If you’re looking at moving to another state, or you’re just curious to know how much auto insurance costs elsewhere, then keep on reading as we have put together the top 10 most and least expensive states for car insurance in the country. It is important to note that the following rates are only an average, so they are not exact. You would be surprised to find out just how much insurance premiums can differ from one state to the next.
Car Insurance Rates vary from State to State
If you were to move to one of these states and invest in auto insurance, you would receive a rate similar to the ones below. The cost of car insurance is mostly based on the motor vehicle owner’s personal profile, driving records, what car they drive and the car’s annual miles driven. If car owners keep their driving record clean and invest in a car that is cheap to insure in the state they are in, they can lower the cost of their annual insurance.
Depending on what state you are in, the cost of car insurance does vary massively. The state’s insurance regulations, how prone to severe weather the state is and many other factors can influence the cost of auto insurance from state to state. Another reason for insurance rates to be higher in certain states is if there are a lot of cars on the road that are uninsured. If the uninsured driver is the cause of a crash with an insured driver, the uninsured driver cannot pay, so the insured driver will need more money for repairs, medical bills, etc.
The top 10 most expensive states
The following states are the top ten most expensive when it comes to annual auto insurance rates:
1. Louisiana – Average Premium $2,536: Nationwide, Louisiana suffers from the highest car insurance premiums. Residents of Louisiana are said to pay an average of $2,536 annually to keep their cars insured. A lot of Louisiana is rural, so the crime rates are lower, and there are fewer cars on the road, which means there is a decreased chance of accidents happening. When it comes to natural disasters, Louisiana does suffer from the likes of hurricanes, high winds, floods and more; this is what increases the insurance rates.
2. Oklahoma – Average Premium $2,536
3. Michigan – Average Premium $2,013: When you get car insurance in Michigan, it includes lifetime personal injury protection with it. This is one of the reasons why auto insurance in Michigan is so expensive. Another reason why the insurance rates are costly is that Michigan has a very high number of drivers on the road who don’t have insurance.
4. West Virginia – Average Premium $2,002
5. Washington, D.C. – Average Premium $1,866
6. Montana – Average Premium $1,856
7. Rhode Island – Average Premium $1,830: Although Rhode Island is the smallest state, it does have one of the highest insurance premium costs for automobiles. There are around 15% of cars on the road in Rhode Island that are not insured, and this increases the rates for people who want or have insurance.
8. Wyoming – Average Premium $1,732
9. California – Average Premium $1,709
10. Georgia – Average Premium $1,694
The top 10 least expensive States
The following states are the top ten least expensive when it comes to annual auto insurance rates:
1. Maine – Average Premium $889: Out of all of the states, Maine is the cheapest for car insurance. One of the major reasons for Maine’s low car insurance rates is that it is a very rural area. There isn’t much city driving, so there’s not a high risk for accidents. The state has a graduated licensing program, so there are restrictions when it comes to young drivers.
2. Iowa – Average Premium $985: Iowa is another state that is very rural. Throughout the state, there are mostly only small towns so there isn’t much city driving or congestion that could lead to an accident.
3. Wisconsin – Average Premium $987
4. Idaho – Average Premium $1,011:
5. North Carolina – Average Premium $1,022
6. Vermont – Average Premium $1,063
7. Ohio – Average Premium $1,099
8. South Carolina – Average Premium $1,108
9. New Hampshire – Average Premium $1,133
10. Arizona – Average Premium $1,176