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Average Car Insurance Costs in 2020

Jan. 29, 2020
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The national average cost of car insurance is $1,427 per year, according to NerdWallet’s 2020 rate analysis.

That works out to an average car insurance rate of about $119 per month for 40-year-old drivers with good credit and a clean driving record. But average costs vary widely for other types of drivers.

National average car insurance rates are:

  • $1,427 for a good driver with good credit.
  • $1,781 after a speeding ticket.
  • $2,146 after an at-fault wreck.
  • $2,506 for a good driver with poor credit.
  • $2,531 after a DUI.
  • $2,106 for a 50-year-old married couple with two cars.
  • $3,906 for a married couple plus a teen driver, with two cars.

These rates are for full coverage policies, which include liability, comprehensive, collision, uninsured/underinsured motorist protection and any additional state-mandated coverage.


For minimum required coverage, national average car insurance rates are:

  • $606 for a good driver with good credit.
  • $755 after a speeding ticket.
  • $910 after an at-fault wreck.
  • $1,078 for a good driver with poor credit.
  • $1,079 after a DUI.

That’s about $51 per month for a 40-year-old driver with good credit and a clean driving record, ranging up to $90 per month for a driver with a recent DUI for minimum coverage car insurance.

But averages don’t say much about your own car insurance rates. A number of personal factors, both within and outside of your control, inch rates up or down until your price is totally personalized.

How much does car insurance cost in my state?

Where you live can have an enormous impact on auto insurance rates, because each state has different regulations for auto insurance. Average prices in the most expensive states are three to four times higher than those in the cheapest ones.

How much insurance you have matters, too: Full coverage car insurance is more than double the price of minimum coverage, on average, according to our analysis. Here’s what our state-by-state analysis of 2020 car insurance rates shows for drivers with good credit and no recent accidents:

  • Maine is the cheapest state for full coverage car insurance with an annual average rate of $916, followed by Idaho and Virginia.
  • Louisiana is the most expensive state for full coverage auto insurance at $2,971 per year on average, followed by Florida and Michigan.
  • Iowa is the cheapest state for minimum required coverage, at an annual average car insurance rate of $309, followed by South Dakota and Vermont.
  • For minimum required coverage, Michigan is the most expensive state at $1,285 per year, on average, followed by Florida and Louisiana.

» MORE: Minimum required car insurance in every state

Average car insurance costs for full and minimum coverage by state

StateFull coverageMinimum coverageAnnual difference
National average$1,427$606$821
Alabama$1,401$558$843
Alaska$1,180$456$724
Arizona$1,409$581$828
Arkansas$1,427$558$869
California$1,627$636$991
Colorado$1,570$636$934
Connecticut$1,683$854$829
Delaware$1,559$839$720
District of Columbia$1,527$755$772
Florida$2,352$1,188$1,164
Georgia$1,594$690$904
Hawaii$1,176$487$689
Idaho$937$362$575
Illinois$1,163$437$726
Indiana$994$409$585
Iowa$997$309$688
Kansas$1,306$434$872
Kentucky$2,161$983$1,178
Louisiana$2,971$1,150$1,821
Maine$916$367$549
Maryland$1,595$800$795
Massachusetts$1,299$550$749
Michigan$2,331$1,285$1,046
Minnesota$1,280$579$701
Mississippi$1,385$513$872
Missouri$1,339$505$834
Montana$1,252$395$857
Nebraska$1,181$420$761
Nevada$1,881$902$979
New Hampshire$1,056$415$641
New Jersey$1,759$994$765
New Mexico$1,241$484$757
New York$1,962$1,026$936
North Carolina$1,075$411$664
North Dakota$1,235$400$835
Ohio$1,051$463$588
Oklahoma$1,595$583$1,012
Oregon$1,228$639$589
Pennsylvania$1,167$413$754
Rhode Island$1,684$820$864
South Carolina$1,458$656$802
South Dakota$1,245$312$933
Tennessee$1,170$426$744
Texas$1,471$664$807
Utah$1,248$607$641
Vermont$993$327$666
Virginia$960$381$579
Washington$1,261$652$609
West Virginia$1,307$504$803
Wisconsin$1,005$359$646
Wyoming$1,184$333$851

“Full coverage” isn’t a type of policy you can select from a list, but generally includes comprehensive and collision insurance on top of any additional state-mandated coverage types, such as liability insurance. The policies we analyze also include uninsured/underinsured motorist coverage.

» MORE: Compare car insurance rates

Average car insurance costs by company

Every car insurance company sets rates based on dozens of factors, including your driving history, location, vehicle and demographics. They’re making an educated guess about how likely you are to file a claim in the future and setting your price accordingly.

Each insurer treats each factor differently. If you have poor credit, one insurer might charge you 10% more for the policy, while another would charge 40% more. A discount for being claim-free in recent years might earn you a 20% discount with one company and 5% at another.

All this results in very different rates from one person to the next. This is why the company that gives your friend super-low rates might not be the cheapest for you. Here are annual rates for many of the nation’s largest insurers, for full and minimum coverage.

Average car insurance costs from large companies

CompanyFull coverageMinimum required coverage
*USAA is available only to active military, veterans and their families.
21st Century$1,588$776
Allstate$1,834$784
American Family$1,233$601
Amica$1,183$458
Automobile Club Group$1,468$606
Auto Club of SoCal$1,610$633
Auto-Owners$1,357$519
Country Financial$1,136$405
CSAA$1,710$543
Erie$835$295
Farmers$1,865$926
Geico$1,198$478
Kemper$1,557$531
Liberty Mutual$1,778$900
Mercury$1,675$639
MetLife$1,679$826
National General$1,067$414
Nationwide$1,349$682
NJM$1,301$644
Progressive$1,766$774
Safeco$1,317$475
State Farm$1,511$624
The Hanover$3,112$1,392
The Hartford$1,495$537
Travelers$1,528$815
USAA*$1,023$415

Bear in mind that state regulations heavily affect prices, and some of these companies are primarily available in “cheap” or “expensive” states for auto insurance. We can get rates from up to 15 of the largest carriers in a state, so many smaller insurers aren’t included due to a lack of pricing data.

Average car insurance rates after a speeding ticket

A clean driving record helps keep auto insurance prices down, but a single speeding ticket may not hurt your rates as much as you think. On average, you can expect auto insurance rates to be about 25% higher after a speeding ticket for going 16 miles over the limit, NerdWallet’s analysis found.

For a driver with one recent speeding ticket, average car insurance rates are:

  • $1,781 per year for full coverage.
  • $755 per year for minimum coverage.

How much a speeding ticket raises average car insurance costs

Type of policyClean driving historyOne speeding ticketAnnual difference
Full coverage$1,427$1,781$355
Minimum coverage$606$755$148

But price differences vary widely by state. Here are some examples for a full coverage policy.

  • In six states — Alaska, Iowa, Pennsylvania, Texas, Vermont and Virginia — rates go up less than $200 a year, on average, after a speeding ticket.
  • In Michigan, average rates are a whopping $1,085 a year more for a driver with a speeding ticket than for the same driver with a clean record.

After a ticket, it’s important to shop around for car insurance quotes. Some companies barely increase prices for drivers with a speeding ticket, while others raise them dramatically. For a full coverage policy:

  • American Family and Erie charge less than $60 a year extra, on average, for a ticketed driver compared to the same driver with a clean record.
  • In contrast, Auto Club Group and The Hanover raise rates by more than $1,200 a year, on average.

» MORE: What to do after you get a speeding ticket

Average car insurance rates after an at-fault accident

Causing a wreck raises auto insurance rates about twice as much as a speeding ticket. After an accident, average auto insurance prices for an at-fault driver are:

  • $2,146 per year for full coverage.
  • $910 per year for minimum coverage.

On average, car insurance rates are 50% higher for a driver who has caused a wreck than for one who hasn’t.

How much an at-fault crash raises average car insurance costs

Type of policyClean driving historyOne at-fault accidentAnnual difference
Full coverage$1,427$2,146$719
Minimum coverage$606$910$304

State to state, rate increases after an accident tend to stay in the 30% to 60% range, with notable exceptions in California, Massachusetts and North Carolina, where rates increase after an accident by 70% to 80%, on average. In California, that translates to an extra $1,300 a year in car insurance premiums.

How much your rates will rise also depends on the severity of damage and whether you have accident forgiveness on your policy or any “good driver” discounts you stand to lose. The hypothetical accident in our analysis was relatively minor, resulting in $10,000 worth of property damage and no injuries. Accidents resulting in medical costs can be very expensive and result in even steeper rate increases.

It’s important to shop for the cheapest insurer after an accident, because each company considers factors like a crash differently in setting prices. Our analysis found that NJM, which sells car insurance only in New Jersey and Pennsylvania, may not increase rates after a wreck, while rates at Kemper and 21st Century more than double.

Causing an accident can raise your auto insurance costs for three to five years afterward, depending on the carrier. This is why it’s wise to shop for car insurance quotes just after the third and fifth anniversary of your wreck to see if you can get a better deal.

» MORE: How much car insurance rates go up after an accident

Average car insurance costs for good and bad credit

Having bad credit has a surprisingly large impact on auto insurance rates in most states. On average, car insurance rates for drivers with poor credit are more than 75% higher than for people with good credit.

Average car insurance rates for a driver with poor credit are:

  • $2,506 per year for full coverage.
  • $1,078 per year for minimum coverage.

Average auto insurance rates for good and bad credit

Type of policyGood creditPoor creditAnnual difference
Full coverage$1,427$2,506$1,079
Minimum coverage$606$1,078$472

Insurers use a “credit-based insurance score,” similar to a credit score, to help set rates in most states. The insurance score uses all the same factors as a credit score — things like on-time payments and delinquencies — but weighs them differently. Insurance companies point to data linking poor credit to more frequent insurance claims to justify the higher prices to state regulators.

The score’s impact on your premium depends on where you live and which car insurance company you choose. In three states — California, Hawaii and Massachusetts — car insurance pricing based on credit history is banned by law.

In contrast, average rates more than double in nine states: Arizona, Connecticut, Maine, Michigan, New Hampshire, New Jersey, New York, South Carolina and Utah.

Some companies are more forgiving of bad credit than others, so it’s worthwhile to shop for quotes while you’re trying to build your credit. For example, here’s what we found for a 40-year-old buying full coverage:

  • The Hanover’s rates for a driver with bad credit in Connecticut, Maine, Michigan and New Hampshire are more than triple its rates for someone with good credit.
  • At the other extreme, National General’s rates in North Carolina are only $1 a month higher for a driver with poor credit than for one with good credit.

Average car insurance rates after a DUI

Getting caught drinking and driving will mean significantly higher prices for car insurance. On average, auto insurance rates go up about 77% for a driver with a recent DUI, NerdWallet’s analysis found.

For a 40-year-old driver, average car insurance rates after a DUI are:

  • $2,531 per year for full coverage.
  • $1,079 per year for minimum coverage.

How much a DUI raises average car insurance costs

Type of policyClean driving historyRecent DUIAnnual difference
Full coverage$1,427$2,531$1,104
Minimum coverage$606$1,079$473

Our analysis found an average increase of at least $500 a year for full coverage car insurance after a DUI in every state, and in North Carolina and Michigan, the average increase is more than $3,000 a year.

Shopping around for the cheapest car insurance after a DUI can lessen the blow. Among the largest companies in our analysis, average annual rates for full coverage car insurance after a DUI ranged from $1,397 at American Family to $5,454 at Auto Club Group (a regional AAA insurer), a difference of more than $4,000 a year.

Switching to your state’s minimum required insurance coverage is another way to lower the cost. For minimum coverage, we found average annual rates ranging from $520 at Erie to $3,028 at Auto Club Group. However, if you have a loan on your car, or it’s leased, you may be required to keep collision and comprehensive coverage.

Average car insurance rates for young drivers

Insurers see less experienced drivers as a bigger risk and typically charge them heftier prices. On average, car insurance rates are more than $200 a year higher for a 25-year-old driver than a 40-year-old, our analysis found.

For a 25-year-old driver with good credit and a clean driving record, average car insurance rates are:

  • $1,663 for full coverage.
  • $682 for minimum required coverage.

But young drivers with blemished credit or a less-than-perfect driving history are likely to shell out more for car insurance.

Average auto insurance costs for a 25-year-old driver

Driver profileFull coverageMinimum coverage
Good driver with good credit$1,663$682
One speeding ticket$2,054$841
One at-fault crash$2,451$1,008
Poor credit$2,894$1,195
One DUI$2,911$1,204

Knowing average rates gives you an idea of what to expect, but it’s only a starting point for a young driver looking for affordable car insurance. Rates can vary by hundreds of dollars a year, depending on where you live and which insurer you choose. Here are average rates for the 10 largest auto insurance companies for a 25-year-old driver buying a full coverage policy.

  • American Family: $1,386.
  • Geico: $1,426.
  • Nationwide: $1,539.
  • Travelers: $1,703.
  • State Farm: $1,737.
  • Progressive: $1,959.
  • Allstate: $1,983.
  • Farmers: $2,092.
  • Liberty Mutual: $2,311.
  • USAA*: $1,251.

*USAA is available only to active military members, veterans and their families.

Check with several companies to find the best possible rate and be sure to ask about car insurance discounts for young drivers.

Average car insurance rates for couples and families

Two cars are more expensive to insure than one, especially when you add a teen driver to the mix. For a 50-year-old married couple with two vehicles, average annual auto insurance rates are:

  • $2,106 for a husband and wife.
  • $3,906 for a couple plus an 18-year-old driver.

If the teen driver is male, our hypothetical family will pay more. In the eyes of insurance companies, young male drivers are a particularly high risk because they are more likely to cause accidents than other drivers.

Average auto insurance costs for a couple with a teen driver

Family typeAverage annual priceCost above couples' policy
Couple with teen daughter$3,725$1,619
Couple with teen son$4,086$1,980

Small or regional insurers often have the lowest average car insurance rates for couples and families. Among major companies, Erie is one of the cheapest, with average rates of $1,251 for a married couple and $2,311 for a couple with a teen. The priciest companies are thousands of dollars higher, on average.

» MORE: Finding the cheapest car insurance for teens

Average car insurance costs by gender

On average, car insurance costs differ little by gender compared with differences we see by company, state, credit score and driving history. That doesn’t mean that a cost difference due to your gender would be insignificant, only that it’s not a pricing factor well-illustrated by national statistics.

Gender-based pricing is banned by law in seven states: California, Hawaii, Massachusetts, Montana, North Carolina, Pennsylvania and parts of Michigan.

In states where the practice is allowed, we averaged rates for men and women separately and found that on average:

  • At age 25, men pay about $51 more than women per year.
    At age 40, women pay about $37 more than men per year.

» MORE: Find cheap car insurance for women

Average cost of car insurance by vehicle

In other analyses, we used a 3-year-old Toyota Camry (the most popular sedan in America by sales in recent years) to show how rates vary by personal history and demographics. But the make and model of your vehicle will certainly affect rates.

Insurers charge more to cover certain cars, including:

  • Sports cars, which have higher top speeds. People tend to drive them faster, increasing the likelihood of a wreck or traffic violation. If you get a speeding ticket, insurers think you’ll be more likely to cause an accident, which increases rates further.
  • Luxury cars because they tend to have expensive parts and details that are costlier to replace if damaged in a crash.
  • Electric vehicles, which have more expensive engine parts to replace, especially the batteries, which can cost thousands each.
  • Cars that are stolen often, which tend to have higher rates for comprehensive insurance, which pays out when your car is stolen or damaged by something non-traffic-related, such as floods, fire and vandalism. Comprehensive insurance is typically optional unless you have a loan or lease.

To see how rates differ depending on your vehicle, we looked at average car insurance rates for the 25 most popular vehicles based on sales in a separate analysis from 2019. As you can see below, the Camry is far from the cheapest model. That honor goes to the Subaru Outback for an average car insurance cost of $1,429 per year.

RankAverage annual insurance premium
1. Subaru Outback$1,429
2. Jeep Wrangler$1,455
3. Honda CR-V$1,474
4. Jeep Compass$1,497
5. Ford Escape$1,503
6. Subaru Forester$1,537
7. Chevrolet Equinox$1,551
8. GMC Sierra 1500$1,563
9. Toyota Tacoma$1,571
10. Jeep Cherokee$1,579
11. Toyota Highlander$1,603
12. Toyota RAV4$1,606
13. Nissan Rogue$1,611
14. Ford Explorer$1,628
15. Ram 1500$1,645
16. Ford F-150$1,654
17. Honda Accord$1,660
18. Chevrolet Silverado 1500$1,665
19. Hyundai Elantra$1,732
20. Honda Civic$1,743
21. Ford Fusion$1,746
22. Toyota Camry$1,758
23. Nissan Sentra$1,797
24. Toyota Corolla$1,797
25. Nissan Altima$1,853

You can see that as you go down the list, the average price typically changes by only a few dollars per year, but between the Outback and the Nissan Altima, there’s an annual difference of $424, on average. That works out to about $35 per month, perhaps not enough to persuade someone with their heart set on an Altima to buy an Outback instead.

What other factors affect my car insurance cost?

After all these rates and pricing factors, it could be hard to figure out what other factors affect your insurance rates. Here are some of them:

  • More specific location data such as your ZIP code or city.
  • Your occupation, in many states.
  • Your previous insurance company. If it was a nonstandard insurer specializing in high-risk drivers, you might see higher insurance rates with some companies.
  • Continuous insurance coverage. Companies charge more for drivers with lapses in coverage.
  • Annual mileage driven per car.
  • Your marital status. Single people — even widows, widowers and divorced folks — tend to have higher insurance rates.
  • Whether you own your home (and whether you bundle home insurance with auto).
  • How much education you’ve completed.
  • Additional coverage options you choose, such as new-car replacement coverage and gap coverage.
  • Discounts you’re eligible for, which vary widely by company.
  • Whom you live with. Some companies won’t allow you to exclude people such as roommates or nondriving adults from your policy.

How to get cheap car insurance

By now you may have concluded that average car insurance costs have little to do with your own — this is true. No matter how many averages you look at, the same disclaimer holds true: “Your own rates will be different.”

But you can still find the best cheap insurance for you by shopping around for rates every year and every time something major happens in your life, including marriage, a new job, moving or buying a new car. Additionally, if you’ve had a recent at-fault accident, DUI or other traffic violation, be sure to shop in the month after the third and fifth anniversaries of the incident.

If you’re ready to shop, you can check out the cheapest companies in your own state for several driver profiles.

Methodology

NerdWallet averaged rates for 40-year-old men and women for all ZIP codes in any of the 50 states and Washington, D.C., in which the insurer was one of the largest insurance companies (by premiums written). “Good drivers” had no moving violations on record and an insurance credit score considered “good” by each insurer; a “good driving” discount was included for this profile. 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.
  • We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for drivers with poor credit.
  • For drivers with a ticket, we added a single speeding violation for driving 16 mph over the speed limit.
  • 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.
We used a 2016 Toyota Camry LE in all cases and assumed 12,000 annual miles driven. In all cases, a paperless discount, e-signature discount and electronic funds transfer discount were automatically applied. These are sample rates generated through Quadrant Information Services. Your own rates will be different.

For the 25 most popular vehicles:

NerdWallet averaged insurance estimates from the largest insurers in 10 states: California, Florida, Georgia, Illinois, Michigan, North Carolina, New York, Ohio, Pennsylvania and Texas.

Rates were for 40-year-old male and female drivers with good credit, no tickets or violations, and with the following coverage limits:

  • $100,000 bodily injury liability coverage per person.
  • $300,000 bodily injury liability coverage per crash.
  • $25,000 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 $500 deductible.
  • Comprehensive coverage with $500 deductible.

In states where required, minimum additional coverages were added. These are sample rates generated through Quadrant Information Services. Your own rates will be different.

Vehicles listed were the 25 top-selling models in the U.S. in 2018, according to data collected by Car and Driver. Starting MSRP and insurance rates are for 2019 models.

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