The cheapest top car insurance company in Los Angeles is Wawanesa, according to Bankrate’s 2021 study of quoted annual premiums. Wawanesa’s average full coverage premium comes in $661 cheaper than Los Angeles’s average full coverage premium of $2,838 per year, or $237 per month.
The average annual cost of car insurance in Los Angeles for minimum coverage is $1,061. Although minimum coverage is typically cheaper than full coverage insurance on average, most insurance agents do not recommend it for drivers looking for the best cheap car insurance. If a driver gets in an accident and has less car insurance than they need, they may have to pay a significant amount of money out of pocket. For this reason, full coverage is usually a better option to best protect drivers’ finances.
Best cheap car insurance companies in Los Angeles
If you’re looking for cheap car insurance, Los Angeles offers several top-rated options. Based on Bankrate’s extensive analysis, the best cheap car insurance companies in Los Angeles are Wawanesa, Geico, Progressive, CSAA and State Farm.
To find the cheapest car insurance companies in Los Angeles, Bankrate analyzed the latest premium data from Quadrant Information Services. To ensure our picks are the best car insurance companies in Los Angeles for your money, Bankrate analyzed available coverage options, discounts and third-party financial strength and customer satisfaction scores from AM Best and J.D. Power, respectively. We compiled these data points to create an individualized Bankrate Score out of five possible points for each provider.
|Insurance company||Bankrate Score||J.D. Power score (California)||Average annual premium for full coverage||Average annual premium for minimum coverage|
Since 1936, Geico has been developing trust with U.S. drivers and has consistently been known for affordable rates and reliable coverage. This is echoed in its 2021 J.D. Power overall customer satisfaction score, as it earns an above-average score of 828 out of 1,000 points in California. As the cheapest car insurance in Los Angeles for minimum coverage insurance on our list, the company could be a great option for drivers looking for basic, but dependable coverage from a top national insurer. However, keep in mind that Geico does not offer gap insurance.
Learn more: Geico Insurance review
Not only does Progressive offer affordable quotes on average for Los Angeles drivers, but it also provides a host of digital tools to help its customers save even more. For example, its Name Your Price tool allows drivers to find the best coverage options within their set budget. The company scores above average on the J.D. Power customer satisfaction survey for California. However, the company received a below-average score for claims satisfaction in the 2020 J.D. Power Auto Claims Study.
Learn more: Progressive Insurance review
CSAA, or California State Automobile Association, is affiliated with well-known auto insurer AAA. The company offers policyholders cheaper than average coverage with plentiful discount options. However, note that the company ranks slightly below average in the J.D. Power customer satisfaction survey for California.
State Farm is likely the most popular car insurance provider in Los Angeles due to holding the highest percentage of the state’s auto insurance market share. Its full coverage rates are just under $160 less than the city average and its minimum coverage rates are $276 less than the city average. Additionally, there is no shortage of discounts available for even more savings, with options for loyalty, safe drivers and safe vehicles. State Farm’s high J.D. Power ranking further proves a strong ability to satisfy customers. While State Farm’s rates are low in comparison to the L.A. average, the company has the highest average premiums on our list.
Learn more: State Farm Insurance review
Wawanesa offers the cheapest car insurance in Los Angeles for full coverage on our list. As the highest customer-rated provider in California, Wawanesa may offer the best car insurance in Los Angeles for drivers looking for relatively basic coverage from a trusted name. Wawanesa also offers a few options for important extras like rental expense coverage and original equipment manufacturer coverage. Policyholders can benefit from many common discounts as well, like multi-car, multi-policy and good driver. Additionally, Wawanesa offers a discount to drivers aged 55 or older who complete a California-approved virtual defensive driving course as a unique savings opportunity. However, keep in mind that Wawanesa received the lowest Bankrate Score on our list.
Learn more: Wawanesa Insurance review
How to get and keep the cheapest car insurance in Los Angeles
The tips below may be able to help you get the cheapest rates in Los Angeles for your individual circumstances:
- To find cheap car insurance, shop around with multiple carriers. Getting quotes from multiple carriers can help you see which insurance providers would offer you the most affordable rates. You can also talk with an insurance agent about which discounts might apply to you.
- To keep cheap car insurance, maintain a clean driving record. Maintaining clean driving records is important for everyone on your car insurance policy. Staying accident-free helps car insurance providers know that you’re not risky to insure. If you do get a mark on your driving record, you may want to enroll in a telematics program or a defensive driving course, which can help prove that you have safe driving habits. Some insurers will offer you more affordable rates for doing so.
Frequently asked questions
What is the best car insurance company?
The best car insurance in Los Angeles will vary among drivers. There are many quality cheap car insurance companies in Los Angeles worth considering. To find the best car insurance company for your needs, consider getting a few car insurance quotes to compare pricing and coverage before you decide. In addition to price, it may help to consider how other people in the area rate their experience with an insurer. Because each state and city is unique, knowing how well a provider operates in your ZIP code could help determine if it is the right one for you. The Insurance Information Institute (Triple-I) recommends getting a minimum of three quotes when shopping for auto coverage.
Do you need to carry car insurance documents?
State law requires that you must always have evidence of current vehicle insurance coverage while operating your car. This is essential if you are pulled over by law enforcement or involved in a car accident. However, electronic proof of auto insurance is legal in California, so you may not necessarily need to keep physical documentation stored in your vehicle. Instead, you could choose to use your electronic insurance card as proof when required, provided by your insurer through its mobile app.
While electronic auto insurance ID cards can be convenient, it may be worth carrying physical documentation as a backup. For example, you could lose cell phone service, or your device may run out of power. In either case, insurance experts recommend checking your local laws to make sure you maintain suitable proof of insurance at all times.
What if I cannot afford liability insurance coverage in California?
Operating or even parking any vehicle requires auto insurance coverage in the state of California. However, drivers of certain income levels can apply for the California Low-Cost Automobile Insurance Program if they cannot afford traditional car insurance.
How much does car insurance in Los Angeles cost?
Los Angeles drivers can expect to pay an average of $2,838 per year for full coverage car insurance. However, several cheap car insurance companies provide much more affordable rates to their customers. The best way to find the cheapest car insurance in Los Angeles is to request quotes from multiple providers and see which ones offer you the cheapest rates.
Bankrate utilizes Quadrant Information Services to analyze 2021 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 coverages that meet each state’s requirements. Our base profile drivers own a 2019 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.
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.