Car Insurance Calculator: Estimate Your Insurance Costs

The cost of owning a vehicle is more than just car payments and routine maintenance. Car insurance prices can vary by thousands of dollars a year, depending on your vehicle and driver details, but NerdWallet’s car insurance estimator is a simple tool that can help you avoid overpaying for coverage.

NerdWallet's car insurance calculator

The national average car insurance rate is $2,571 a year for full coverage, according to NerdWallet’s July 2025 rate analysis, although your rates will differ based on things like where you live, your driving history and how old you are.

How to save when you estimate car insurance costs

Calculating car insurance may seem like something you’ll only do when getting a new car. But car insurance rates fluctuate over time, even if your personal information and vehicle details don’t change. That’s why we recommend comparing car insurance quotes from a few different companies every year to make sure you’re getting a good rate.

So whether you are car shopping or looking to save with a new insurance company, here’s how to get the most out of our car insurance calculator:

1. Pick the right car: Car insurance prices vary by car, so it helps to know which vehicles — like luxury cars or electric vehicles — may cost more. For example, the average annual cost to insure a Subaru Outback is $1,427, compared to $2,231 for a Tesla Model 3, according to our July 2024 analysis.

2. Choose the right coverage: Decide how much insurance coverage you need before buying a new car. Collision and comprehensive coverage might be optional, but they cover damage to or loss of the vehicle. And if you get a car loan or lease your vehicle, most lenders will require you to carry these types of coverage. (You can use our auto loan calculator to estimate your payments before you make a purchase.)

3. Find the right price: Once you’ve taken care of the first two steps, you’ll want to compare quotes from a few different companies. Make sure your quotes include the same amount of coverage so you can accurately see which option is the best for you.

How is car insurance calculated?

Factors that affect car insurance prices include:

• Personal characteristics. Details like age, gender and marital status will affect your quoted prices. A 20-year-old driver may pay $5,195 a month, on average, compared to the $2,494 that a 40-year-old would pay, according to NerdWallet’s July 2025 rate analysis.

• The coverage you choose. Most insurers will let you choose policy coverage limits and select optional coverage types, like uninsured motorist coverage or gap coverage. The more coverage you get, the higher your insurance rate is likely to be.

• Your driving record. Shop around if you have a recent DUI, speeding ticket or at-fault accident, because some insurers may not penalize certain driving violations as severely as others. Drivers with a recent accident could pay $2,445 a month for full coverage from Travelers, on average, compared to paying an average of $3,103 for a similar policy from State Farm.

• Your location. Most states require a minimum amount of car insurance coverage, and factors like your local crime rate and population density can affect your car insurance cost too. For example, drivers in New York City could pay $5,978 a year, on average, for a full coverage policy compared to drivers living in nearby Newark, N.J., who could pay an average of $4,732 for full coverage.

• Your credit score. Drivers with poor credit typically have to pay higher car insurance prices. Insurers use a credit-based insurance score, which is different from your regular credit score, to determine the likelihood you’ll file a claim. California, Hawaii and Massachusetts don't allow insurers to use credit when determining car insurance rates.

• Your car insurance history. This can include whether your car insurance has lapsed, if you’ve filed an insurance claim recently, how long you’ve been with your current insurer and even your last insurance company.