The average cost of car insurance in Philadelphia is $778 for minimum coverage and $3,194 for full coverage. Car insurance in Philadelphia can be more expensive than other parts of the country, so shopping around for the best coverage can help you save money.
Almost 9 million people in Pennsylvania are licensed to drive. With so many people on the road, it should come as no surprise then that in 2019 Penndot reports, there were 125,267 crashes, 76,243 injuries from car related accidents and 1,059 deaths from car related accidents.
Drivers in Philadelphia need affordable car insurance that will protect them financially in the event of an accident. To narrow down the best car insurance companies in Philadelphia, we looked at a variety of factors, including customer satisfaction scores and the average cost for both minimum and full coverage.
Best car insurance companies in Philadelphia
We used a lot of criteria to narrow down our top five car insurance companies in Philadelphia. These included J.D. Power ratings, average prices for both minimum and full coverage based on 2021 rate data, and available discounts.
These are the best cheap car insurance companies in Philadelphia:
|Insurance company||J.D. Power customer satisfaction score||Average annual premium for minimum coverage||Average annual premium for full coverage|
|Geico||841 / 1,000||$371||$1,299|
|USAA||890 / 1,000||$388||$1,819|
|Progressive||828 / 1,000||$499||$1,936|
|State Farm||855 / 1,000||$503||$1,878|
|Erie||850 / 1,000||$521||$2,220|
Geico is one of the cheapest providers in Philadelphia. Not only does it offer great rates, but it also offers many of the best car insurance discounts to lower your premium even further. Moreover, many of the discounts Geico offers can save you significant money. For example, you can save 25% on your policy by insuring two or more cars, and you can save up to 23% for driving a car that has air bags installed.
Learn more: Geico Insurance Review
USAA is nationally recognized as being one of the best insurance carriers on the market. If you have not heard of it, there is a good reason for that. USAA currently only serves active-duty and retired military, as well as their immediate family members. However, if you qualify, USAA offers exceptional customer service, as well as naturally low rates. USAA even offers a few unique discounts, such as its garage discount. Should you be overseas or away from your vehicle for an extended period of time and need to store your car, USAA may give you a 60% discount on your premium.
Learn more: USAA Insurance Review
Progressive makes it easy to get car insurance quotes in Philadelphia. In fact, if you go to its website, it is one of the first things you will see. Progressive is also one of the few companies that let you shop around for coverage options based on your budget. Not only will it show you the type of policy you could get with them at your price, but it will also show you the types of policies you could get with other companies. Simply put, Progressive lives up to its name.
Learn more: Progressive Insurance Review
State Farm scores top marks year after year for its customer service. State Farm has all of the major discounts you would expect a national carrier to have, but it also has a few more. Our favorite is the Drive Safe & Save discount. With this discount, State Farm looks at your driving habits and uses that data to help you save even more if it likes what it sees.
Learn more: State Farm Insurance Review
Many drivers argue that Erie offers the best car insurance in Philadelphia. Though it is not the cheapest on the list, Erie offers a lot of coverage options, such as personal item coverage and pet coverage to protect your pet if hurt while riding in the car. With personal item coverage, Erie will insure your personal belongings up to $350 if they are damaged or stolen from your vehicle.
Learn more: Erie Insurance Review
Cheapest car insurance in Philadelphia
Compared to the rest of Pennsylvania, Philadelphians pay significantly more. For minimum coverage, the average cost most drivers pay in Pennsylvania is $371 for minimum and $1,606 for full. This means that Philadelphians pay $407 more for minimum and $1,588 more for full coverage. Therefore, finding the cheapest provider is a must for many people with tight budgets.
Each company below recently received standout scores with J.D. Power (the company that measures customer satisfaction). USAA came in first whereas State Farm came in second, but they all scored extremely well compared to other insurance providers on the market.
Financial strength is no different.
Each company also has a great mobile app for filing claims, paying your bill, or checking the status of your claim. Each company has a great list of discounts you can take advantage of. In short, Geico, USAA, Progressive, State Farm, and Erie are each a great provider. They have different pricing algorithms, however, so it is worth your time to get a quote from each before deciding which provider to choose.
|Insurance company||Average annual premium for minimum coverage||Average annual premium for full coverage|
Philadelphia insurance requirements
Pennsylvania requires all drivers to have, at minimum, at 15/30/5 policy. This means that insurance carriers must provide up to:
- $15,000 for medical payments per person per accident
- $30,000 for medical payments per accident
- $5,000 for property damage
Even though Pennsylvania is a no-fault state, that does not mean you cannot be sued should any damages you cause be deemed excessive. You should strongly consider opting for a full coverage plan.
You also need full coverage if you plan to lease or finance your vehicle because the auto-dealer will require it. This means that when you are shopping around, you cannot simply look for the lowest number for minimum coverage. You will have to do more digging to see who is the cheapest provider for you.
Car insurance discounts in Philadelphia
The amount you will save with each discount listed below varies company by company. However, each offers Philadelphia drivers significant savings well worth investigating:
- Defensive driving discount: You can often qualify for this discount by taking a defensive driving course online, but if you prefer in-person that can easily be done too. Philadelphia has multiple locations to choose from.
- Multiple vehicle discount: With most insurance providers, insuring multiple vehicles with a company will get you a pretty sizable discount on your premium. Falling under the “customer loyalty” category, this discount can easily be paired with other discounts to help you save even more, such as using the same company for either renters, condo or homeowners insurance.
- Pay-in-full: Many companies offer discounts up to 10% for paying your premium in full. If you opt for full coverage and have an annual premium around $2,000, that is a savings of $200
- Anti-theft: Philadelphia drivers can make their insurance provider sleep a little easier at night by installing anti-theft devices. How much you will save really depends on your provider.
- Usage-based discount: Many providers are offering discounts based on driving behavior. Therefore, the amount you might save each month varies depending on the type of driver you are. If you are fine going the speed limit and thoroughly observing all traffic laws, this discount may save you a significant amount of money as the months and years go by.
Frequently asked questions
What is the best car insurance company?
There are a lot of variables to consider when choosing the best car insurance company. Every company uses specific rate factors to determine the cost of your car insurance, including what kind of car you drive, your driving history and your age and gender. To receive the cheapest car insurance, it helps to find and compare quotes from multiple providers to ensure that you find the best deal.
Does Philadelphia have a lot of underinsured/ uninsured drivers?
Information for Philadelphia on its own does not exist. However, at the state level, Pennsylvania is actually one of the lowest states for uninsured drivers. As of the Insurance Information Institute’s latest study, Pennsylvania only has about a 7.6% uninsured rate.
Is Pennsylvania a no-fault state?
Yes, it is. This means that each person is expected to have enough insurance to cover their own medical and property damage costs. However, people may still seek compensation via the court if the damages are excessive.
Bankrate utilizes Quadrant Information Services to analyze 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 sample drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should be used for comparative purposes only. Your quotes may be different.