Best car insurance in Arizona in 2023

Best car insurance companies in Arizona

According to premium data sourced from Quadrant Information Services, the annual average premium for a full coverage policy in Arizona is $1,810. The average rate for a minimum coverage policy is $587 per year. 

However, we know that, while important, cheap premiums likely aren’t your only consideration when shopping for new car insurance. Aside from rates, Bankrate’s insurance editorial team analyzed customer satisfaction scores issued in the J.D. Power 2022 U.S. Auto Insurance Study and ranked carriers using our proprietary Bankrate Scoring method. This study revealed that Geico, State Farm, Progressive, Travelers and Nationwide are among some of the best car insurance companies in Arizona across a variety of scenarios.

How Bankrate chose the best car insurance companies in Arizona

To find the best auto insurance in Arizona, Bankrate’s insurance experts developed a proprietary Bankrate Score to help grade companies on factors like customer service rankings, financial strength ratings, policy options and discounts, and more. We also reviewed average premium data from Quadrant Information Services to see which companies offered great coverage at a reasonable price.

Each company was scored based on these categories, with a higher score in each category resulting in a higher overall Bankrate Score, with a maximum score of 5 out of 5. This may help you more easily compare different car insurance carriers to each other and decide which ones you may want to get a quote from.

How much is car insurance in Arizona? 

The average cost of car insurance in Arizona is $1,810 per year for full coverage and $587 per year for minimum coverage. Arizona drivers pay less than the national average cost of car insurance for full coverage, which is $2,014 per year. The cost of minimum coverage insurance in Arizona is also cheaper than the national average of $622 per year. Arizona’s average car insurance rates are in between the average rates in neighboring states of California and Utah. California’s average rates are higher at $2,291 per year for full coverage and $636 per year for minimum coverage. On the other hand, Utah’s average rates are lower than Arizona's, at $1,510 per year for full coverage and $539 per year for minimum coverage. 

Location is a major factor impacting state rates, as each state, and even each city within the state could have a different crime rate, cost of living, average repair costs, and more. For instance, California's average rates could be higher than Arizona's due to a higher population density, leading to a higher prevalence of car accidents. Utah could be cheaper for the same reason — a lower population density, leading to a reduced risk of car accidents. Additionally, Los Angeles is the second-largest city in the country, which may skew California’s average rates as a whole.

How to find the best car insurance in Arizona

Each provider offers different auto insurance rates depending on various factors, including your driving history, geographic location, age, occupation and the type of vehicle you drive. If you want to get the best car insurance, you may want to consider taking the following steps. 

Consider minimum insurance requirements in Arizona

Most states require you to purchase a minimum amount of insurance coverage before you can register your vehicle, and Arizona car insurance laws are no different. You must carry at least the state’s required minimum coverage levels to drive legally. According to the Arizona Department of Insurance, you must carry at least the minimum required amounts of bodily injury liability per person, bodily injury liability per accident and property damage liability. 

Although buying only minimum liability may keep your premiums low, you could face financial stress if you cause an accident. If the damages in that accident exceed your insurance limits, you will be responsible for the excess out of pocket. Most insurance experts recommend that you purchase higher liability limits if you are able to.

Consider lender requirements

Minimum coverage does not provide any physical damage coverage for your vehicle. If you want personal insurance coverage for damages to your car, you will need full coverage, which includes optional comprehensive coverage and collision coverage. If you have a loan or lease on your vehicle, your financial institution likely requires you to have full coverage. You might also want to purchase gap insurance, which is designed to pay the difference between the cash value of your new vehicle and your loan or lease amount if the vehicle is totaled or stolen. 

Consider your individual needs

To find the best car insurance for your needs, you may want to identify which coverage options, add-ons and discounts are most appealing to you. Each auto insurer offers different coverage types and discounts, so knowing what factors matter most to you might help you find a company that fits your needs. If you are considered a high-risk driver, for example, you may need to look for companies that offer high-risk auto insurance. Or if you have a teen driver on your policy, you might want to seek out a company that offers competitive discounts with car insurance for teen drivers.

Frequently asked questions