Top 10 Cheap Car Insurance Quotes in August 2025

Car insurance costs are higher than ever; it’s not just in your head. Rates surged 15% in the first half of 2024 but have been relatively stable since then. In fact, Insurify data scientists predict only a 5% increase in auto insurance costs in 2025.

The national average rate for full-coverage car insurance is now $2,211 per year, leading more drivers to search for cheaper options. Some drivers cut costs by finding discounts, increasing deductibles, or switching to liability-only car insurance, which has a lower national average rate of $1,246 per year.

Every state except New Hampshire legally requires drivers to have some coverage. Thankfully, if you compare car insurance quotes, you’ll find that many national and regional insurers have competitive rates.

The 10 cheapest car insurance companies overall

The cheapest car insurance policy for you will depend on several factors, from the type of car you drive to your age. But some insurance companies offer significantly cheaper rates than others.

Insurify data scientists analyzed more than 90 million quotes to find the cheapest car insurance companies for every type of driver. Here’s an overview of average monthly liability-only and full-coverage quotes from the 10 cheapest auto insurance companies.

The cheapest car insurance company by driver category

Car insurance companies consider multiple factors when setting rates, from local accident rates to your age, driving record, and, in some states, your gender and credit history. Auto insurance rates can vary widely among drivers with different profiles because each factor indicates a different level of risk.

Here’s a look at the insurance companies offering cheap car insurance quotes for a few driver categories.

Cheapest car insurance by state

Location is an important factor in car insurance costs. Population density, road and weather conditions, vehicle vandalism and theft rates, and claims filed by other drivers in your area can all affect your car insurance rate. Rates can vary significantly from state to state and between different ZIP codes in the same city.

Here are the average monthly quotes from the cheapest insurers in every state and Washington, D.C.

Cheapest regional insurance companies

It’s well worth considering regional insurers when you’re looking for affordable car insurance rates. If you prefer to handle buying coverage one-on-one with an insurance agent, smaller companies may offer more personalized service and have more local knowledge than large insurers. Regional insurers are more limited and usually only offer policies in certain states, but depending on where you live, they may be the cheapest option.

These are the average liability-only and full-coverage car insurance quotes from the cheapest regional insurance companies.

How to get the cheapest car insurance

You have several ways to get cheaper rates on your car insurance. Start with the strategies below.

Risks of getting the cheapest possible car insurance

The biggest risk when getting the cheapest car insurance policy is that you might not buy enough coverage.

Liability insurance covers costs related to any bodily injury and property damage you cause to other people in an accident. Unlike full coverage, it doesn’t cover your property damage. You pay for 100% of the damage to your vehicle in an at-fault accident if you have liability-only insurance. That means it’s often easier to find cheap liability-only coverage than cheap full-coverage car insurance.

State-minimum coverage tends to have low limits, so only buying liability coverage will likely leave you exposed financially if an accident you cause results in high costs for the other driver. Drivers leasing or financing their cars will need to buy full coverage, as leasing companies and lenders require more than state-minimum or liability-only insurance.

Our licensed insurance agents weigh in

Cheapest insurers for drivers with an incident

Having an incident on your record can raise your premium because insurers see that information as a risk factor for future accidents. Some insurance companies weigh certain incidents less heavily than others, so comparing quotes can help you find the best auto policy for you.

The cheapest overall insurers also tend to have the cheapest rates for drivers with incidents because their base rates are lower to begin with. Discounts, which aren’t reflected in quoted amounts, can also reduce rates significantly.

The cheapest national insurer for drivers with an incident is USAA. Its average monthly liability-only quotes are $62 for drivers with a speeding ticket, $64 for drivers with an at-fault accident, and $74 for drivers with a DUI.

The following table shows the cheapest insurers and their national average monthly liability-only rates for drivers with common infractions.

Cheapest insurer for teen drivers: USAA

Companies consider teens riskier to insure because of their lack of experience and tendency toward risky driving behaviors. Most insurers offer discounts for being a good student and taking a driver’s education course.

Teens have the costliest premiums by age group, but if you keep a clean record, rates typically decrease once you turn 20 and continue decreasing from there, according to Insurify data. Insuring young drivers on an existing family policy could save you money and qualify you for a multi-vehicle discount.

Here are the average liability-only car insurance quotes from the cheapest companies for teen drivers insured on their own policy.

Cheapest insurer for senior drivers: USAA

Insurance premiums typically decrease as you age and gain driving experience. Rates start to rise for drivers in their 70s since vision, mobility, and coordination changes can increase the risk of accidents.

Shopping around can help you find the best policy since some insurers offer discounts for senior drivers. For example, with GEICO, senior drivers in 30 states can apply for a guaranteed renewal policy, so you don’t have to worry about an insurance company deciding not to renew.

Below are the average minimum-coverage quotes from the cheapest companies for senior drivers.

Cheapest insurer for drivers with bad credit: COUNTRY Financial

Insurance companies typically use information from your consumer credit reports to generate a proprietary credit-based insurance score. This score helps them estimate your likelihood of filing a car insurance claim.

Generally, negative information in your credit history, like collections or overdue balances, can lower your credit-based insurance score and lead to higher car insurance rates.

Here are average monthly liability-only rates from top insurers for drivers with poor credit.