Finding Cheap Auto Insurance: Where To Live And Save

If you're looking for cheap auto insurance, it's worth considering moving to a state with lower insurance premiums. Auto insurance rates vary from state to state, and your location is a major factor in determining your insurance costs.

According to U.S. News, the ten states with the lowest annual insurance rates are:

1. Maine

2. Idaho

3. Vermont

4. Ohio

5. Wisconsin

6. North Carolina

7. Indiana

8. Iowa

9. Hawaii

10. Tennessee

On the other hand, the five most expensive states for auto insurance are:

1. Louisiana

2. Florida

3. Delaware

4. Kentucky

5. Missouri

MarketWatch's research also highlights the cheapest car insurance companies in the U.S., with USAA, Central Insurance, and Travelers topping the list.

Other factors that influence auto insurance rates include your age, driving history, credit score, and the type of vehicle you drive.

By shopping around, comparing quotes, and considering your coverage needs, you can find ways to keep your auto insurance rates low.

Live in a rural area

Living in a rural area can be a great way to keep your auto insurance costs down. Here are some reasons why:

Lower Accident Rates

Rural areas tend to have fewer accidents than urban areas. This is because there is less traffic congestion and fewer people on the roads. As a result, accidents are less frequent, which leads insurance providers to lower rates for policies in these areas.

Lower Rates of Theft and Accidental Damage

Theft and accidental damage to vehicles are also less common in rural areas. This is because there are fewer people around to steal or accidentally damage your car.

More Affordable Options

If you live in a rural area, you will likely have several low-priced insurance options to choose from. This is because insurance companies take into account the reduced risk of insuring a car in a rural area when setting their rates.

Other Factors to Consider

When choosing a policy, it is important to consider other factors besides cost. Make sure that your policy provides adequate coverage for natural disasters, collisions, and theft. It is also a good idea to shop around and compare rates from multiple companies to ensure that you are getting the best deal.

How to Compare Insurance Rates

There are a few ways to compare insurance rates. You can use an independent insurance agent or a comparison website, like The Zebra, to get multiple quotes at once. When comparing rates, it is important to be accurate and honest about your personal information, driving record, and vehicle details. This will help ensure that the final rate you receive is accurate.

The Bottom Line

Living in a rural area can be a great way to keep your auto insurance costs down. By taking advantage of the lower rates offered in these areas and comparing rates from multiple companies, you can find a policy that fits your needs and budget.

Live in a state with low population density

Living in a state with low population density can help you save on car insurance. In general, consumers in urban areas can expect to pay higher insurance rates than those in rural areas, as increased congestion leads to higher crash rates. Urban areas may also be more prone to car break-ins, theft, and vandalism.

States with lower population densities can see lower insurance rates, and within states, car insurance customers in rural ZIP codes can expect to see lower prices than those in urban areas.

• Maine
• Idaho
• Vermont
• Ohio
• Wisconsin
• North Carolina
• Indiana
• Iowa
• Hawaii
• Tennessee

Live in a state with mild weather

Living in a state with mild weather can help you save on your auto insurance. States that experience severe weather conditions, such as hurricanes, floods, and hail, tend to have higher insurance rates. This is because insurers often have to pay out more in claims due to weather-related damage.

States with a history of milder weather, such as Maine, Idaho, Vermont, and Ohio, tend to have lower insurance rates. For example, the average annual rate for car insurance in Maine is $949, which is significantly lower than the national average of $1,543. Similarly, Idaho has an average annual rate of $992, and Vermont has an average rate of $1,053.

By choosing to live in a state with a milder climate, you can take advantage of lower insurance rates and save money on your auto insurance premiums. This is a great way to keep your overall living expenses down and stretch your dollar further.

Live in a state with low traffic congestion

Living in a state with low traffic congestion is one of the factors that can help you get cheap auto insurance. In general, consumers in urban areas can expect to pay higher insurance rates than those in rural areas, as increased congestion leads to higher crash rates. Urban areas may also be more prone to car break-ins, theft, and vandalism.

• Maine
• Idaho
• Vermont
• Ohio
• Wisconsin
• North Carolina
• Indiana
• Iowa
• Hawaii
• Tennessee

If you live in one of these states, you may be able to take advantage of lower insurance rates due to the lower population density and reduced congestion. However, it's important to note that rates can also vary within each state, and your ZIP code can also impact your insurance premium.

To get the cheapest auto insurance rates, it's recommended to compare quotes from multiple companies and consider factors such as your driving record, the type of vehicle you drive, and the coverage options you need. Additionally, improving your credit score and taking advantage of discounts can also help lower your insurance costs.

Live in a state with low car insurance rates

The difference in car insurance costs from state to state can amount to hundreds of dollars per year. According to U.S. News, the five most expensive states for car insurance are:

• Louisiana
• Florida
• Delaware
• Kentucky
• Missouri

In contrast, the five cheapest states for car insurance are:

• Maine
• Idaho
• Vermont
• Ohio
• Wisconsin

Maine has the lowest auto insurance rates in the nation, with an average annual car insurance rate of $949, which is $594 less than the national average of $1,543. Idaho is the next cheapest at $992 annually.

Other states with low car insurance rates include:

• Vermont
• Ohio
• Wisconsin
• North Carolina
• Indiana
• Iowa
• Hawaii
• Tennessee

If you live in one of these states, you're already ahead of the game when it comes to finding cheap car insurance. However, it's important to note that rates can vary significantly within each state, and your ZIP code can also impact your insurance premiums.

To get the lowest possible rates, it's recommended to compare quotes from multiple insurance companies and take advantage of any discounts you may be eligible for, such as those for bundling policies, insuring multiple cars, having a clean driving record, or having safety features in your vehicle. Additionally, improving your credit score can also help lower your insurance rates.

Frequently asked questions