Chris Tepedino is a feature writer that has written extensively about car insurance for numerous websites. He has a college degree in communication from the University of Tennessee and has experience reporting, research investigative pieces…

Full Bio →

Written by

Rachael Brennan has been working in the insurance industry since 2006 when she began working as a licensed insurance representative for 21st Century Insurance, during which time she earned her Property and Casualty license in all 50 states…

Full Bio →

Reviewed byRachael Brennan
Licensed Insurance Agent for 14 Yearshttps://res.cloudinary.com/quotellc/image/upload/insurance-site-images/autoinsuranceez-live/2020/03/92dadfeb-rachael-brennan.jpg

UPDATED: Sep 2, 2020

Advertiser Disclosure

It’s all about you. We want to help you make the right coverage choices.

Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We partner with top insurance providers. This doesn’t influence our content. Our opinions are our own.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.

U.S. Auto Insurance Summary
U.S. Auto Insurance FactsSource
U.S. average annual auto insurance rates: $1,004.68www.iii.org
State with highest average annual rates: Louisiana ($1,443.72)www.iii.org
State with second highest average annual rates: Michigan ($1,358.62)www.iii.org
State with third highest annual rates: Florida ($1,356.90)www.iii.org
Get Your Rates Quote Now

If you drive a car, you need automobile insurance. Auto insurance coverage options vary, but there are many ways to get the cheapest car insurance rates possible without succumbing to mistruths such as buy now pay later car insurance.

Searching for the best auto insurance coverage options can lead you to find rates as low as 60 dollar car insurance per month. We get that understanding auto insurance coverage options and the facts and figures can be overwhelming. That’s why we will go through insurance coverage details step by step so you can figure out whether you are getting a fair rate.

We’ll teach you how to search for cheap auto insurance and tell you the pros and cons of cheap car insurance. How can I find cheap car insurance?

Use our free tool above by typing in your ZIP code and find car insurance coverage types near you.

The Different Flavors of Automobile Insurance Coverage

Some states have what are known as “No-Fault” rules and regulations. Policies under these rules are required to insure policyholders regardless of culpability in an accident. This is also referred to as personal injury protection or PIP. Be sure to ask your insurance agent if you live in a no-fault state, and how it will affect your policy.

The following video further explains fault vs. no-fault.

You may be asking, “What are the different kinds of car insurance I can buy?” There are many different types of automotive insurance coverage that you can choose from, and some that you must purchase no matter what in order to drive legally. Below are the standard types of coverage which you can choose from in most areas.

Enter your zip code below to view companies that have cheap auto insurance rates.

 Secured with SHA-256 Encryption

Liability Coverage

What is liability coverage? Liability covers any damages for which you are liable, and it covers others if you are at fault in an accident. You and your car are not covered by this insurance. This is required by all states, though exceptions can be made in certain states for individuals who can show that they can pay the state requirement out of pocket.

Here is a video that further details liability coverage.

The following table shows the average rates for liability coverage in each state.

U.S. Average Annual Liability Auto Insurance Rates by State
StatesAverage Annual Liability Rates
North Dakota$282.55
South Dakota$289.04
Iowa$293.34
Wyoming$323.38
Maine$333.92
Idaho$337.17
Vermont$340.98
Kansas$342.33
Nebraska$349.07
North Carolina$357.59
Wisconsin$359.84
Indiana$372.44
Alabama$372.57
Ohio$376.16
Arkansas$381.14
Montana$387.77
New Hampshire$393.24
Tennessee$397.73
Missouri$399.41
Virginia$413.12
Illinois$430.54
Mississippi$437.38
Minnesota$439.58
Oklahoma$441.57
Hawaii$458.49
New Mexico$462.21
California$462.95
Utah$471.26
Colorado$477.10
Arizona$488.59
Georgia$490.64
Pennsylvania$495.02
South Carolina$497.50
Texas$498.44
West Virginia$501.44
Kentucky$518.91
Alaska$547.34
Oregon$553.43
Washington$568.92
Massachusetts$587.75
Maryland$599.48
District of Columbia$628.09
Connecticut$633.95
Nevada$647.07
Rhode Island$720.06
Michigan$722.04
Louisiana$727.15
Delaware$776.50
New York$784.98
Florida$845.05
New Jersey$865.55
U.S. Average$516.39
Get Your Rates Quote Now

As you can see, average liability premiums escalate by a narrow margin year by year.  How does your current rate compare to your state’s average?

Let’s move on to the next coverage type, personal injury protection (PIP).

Personal Injury Protection (PIP)

Personal injury protection covers you, passengers, and others listed in the policy. It does not safeguard your vehicle but does pay for your medical expenses. In certain policies, it will also cover lost wages and other forms of damages. It is available to you regardless of who was at fault and is mandatory in certain states.

Here is a video that further details PIP.

This table details PIP averages in each state where information is available.

Average Annual Personal Injury Protection Auto Insurance Rates by State
StatesAverage Annual PIP Rates
District of Columbia$19.99
Connecticut$23.12
Utah$29.84
Kansas$31.75
Massachusetts$34.79
North Dakota$42.05
Maryland$54.86
Pennsylvania$55.75
Hawaii$56.69
Washington$70.53
Oregon$71.31
Kentucky$73.16
Minnesota$100.82
Delaware$143.42
New York$162.4
Florida$188.12
New Jersey$203.46
Michigan$391.56
U.S. Average$139.79
Get Your Rates Quote Now

Now that we’ve covered PIP, let’s move on to uninsured/underinsured coverage.

Uninsured/Underinsured Motorist Protection

Uninsured motorist and underinsured motorist insurance policies are oftentimes lumped together, as they perform a similar function. However, they must be purchased separately. Both of these cover you, passengers, and household members in the policy for bodily injury if the other driver is at fault.

Uninsured motorist protects you in the event that the other driver has no insurance, while underinsured motorist safeguards you if the guilty party has inadequate insurance.  You can learn more about underinsured motorist coverage here.

Here is a video further explaining these coverages.

This table shows the percentage of uninsured and underinsured drivers by state.

Percentage of Uninsured Drivers by State
StatesUninsuredRank
Florida (3)26.70%1
Mississippi23.70%2
New Mexico20.80%3
Michigan20.30%4
Tennessee20%5
Alabama18.40%6
Washington17.40%7
Indiana16.70%8
Arkansas16.60%9
D.C.15.60%10
Alaska15.40%11
California15.20%12
Rhode Island15.20%13
New Jersey14.90%14
Wisconsin14.30%15
Texas14.10%16
Missouri14%17
Illinois13.70%18
Colorado13.30%19
Louisiana13%20
Oregon12.70%21
Ohio12.40%22
Maryland12.40%23
Arizona12%24
Georgia12%25
Kentucky11.50%26
Minnesota11.50%27
Delaware11.40%28
Nevada10.60%29
Hawaii10.60%30
Oklahoma10.50%31
West Virginia10.10%32
Montana9.90%33
Virginia9.90%34
New Hampshire9.90%35
Connecticut9.40%36
South Carolina9.40%37
Iowa8.70%38
Utah8.20%39
Idaho8.20%40
Wyoming7.80%41
South Dakota7.70%42
Pennsylvania7.60%43
Kansas7.20%44
North Dakota6.80%45
Nebraska6.80%46
Vermont6.80%47
North Carolina6.50%48
Massachusetts6.20%49
New York6.10%50
Maine4.50%51
Get Your Rates Quote Now

Next, we’ll look at collision and comprehensive coverage.

Enter your zip code below to view companies that have cheap auto insurance rates.

 Secured with SHA-256 Encryption

Collision and Comprehensive

Collision and comprehensive are also mainstays of many policies. What is collision coverage? Collision covers your car in the event of a car crash, be it with another car, structure, or object.

What is comprehensive coverage? Comprehensive covers you for damages resulting from vandalism, theft, or acts of God. These two are usually purchased together and include a deductible. A deductible is the dollar amount you are willing to pay before the insurance covers you up to the fair market value of your car.

This video further details collision coverage.

Now, more about comprehensive insurance.

Here is a table showing state averages for collision coverage.

U.S. Average Annual Collision Auto Insurance Rates by State
StatesAverage Annual Collision Coverage Rates
Alabama$299.10
Alaska$360.18
Arizona$259.31
Arkansas$304.87
California$364.56
Colorado$263.36
Connecticut$348.70
Delaware$296.60
District of Columbia$449.27
Florida$251.30
Georgia$320.45
Hawaii$297.75
Idaho$209.00
Illinois$284.92
Indiana$237.19
Iowa$207.10
Kansas$251.46
Kentucky$255.33
Louisiana$391.03
Maine$249.00
Maryland$331.72
Massachusetts$358.68
Michigan$383.21
Minnesota$214.02
Mississippi$302.96
Missouri$259.65
Montana$254.90
Nebraska$223.50
Nevada$293.78
New Hampshire$281.70
New Jersey$365.23
New Mexico$267.48
New York$358.45
North Carolina$264.58
North Dakota$227.44
Ohio$252.21
Oklahoma$298.21
Oregon$212.47
Pennsylvania$307.31
Rhode Island$377.06
South Carolina$247.62
South Dakota$200.10
Tennessee$290.39
Texas$340.51
Utah$254.41
Vermont$278.38
Virginia$264.70
Washington$250.13
West Virginia$319.10
Wisconsin$209.93
Wyoming$270.48
U.S. Average$299.73
Get Your Rates Quote Now

This table, meanwhile, details state averages for comprehensive coverage.

U.S. Average Annual Comprehensive Auto Insurance Rates by State
StatesAverage Annual Comprehensive Coverae Rates
Oregon$89.66
Maine$96.66
California$99.29
Hawaii$100.09
New Hampshire$103.03
Washington$104.11
Utah$106.57
Florida$110.12
Idaho$110.78
Ohio$112.74
Delaware$113.23
Indiana$115.02
Nevada$116.79
Illinois$117.98
Vermont$118.31
Rhode Island$122.17
North Carolina$123.00
New Jersey$123.18
Connecticut$126.02
Wisconsin$126.34
Massachusetts$128.92
Virginia$129.89
Kentucky$130.15
Pennsylvania$132.01
Tennessee$135.62
Alaska$141.08
Alabama$146.28
Maryland$146.77
Michigan$147.02
Georgia$153.61
New York$156.66
Colorado$158.34
South Carolina$165.38
Missouri$166.34
New Mexico$166.89
Iowa$171.58
Minnesota$173.04
Arkansas$183.36
Arizona$184.20
Texas$186.70
Mississippi$194.74
West Virginia$195.04
Montana$199.87
Oklahoma$201.56
Nebraska$206.24
Louisiana$208.59
Wyoming$222.86
North Dakota$227.64
South Dakota$228.59
District of Columbia$230.25
Kansas$230.65
U.S. Average$138.87
Get Your Rates Quote Now

Are you currently paying too much in your state for these coverages?

Find Affordable Insurance for Your Automobile: Additional Coverages

Gap insurance is a good supplement to collision and comprehensive.

What is gap insurance? Sometimes, when your car is totaled, your lease or loan is actually more than the market value of the car. This unexpected expense between what collision and comprehensive will pay and your car’s market value is insured by gap coverage.

It is also a good idea to have roadside assistance, as it may cover you in many unfortunate situations. If you locked yourself out of your car or need to be towed, this type of coverage will generally dispatch someone to come to your rescue.

Lastly, there is rental reimbursement. This is optional, but helpful in the event that your car is being repaired and you are renting a vehicle in the meantime. This coverage helps reimburse or pay for your rental expenses.

Bear in mind, though, that there is usually a time and dollar amount limit imposed on how long and how much the automobile auto insurance will cover you for.

Hopefully, this covers every question you may have about car insurance. If not, we have some FAQs for you. First, though, you may be asking, “Can I easily compare rates on car insurance?” or, “Should I shop for insurance online?”

In short, yes; now that you know your auto insurance coverage options, use our FREE tool below.

This tool should help answer the questions, “How can I save money on car insurance?” and “What level of coverage is right for me?”

Frequently Asked Questions: Auto Insurance Coverage Options

We hope we’ve covered everything, but just in case, feel free to check out some common questions below.

Who offers the cheapest car insurance and who has the cheapest car insurance for seniors?

A Google search will show that USAA car insurance is generally the cheapest. For seniors, Geico auto insurance coverage options are generally the cheapest. Be sure to look up Progressive auto insurance coverage options, Allstate auto insurance coverage options, and any other local companies near you.

What is full coverage and how much should full coverage insurance cost?

Full coverage is the combination of at least collision, comprehensive, and liability coverages. The average for six-months of full coverage policy is about $750.

What is the cheapest online car insurance?

USAA has cheap auto insurance at an average of $444 for a six-month premium. Root Insurance is also seen as a reputable option.

Who offers the lowest car insurance rates?

USAA auto insurance options are generally the lowest.

Is 60 dollar auto insurance good?

It is best to check the reviews of insurers offering this rate in your area.

What will I need when buying insurance and what should I look for in a policy?

You will need your driver’s license, the vehicle you hope to insure, your registration, and a current declaration page. You should look for a reputable provider with reasonable rates.

Is it better to carry less coverage to save money?

You should carry collision coverage that is slightly less than 10 percent of the value of your car. Less coverage than that puts you at risk.

What kind of car insurance discounts are available?

Good student discounts are widely available, and safe driving discounts are even more prevalent.

How do I choose the right amount of insurance for me?

Speak with your insurer and don’t buy anything you don’t feel will be necessary for your needs.

How can I get an affordable deductible?

Be sure to discuss discounts with your insurer.