Fact CheckedThe cheapest car insurance companies for August 2026
These are the cheapest monthly rates from some of the largest car insurance companies in the U.S. We can give you an up-to-date idea of what different driving profiles may pay for coverage, but it’s best to compare rates from a few companies to find your cheapest car insurance.
Coverage amounts
Full coverage: Travelers, $136 per month
Minimum coverage: GEICO, $41 per month
Driver age
Young drivers | Progressive, $300 per month
Millennial drivers | Travelers, $140 per month
Gen X drivers | Travelers, $122 per month
Senior drivers | Travelers, $132 per month
Driving record
Speeding ticket | Travelers, $177 per month
At-fault accident | Travelers, $188 per month
DUI | Travelers, $237 per month
Credit history
Good credit | Travelers, $136 per month
Poor credit | Travelers, $231 per month
These are median rates from NerdWallet's August 2026 analysis. Your rate will vary based on your personal information, location and insurance provider. Not all companies offer policies in every state.
NerdWallet’s editorial team analyzed car insurance rates from pricing analytics company Quadrant Information Services. In all, we examined more than 120 million rates across all ZIP codes in the United States from more than 130 insurance companies. We analyzed rates for drivers from varied ages, with different driving histories and credit scores.
Although Liberty Mutual is one of the largest insurers in the country, we didn’t include it in our analysis because of a lack of publicly available rates data.
For more detailed information about how we found the cheapest car insurance companies, please check our full methodology at the bottom of this page.
Strict editorial guidelines to ensure fairness and accuracy in our coverage.
Thorough rating guidelines for evaluating auto insurance companies.
More than 120 million rates analyzed by our team of specialists.
More than 130 insurance companies analyzed in all 50 states and Washington D.C.
You can trust the prices we show because our data analysts rigorously eliminate outliers and inaccuracies in pricing data. Our data includes rates from every ZIP code in a state where coverage is offered and data is available. We change one variable at a time when comparing rates for different coverage amounts and drivers, so it’s easy to see how each factor affects pricing.
We chose Travelers as the best cheap auto insurance company.
Full coverage: $136 per month.
» Read more: Rates from other highly-rated insurers.
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What to know about cheap car insurance
New to car insurance? Start here. States require a minimum amount of car insurance. Many people need what’s called “full coverage” — the state’s minimums with comprehensive and collision coverage — because this coverage is usually required by their auto loans.
Are insurers really that different? Insurers differ for their prices, financial strength, customer service and coverage offerings. But just about every company offers full coverage and a few other optional types of insurance. If you need one type of coverage, you should be able to shop around for it from at least a couple of insurers.
What’s on this page? This page has basic, need-to-know info about how car insurance works. It can also point you to companies that tend to have cheap rates for your state and driving record. We’ll also share a few tips that could help you lower your insurance costs.
Cheapest car insurance for full coverage: Travelers
Travelers is the cheapest large auto insurance company in the nation for full coverage, which includes comprehensive and collision coverage. The average cost of this policy from Travelers is $136 a month or $1,634 a year, according to NerdWallet's August 2026 analysis.
What it does. Full coverage protects your car from most types of damage — even damage that’s your fault. For this reason, it’s a good choice for many drivers. If or when you pay off your car and you can afford to repair or replace it, you could drop full coverage to lower your insurance rates.
Do you need it? You may be required to have full coverage if you lease your car or have a loan. (Lenders might also require another add-on called gap coverage, which helps cover the gap between what you owe on a totaled car and its current value.) You may want full coverage if you own a new car, drive a car you couldn’t afford to replace or live in an area with extreme weather.
| Company | Median annual rate | Median monthly rate |
|---|---|---|
| Travelers | $1,634 | $136 |
| GEICO | $2,023 | $169 |
| Progressive | $2,062 | $172 |
| State Farm | $2,065 | $172 |
| USAA* | $1,588 | $132 |
*USAA is available only to military families, veterans and some federal employees.
Cheapest car insurance for minimum coverage: GEICO
GEICO is the cheapest large auto insurance company in the nation for minimum coverage, which includes only liability insurance and other types of coverage your state requires. Minimum coverage from GEICO costs $41 a month or $488 a year, on average, according to NerdWallet's August 2026 analysis.
What it does. After an accident your liability car insurance, which is usually a part of the minimum amount of coverage a state requires, helps to pay for the injuries and property damage you cause to others. If you’re injured or your car is totaled in an crash that’s your fault, you — not your policy — would have to cover those costs.
Do you need it? Every state requires some amount of insurance, and all of them require liability insurance. But most drivers need more than the minimum amount of coverage. Basic insurance requirements can be so low that damage from a serious accident could easily leave you swamped with the expenses.
| Company | Median annual rate | Median monthly rate |
|---|---|---|
| GEICO | $488 | $41 |
| Travelers | $537 | $45 |
| State Farm | $551 | $46 |
| Progressive | $608 | $51 |
| USAA* | $352 | $29 |
*USAA is available only to military families, veterans and some federal employees.
More Nerdy Perspective
Minimum coverage may be right for you if you have limited income and need to get the absolute cheapest insurance you can find. While minimum coverage won’t pay for your car’s damage, it’s better to have some insurance than drive uninsured and risk big fines or get stuck paying thousands of dollars after a crash.
Minimum coverage may be right for you if you have limited income and need to get the absolute cheapest insurance you can find. While minimum coverage won’t pay for your car’s damage, it’s better to have some insurance than drive uninsured and risk big fines or get stuck paying thousands of dollars after a crash.
Andrew HurstHow can you tell if a car insurance company is actually cheap?
The cost and availability of car insurance changes from person to person, which makes it tough to rely on an insurer’s low average rate at the national level. Instead, you’ll need to check that the company offers cheap coverage in your area.
You can use the calculator below to estimate car insurance rates in your exact ZIP code. Once you know what you might expect to pay, you’ll be in a better spot to decide if the price that an auto insurance company offers you — or the rate you’re paying for your current policy — is actually a good deal.
Estimate your car insurance costs
Enter your ZIP code and adjust the filters to see average rates for drivers like you.
Cheapest car insurance among top-rated companies
While price is important for most auto insurance shoppers, other factors (like service quality and dependability) are also worth considering.
Each of these top insurance companies earned at least a 4.5-star rating from NerdWallet for customer service, financial stability, online experience and discount offerings. Not all insurance companies are available in every state, however.
These three factors can help you decide whether a company may be a fit:
It has the coverage you need. If an insurer has affordable rates but doesn’t offer the type of coverage you need, there are likely better options for you.
It has great customer service. Some cheap insurance companies have earned some of our best ratings for customer service. If you can, try to balance great service with affordability.
It has a reliable reputation. You want to have peace of mind that an insurer will still be in business if you need it one day. Look for a car insurance company that combines cheap rates with long-term stability.
Among top companies, Travelers tends to be the cheapest for most drivers.
*USAA is available only to military families, veterans and some federal employees.
Cheapest car insurance rates in your state
Location is one of many factors that affects the cost of car insurance. For example, the average rate for full coverage is $261 per month in Georgia. But drivers might only pay $137 per month, on average, for the same coverage in Alaska.
To help you get an idea of what you might pay, we found the cheapest car insurance company for full coverage in each state.
Use our auto insurance calculator to get an estimate for the average cost of insurance in your ZIP code, then see what you could pay for coverage.
Estimate full coverage rates by ZIP codeEnter your ZIP code to find the average monthly car insurance rate for your area. Rates are for policies that include full coverage for a 35-year-old driver with good credit and a clean driving record.
Average monthly car insurance rate in your ZIP code:
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Which cars are cheapest to insure?
In a yearly analysis NerdWallet found that the Subaru Outback, Crosstrek and Forester models, the Honda CR-V, and the Jeep Wrangler Sport are the cheapest cars to insure on average.
Car insurance tends to be cheapest for vehicles with low repair costs. You’re likely to pay more if you drive a high-end luxury car, a vehicle that’s likely to be stolen, or cars made with expensive materials and state-of-the-art safety features.
Insurance rates can also be cheaper for gas-powered cars than electric vehicles — though not always . EVs are sometimes more expensive to insure partly because of the high cost of replacing their batteries.
Cheapest car insurance rates by age
Age is another important factor in determining how much you'll pay for car insurance. For example, a 20-year-old driver would pay $300 a month, on average, for the same coverage that costs a 35-year-old driver $136, according to our August 2026 analysis.
As you age and gain driving experience, your car insurance rates start to drop closer to the national average. But this means that the cheapest company for you may also change. For this reason, it’s worth comparing rates regularly to find your cheapest car insurance at your current age.
Cheapest auto insurance for young drivers: Progressive
Progressive is the cheapest large auto insurance company in the nation for 20-year-old drivers who get their own policies, with an average rate of $300 a month or $3,594 a year for full coverage, according to NerdWallet's August 2026 analysis.
The cost of car insurance for young drivers is much more expensive than average, since auto insurance companies view inexperienced drivers as riskier to insure. If you're a young driver and live with your family, it may be cheapest to stay on the family policy until you have more experience behind the wheel.
Below are the cheapest rates for full and liability coverage for 20-year-old drivers.
Company Median annual rate Median monthly rate Progressive $3,594 $300 Travelers $3,657 $305 GEICO $3,777 $315 State Farm $4,523 $377 USAA* $3,440 $287 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate GEICO $977 $81 Progressive $1,021 $85 Travelers $1,144 $95 State Farm $1,336 $111 USAA* $747 $62 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest for young drivers who join an existing policy: Progressive
Progressive is the cheapest large auto insurance company in the country for 20-year-old drivers who join their parents' existing policy. Progressive has an average rate of $329 a month or $3,944 a year for a full coverage policy insuring the new driver and their two parents, according to a separate analysis we did in May 2026.
While it’s usually much cheaper for a newly licensed driver to join a parent or guardian’s policy, the total cost depends on whether the young driver has their own car (and, if so, how old that car is) or shares a family car. On average, separate cars cost more to insure.
Company
Median monthly rate
Monthly increase from two-adult policy
USAA*
$314
$115
Progressive
$329
$80
Travelers
$338
$130
GEICO
$399
$70
State Farm
$422
$133
Nationwide
$503
$159
American Family
$514
$142
Allstate
$636
$273
Farmers
$777
$235
*USAA is available only to military families, veterans and some federal employees.
This table shows insurance rates for drivers who share a car with their parents. For comparison, the average cost to insure two adults is $3,595 per year, according to our analysis of full coverage rates for a 50-year-old male driver and 45-year-old female driver sharing one policy.
Cheapest car insurance for millennial drivers: Travelers
Travelers is the cheapest large auto insurer for 40-year-old drivers, with an average rate of $129 a month or $1,551 a year for full coverage, according to NerdWallet's August 2026 analysis.
While car insurance rates vary by age and gender, drivers in their 30s and 40s can often get cheap insurance rates from most companies. Small and regional insurers may have even cheaper rates than some larger competitors.
Below are the average rates for full and liability coverage for 40-year-old drivers.
Company Median annual rate Median monthly rate Travelers $1,551 $129 Progressive $1,940 $162 GEICO $2,005 $167 State Farm $2,043 $170 USAA* $1,495 $125 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate GEICO $486 $41 Travelers $524 $44 USAA* $340 $28 State Farm $552 $46 Progressive $593 $49 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest car insurance for Gen X drivers: Travelers
Travelers is the cheapest large auto insurer for 50-year-old drivers, with an average rate of $122 a month or $1,465 a year for full coverage, according to NerdWallet's August 2026 analysis.
Once you’re in your 50s, car insurance usually costs much less than it does for younger drivers. At this age, changes to your car insurance needs might have changed in your favor. For example, if you own an older car that’s worth less than what it costs to insure, you could drop full coverage and lower your rates.
Below are the average rates for full and liability coverage for 50-year-old drivers.
Company Median annual rate Median monthly rate Travelers $1,465 $122 Progressive $1,760 $147 GEICO $1,898 $158 USAA* $1,397 $116 State Farm $1,963 $164 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate GEICO $474 $40 Travelers $501 $42 State Farm $537 $45 Progressive $571 $48 USAA* $325 $27 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest car insurance for senior drivers: Travelers
Travelers is the cheapest large auto insurer for 70-year-old drivers, with an average rate of $132 a month or $1,579 a year for full coverage, according to NerdWallet's August 2026 analysis.
Our analysis shows that older drivers with a good credit score and clean driving history enjoy some of the cheapest auto insurance rates. However, car insurance rates for senior drivers start to creep up once you reach your 70s.
Below are the average rates for full and liability coverage for 70-year-old drivers.
Company Median annual rate Median monthly rate Travelers $1,579 $132 USAA* $1,316 $110 Progressive $1,724 $144 State Farm $1,882 $157 GEICO $2,064 $172 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate GEICO $536 $45 State Farm $538 $45 Travelers $595 $50 USAA* $344 $29 Progressive $603 $50 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest auto insurance after a driving violation
Your driving history can have a big effect on how much you pay for car insurance. A 35-year-old with a clean driving record who chooses the cheapest company would pay $136 a month for full coverage, on average. Meanwhile, the cheapest rate for a driver with a single accident is $188, on average.
Cheapest car insurance after a speeding ticket: Travelers
Travelers is the cheapest large auto insurer for drivers with a speeding ticket, with an average rate of $177 a month or $2,118 a year for full coverage, according to NerdWallet's August 2026 analysis.
Insurance companies calculate rates differently. Some won’t raise rates after your first ticket, but others will. If a speeding ticket affects your insurance rates, you may still be able to get cheaper coverage if you shop around.
Company Median annual rate Median monthly rate Travelers $2,118 $177 State Farm $2,361 $197 GEICO $2,749 $229 USAA* $1,925 $160 Progressive $2,763 $230 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate GEICO $646 $54 Travelers $694 $58 State Farm $709 $59 Progressive $777 $65 USAA* $423 $35 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest car insurance after an at-fault crash: Travelers
Travelers is the cheapest large auto insurer for drivers with an accident, with an average rate of $188 a month or $2,260 a year for full coverage, according to NerdWallet's August 2026 analysis.
An accident can drive up your car insurance costs for three years or more, depending on your location and your insurer. But it can be hard to predict how much insurance will go up after a crash. You might be able to find a cheaper option by shopping around.
Company Median annual rate Median monthly rate Travelers $2,260 $188 USAA* $2,256 $188 State Farm $2,671 $223 Progressive $3,121 $260 GEICO $3,510 $292 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate Travelers $714 $60 USAA* $518 $43 State Farm $775 $65 GEICO $844 $70 Progressive $859 $72 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest car insurance after a DUI: Travelers
Travelers is the cheapest large auto insurer for drivers with a recent DUI, with an average rate of $237 a month or $2,845 a year for full coverage, according to NerdWallet's August 2026 analysis.
A DUI on your driving record can significantly increase your insurance rates. Your policy may not be renewed after a DUI. And, depending on your state, you may have to file a special form called SR22 or FR44 to prove you have the legal amount of insurance.
Company Median annual rate Median monthly rate Travelers $2,845 $237 Progressive $2,854 $238 State Farm $3,240 $270 USAA* $3,063 $255 American Family $3,801 $317 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate Progressive $795 $66 Travelers $917 $76 State Farm $1,048 $87 American Family $1,172 $98 USAA* $680 $57 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
Cheapest car insurance for drivers with poor credit: Travelers
Travelers is the cheapest large auto insurance company for drivers with poor credit, with an average rate of $231 a month and $2,768 a year for full coverage, according to NerdWallet's August 2026 analysis.
Many insurers use credit-based insurance scores to help calculate car insurance rates. However, California, Hawaii and Massachusetts don't allow insurers to use credit when determining car insurance rates.
Poor credit can have a big impact on auto insurance costs in most other states. Our analysis shows that drivers with poor credit can expect to pay an average of 67% more for full coverage than those with good credit.
Company Median annual rate Median monthly rate Travelers $2,768 $231 GEICO $2,908 $242 Progressive $3,437 $286 Nationwide $3,997 $333 USAA* $2,868 $239 *USAA is available only to military families, veterans and some federal employees.
Company Median annual rate Median monthly rate GEICO $689 $57 Progressive $869 $72 Travelers $888 $74 Allstate $1,027 $86 USAA* $581 $48 *USAA is available only to military families, veterans and some federal employees.
Rates refreshed August 2026.
How to get the cheapest car insurance quotes
We know a handful of reliable ways you can try to get cheaper car insurance. Try these instead of riskier “hacks” you might read about online. For example, things like skimping on your coverage, lying to an insurer by not mentioning drivers in your house or fudging your driving record all could get you into trouble and cause you to lose your coverage.
Shop around for car insurance.
We recommend comparing car insurance quotes from at least three companies. It’s also smart to shop around before your policy renews. That way, you’re more likely to avoid overpaying.
Consider dropping coverage you no longer need.
You won’t always need the same amount of car insurance, and carrying too much could inflate your insurance costs. It might be time to drop collision coverage once you could afford to repair or replace your vehicle on your own.
Increase your deductible.
You can usually lower your car insurance costs by committing to pay more out of pocket to make a future claim. Insurers call this raising your policy’s deductible. Be careful though: A higher deductible means you’ll only get payouts for serious damage.
Watch for easy-to-get discounts.
Most car insurance companies offer drivers ways to lower their rates. Some common auto insurance discounts are easier to get than others — like discounts for shopping online or signing up for electronic policy documents.
Ask about savings opportunities after a life change.
Many of life’s biggest changes line up with different discounts, though you might not know it. Moving into a new house, getting a new job that shortens your commute and having a young driver move out of your home are just a few changes that insurers may reward with cheaper rates.
Keep a safe driving record — or work toward one.
Accidents and driving violations raise rates at first, but often return closer to average after three to five years.
In the meantime, you might earn a discount for taking a defensive driving class or signing up for usage-based car insurance. If you opt into one of these programs, you could earn a discount for sharing detailed information about your driving via an app or plug-in device.
Reddit is an online forum where users share their thoughts in “threads” on various topics. The popular site includes plenty of discussion on financial subjects like auto insurance, so we sifted through Reddit forums to see what steps drivers are using to find cheap insurance.
People post anonymously on Reddit, so we can’t confirm anyone’s individual experiences or circumstances. After reading through many conversations, we found a few common themes:
Some drivers prefer to work with local, independent agents, because these agents are experts who can shop around and compare quotes for you. You can search in your area or use Trusted Choice, a network of independent insurance agents, to browse a directory of agents and find a good match.
Some drivers found that going to an insurer’s website helped them find cheaper quotes than what an independent agent gave them.
Some drivers recommend looking at smaller insurers, since these companies tend to offer better customer service and possibly even cheaper rates than a national company.
More Nerdy Perspective
I saved nearly $200 a year by choosing the cheapest way to pay my auto insurance premiums. By signing up for autopay, I got a discount on my policy and avoided a $5 monthly service charge. The savings added up to about 14%. That’s like skipping more than 1½ monthly payments!
I saved nearly $200 a year by choosing the cheapest way to pay my auto insurance premiums. By signing up for autopay, I got a discount on my policy and avoided a $5 monthly service charge. The savings added up to about 14%. That’s like skipping more than 1½ monthly payments!
Lisa Greenmanaging editor on Insurance
I saved nearly $200 a year by choosing the cheapest way to pay my auto insurance premiums. By signing up for autopay, I got a discount on my policy and avoided a $5 monthly service charge. The savings added up to about 14%. That’s like skipping more than 1½ monthly payments!
NerdWallet writers are subject matter authorities who use primary, trustworthy sources to inform their work, including peer-reviewed studies, government websites, academic research and interviews with industry experts. All content is fact-checked for accuracy, timeliness and relevance. You can learn more about NerdWallet's high standards for journalism by reading our editorial guidelines.
- 1.NAIC. Electric Vehicle Insurance Rates. Accessed Jul 31, 2026.
Auto insurance ratings methodology
NerdWallet’s auto insurance ratings reward companies for customer-first features and practices. Ratings are based on weighted averages of scores in several categories, including financial strength, consumer complaints and discounts. Our “ease of use” category looks at factors such as website transparency and how easy it is to file a claim. Using our editorial discretion, we also consider customer satisfaction surveys. These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews. Read our editorial guidelines and full ratings methodology for auto insurance.
Here’s how we evaluated each car insurance company and the weights we placed on each category:
Financial strength (30%).
Consumer complaints (30%).
Ease of use (20%).
Affordability (20%).
The best auto insurers excel at all of these categories. They provide the information people need to make a purchase without any surprises along the way. They offer insurance at a fair price and provide more than one way to buy and manage a policy. They're financially strong and able to keep their customers happy throughout the relationship.
Insurer complaints methodology
NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2022-2024. To assess how insurers compare to one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a company’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC. Ratios are determined separately for auto, home (including renters and condo) and life insurance.
Average rates methodology
NerdWallet averaged rates based on public filings obtained by pricing analytics company Quadrant Information Services. We examined rates for men and women for all ZIP codes in any of the 50 states and Washington, D.C. Although it’s one of the largest insurers in the country, Liberty Mutual is not included in our rates analysis due to a lack of publicly available information.
In our analysis, “good drivers” had no moving violations on record; a “good driving” discount was included for this profile. Our “good” credit rates are based on credit score approximations and do not account for proprietary scoring criteria used by insurance providers.
These are median rates, and your rate will vary based on your personal details, state and insurance provider.
Sample drivers had the following coverage limits:
$100,000 bodily injury liability coverage per person.
$300,000 bodily injury liability coverage per crash.
$50,000 property damage liability coverage per crash.
$100,000 uninsured motorist bodily injury coverage per person.
$300,000 uninsured motorist bodily injury coverage per crash.
Collision coverage with $1,000 deductible.
Comprehensive coverage with $1,000 deductible.
In states where required, minimum additional coverages were added. We used the same assumptions for all other driver profiles, with the following exceptions:
For drivers with minimum coverage, we adjusted the numbers above to reflect only the minimum coverage required by law in the state.
For drivers with one at-fault crash, we added a single at-fault crash costing $10,000 in property damage.
For drivers with a DUI, we added a single drunken-driving violation.
For drivers with a ticket, we added a single speeding violation for driving 16 mph over the speed limit.
We used a 2023 Toyota Camry LE in all cases and assumed 12,000 annual miles driven. We analyzed rates for 35-year-old drivers.
These are rates generated through Quadrant Information Services. Your own rates will be different.
