Average Cost of Car Insurance (March 2023)

What We're Geeking Out On

• How Much Does Car Insurance Cost?
• Average Cost for Major Insurers
• Average Cost for Midsized Insurers
• Average Cost by State
• Compare Average Costs by Coverage
• How Much Is Car Insurance for You?
• Average Car Insurance Cost by Age
• Average Cost by Car Model
• Average Cost After a DUI
• Average Cost After a Ticket
• Average Cost After an Accident
• Average Cost by Credit Score
• Other Factors That Impact Cost
• Expert Advice

Car insurance rates vary based on many factors such as age, driving record, credit score, your state and vehicle type. Each insurer also weighs these factors differently when calculating rates.

A snapshot of how much car insurance costs for different drivers includes:

• Average U.S. Driver With Full Coverage: $884 per year, $74 per month.
• Average U.S. Driver With Liability-Only Coverage: $694 per year, $58 per month.
• Average Cost With Good Credit: $884 per year, $74 per month.
• Average Cost With Bad Credit: $1,536 per year, $128 per month.
• Average Cost With a Speeding Ticket: $1,236 per year, $103 per month.
• Average Cost With an Accident: $1,467 per year, $122 per month.
• Average Cost With a DUI: $1671 per year, $139 per month.

The average car insurance costs shown above represent the average cost for a policy paid in full per annum. There is usually a discount for paying in full and drivers should be aware that they may pay more for their policy if they opt for monthly payments.

Car insurance costs vary widely across companies and locations. Of the companies widely available across the country:

• State Farm is the cheapest car insurance company for a full coverage policy, with an average rate of $883 per year.
• Nationwide offers the lowest average rate for a liability-only policy at $506 per year.

While USAA is the least expensive for full coverage ($679 per year) and liability-only policies ($357 per year), it is only available to current or former active-duty military, veterans and their eligible family members.

Use the table below to review the national average rates for one of two options: full coverage car insurance with 100/300/100 coverage or liability-only insurance with 100/300/100 coverage.

Among regional insurance companies, PEMCO (available in Washington and Oregon) has the lowest average rate for full coverage car insurance at $533 per year, while American National P&C is the cheapest for liability-only insurance, at $292 per year.

Although many midsized insurers don’t have national availability, they still make up a large share of the car insurance market for the states in which they’re available.

Browse the national average rates for a full coverage policy with 100/300/100 coverage or a liability-only policy with 100/300/100 coverage in the table below. If you are responsible for an accident, both policy types will cover the other driver up to $100,000 for bodily injury per person, up to $300,000 for bodily injury per accident, and up to $100,000 for personal property damage to the other vehicle. Full coverage, which includes comprehensive and collision coverage, will provide the same liability benefits along with coverage for your own vehicle for damage unrelated to an accident and for damage or injury related to an accident, no matter who was at fault.

The average cost of car insurance differs between states due to varying requirements and coverage types. While the cheapest states for full coverage insurance are:

• Idaho ($661 per year)
• Vermont ($677 per year)
• Maine ($723 per year)

The most expensive are:

• New York ($2,078 per year)
• Michigan ($1,786 per year)
• Delaware ($1,708 per year)

For minimum coverage, the states with the lowest average rates are:

• Iowa ($253 per year)
• Wyoming ($264 per year)
• Vermont ($277 per year)

Meanwhile, the most expensive states are:

• New York ($1,170 per year)
• Delaware ($1,017 per year)
• Michigan ($919 per year)

Select a state in the table below to see its average rates for full and minimum coverage policies.

Liability-only car insurance coverage offers protection against the cost of damage or injuries for the other driver when you are at fault. Full coverage includes liability insurance and comprehensive and collision coverage, covering non-collision incidents and damages to your vehicle.

Liability-only coverage is cheaper, but full coverage provides the best financial protection. A liability-only policy for a 40-year-old driver costs an average of $582 per year, while a full coverage policy costs $1,105 per year.

Choosing your coverage level wisely can help you find the best car insurance for your particular needs and circumstances.

Use the table below to view average rates from providers for the following coverages:

• State minimum liability-only
• State minimum full coverage
• 100/300/100 liability-only
• 100/300/100 full coverage
• 300/500/300 liability-only
• 300/500/300 full coverage

Because minimum car insurance requirements vary by state, we used an average to present the national average of state minimum coverage rates.

While the average cost of car insurance is a good place to start researching the best policy and provider to fit your budget, the next step of the process is to begin comparing quotes to find the best and cheapest car insurance policy and rates for you. MoneyGeek recommends getting at least three quotes from different providers for the same policy to ensure a fair comparison.

To compare car insurance quotes:

• Gather your personal information
• Decide how much car insurance you need
• Ask the provider and apply for any car insurance discounts that are available to you
• Compare quotes across insurers

If you want to make the process even easier, use our Auto Insurance Calculator below to get personalized quotes and to review the top providers in your area.

Age is a significant factor affecting car insurance costs. Young drivers often have more expensive premiums due to a lack of experience on the road and higher rates of accidents. Drivers from 16 to 19 account for 8.9% of drivers in all crashes and 6% of drivers in fatal crashes.

Car insurance rates tend to decrease as a driver ages. However, premiums may slightly increase for those over the age of 65. For instance, a full coverage policy costs roughly $5,486 per year for 16-year-olds, $1,220 per year for 40-year-olds and $1,252 per year for 70-year-olds.

Certain car models can be extremely expensive to insure, but most car models will alter a driver’s rates by less than a few hundred dollars per year. For example, the top selling sedan (Toyota Camry), truck (Ford F-150) and SUV (Toyota RAV4) models in the country all cost our sample driver an average of $1,266 to $1,414 to insure.

On the other hand, sports cars and electric car models can be much more expensive to insure than the average car. MoneyGeek found that the most expensive car to insure is a Nissan GT-R. The cheapest car model to insure is a Honda CR-V.

If you have a DUI (DWI or OWI in some states) on your driving record, that can significantly increase your rates, as insurance companies take it as a sign that you are high risk.

• The average cost of a 100/300/100 full coverage policy with a $1,000 deductible for a DUI driver is $1,671 per year.
• The average cost for the same policy for someone with a clean record is $884. That means a DUI can increase premiums by 89%.

A DUI can stay on your driving record for years and the exact length of time will depend on the state in which you live. Additionally, having a DUI on your record may mean you are required to file an SR-22 or financial responsibility form (FR-44).

The table below presents the national average rates for drivers with a DUI for a full coverage policy from major car insurance companies.

How much you’ll pay for car insurance can be significantly affected by your accident history.

• The average cost of a 100/300/100 full coverage policy with a $1,000 deductible is $1,467 per year for a driver with an at-fault accident on record.
• The same policy costs an average of $884 per year for a driver with a clean record. This shows that an accident on your record can increase your rates by 67%.

The table below provides the national average rates for a full coverage policy with an accident on record from major car insurance companies.