Top 10 Cheap Car Insurance Companies in December 2025
COUNTRY Financial, Auto-Owners, and USAA offer the cheapest car insurance rates as of December 2025.
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From June 2022 to June 2024, the average annual cost of car insurance in the U.S. rose by more than 40%, according to an Insurify report.
The national average rate for full-coverage car insurance is now $2,126 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 $1,196 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.
Quick Facts
COUNTRY Financial has the cheapest liability-only quotes for drivers with an incident, at $54 per month.
COUNTRY Financial has the cheapest full-coverage car insurance quotes, at $72 monthly.
Liability-only car insurance is generally the cheapest type of coverage but offers less financial protection than full-coverage car insurance.
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 below rates are estimated rates current as of: Friday, October 31 at 5:00 PM PDT.
Data reviewed by Chase Gardner)
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Data expert on auto trends and driver behavior
University of Chicago graduate with statistics degree
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Insurance Company  | Liability Only | Full Coverage |
|---|---|---|
| COUNTRY Financial | $40 | $72 |
| Auto-Owners | $45 | $78 |
| State Farm | $56 | $109 |
| Allstate | $74 | $139 |
| Safeco | $88 | $142 |
| Root | $90 | $151 |
| Dairyland | $91 | $273 |
| GEICO | $91 | $139 |
| National General | $95 | $177 |
| Nationwide | $96 | $180 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
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.
Driver Category | Cheapest Insurance Company | Cheapest Monthly Quote |
|---|---|---|
| Drivers with a clean record | COUNTRY Financial | $40 |
| Drivers with an incident | COUNTRY Financial | $54 |
| Drivers with bad credit | COUNTRY Financial | $49 |
| Military members and their families | USAA | $52 |
| Teen drivers | COUNTRY Financial | $54 |
| Senior drivers | COUNTRY Financial | $31 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
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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 that other drivers file 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.
State | Cheapest Insurance Company | Monthly Quote |
|---|---|---|
| Alabama | National General | $47 |
| Arizona | Mile Auto | $64 |
| Arkansas | State Farm | $45 |
| California | USAA | $81 |
| Colorado | State Farm | $61 |
| Connecticut | State Farm | $111 |
| Delaware | USAA | $84 |
| Florida | Hugo | $95 |
| Georgia | Hugo | $68 |
| Idaho | Auto-Owners | $32 |
| Illinois | Auto-Owners | $48 |
| Indiana | Auto-Owners | $44 |
| Iowa | State Farm | $24 |
| Kansas | CSAA | $48 |
| Kentucky | National General | $92 |
| Louisiana | State Farm | $65 |
| Maine | USAA | $40 |
| Maryland | CSAA | $131 |
| Massachusetts | State Farm | $56 |
| Michigan | Auto-Owners | $67 |
| Minnesota | State Farm | $63 |
| Mississippi | State Farm | $43 |
| Missouri | USAA | $57 |
| Nebraska | Auto-Owners | $43 |
| Nevada | COUNTRY Financial | $53 |
| New Jersey | CSAA | $99 |
| New Mexico | The General | $59 |
| New York | Liberty Mutual | $90 |
| North Carolina | Progressive | $64 |
| Ohio | Mile Auto | $40 |
| Oklahoma | State Farm | $41 |
| Oregon | Mile Auto | $70 |
| Pennsylvania | Hugo | 440 |
| South Carolina | USAA | $68 |
| Tennessee | Mile Auto | $43 |
| Texas | State Farm | $59 |
| Utah | USAA | $59 |
| Virginia | Hugo | $48 |
| Washington | State Farm | $55 |
| Washington, D.C. | CSAA | $93 |
| West Virginia | State Farm | $50 |
| Wisconsin | USAA | $37 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
*Alaska, Hawaii, Montana, New Hampshire, North Dakota, Rhode Island, South Dakota, Vermont, and Wyoming omitted due to insufficient data.
State | Cheapest Insurance Company | Monthly Quote |
|---|---|---|
| Alabama | Auto-Owners | $91 |
| Arizona | Auto-Owners | $105 |
| Arkansas | State Farm | $84 |
| California | USAA | $186 |
| Colorado | State Farm | $114 |
| Connecticut | State Farm | $153 |
| Delaware | USAA | $112 |
| Florida | State Farm | $117 |
| Georgia | Auto-Owners | $130 |
| Idaho | Auto-Owners | $46 |
| Illinois | Auto-Owners | $80 |
| Indiana | Auto-Owners | $76 |
| Iowa | State Farm | $43 |
| Kansas | State Farm | $92 |
| Kentucky | Auto-Owners | $152 |
| Louisiana | State Farm | $103 |
| Maine | USAA | $76 |
| Maryland | CSAA | $184 |
| Massachusetts | State Farm | $75 |
| Michigan | Auto-Owners | $108 |
| Minnesota | State Farm | $92 |
| Mississippi | State Farm | $73 |
| Missouri | USAA | $98 |
| Nebraska | Auto-Owners | $74 |
| Nevada | COUNTRY Financial | $69 |
| New Jersey | NJM | $178 |
| New Mexico | State Farm | $122 |
| New York | Erie | $140 |
| North Carolina | Progressive | $86 |
| Ohio | Mile Auto | $60 |
| Oklahoma | State Farm | $75 |
| Oregon | Mile Auto | $84 |
| Pennsylvania | State Farm | 476 |
| South Carolina | USAA | $104 |
| Tennessee | Mile Auto | $77 |
| Texas | State Farm | $98 |
| Utah | USAA | $84 |
| Virginia | Auto-Owners | $101 |
| Washington | State Farm | $112 |
| Washington, D.C. | CSAA | $157 |
| West Virginia | State Farm | $75 |
| Wisconsin | USAA | $60 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
*Alaska, Hawaii, Montana, New Hampshire, North Dakota, Rhode Island, South Dakota, Vermont, and Wyoming omitted due to insufficient data.
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.
Insurance Company | States Available | Full Coverage | Liability Only |
|---|---|---|---|
| COUNTRY Financial | AK, AL, AZ, CO, GA, IA, ID, IL, IN, KS, MN, MO, ND, NV, OK, OR, TN, WA, WI | $72 | $40 |
| NJM | CT, MD, NJ, OH, PA | $94 | $63 |
| Mile Auto | AZ, FL, GA, OH, OR, TN, TX | $110 | $68 |
| Erie | IL, IN, KY, MD, NY, NC, OH, PA, TN, VA, DC, WV, WI | $121 | $80 |
| Metromile | AZ, IL, OH, OR, TN, TX, WA | $111 | $61 |
| American Family | AZ, CO, GA, IA, ID, IL, IN, KS, MO, MN, NC, ND, NE, NV, OH, OR, SD, UT, WA, WI | $148 | $79 |
| Mercury | AZ, CA, FL, GA, IL, NV, NJ, NY, OK, TX, VA | $163 | $95 |
| Direct Auto | AL, AR, DE, L, GA, LA, MI, MS, NC, OH, PA, SC, TN, TX, VA | $163 | $95 |
| Clearcover | AL, AZ, GA, IL, IM, KY, LA, MD, MS, MO, NE, OH, OK, TX, UT, VA, WV, WI | $196 | $143 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
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How to get the cheapest car insurance
You have several ways to get cheaper rates on your car insurance. Start with the strategies below.
Most auto insurance companies offer discounts for policyholders who fit certain criteria. Common car insurance discounts include:
Bundling discounts: Save 5%–25%
Many insurance companies offer significant discounts for bundling renters, condo, or homeowners insurance with auto coverage.
Multi-vehicle discounts: Save up to 25%
Most insurers offer discounts for insuring more than one vehicle on your policy, and the savings can be substantial.
Good driver discounts: Save up to 34%
Most insurance companies, including State Farm, Nationwide, and GEICO, provide discounts if you go a certain number of years without an accident or moving violation.
Anti-theft and safety feature discounts: Average savings vary
Insurance companies often offer lower rates for cars with anti-theft or safety features, like car alarms, steering-wheel locks, collision-warning systems, and anti-lock brakes.
Telematics discounts: Average savings vary
Telematics programs use sensors and GPS to monitor driving behavior and reward drivers with discounts for going the speed limit, avoiding distractions, and gradual braking. But some companies may increase your rates if their telematics detects poor driving habits.
Defensive driving course discounts: Average savings vary
Learning safe driving techniques signals a lower risk level to insurers, which could translate into savings on your premium. Check with your insurance company before enrolling since most have approved defensive driving courses with specific requirements.
Military discounts: Average savings vary
Active-duty military personnel, veterans, and retired service members are often eligible for discounts on car insurance.
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 buying only 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.
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Mallory Mooney
Director of Sales and Service
Drivers would want to consider more than just the lowest rate. They need to know insurers have the financial stability to pay claims and maintain steady rates that won’t jump around or increase significantly on renewal. In many industries, you get what you pay for. Insurance is no exception to this.
Expert Insight
Buddy Parkhurst
Insurance Agent
Be sure to account for all household members when you’re seeking a quote to make sure the insurance company can rate and cover them properly. Besides helping you get an accurate quote, disclosing your household members protects you from a “material misrepresentation incident,” which could mean your insurer denies a claim or cancels your policy.
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.
These are the cheapest insurance companies for drivers with different incidents:
Drivers with a speeding ticket: COUNTRY Financial
Drivers with an at-fault accident: COUNTRY Financial
Drivers with a DUI: COUNTRY Financial
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 following table shows the cheapest insurers and their national average monthly liability-only rates for drivers with common infractions.
The below rates are estimated rates current as of: Friday, October 31 at 5:00 PM PDT.
Data reviewed by Chase Gardner
Data expert on auto trends and driver behavior
University of Chicago graduate with statistics degree
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Insurance Company | Speeding Ticket | At-Fault Accident | DUI |
|---|---|---|---|
| COUNTRY Financial | $58 | $54 | $59 |
| Auto-Owners | $59 | $57 | $66 |
| USAA | $67 | $68 | $77 |
| State Farm | $70 | $72 | $82 |
| Mile Auto | $79 | $92 | $100 |
| NJM | $95 | $86 | $99 |
| Commonwealth Casualty | $96 | $113 | $127 |
| Allstate | $97 | $97 | $109 |
| American Family | $103 | $104 | $116 |
| Erie | $109 | $101 | $113 |
| Dairyland | $112 | $118 | $134 |
| GAINSCO | $117 | $127 | $152 |
| National General | $117 | $124 | $140 |
| Direct Auto | $119 | $132 | $140 |
| Safeco | $121 | $129 | $146 |
| GEICO | $122 | $111 | $128 |
| Root | $125 | $115 | $130 |
| Nationwide | $125 | $127 | $141 |
| Bristol West | $126 | $130 | $149 |
| Travelers | $129 | $131 | $146 |
| The General | $131 | $133 | $138 |
| Elephant | $133 | $151 | $174 |
| Anchor | $136 | $144 | $172 |
| Farmers | $140 | $143 | $162 |
| AssuranceAmerica | $141 | $169 | $187 |
| Mercury | $146 | $156 | $151 |
| Chubb | $150 | $153 | $175 |
| CSAA | $156 | $185 | $184 |
| 21st Century | $176 | $176 | $193 |
| Clearcover | $196 | $232 | $210 |
| State Auto | $203 | $201 | $218 |
| Liberty Mutual | $204 | $214 | $237 |
| Shelter | $205 | $194 | $213 |
| The Hartford | $240 | $221 | $249 |
| Hugo | $267 | $244 | $265 |
| Amica | $413 | $379 | $428 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
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.
The below rates are estimated rates current as of: Friday, October 31 at 5:00 PM PDT.
Data reviewed by Chase Gardner
Data expert on auto trends and driver behavior
University of Chicago graduate with statistics degree
Featured in
Insurance Company | Average Monthly Quote |
|---|---|
| Auto-Owners | $94 |
| State Farm | $114 |
| Dairyland | $136 |
| Root | $150 |
| The General | $156 |
| Allstate | $158 |
| GEICO | $164 |
| Bristol West | $177 |
| Safeco | $192 |
| CSAA | $198 |
| Nationwide | $200 |
| National General | $212 |
| Travelers | $225 |
| Farmers | $231 |
| Liberty Mutual | $276 |
| Chubb | $281 |
| The Hartford | $437 |
| State Auto | $452 |
| Amica | $550 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
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.
The below rates are estimated rates current as of: Friday, October 31 at 5:00 PM PDT.
Data reviewed by Chase Gardner
Data expert on auto trends and driver behavior
University of Chicago graduate with statistics degree
Featured in
Insurance Company | Average Monthly Quote |
|---|---|
| Auto-Owners | $33 |
| State Farm | $40 |
| Allstate | $57 |
| Nationwide | $65 |
| GEICO | $66 |
| National General | $68 |
| Dairyland | $72 |
| Travelers | $73 |
| Root | $74 |
| The General | $75 |
| Chubb | $77 |
| Safeco | $78 |
| Farmers | $80 |
| Bristol West | $80 |
| CSAA | $87 |
| The Hartford | $93 |
| State Auto | $100 |
| Liberty Mutual | $131 |
| Amica | $204 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
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.
The below rates are estimated rates current as of: Friday, October 31 at 5:00 PM PDT.
Data reviewed by Chase Gardner
Data expert on auto trends and driver behavior
University of Chicago graduate with statistics degree
Featured in
Insurance Company | Average Monthly Quote |
|---|---|
| COUNTRY Financial | $49 |
| USAA | $62 |
| Auto-Owners | $76 |
| NJM | $77 |
| Mile Auto | $83 |
| American Family | $90 |
| State Farm | $90 |
| Allstate | $90 |
| Commonwealth Casualty | $105 |
| Safeco | $107 |
| Root | $110 |
| Dairyland | $111 |
| GEICO | $111 |
| The General | $114 |
| Direct Auto | $116 |
| National General | $116 |
| Nationwide | $117 |
| Mercury | $119 |
| Travelers | $121 |
| Bristol West | $123 |
| GAINSCO | $125 |
| Farmers | $134 |
| Erie | $136 |
| Anchor | $136 |
| CSAA | $143 |
| Elephant | $144 |
| AssuranceAmerica | $155 |
| 21st Century | $160 |
| Clearcover | $174 |
| State Auto | $179 |
| Shelter | $180 |
| Liberty Mutual | $186 |
| The Hartford | $216 |
| Hugo | $219 |
| Chubb | $232 |
| Amica | $350 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
Cheap car insurance FAQs
Car insurance is an important investment, so it’s a good idea to research companies carefully and compare quotes before making a decision. To get you started, here are some answers to commonly asked questions about car insurance.
COUNTRY Financial is the cheapest car insurance company and has an average liability-only rate of $40 per month. The cheapest insurance company for you could be different. Regional insurers sometimes have lower rates, and companies consider many factors to determine your rates.
COUNTRY Financial has the cheapest rates for full coverage, at $72 per month. The next cheapest are Auto-Owners and NJM, at $78 and $94 per month, respectively.
Regional insurers often offer competitive rates, so the cheapest overall insurers may not be available in every state. Various factors can affect the full-coverage rates available to you, so shopping around is one of the best ways to find the cheapest available policy.
Comparing quotes from at least three different car insurance companies is the best way to find an affordable policy for your situation. You can also ask if you qualify for any discounts, which could lower your premiums even more.
Other ways to get cheaper car insurance include increasing your deductible amount, taking a defensive driving course, and opting for liability-only coverage if your car is paid off or if you have an older vehicle.
No single company offers the cheapest car insurance to every driver. The best way to find a policy that meets your budget and coverage needs is to compare quotes from at least three different insurers and compare your options side by side.
Insurify data shows that COUNTRY Financial, Auto-Owners, and USAA offer cheap liability-only policies.
Comprehensive car insurance, which is part of a full-coverage policy, typically costs more than a basic liability-only policy because it offers more financial protection. But some insurers offer affordable comprehensive insurance policies, such as COUNTRY Financial, Auto-Owners, and NJM.
The best way to compare cheap car insurance companies is to use an online quote-comparison website. You’ll enter some personal information once, then you’ll be able to compare quotes from multiple insurers in one place.
You can also compare quotes on individual insurance company websites, but this is more time-consuming and requires you to enter your personal information multiple times.
Car insurance rates typically begin to fall after you pass age 25 and continue to lower until you’re in your 70s — provided you maintain a clean driving record. Insurance rates generally begin to climb again for drivers 70 and older.
Many factors affect how much car insurance coverage you need. You need to buy at least your state’s minimum required amount of liability coverage. Depending on where you live, buying personal injury protection (PIP) or uninsured/underinsured motorist coverage may also be a requirement.
If you finance or lease your vehicle, your lender or leasing company will require you to carry full-coverage car insurance and may specify the amount of comprehensive and collision coverage to buy. And if you have a high-value vehicle or other high-value assets, you may want to purchase additional coverage.
The cheapest cars to insure are typically reliable vehicles with modern anti-theft and safety features. These include the Subaru Forester and the Subaru Outback, based on Insurify’s analysis. The Insurance Institute for Highway Safety named them both Top Safety Picks in 2023.
Insurers usually view sports cars as a bigger risk and charge more to insure high-performance vehicles. Luxury cars can also cost more to insure than more affordable models since the repair and replacement costs are higher.
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