Low cost auto insurance

Whether you’re looking for a full coverage car insurance policy or liability coverage only, nobody wants to overpay. And the best way to get the cheapest car insurance possible is by comparing car insurance quotes — and the companies offering them.

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To get you started, NerdWallet looked at car insurance prices across the country for different driver profiles and coverage levels. We’ve sliced the data in several ways to give you an idea of average costs and what factors might nudge your car insurance rate up — or even better, down.

Cheapest overall: Liability-only car insurance
Cheapest of the big car insurance companies
Check out smaller insurers, too
Cheapest car insurance in your state
How to get the cheapest possible insurance
Cheapest overall: Liability-only car insurance
The cheapest car insurance will often be the minimum coverage required in your state, which in most states is liability insurance. Liability insurance covers property damage and medical bills for others due to accidents you cause. Some states require additional or alternative coverage, such as personal injury protection.

Full coverage car insurance is more expensive and often comes with a deductible, a set amount you are responsible for if you file a claim. But it also provides more expansive coverage for your car, like if it’s stolen or damaged, whether by you, a hit-and-run driver or a fallen tree.

To get an idea of the cheapest car insurance rates, period, we looked at quotes from available carriers for the minimum required insurance in each state. Then, we compared it to the average cost of full coverage car insurance to show the difference in cost.
Average rates can give you an idea of pricing in your state for minimum or full coverage car insurance policies, but that says little about the companies available to you.

Cheapest of the big car insurance companies
Just five car insurance companies make up more than 55% of the U.S. market. They include Allstate, Geico, Progressive and State Farm, which are available to anyone, as well as USAA, the insurer for active military members, veterans and their families.

Since most people choose one of these large insurers, NerdWallet compared quotes from the five largest auto companies in ZIP codes across the country. Rates are for policies that include minimum coverage required in each state, plus collision and comprehensive coverage. Our “good driver” profile is a 30-year-old with no moving violations and credit in the “good” tier. Use the tabs to see rates for drivers with credit in the “poor” tier and those with one at-fault accident as reported to the insurer.

Keep in mind these are averages from across the country, so rates in your area will differ.
Check out smaller insurers, too
Finding cheap car insurance doesn’t mean you have to stick with large insurance companies. Regional and small insurers may beat the lowest offers from the big guys. For example:

Grange Insurance, which is available in 13 states through independent agents, came in cheaper than USAA in all three of the above categories. The average rate for good drivers was only $566 per year.
Erie Insurance, available in 12 states and the District of Columbia, had an average rate of $759 per year for good drivers. Bonus points: Erie locks in your initial rate for four years and ranks fourth among our best companies. Read our Erie Insurance review for more information.
Country Financial is available in 19 states and returned an average rate of $940 per year for good drivers. It was also cheaper than the big four (but not USAA) for drivers with at-fault accidents and poor credit.
How to get the cheapest possible insurance
No matter who your auto insurance company is, here are tips for saving on your policy:

Look for discounts — even ask for them. There could be discounts you’re not taking advantage of. For instance, maybe you retired and are driving less than when you bought your policy. Mention it and you might get a low-mileage discount.
Rethink insurance limits and deductibles. A higher collision and comprehensive deductible might make sense if you rarely drive or are financially comfortable with the risk. Raising deductibles means you’d owe more out of pocket if you had to file a comprehensive or collision claim, but it’s a surefire way to get cheaper car insurance.
Know when to cut coverage. Don’t strip away coverage just for the sake of a lower price. You’ll need full coverage car insurance to satisfy the terms of an auto loan, and you’ll want it as long as your car would be a financial burden to replace. But for older cars, you can drop comprehensive and collision coverage, which only pay out up to your car’s current value, minus the deductible.
Cash in on major life changes. Certain life events could translate to cheaper car insurance. For instance, many companies offer a lower rate for married couples or domestic partners. Or perhaps you moved to a suburb with lower accident and crime rates. If your risk for accidents goes down, your rates just might, too.
NerdWallet’s car insurance comparison tool makes it easy to see side-by-side rates from top companies.
f you own a car, car insurance is a required expense in 48 of the 50 states. A lack of diligence when shopping for your car insurance could lead to a hefty monthly bill, as well as headaches if you actually need to file a claim. We researched and explored quotes from over 128 companies in 2,700 cities to determine which insurers had the lowest costs, nationally and in each state. Our team also evaluated which companies had the best track record for customer service and the claims process.
What is the Cheapest Car Insurance Company?
After our analysis of 2,700 cities and 128 companies, we found that Erie was the most affordable major insurer in the country with an average yearly rate of $1,052 based on our sample driver — about 31% cheaper than the national average across every insurer. The very largest of the five is GEICO, the second largest auto insurer in the U.S. by market share.

Graph shows the five cheapest car insurance companies in the United States

In the table below, you can see how the average annual rates for the 15 most affordable large auto insurers in the country compared based on quotes we obtained for an example 30 year old driver.

Rank Company Annual Rate
1 Erie $1,052
2 GEICO $1,067
3 American Family $1,099
4 Auto Owners $1,201
5 Progressive $1,241
6 Farmers $1,249
7 State Farm $1,372
8 State Auto $1,397
9 Nationwide $1,404
10 Allied $1,470
11 Allstate $1,718
12 Safe Auto $1,855
13 MetLife $1,957
14 Victoria $2,057
15 Encompass $2,129
*Premiums based on our sample driver

The Three Cheapest Car Insurance Companies
Erie

Erie is the United States’ 13th largest insurer despite being found in only nine states. Overall, it was frequently the cheapest insurer for drivers in its market, beating state averages by 28%. In states like Virginia and Pennsylvania, drivers could find Erie for 40% less than the state average.

GEICO

The nation’s second largest insurer is the second least expensive one as well. Though found in every state, drivers in New York and Utah can save up to 50% by going with GEICO. On average, GEICO beat state averages by 28%.

American Family

Though not the most well known brand of auto insurance, we still found American Family in nearly 1,000 cities nationwide where it beat state averages by 14%. Drivers in Washington and Colorado can even reap premiums 32% and 29% under their state averages.

The Cheapest Insurers By State
The price of car insurance can vary greatly between states. One company may be expensive in Utah, but inexpensive in New York. In some states, a small, local company could even offer the best price. Below, click through to your state to see which company and cities have the least expensive car insurance based on the numerous studies we’ve conducted.