Best car insurance in Delaware for 2023

How Bankrate chose the best car insurance companies in Delaware

To determine the best car insurance companies in Delaware, Bankrate assigned each company a Bankrate Score, based on a 5-point scale, analyzing each provider's customer service history and its financial ability to meet claims obligations. We also evaluated each carrier’s availability and affordability and compared how their rates stack up to the overall market.

Best car insurance companies in Delaware

After reviewing the largest car insurance companies by market share in Delaware, we determined that USAA, Geico and Travelers are among the top carriers available. Our analysis of these companies included a review of premiums, coverages and discounts. According to data provided by Quadrant Information Services, Delaware drivers pay an annual average of $1,963 for full coverage auto insurance and $747 for minimum coverage.

We also chose the best auto insurance in Delaware based on each company’s J.D. Power rankings and AM Best financial strength ratings. We combined all these factors into a Bankrate Score for each company. The scores are on a 5.0 scale, and companies with higher scores are more highly rated within the individual rating categories. Based on our research, here are the top choices:

*USAA not officially ranked by J.D. Power due to eligibility restrictions

USAA

Although it does not qualify for official ranking due to eligibility restrictions, USAA received the highest number of customer satisfaction points from J.D. Power in 2022, with a score of 881. USAA has one of the lowest average annual full coverage premiums on our list, and the carrier also sells other insurance and investment products. USAA only provides coverage to eligible active-duty military members, veterans and their immediate families. If you do qualify for coverage, you might find that USAA offers a competitive premium as well as a few optional coverages to help you build a policy that fits your needs.

Learn more: USAA Insurance review

Geico

Geico scored slightly above the industry average for J.D. Power for claims service in 2022, but the insurer offers a long list of available discounts that may make it an attractive option for drivers in search of affordability. You may be able to lower your premium with Geico’s discounts for federal employees, military members, safe drivers and good students. The company also offers several kinds of insurance, including home, renters, business and pet coverage, so you may be able to meet all your insurance needs with a single insurer.

Learn more: Geico Insurance review

Travelers

In its 2022 U.S. Auto Insurance Study, J.D. Power awarded Travelers the third-highest customer satisfaction score, 860, for the Mid-Atlantic region. Among our top picks, Travelers offers one of the lowest average premiums for minimum coverage. The provider also offers a variety of optional coverages that may help you tailor your policy to your needs, including accident forgiveness, ridesharing coverage and gap insurance. The company also offers numerous discounts to help you save.

Learn more: Travelers Insurance review

Nationwide

Nationwide sells a full range of standard coverages, plus optional roadside assistance and gap coverage. The provider has a generous multi-policy discount program, which may allow you to combine auto insurance with home, boat, life, motorcycle and renters policies. You might also save money by enrolling in one of two telematics programs, including SmartRide, which offers a discount up to 10 percent when enrolling, plus up to a 40 percent savings if you maintain good driving habits. However, Nationwide’s rates are one of the highest on our list, and the carrier ranked below the regional average in J.D. Power’s 2022 Auto Insurance Study.

Learn more: Nationwide Insurance review

American Family

Along with standard coverages, American Family also offers optional accidental death and dismemberment, emergency road service, gap and rental reimbursement coverages. The provider extends multi-product and multi-vehicle discounts, and if you remain a customer, you might earn a loyalty discount. Unfortunately, American Family was not ranked in J.D. Power’s 2022 U.S. Auto Insurance Study for the Mid-Atlantic region, but the carrier did rank seventh in J.D. Power’s 2021 U.S. Auto Claims Satisfaction Study.

Learn more: American Family Insurance review

Average car insurance cost in Delaware

Car insurance in Delaware is generally more expensive than the national average. Delaware drivers pay, on average, $747 per year for the minimum required levels of insurance and $1,963 for full coverage. By comparison, the national average is $545 for minimum coverage and $1,771 for full coverage.

However, car insurance rates are highly personalized and may vary by a number of factors, including your location, age, driving history, vehicle type and the coverages you choose. Delaware’s average premiums may be higher than the national average in part due to the rate of fatal accidents. In 2021, 90 people died in Delaware crashes, but in 2022, fatalities topped 100 by the end of September.

Delaware is a small state but has over 812,000 licensed drivers on its roads. The high density of drivers could mean that accidents are more likely, which may also contribute to higher car insurance premiums.

Drivers in some Mid-Atlantic states pay slightly higher auto insurance rates than Delaware motorists, while others pay slightly lower premiums. For example, Pennsylvania drivers pay an annual average of $2,002 for full coverage, while New Jersey motorists pay an average of $1,891 per year.

How to find the best car insurance in Delaware

Insurance is a personalized purchase, meaning that premiums and coverages will vary based on your individual circumstances. However, there are a few steps you could start with to find the best auto insurance in Delaware for you.

Consider state minimum insurance requirements in Delaware

To drive legally in Delaware, you must purchase the state’s required minimum limits of bodily injury liability and property damage liability coverage, as well as personal injury protection (PIP). These can be found on the state's Division of Motor Vehicles website.

Understanding the minimum coverages in your state may help you determine if you need higher limits or additional coverages, such as comprehensive or collision.

Consider lender requirements

If you have a loan or lease on your vehicle, a banking institution has a financial stake in your vehicle. Because of this, lenders and leasing companies typically require that you carry a full coverage auto insurance policy, which provides coverage for damage to your vehicle in case of a covered incident. In this situation, you may also want to consider gap insurance. This optional coverage is designed to cover the difference between your vehicle’s total loss value and the balance on your loan, so that you may not have to pay the overage out of pocket.

Consider your individual needs

There are personal factors that could impact how much you pay for car insurance. Adding a teen driver to your policy, for example, may result in a large premium increase. Driving incidents such as speeding tickets and at-fault accidents could mean you are viewed as a high-risk driver by your insurer and might increase your premium. Looking for companies that fit your individual needs might help you mitigate the premium impact of these life events.

Car insurance discounts in Delaware

Although auto insurance is generally more expensive in Delaware than it is nationally, you may be able to save with discounts. Delaware auto insurance companies have discount programs that can sometimes offer substantial savings for qualified policyholders. Some common auto insurance discounts in Delaware are:

• Young driver discounts: Young drivers can often earn a discount by taking a driver’s education course. Many providers also offer good student discounts for teens and young adults who earn good grades. Some insurers also offer a discount to students who leave their vehicle at home when they go off to boarding school or college.
• Safe driver discounts: Safe drivers may save in a few ways. Keeping a clean driving record may help you avoid surcharges associated with accidents and tickets. You might also earn a discount if you go for a length of time without filing a claim, or if you take advantage of a telematics program.
• Other discounts: Many insurers offer multi-policy discounts. For example, an insurer might extend a discount to policyholders who bundle auto and home insurance. Some providers also offer discounts for vehicles equipped with safety and security equipment, like anti-lock brakes and anti-theft systems. A carrier may also extend discounts for making payments through electronic funds transfer or for paying your premium in full.

Every insurance company has its own set of discounts. Researching discounts on a company’s website or talking to one of its agents may help you to find ways to save.