Cars / Cars and Bikes

How Much Does Car Insurance Cost By State?

It’s important to insure yourself in the event of an accident, but picking the right insurer can be difficult so you have to be mindful of the selections.

Jun 20, 2022 | By LUXUO
Image: Unsplash

Buying or owning a car comes with its own set of expenses: fuel charges, regular maintenance and, most of all, car insurance premiums.

On average, every driver in the US pays $1,070 annually towards auto insurance. It’s not a small amount, and it varies by age, gender, and state. Wondering how much you’ll have to pay depending on which US state you live in?

Find out the average car insurance rates in every state below and some critical information about your vehicle insurance.

Average Car Insurance Cost By State

Each state has its own rules and regulations regarding car insurance. Premiums vary state-by-state because the following differ:

  • Road conditions
  • Number of active drivers
  • The population of the state
  • State laws
  • Weather that can influence driving conditions or cause accidents
  • Percentage of uninsured drivers

States can determine what type of coverage a particular driver needs. Additionally, each state has its own set of approved auto insurance companies from which drivers can buy insurance. 

As per the current laws, states like New Hampshire require zero insurance. At the same time, car insurance costs in Michigan can be incredibly high due to its no-fault policy. In Louisiana, insurance premiums are also very costly because state lawyers file lawsuits for even minor accidents. 

Check out the table below for a comprehensive list of average car insurance costs in each state:

StateAverage Full Coverage Costs/Year (USD)Average Minimum Coverage Costs/Year (USD)
Alabama$1,760$443
Alaska$1,770$417
Arizona$1,743$579
Arkansas$1,806$437
California$2,190$619
Colorado$2,019$495
Connecticut$1,533$646
Delaware$1,963$747
Florida$2,762$997
Georgia$1,985$630
Hawaii$1,206$338
Idaho$1,065$271
Illinois$1,548$477
Indiana$1,242$329
Iowa$1,254$227
Kansas$1,802$419
Kentucky$1,954$658
Louisiana$2,864$807
Maine$876$227
Maryland$1,931$836
Massachusetts$1,296$446
Michigan$2,345$946
Minnesota$1,692$600
Mississippi$1,701$450
Missouri$1,861$504
Montana$1,795$310
Nebraska$1,538$367
Nevada$2,426$846
New Hampshire$1,182$324
New Jersey$1,891$855
New Mexico$1,489$347
New York$2,996$1,339
North Carolina$1,392$431
North Dakota$1,225$268
Ohio$1,200$336
Oklahoma$1,902$408
Oregon$1,371$625
Pennsylvania$2,002$441
Rhode Island$1,847$569
South Carolina$1,464$518
South Dakota$1,542$274
Tennessee$1,383$372
Texas$1,868$551
Utah$1,449$544
Vermont$1,000$242
Virginia$1,340$475
Washington$1,313$482
Washington, D.C.$1,948$613
West Virginia$1,527$427
Wisconsin$1,249$364
Wyoming$1,510$262

While these are the average costs for every state, you can always look for affordable car insurance. For example, if you want cheap Chicago Auto Insurance, you’ve to search for the insurance company with the lowest premium and the best coverage. 

Also, be on the lookout for offers, student discounts, telematics-based discounts, and possibilities of bundling your insurance. By doing this, you can sometimes save hundreds of dollars.

Factors Affecting Your Car Insurance

Location or state isn’t the only factor that influences your car insurance premiums. Sometimes, you will pay more than other drivers in the same state. 

Here are some factors that auto insurance companies consider while deciding your premium amount. 

Gender: Male drivers usually pay more car insurance premiums than females. For transgender people, some providers decide on coverage based on the sex mentioned on the driver’s license. 

Age: Older drivers enjoy low-cost car insurance because they’re considered experienced and less likely to be involved in accidents. Teenagers are usually the most expensive drivers when it comes to insurance premiums. 

Driving History: Your driving history, previous accident records, and DUIs are all considered when fixing premium rates. In fact, in severe cases of frequent damage and rash driving, insurance providers might deny you coverage altogether. 

Coverage Type: Minimum coverage plans usually only include physical injury and property damage liability. This means you’ll pay a lesser premium but may not get benefits such as towing cost reimbursements, carpool coverage, rental reimbursements, and in some cases, even personal injury protection. Full coverage car insurance will give you all these benefits but will cost more. 

While location plays a crucial role in determining your auto insurance premiums, several other factors also come into play. 

For example, the average car insurance cost is neither too high nor low. But if you’re in a big city like Chicago and have had rough driving experiences in the past, are younger, or are male, you might want to look for affordable Chicago auto insurance companies; otherwise, you’ll end up with an exorbitant cost. 

Regardless, if you want to save money on insurance, search for the cheapest car insurance and utilise offers where you can. 

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