Cheapest car insurance companies in May 2022

*Average rates based on full coverage

*Average rates based on full coverage

Bankrate utilizes Quadrant Information Services to analyze 2022 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $50,000 property damage liability per accident
• $100,000 uninsured motorist bodily injury per person
• $300,000 uninsured motorist bodily injury per accident
• $500 collision deductible
• $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2020 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should only be used for comparative purposes.

Credit-based insurance scores: 2022 Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor, average, good (base) and excellent.” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. Four states prohibit the use of credit-based insurance scores as a rating factor in determining auto insurance rates: California, Hawaii, Massachusetts, and Michigan. In Michigan, while insurers are not allowed to use your credit score, they can use factors that contribute to your score to calculate your rate.

Incidents: 2022 rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket conviction and single DUI conviction.

Status: 2022 rates were evaluated based on the following marital/family status: single (base), married, 40 year married man and woman with a 16-year-old teen driver. Marital status is not a rating factor in HI and MI.

Age: 2021 rates were calculated by evaluating our base profile with the ages 18-60 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Age is not a contributing rating factor in Hawaii and Massachusetts due to state regulations.

Gender: The following states do not use gender as a determining factor in calculating premiums: California, Hawaii, Massachusetts, Michigan, North Carolina, Pennsylvania.

Teens: 2021 rates were determined by adding a 16- or 17-year-old teen to a 40-year-old married couple’s policy. The rates displayed reflect the added cost to the parents’ policy.

Bankrate Scores primarily reflect a weighted rank of industry-standard ratings for financial strength and customer experience in addition to analysis of quoted annual premiums from Quadrant Information Services, spanning all 50 states and Washington, D.C. We know it is important for drivers to be confident their financial protection covers the likeliest risks, is priced competitively and is provided by a financially-sound company with a history of positive customer support.

To determine how well the best car insurance companies satisfy these priorities, third-party agency ratings from J.D. Power, AM Best, S&P, NAIC, and Moodys had the most impact on the companies’ Bankrate Scores. As price is a common consideration for drivers, we analyzed quoted premiums based on 40-year-old male and female drivers with a 2019 Toyota Camry. This profile, assessed across more than 35,000 ZIP codes in the U.S., provided a basis on which drivers may compare each provider.

While coverage options, insurer availability, affordability and customer experience are often the top priorities, Bankrate also analyzed each insurer’s online and mobile resources for policy management and claims handling. Insurance is rapidly evolving to keep pace with our digital world, so these aspects also carried weight in determining Bankrate Scores.

Paying your car insurance premium every month isn’t money wasted. Instead, it acts as a protective net that guards your finances in the event of an accident. However, finding affordable auto insurance could be desirable because it frees up money to be spent elsewhere in your budget, such as paying down debt, investing or saving. To save money on your car insurance, you may want to get quotes from the cheapest car insurance providers and look for discounts that apply to you. However, be wary when it comes to skimping on coverage. Purchasing less coverage than you need could be a detriment to your finances in the long run.

Cheap car insurance is a great way to protect your finances and your budget, but you may need to do more research to find the lowest-priced option that works best for you. And it probably doesn’t come as a surprise that more coverage generally means a higher premium, so cheap car insurance might mean you are buying lower limits than you’d like. But that isn’t a given. You can find cheap car insurance — even cheap full coverage — without cutting back on your coverage limits. You may need to spend a bit more time researching companies and gathering quotes from multiple providers. Claims satisfaction and customer service scores are two key areas to consider, as these will be most relevant when you have an accident and file a claim.

Your age plays a significant role in car insurance rates in all states except Hawaii, which bans the use of age as a rating factor. Due to their inexperience and higher accident frequency, younger drivers tend to pay higher premiums, with 18-year-olds paying the highest average rates. Average rates are at their lowest for drivers in their 60s but can begin to creep up again as drivers reach and surpass 70 years old.

Your state’s minimum required levels of coverage are all you need to drive legally, but most insurance experts recommend opting for additional coverage to offer more financial protection in case of an accident. Determining how much coverage you need involves a review of your broader financial picture. Additionally, if you have a loan or lease on your vehicle, you will most likely be required to carry full coverage as a condition of your finance or lease agreement. If you are unsure how much coverage you need, consider speaking with a licensed insurance agent before purchasing an auto policy.

Having the cheapest auto insurance can be a priority for many drivers. If you already have car insurance, check with your carrier to see if you can qualify for any additional discounts or if it offers a usage-based telematics program that you can participate in for extra savings. You can also review your current coverage, although it is generally not advised to reduce your coverage to the state minimum to achieve the cheapest car insurance. As explained earlier, this could result in paying more out-of-pocket in the event of an accident and leave you financially vulnerable.

Instead, consider what might be a more reasonable liability limit for your financial situation. You could also adjust your deductible, or even remote coverage like towing, if you already have a membership program that provides this, or rental reimbursement, if you own more than one car.

Broadly speaking, car insurance covers damages and injuries that result from covered accidents. Without car insurance, these costs could need to be paid out-of-pocket and could become very expensive. If comprehensive coverage is purchased, the policy may also extend coverage to non-collision incidents, such as glass breakage or damage caused by a falling tree. To get a better understanding of how car insurance works and what types of coverage you can purchase, check out Bankrate’s car insurance guide.