civilian companies simply can't compete with. With minimum coverage starting at just $335 annually and full coverage at $835, USAA's military-exclusive pricing creates savings of nearly $200 compared to the next low-cost company's premiums.

GEICO provides the most affordable rates for those who do not qualify for USAA membership, with quotes as low as $514 for minimum coverage and $1,177 for full coverage.

Programs like Progressive Snapshot, State Farm Drive Safe & Save, and GEICO DriveEasy offer pathways to the lowest car insurance rates for qualifying drivers. With discounts up to 40%, these providers are the best car insurance companies for safe drivers. Usage-based insurance monitors driving habits through smartphone apps or plug-in devices, rewarding safe drivers with discounts.

This coverage model works well for tech-savvy drivers, those with good driving habits and anyone willing to share driving data for potential savings. Below are some of the best usage-based programs available from national insurance companies:

Finding the cheapest car insurance requires a systematic approach to ensure you get the lowest car insurance rates while maintaining adequate protection. Follow this guide to identify affordable car insurance options for your specific situation.

While knowing the cheapest car insurance companies' rates provides a baseline, getting personalized quotes reveals your low-cost car insurance options based on your specific profile. The most affordable car insurance for your situation may differ from general rankings, making quotes essential for finding your lowest rates.

The cheapest car insurance company varies by individual circumstances, but GEICO offers competitive rates across multiple driver profiles. Travelers provides excellent value for low-budget full coverage, while USAA is the most affordable for military families.

Below are answers to frequently asked questions about saving money on car insurance to help you find the cheapest policy:

To rank the cheapest car insurance companies, we analyzed insurance rates from state insurance departments and Quadrant Information Services, using driver profiles with varying ages, driving histories, credit scores and locations to identify the cheapest rates for different needs.

Quote Data Depth

MoneyGeek reviewed 2,474,515 quotes from 607 companies across 3,523 ZIP codes to find the most affordable car insurance options for various driver profiles.

Driver Profiles

To identify the cheapest rates, MoneyGeek's analysis used a standard driver profile with these characteristics:

• 40-year-old male
• Clean driving record
• 2012 Toyota Camry LE
• 12,000 miles driven annually

We adjusted this profile based on location, age, credit score and driving history, including ticket, DUI or accident scenarios. Family premiums were calculated by adding a 16-year-old to a family policy.

Defining Full Coverage Quotes

Unless stated otherwise, a full coverage policy includes specific coverage limits such as: 

• $100,000 in bodily injury liability coverage per person
• $300,000 in bodily injury liability coverage per accident
• $100,000 in property damage liability coverage per accident
• Comprehensive and collision coverage with a $1,000 deductible

Defining Minimum Coverage Quotes

Unless stated otherwise, a minimum coverage policy includes:

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

This excludes comprehensive and collision coverage. Note that minimum coverage differs from state minimum coverage requirements.

How We Ranked the Cheapest Insurers for Affordability

MoneyGeek's analysis evaluated providers using data from AM Best, J.D. Power, the CRASH Network report card, Quadrant Information Services and state insurance departments. Insurers were scored out of 100 using these weighted factors:

• Financial stability: 5%
• Customer satisfaction: 25%
• Claims satisfaction: 20%
• Coverage offerings: 10%
• Affordability: 40%

Learn more about MoneyGeek's auto insurance methodology.