Cheapest and Best Non-Owner Car Insurance in Iowa (2024)

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Updated: May 20, 2024

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Non-owner auto insurance in Iowa provides liability coverage for drivers who don't have their own cars. If you regularly borrow someone else's car or want to avoid a lapse in auto insurance coverage, this type of insurance can be useful. Non-owner car insurance can also help those with driving offenses like DUIs — or, in Iowa, OWIs — get their driver's license reinstated.

State Farm provides the best and most affordable non-owner car insurance in Iowa. If you have a driving violation on your record, this provider also offers the cheapest SR-22 auto insurance in the state.

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Why Trust MoneyGeek? MoneyGeek sourced Iowa data from Quadrant Information Services and examined customer and claim satisfaction ratings from J.D. Power, AM Best and the National Association of Insurance Commissioners (NAIC).

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6Providers Compared

Cheapest Non-Owner Car Insurance in Iowa

The cheapest non-owner car insurance in Iowa is from the following provider:

  • Drivers with clean records: State Farm ($16 per month)
  • Drivers with violations: State Farm ($18 per month)

If you have a driving violation on your record, you can expect to pay more for non-owner auto insurance. The cheapest monthly rate for drivers with clean records in Iowa is $2 cheaper than the most affordable rate for drivers with violations.

Cheapest Non-Owner Car Insurance With a Clean Driving Record in Iowa

The following companies offer the cheapest non-owner auto insurance for Iowa drivers with clean driving records:

USAA offers the cheapest rates at $14 per month, but its policies are only available to military personnel and their families.

In Iowa, the cheapest average rate for non-owner car insurance is $16 per month, which is significantly lower than the national average of $43.

State FarmCheapest Annual Premium$186Cheapest Monthly Premium$16
GEICOCheapest Annual Premium$253Cheapest Monthly Premium$21
ProgressiveCheapest Annual Premium$275Cheapest Monthly Premium$23
TravelersCheapest Annual Premium$298Cheapest Monthly Premium$25
FarmersCheapest Annual Premium$365Cheapest Monthly Premium$30
Compare Auto Insurance Rates

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

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Iowa's minimum coverage car insurance requirements also apply to non-owner car insurance in the state. The minimum liability limits are as follows:

  • $20,000 bodily injury liability per person
  • $40,000 bodily injury liability per accident
  • $15,000 property damage liability per accident

Although these limits meet state requirements, they may not provide enough coverage for everyone. It's important to estimate the level of coverage you need before purchasing a policy.

Cheapest Non-Owner SR-22 Car Insurance in Iowa

The following insurance providers offer the most affordable non-owner car insurance to Iowa drivers with previous violations:

With an average rate of $21 per month, USAA also offers affordable SR-22 insurance to military service members in Iowa.

If you commit a driving offense like a DUI — referred to as an OWI in Iowa — you may be required to file an SR-22, which may cause your insurance rates to increase. In Iowa, the cheapest non-owner SR-22 insurance costs $18 per month, which is much lower than the national average of $59 per month.

State FarmCheapest Annual Premium$211Cheapest Monthly Premium$18
TravelersCheapest Annual Premium$397Cheapest Monthly Premium$33
GEICOCheapest Annual Premium$426Cheapest Monthly Premium$35
ProgressiveCheapest Annual Premium$495Cheapest Monthly Premium$41
FarmersCheapest Annual Premium$544Cheapest Monthly Premium$45
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Although it's commonly referred to as "SR-22 car insurance," SR-22 is not actually a type of insurance — it's a form submitted by your insurance provider that serves as proof that you have the minimum car insurance coverage required by the state of Iowa. An SR-22 form may be required following severe driving violations to demonstrate the driver's financial responsibility.

What Is Non-Owner Car Insurance?

Non-owner auto insurance provides liability coverage for drivers who don't own a car but frequently rent or borrow vehicles. It covers third-party bodily injury and property damage in case of an accident but does not include comprehensive or collision coverage, meaning it doesn't cover injuries or damages to you or the car you're driving.

The table below highlights the differences between non-owner and full coverage auto insurance.

Policy Coverage
Full Coverage

Liability insurance

Medical payments

Personal injury protection

Uninsured/underinsured motorist

Rental car liability

Average Cost of Non-Owner Car Insurance in Iowa

In Iowa, the average cost of non-owner auto insurance is $22 per month, which is considerably lower than the nationwide average of $43 monthly.

While insurance companies do consider location when calculating rates, other factors can have a bigger impact on the cost of car insurance, including your age, driving history, type of car and coverage level.

Non-Owner Car Insurance Cost Comparison: National vs. State

National Average Cost

Monthly Premium

Iowa Average Cost

Monthly Premium

On average, non-owner car insurance in Iowa is:$21 saved

This is 49% less expensive.

Best Non-Owner Car Insurance in Iowa

Based on MoneyGeek's study, the best non-owner car insurance providers in Iowa are:

  • State Farm: MoneyGeek score 73 out of 100 ($16 per month)
  • GEICO: MoneyGeek score 64 out of 100 ($21 per month)
  • Travelers: MoneyGeek score 58 out of 100 ($25 per month)

MoneyGeek ranks insurers based on factors such as affordability, AM Best financial stability ratings and J.D. Power customer satisfaction ratings. The following company overviews can help you choose the best provider for your needs.

MoneyGeek Top Pick
State Farm

State Farm received a high customer satisfaction score and a strong financial stability rating. This insurance company also offers the most affordable rates for most drivers in Iowa, making it the best non-owner auto insurance provider in the state.

State Farm offers popular auto insurance add-on coverages, including rental car and travel reimbursement and roadside assistance. It also offers some of the most common discounts for car insurance, such as those for safe driving, anti-theft systems, bundling, multiple vehicles, defensive driving and airbags.

Read the full State Farm car insurance review.


GEICO earned high ratings for customer satisfaction and financial stability, and it offers the second-cheapest rates in Iowa. However, the company has a below-average claims management score and lacks certain essential coverages.

Policyholders can save on premiums by taking advantage of the provider's many discounts, including discounts for bundling policies, wearing seatbelts and installing safety equipment such as anti-lock brakes and daytime running lights. Military personnel, federal employees and drivers who are on emergency deployments are also eligible for savings from GEICO.

Read the full GEICO car insurance review.

Third Place

Travelers offers moderate rates for non-owner car insurance in Iowa. The company also earned a high customer satisfaction score and offers most essential add-on coverages.

Travelers offers several less common discounts, including new vehicle, loyalty and homeowner discounts. This insurer also provides many of the most popular auto insurance coverages, including accident forgiveness, new car replacement, roadside assistance and gap insurance.

Read the full Travelers car insurance review.

Should You Get Non-Owner Car Insurance in Iowa?

For those who don't own cars but frequently drive rented or borrowed vehicles, non-owner car insurance can be valuable to have. It can also help drivers with violations get their license reinstated.

The following types of drivers may find that non-owner auto insurance fits their needs.

Who Should Consider Non-Owner Car Insurance?

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    Car borrowers

    Non-owner auto insurance is useful for people who often borrow cars from friends, family or coworkers. This type of policy provides liability coverage for bodily injuries or property damage that you may cause to others in an accident while driving a borrowed car.

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    Occasional renters

    Although rental car companies offer insurance coverage, getting a non-owner policy on your own can help save you money in the long run if you frequently rent cars. It will cover third-party liability claims if you cause an accident in a rental car.

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    Drivers between cars

    People who are in the process of getting a new car can also benefit from non-owner auto insurance as it provides continuous coverage during the transition period, which can help drivers avoid higher rates when they get regular coverage again.

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    License reinstatement seekers

    Those looking to have their licenses reinstated after a suspension or revocation may need non-owner auto insurance. In Iowa, you may be required to file an SR-22 following a serious violation and get non-owner insurance to prove that you are complying with state insurance requirements.

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Be wary of insurance companies that promote "one-day insurance," as this is not an actual insurance product in Iowa and could be a scam. If you need short-term coverage, it's safer to simply purchase insurance directly from the rental car company.

Frequently Asked Questions About Non-Owner Car Insurance in Iowa

MoneyGeek answered frequently asked questions about non-owner auto insurance in Iowa to help you learn more.

Which company offers the cheapest non-owner car insurance in Iowa?
Which companies offer non-owner car insurance with the best mix of quality and affordability in Iowa?
How much does non-owner car insurance cost in Iowa?

About Mark Fitzpatrick

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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.