Cheapest Car Insurance in the US for 2025
Quick Answer
The cheapest car insurance in the U.S. is Mercury’s minimum coverage policy, at $1,141 annually or $95 per month. The cheapest full coverage car insurance in the U.S. is from Grange and costs $2,445 annually or $204 per month. However, your driving record, age, location and more can all affect the cost of your auto insurance.
The cheapest car insurance in the U.S. is Mercury's minimum coverage policy, at $1,141 annually or $95 per month, according to Experian data from January 2025 and based on policies quoted through our automotive insurance marketplace. On average, minimum coverage auto insurance sold in the U.S. costs $1,566 annually or $130 per month.
The cheapest full coverage car insurance in the U.S. is offered by Grange and costs $2,445 annually or $204 per month. On average, full coverage car insurance in the U.S. costs $2,826 annually or $235 per month.
Minimum coverage car insurance provides enough protection to meet your state's basic liability insurance requirements. For more protection, you can buy full coverage car insurance, which includes comprehensive and collision coverage. If your vehicle is leased or financed, you are usually required to carry full coverage on your vehicle until your lease term ends or the vehicle is paid off.
The cost of your car insurance can vary depending on several factors:
- Your age (younger drivers typically pay more for car insurance)
- Your driving record (incidents and violations usually increase your rates)
- Your annual mileage (driving more can mean higher rates)
- The type and amount of coverage you buy
As a result, although our data on the cheapest car insurance in the U.S. can serve as a good general guideline, your rates may be higher or lower. Before purchasing an auto insurance policy, take the time to compare insurance quotes from several insurers.
Cheapest Minimum Coverage Car Insurance in the U.S.
Drivers in most states are required to carry a minimum amount of liability coverage that varies from state to state. Liability coverage includes bodily injury liability, which helps cover the cost if you injure someone in an accident, and property damage liability, which pays for damages you cause to someone's vehicle or property.
Purchasing only the minimum liability insurance can keep your auto insurance costs down, but might not offer enough protection in case of an accident. For instance, Arizona's minimum insurance requirements are $25,000 per person and $50,000 per accident in bodily injury coverage and $15,000 per accident in property damage coverage. Since an accident could cost much more, insurance professionals typically recommend buying coverage of at least $100,000 per person and $300,000 per accident for bodily injuries and $100,000 for property damage.
Learn more: How Much Car Insurance Do I Need?
The table below shows the carriers offering the cheapest minimum coverage auto insurance policies in the U.S.
| Carrier | Annual Cost | Monthly Cost |
|---|---|---|
| Mercury | $1,141 | $95 |
| Liberty Mutual | $1,229 | $102 |
| Safeco | $1,309 | $109 |
| Root | $1,482 | $124 |
| Grange | $1,605 | $134 |
Source: Experian data as of January 2025
Note: Costs above represent insurance quotes, not policy premiums
Cheapest Full Coverage Car Insurance in the U.S.
Full coverage auto insurance adds comprehensive and collision coverage to your liability insurance. States don't require full coverage insurance, but most lenders or lessors require it if your car is leased or financed.
- Collision coverage pays to repair or replace your car if it's damaged due to a collision with another car, object or animal.
- Comprehensive coverage pays to repair or replace your car if it's damaged by something other than driving, such as hail, a falling tree, vandalism or theft.
Learn more: What Is Full Coverage Car Insurance?
The table below shows the carriers with the cheapest full coverage auto insurance policies in the U.S.
| Carrier | Annual Cost | Monthly Cost |
|---|---|---|
| Grange | $2,445 | $204 |
| Integrity | $2,488 | $207 |
| Mercury | $2,537 | $211 |
| Root | $2,541 | $212 |
| Liberty Mutual | $2,602 | $217 |
Source: Experian data as of January 2025
Note: Costs above represent insurance quotes, not policy premiums
Cheapest Car Insurance by State
Your location plays a major role in the price you'll pay for car insurance, although it's not the only factor. Insurance regulations, population densities, insurance requirements and other factors vary from one state to another, all of which can impact your auto insurance premiums.
The table below shows the providers offering the cheapest full coverage auto insurance policies in each state.
Cheapest Car Insurance by State
| State | Carrier | Average Annual Cost | Average Monthly Cost |
|---|---|---|---|
| Alabama | National General | $724 | $60 |
| Alaska | GEICO | $1,412 | $118 |
| Arizona | Liberty Mutual | $940 | $78 |
| Arkansas | National General | $915 | $76 |
| California | Mercury | $1,033 | $86 |
| Colorado | Liberty Mutual | $884 | $74 |
| Connecticut | GEICO | $1,753 | $146 |
| Delaware | Liberty Mutual | $1,492 | $124 |
| District of Columbia | GEICO | $2,084 | $174 |
| Florida | Mercury | $1,513 | $126 |
| Georgia | Safeco | $1,948 | $162 |
| Hawaii | GEICO | $567 | $47 |
| Idaho | Progressive | $786 | $65 |
| Illinois | National General | $1,080 | $90 |
| Indiana | Clearcover | $836 | $70 |
| Iowa | Progressive | $743 | $62 |
| Kansas | Safeco | $1,100 | $92 |
| Kentucky | Safeco | $1,437 | $120 |
| Louisiana | Root | $1,614 | $134 |
| Maine | GEICO | $770 | $64 |
| Maryland | Liberty Mutual | $1,758 | $146 |
| Massachusetts | Liberty Mutual | $1,495 | $125 |
| Michigan | Safeco | $1,790 | $149 |
| Minnesota | Liberty Mutual | $839 | $70 |
| Mississippi | National General | $763 | $64 |
| Missouri | Safeco | $1,209 | $101 |
| Montana | Progressive | $879 | $73 |
| Nebraska | Liberty Mutual | $803 | $67 |
| Nevada | Liberty Mutual | $2,138 | $178 |
| New Hampshire | Progressive | $1,089 | $91 |
| New Jersey | Bristol West | $2,505 | $209 |
| New Mexico | Liberty Mutual | $700 | $58 |
| New York | GEICO | $5,482 | $457 |
| North Carolina | National General | $933 | $78 |
| Ohio | Liberty Mutual | $703 | $59 |
| Oklahoma | Liberty Mutual | $872 | $73 |
| Oregon | Liberty Mutual | $949 | $79 |
| Pennsylvania | National General | $955 | $80 |
| Rhode Island | Progressive | $2,120 | $177 |
| South Carolina | Safeco | $1,569 | $131 |
| South Dakota | GEICO | $758 | $63 |
| Tennessee | Liberty Mutual | $737 | $61 |
| Texas | Mile Auto | $857 | $71 |
| Utah | Root | $1,244 | $104 |
| Virginia | National General | $1,129 | $94 |
| Washington | Safeco | $1,224 | $102 |
| West Virginia | Liberty Mutual | $717 | $60 |
| Wisconsin | GEICO | $787 | $66 |
| Wyoming | Progressive | $726 | $60 |
Source: Experian data as of January 2025
Note: Excludes Vermont and North Dakota; costs above represent insurance quotes, not policy premiums
Here are some examples of how your location might affect your auto insurance premiums.
- In rural areas, increased risks of wildlife collisions could make you more likely to get into an accident and file a claim.
- Big cities may have higher frequencies of auto theft or vandalism, as well as more traffic congestion, compared to less populated areas. These could lead to more claims.
- The cost of auto repairs or medical care can vary from one region to another, potentially impacting your insurance costs.
- Severe weather risks differ from one state to another, with some areas having a greater risk of floods, tornadoes, hailstorms or other natural events that could damage your car.
Cheapest Car Insurance for Young Drivers in the U.S.
Insuring new drivers can be costly. Younger drivers usually pay more for car insurance because they're statistically more likely to have accidents, according to the Insurance Institute for Highway Safety (IIHS). On average, teenage drivers pay $3,512 annually for car insurance, according to Experian data.
Car insurance rates are usually highest for 16-year-olds and get cheaper when your child turns 25. Until then, you can save on car insurance by putting your child on your auto insurance instead of their own policy. A teenager on your policy benefits from the lower rates you may enjoy due to years of driving experience, homeownership or being married.
If your young driver has a lot of accidents or moving violations in their driving record, your car insurance premiums are likely to rise. Buying separate coverage from an insurance provider focused on high-risk drivers could be cheaper in the long run.
Many insurance companies discount auto insurance for young drivers who have good grades, attend college away from home without a car, or complete a safe driving course.
The table below shows the insurance providers offering the cheapest full coverage car insurance in the U.S. for drivers ages 16 to 25.
| Carrier | Annual Cost | Monthly Cost |
|---|---|---|
| Root | $2,813 | $234 |
| Liberty Mutual | $3,632 | $303 |
| Safeco | $3,650 | $304 |
| Mercury | $3,843 | $320 |
| Grange | $4,033 | $336 |
Source: Experian data as of January 2025
Note: Young drivers include those ages 16 to 25; costs above represent insurance quotes, not policy premiums
Cheapest Car Insurance for Seniors in the U.S.
Auto insurance rates typically drop as you get older and gain more driving experience, but tend to rise again around age 70. Drivers ages 70 and up have a higher rate of serious accidents, which can mean more insurance claims and higher premiums. However, you can still find cheap car insurance for seniors; some carriers even offer senior discounts once you reach a certain age.
The table below shows the auto insurance carriers offering the cheapest full coverage car insurance for seniors (ages 65 and up) in the U.S.
| Carrier | Annual Cost | Monthly Cost |
|---|---|---|
| GEICO | $1,966 | $164 |
| Liberty Mutual | $1,999 | $167 |
| Grange | $2,064 | $172 |
| Progressive | $2,312 | $193 |
| National General | $2,313 | $193 |
Source: Experian data as of January 2025
Note: Senior drivers include those ages 65 and up; costs above represent insurance quotes, not policy premiums
As you get older and your driving habits change, reevaluate your car insurance needs. For instance, you're likely to drive less in retirement than in your working years. This could qualify you for a low-mileage car insurance policy, potentially saving money. Being a retired military servicemember or going accident-free for a certain number of years may also qualify you for a car insurance discount with some insurance companies.
Learn more: How to Buy Car Insurance as a Senior
Average Cost of Car Insurance in the U.S. for Drivers With Traffic Violations
Driving safely can lower your odds of having an accident or getting a traffic citation; this can pay off in lower insurance premiums. Nationally, drivers with a clean driving history (no incidents or violations on their motor vehicle record) pay an average of $2,138 annually for auto insurance.
However, you might be viewed as a high-risk driver if your motor vehicle history shows moving violations or accidents (even if you weren't at fault). Insurance companies may increase your car insurance premiums to compensate for this higher risk. Having several car accidents or serious infractions such as DUIs generally has a bigger effect on your auto insurance costs and could even cause your insurer to cancel your policy.
Learn more: How to Get Affordable Car Insurance as a High-Risk Driver
Even if your driving record isn't squeaky-clean, it's possible to find affordable auto insurance. The table below shows the average cost of auto insurance in the U.S. for drivers with negative marks on their driving records. (Incidents include things like traffic accidents or insurance claims; violations include moving violations, such as speeding tickets.)
| Driving Record | Annual Cost |
|---|---|
| Clean | $2,138 |
| 1 Incident | $2,572 |
| 1 Violation | $2,720 |
| 2 Incidents | $2,826 |
| 2 Violations | $2,897 |
| 3+ Incidents | $3,307 |
| 3+ Violations | $3,300 |
Source: Experian data as of January 2025
Note: Costs above are a blended average of full and minimum coverage policies sold through Experian's marketplace
How to Save Money on Car Insurance
Saving money on auto insurance gives you more money to put toward other financial goals. Try these tips to save on car insurance.
Raise Your Deductible
The deductible is the amount you're responsible for paying when you file an auto insurance claim. Insurance companies generally offer deductibles of $250 to $2,000. In general, increasing your deductible should lower your premiums.
Before raising your deductible, you should feel confident you could pay more out of pocket if you have to file an auto insurance claim. Assess the state of your emergency fund and your other financial resources. Your car insurance carrier can show you how various deductible amounts would affect your premiums.
Look for Discounts
Start by checking with your current car insurance company to see if they offer any discounts you aren't already using. Then visit other providers' websites to find out what discounts they have available.
Common car insurance discounts include savings for bundling home and auto insurance, paying your premium upfront, eliminating paper statements or setting up automatic premium payments. Many insurers offer discounts for getting insurance quotes online or signing documents digitally. You can also check with your workplace and any membership organizations you belong to—they may offer discounts on car insurance too.
Eliminate Extra Coverage
There are plenty of car insurance extras, such as rental car reimbursement, windshield replacement or roadside assistance coverage, that are nice to have but not essential. Canceling coverage you don't need can be an easy way to lower your insurance costs. For instance, if your family owns several cars, you may not need insurance to pay for a rental car while your car is in the shop due to a claim.
If your car is paid off and not worth very much, you may want to consider dropping collision and comprehensive coverage. At most, collision and comprehensive coverage only pays out the vehicle's value, so it may not be worth maintaining this coverage for a car that's worth a few thousand dollars. Just be sure you could afford to replace or repair your vehicle without insurance if it were totaled.
Learn more: Top Car Insurance Discounts
Drive Less
The more time you spend on the road, the greater your risk of being involved in a car accident. That's why many auto insurance companies offer discounts if you drive fewer than 12,000 miles per year. To reduce your mileage, consider walking, carpooling or biking more often. You can even investigate switching to full- or part-time remote work if your employer allows.
Some low-mileage car insurance plans track your mileage using self-reported or third-party odometer readings or devices installed in your vehicle. Another option is pay-per-mile car insurance, which charges a monthly base rate plus a per-mile charge for each additional mile.
Drive Safely
Maintaining a clean driving record can help keep your car insurance costs down, so make it a goal to go without citations or accidents. Need to brush up on traffic rules? Many insurance companies offer discounts if you complete an approved defensive driving or safe driving course.
Improve Your Credit
Insurance companies in most states can review your credit-based insurance score when setting your premiums. A poor score could mean higher rates for auto insurance. Taking steps to improve your consumer credit score could positively affect your credit-based insurance score and potentially save you money on auto insurance.
Shop Around
Each insurance company uses its own criteria when determining rates, so the price you're quoted can differ widely from one insurance carrier to another. Comparing quotes from a variety of insurers could help you find lower prices on car insurance. Make it a habit to shop around with different providers at least once a year or whenever your current policy is due for renewal.
You can get auto insurance quotes by visiting insurance company websites or by contacting insurers directly. For a more convenient way to explore your options, try using Experian's free car insurance comparison tool. It gathers car insurance quotes from multiple top insurance companies in your state so you can see which carrier offers the lowest rates.
Methodology
This analysis is based on a review of auto insurance policies and quotes provided through Experian's insurance marketplace. Policy premium and quote averages are based on driver data across all genders and ages unless otherwise noted.
Experian's insurance marketplace matches users with auto insurance coverage from more than 30 carriers across 50 states and Washington, D.C.
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About the author
Karen Axelton
Karen Axelton specializes in writing about business and entrepreneurship. She has created content for companies including American Express, Bank of America, MetLife, Amazon, Cox Media, Intel, Intuit, Microsoft and Xerox.
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