Cheapest car insurance companies of July 2024
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“Verified by an expert” means that this article has been thoroughly reviewed and evaluated for accuracy.
BLUEPRINT
Updated 5:01 a.m. UTC July 1, 2024
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Nationwide is the best cheap car insurance company of 2024. It tops our ranking of the cheapest car insurance companies because of its affordable car insurance, wide range of coverage offerings and low rate of customer complaints. While Nationwide offers the cheapest car insurance for most drivers, USAA may have cheaper rates for eligible members of the military community.
The cheapest car insurance companies of July 2024
| CHEAP CAR INSURANCE | CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY COST FOR A GOOD DRIVER |
|---|---|---|
Nationwide
| $120
| |
USAA
| $114
| |
Travelers
| $127
| |
Erie
| $137
| |
Progressive
| $152
| |
Geico
| $133
|
Why trust our car insurance experts
Our team of car insurance experts has decades of experience as licensed property and casualty experts, insurance editors and consumers. We approach car insurance analysis as if we were shopping for ourselves or our family members, focusing on rates, coverage and features available, customer complaints and the collision repair process.
Using a data-driven methodology, we evaluate hundreds of auto insurance products, analyze thousands of data points and rate each insurer to help you find the best car insurance product for your situation. Advertisers never influence our editorial content. You can read more about our methodology below.
- 260 companies analyzed.
- 347 rates reviewed.
- 5 levels of fact-checking.
Find the cheapest car insurance rates
Methodology
Our team of insurance experts evaluated major car insurance companies to determine those that offer the best coverage based on average rates, coverage features, collision claims process and consumer complaints. To find the best cheap car insurance companies in 2024, we compared these top-scoring car insurance companies and gave points for the following factors.
- Cost: 70 points. We analyzed rates from Quadrant Information Services based on seven driver profiles for a policy with 100/300/100 in liability coverage, uninsured motorist coverage and comprehensive and collision coverage.
- Up to 60 points were awarded for an insurer’s average rate for the following profiles: good drivers, drivers with bad credit and drivers with infractions, such as speeding tickets, accidents or DUIs, on their record.
- Up to 10 points were awarded for an insurer’s average rate for teen and senior drivers. Drivers in these categories typically have higher rates compared to other drivers. As such, we separated from the primary driver categories, awarding points separately. Insurers with lower rates for teen and senior drivers received the most points.
- Consumer complaints: 10 points. We collected complaint data from the National Association of Insurance Commissioners, which shows the volume of car insurance consumer complaints against each company. When a consumer lodges a complaint to their state’s department of insurance — often about an insurance company’s claims process, delays, denials or settlements — these complaints are logged and tracked.
- Car insurance coverage options and features: 15 points. Car insurance policy features can help make coverage more affordable both before and after an accident or covered incident. We evaluated car insurance policies offered by each insurer and awarded points to insurers that offered these valuable options and features:
- 5 points for accident forgiveness.
- 5 points for vanishing deductible.
- 5 points for a usage-based car insurance program.
- Collision repairs score: 5 points. Every year the CRASH Network releases an “Insurer Report Card” survey. This annual survey asks repair professionals how well a car insurance company handles claims, specifically when it comes to payment practices, repair quality and customer service. Each car insurance company receives a grade ranging from A+ to F, based on the survey results. Companies were awarded up to 5 points based on their CRASH Network score, with higher graders receiving the most points. Insurers that received a D+ or lower received 0 points.
How to find cheap car insurance
To find the cheapest car insurance available to you, compare car insurance quotes from multiple companies.
Here are the best cheap car insurance companies to get quotes from, based on driver profiles.
- Good driver
- Teen on a parent’s policy
- Young driver
- Senior driver
- Driver with a speeding ticket
- After an accident with injuries claim
- After an accident with property damage claim
- Driver with a DUI
- Liability car insurance
- Full coverage car insurance
Cheap car insurance for good drivers: USAA and Nationwide
USAA has the cheapest car insurance for good drivers, though only members of the military community and eligible family members qualify for auto insurance with USAA.
Drivers not eligible for coverage with USAA should get quotes from Nationwide, Travelers and Geico. Each offers some of the most affordable car insurance rates for good drivers when compared to the national average.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE | LEARN MORE | |||||
|---|---|---|---|---|---|---|---|---|
| $114 | $1,364 | Compare Rates Compare Rates Compare rates offered by participating partners | ||||||
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| $120 | $1,436 | Compare Rates Compare Rates Compare rates offered by participating partners | ||||||
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| $127 | $1,521 | Compare Rates Compare Rates Compare rates offered by participating partners | ||||||
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| $133 | $1,597 | Compare Rates Compare Rates Compare rates offered by participating partners | ||||||
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Cheap car insurance for teens on a parent’s policy: Nationwide
Car insurance for teen drivers is notoriously expensive, so if you plan to add a teen to your policy, it will be a relief to learn that there are several affordable car insurance options.
Nationwide offers the cheapest average rates for adding a teen driver to a parent’s policy. USAA and Erie are also affordable options.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$235
| $2,819
| |
$252
| $3,025
| |
$268
| $3,215
| |
$322
| $3,864
|
Cheap car insurance for young drivers: USAA and Erie
USAA has the lowest rates for many drivers, including young adults. If you’re shopping for coverage and are 18 to 25 years old, get a quote from USAA. If you’re not an eligible member of the military community, Erie has the next cheapest car insurance for young drivers.
Cheap car insurance for seniors: Nationwide
Nationwide has the best car insurance for seniors and its low rates are a leading reason. USAA’s average car insurance rate for seniors is just over $50 more than Nationwide’s, making it another affordable car insurance option for drivers ages 65 to 80.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$117
| $1,402
| |
$121
| $1,455
| |
$139
| $1,668
| |
$149
| $1,793
|
Cheap car insurance for drivers with a speeding ticket: USAA and Nationwide
A speeding ticket can raise your car insurance rate, but if you shop around, the financial hit might not be as bad as you think. USAA’s rates for this group are great, but eligibility is limited. If you don’t qualify for USAA, consider Nationwide and Erie.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$138
| $1,661
| |
$157
| $1,878
| |
$158
| $1,899
| |
$172
| $2,062
|
Cheap car insurance after accident with injuries: USAA and Erie
Drivers at fault for a collision that resulted in injuries should consider USAA. It has the cheapest car insurance on average for this driver profile.
If you’re not eligible for coverage through USAA, Erie and Travelers may be your best options, though it can’t hurt to get a quote from Nationwide. It also has highly competitive rates for this demographic.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$163
| $1,958
| |
$185
| $2,224
| |
$191
| $2,293
| |
$195
| $2,337
|
Cheap car insurance after accident with property damage: USAA and Erie
If you caused an accident that resulted in property damage, consider USAA if you’re eligible for coverage. If not, Erie has the second cheapest car insurance rates. Travelers and Nationwide are also worth considering.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$168
| $2,021
| |
$177
| $2,125
| |
$185
| $2,215
| |
$192
| $2,298
|
Cheap car insurance with a DUI: Progressive
If you have a DUI, get a car insurance quote from Progressive. It has the most affordable car insurance after a DUI based on our analysis of the best car insurance companies.
Even though USAA is the next cheapest car insurance company for DUIs, its average rate is nearly $300 more than Progressive. Travelers and Erie aren’t far behind.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$192
| $2,307
| |
$217
| $2,604
| |
$218
| $2,610
| |
$222
| $2,665
|
Cheap liability car insurance: USAA and Erie
Almost all states require liability insurance for car owners, and it’s an expensive portion of a car insurance policy. If you’re looking for cheap liability-only car insurance, consider USAA, which has the cheapest average liability-only rates among the cheapest car insurance companies. Erie is the cheapest liability insurance if you aren’t eligible for coverage through USAA.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$31
| $373
| |
$36
| $437
| |
$37
| $445
| |
Westfield
| $40
| $481
|
Cheap full coverage car insurance: USAA and Nationwide
The cheapest car insurance company for a full coverage auto insurance policy is USAA. If you don’t qualify for coverage with USAA, check out Nationwide. A full coverage car insurance policy includes the following coverages: liability, collision and comprehensive insurance.
| CHEAP CAR INSURANCE COMPANY | AVERAGE MONTHLY RATE | AVERAGE ANNUAL RATE |
|---|---|---|
$114
| $1,364
| |
$120
| $1,436
| |
$127
| $1,521
| |
$133
| $1,597
|
Find cheap car insurance
Cheap car insurance by state
Where you live plays a major role in how much you pay for car insurance, as does the car insurance company you choose. Here’s the cheapest car insurance company in each state.
* As USAA is only available to the military community and eligible family members, we excluded it from this map and only highlighted companies that are available to the general public.
Cheapest car insurance company by state comparison
The table below provides the cheapest car insurance companies for good drivers by state.
USAA is often the cheapest car insurance company, but since eligibility is limited to the military community, we’ve listed the cheapest car insurance company available to the general public. If you’re a USAA member, it’s always a good idea to get a quote for USAA car insurance, as you may find a lower rate.
All rates are from Quadrant Information Services. Car insurance rates are based on a 40-year-old female with a good driving record who has full coverage car insurance, including a 100/300/100 liability policy and a $500 deductible for collision and comprehensive coverage.
How much is car insurance?
The average cost of car insurance for a good driver is $2,026 per year, or around $169 per month, based on our analysis of rates. However, the cost of car insurance varies based on a number of factors. That’s why it’s a good idea to get and compare at least three car insurance quotes while shopping for the cheapest car insurance.
Other factors that will determine how much you pay for coverage include:
- Age.
- Amount of coverage and features you purchase.
- Claims history.
- Credit history (except in California, Hawaii, Massachusetts and Michigan).
- Discounts you qualify for.
- Driving history.
- Gender (except in California, Hawaii, Massachusetts, Michigan, North Carolina and Pennsylvania).
- Insurance deductible, when applicable.
- Location.
- Special vehicle equipment or features.
- Vehicle make, model and year.
Car insurance costs an average of $169 per month: How to save on car insurance
How to get cheap car insurance
Looking for the cheapest car insurance? These steps can help you find a policy that meets your needs and a rate that fits your budget.
Shop around
Always get quotes from at least three car insurance companies before you purchase a policy. Doing so can help you determine your average car insurance costs and which insurer has the cheapest coverage.
Check for car insurance discounts
Discounts are a great way to get more affordable car insurance.
Common discounts include:
- Accident-free, if you go without an accident for a certain amount of years.
- Bundling, if you purchase multiple insurance policies, like home and auto, with the same insurance company.
- Claims-free, if you go without filing a claim for a certain amount of years.
- Multi-vehicle, if you insure multiple cars or vehicles with one insurance company.
- Paperless billing, if you opt to receive your bills and documents via email instead of through snail mail.
- Paid in full, if you pay your car insurance premiums upfront in one lump sum.
Looking to score a car insurance discount? Car insurance discount guide 2024
Only buy coverage you need
Figure out the types of car insurance you want and how much coverage you need before getting quotes. Purchasing coverage you don’t need will lead to unnecessarily high rates.
This doesn’t mean you should only buy the minimum insurance required in your state. Additional coverages like new car replacement might be smart if you own an expensive new car. Similarly, you may need to purchase collision and comprehensive car insurance or gap insurance if you loan or lease your vehicle.
Why it's not always a good idea to get the cheapest car insurance
The cheapest car insurance may not always provide adequate coverage to protect you financially in the event of an accident. Consider the following scenarios:
- You’re at fault for an accident but only purchased the minimum liability required by your state. If you cause an accident that results in expensive repairs and medical bills for others, or a lawsuit, the minimum required liability insurance may be woefully inadequate. It’s a good rule of thumb to buy enough liability insurance to cover what you’d stand to lose in a lawsuit.
- Your vehicle is damaged by hail. If you have comprehensive car insurance, your insurance policy covers the cost of repairs from weather-related damages, such as hail, minus your deductible. But if you pass on comprehensive coverage to reduce your car insurance policy premium, you’ll have to pay for repairs on your own.
- You have a vehicle loan and part of the finance agreement requires that you carry full coverage car insurance for the duration of the loan. If you drop collision and comprehensive car insurance to lower premiums, you’ll be in breach of your loan agreement.
Expert tip: Before you choose the cheapest car insurance policy, make sure the types and amounts of coverage will provide adequate financial protection. Not doing so can lead to more significant financial issues down the road, negating the money you may have saved on premiums.
Cheapest cars to insure
If finding the cheapest car to insure is a priority for you, check the table below. It includes some of the most popular vehicles with the most affordable average coverage costs.
Rates are based on male and female drivers with a clean driving record shopping for full coverage car insurance, which includes 100/300/100 liability coverage, uninsured motorist coverage and collision and comprehensive insurance with a $500 deductible. Source: Quadrant Information Services.
How much car insurance do you need?
You should buy at least enough car insurance to meet your state’s minimum car insurance requirements.
Most states require, at a minimum, bodily injury liability and property damage liability coverage. These coverage types provide financial compensation to others for injuries, death or physical damage you cause. Liability insurance also pays for your legal defense if you are sued because of an accident, as well as for any settlements or judgments up to your policy limits.
Depending on where you live, you may also be required to carry:
- Medical payments (MedPay) coverage.
- Personal injury protection (PIP).
- Uninsured (and sometimes underinsured) motorist coverage.
Check with your state’s department of motor vehicles to see the required minimum limits for these types of coverage. An insurer licensed in your state will also be able to provide this information.
If your car is leased or you have an outstanding loan, your lender may also require additional coverage, such as collision and comprehensive coverage as well as gap coverage.
Expert tip: After you meet any state or lender insurance requirements, the next thing to consider is your assets. You should carry enough car insurance to protect your assets, or what you could lose in a lawsuit.
Still have questions above buying and using coverage? How car insurance works
Cheapest car insurance FAQs
USAA has the cheapest car insurance for most drivers. However, its coverage is limited to eligible members of the military community. Nationwide has the cheapest car insurance rates for most drivers who aren’t eligible for USAA coverage.
The cheapest rates for you will depend on several factors, including your coverage needs, vehicle make and model, where you live, your age and your driving record. For instance, drivers with a DUI on their record are likely to find the cheapest coverage with Progressive.
Start budgeting for coverage: How much does car insurance cost?
A variety of factors can lead to expensive car insurance rates, including:
- Coverage, limits and deductibles you choose.
- Make and model vehicle you insure
- Your age.
- Location.
- Driving history.
- Claims history.
- Car insurance history.
Certain circumstances, such as having multiple traffic violations, being a young or senior driver or filing multiple claims in the last five years, are likely to lead to higher car insurance rates.
The best way to find cheap car insurance for teens is to compare rates, being sure to get a quote from your existing car insurance company in addition to other companies.
It’s typically cheapest to add a teen to a parent’s insurance policy, so make sure you’ve already found the best rates for your household.
While comparing rates, check for discounts that are typically offered to teen drivers, such as good student and driver education discounts.
Finally, keep in mind that the make, model and year of a vehicle can also impact your rates. If you’re still shopping for a vehicle for your teen, consider getting quotes for different types of vehicles before you purchase one.
The best way to get cheap car insurance is to figure out what type and amount of coverage you need and then compare quotes from a variety of insurers.
Check your state’s laws and your car loan/lease paperwork (if applicable) to figure out the minimum amount of car insurance you need to buy, and don’t skimp on additional coverage if it is beneficial for your situation.
Maintaining a clean driving record and good credit history, as well as comparing rates every few years, can also help you to get the lowest car insurance rates.
Auto insurance rates typically start decreasing at age 19, provided the driver maintains a clean record through their teen years. Rates continue to decrease until about age 34, at which point rates tend to stay stable until the senior years.
Dropping your collision and comprehensive coverage can lead to cheaper car insurance, but that doesn’t necessarily mean you should. If you have a loan or lease on your car, your lender will likely require you to carry comprehensive and collision coverage.
Here are a few scenarios that may warrant dropping your comprehensive and collision coverage.
- Your vehicle’s value is less than a few thousand dollars. If that’s the case, it may merit dropping your collision and comprehensive coverage. This is especially true if you have a high deductible, as the claim payout probably won’t be worth the annual premiums.
- You can afford to pay out of pocket for repairs. If you have a rainy day fund, your car’s value is low and the cost of repairs in your area isn’t too expensive, you may be able to afford to drop coverage.
- If you don’t drive your car often, dropping collision coverage may be a good move. If you rarely drive your car, you may not need collision coverage. However, you probably still need comprehensive coverage because it covers the cost of repairs for things like weather-related damage and car theft.
Comparing car insurance quotes from multiple car insurance companies can help you get the best deal for your coverage needs. When comparing quotes, make sure each one is for the same coverage amount, deductible and vehicle make and model. That way you can make an apples-to-apples comparison.
Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.
Blueprint has an advertiser disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.
