Cheapest Auto Insurance Companies: Lowest Rates for 2026

Auto-Owners, Erie, and Nationwide rank as the three cheapest auto insurance companies in our national comparison, with minimum coverage starting at $624 annually.

Erie has flexible policy extras, while Nationwide offers discounts for bundling policies. Compare all three on price, customer service, and policy features to find the best value.

The lowest-priced insurer will vary by state. Local traffic, claims, and insurance laws can affect premiums. Learn more about why auto insurance rates vary so much.

10 Best Companies: Cheapest Auto Insurance

Minimum coverage rates range from $52 monthly with Auto-Owners to $94 with The General. Beyond price, compare each insurer’s financial strength, policy features, and customer service.

Compare multiple companies side by side using our free quote comparison tool to find the most affordable auto insurance quotes.

Cheapest Car Insurance Options Across the U.S.

Auto insurance rates vary widely by state because location strongly influences pricing. Compare auto insurance rates by state and get quotes from different insurers.

Who has the cheapest auto insurance in the U.S.? Unlike the national ranking, these state results compare liability-only rates available in each location.

Cheapest Company for Liability-Only Auto Insurance in Each State

Among the liability-only options compared, Vermont and Wyoming have the lowest rates at $26 monthly, followed by New Hampshire, Maine, and Iowa.

These figures represent the lowest liability-only provider rate in each state, not the statewide average premium. They identify the cheapest company in each location using the rates included in our comparison.

The map gives you a quick look at how rates compare across states. Your price may be different because your insurer, driving history, and coverage choices also affect what you pay.

Claim frequency, local traffic, and state insurance laws help explain why costs vary by location. To find the lowest rate in your area, enter your ZIP code and compare quotes from different insurers.

Your Car Insurance Rate After a Move

Your old rate may not follow you to a new address—even a nearby one. In California, the price can reflect where the car is kept, how much you drive, your record, and how long you’ve been licensed. Michigan doesn’t let companies price a policy by ZIP code.

Call your insurer before moving day. Ask when the policy update will take effect and whether the change affects your eligibility or coverage requirements.

Once your move is processed, review the updated premium and ask about discounts available at your new address. You may also save money by bundling auto insurance with another policy.

If your premium jumps after a move, shop around. Use the same limits and deductibles for every quote, or the prices won’t tell you much. Before choosing, read the coverage and take a look at the insurer’s claims record.

Cheapest Auto Insurance Companies by Pricing Factor

Rates don’t line up the same way for every policy or driver. Check Minimum vs. full coverage prices side by side before choosing an insurer.

Auto-Owners leads with $52 for minimum and $120 for full coverage, followed by Erie at $56 and $128.

Auto Insurance Monthly Rates by Coverage Level

Erie and Nationwide remain competitive, with minimum coverage at $56 and $63 monthly. The General has the highest full coverage price at $216, nearly twice Auto-Owners’ $120.

Erie offers useful policy add-ons, but its policies are available in only a limited number of states. Your final rate will also depend on your driving profile.

What you choose to cover can significantly affect the price. Depending on the state, minimum coverage may include bodily injury liability, property damage liability, PIP, or UM/UIM coverage. It usually costs less than full coverage.

Minimum coverage may not cover damage to your own vehicle, which can be a concern for a new or expensive car. Leased or financed vehicles typically require collision and comprehensive coverage.

Read More: Comprehensive Auto Insurance

Your driving record also affects what you pay. Each company weighs violations and claims differently, so prices can vary widely.

Cheapest Insurance Companies After a Moving Violation

Drivers with a traffic ticket often pay higher insurance rates, but some companies remain affordable. Auto-Owners has the lowest minimum coverage rate after one moving violation at $63 monthly.

See More: How Auto Insurance Companies Check Driving Records

These monthly rates are for minimum coverage. They show what drivers may pay with a clean record and after receiving one traffic ticket.

Auto Insurance Monthly Rates Before & After a Ticket

If you get a traffic ticket, your car insurance rates may go up for a few years. Insurance companies usually see moving violations as a sign that you are a higher risk, so your costs can rise when it’s time to renew your policy.

A ticket can add $11 to $21 monthly, or $132 to $252 annually. Surcharges vary by insurer, so compare quotes in our guide: How long does a speeding ticket affect your auto insurance rates?

Ticket forgiveness, traffic school, quote comparison, and clean driving may help limit a violation’s financial impact. Available options and potential savings vary by insurer and state.

A violation may remain on your driving record for several years. Its effect on your premium depends on the offense, your insurer’s rating method, and insurance regulations in your state.

Different insurance companies treat violations in their own way. The same ticket could mean a small rate increase with one company but a much bigger jump with another. If you compare quotes online, you can find out which companies offer better rates for your driving record.

Tickets are not the only incidents that can raise insurance costs. An at-fault accident may lead to an even larger increase, so compare how companies price coverage for drivers with an accident history.

Cheapest Insurance Companies After a Car Crash

Your auto insurance rates can increase anywhere from $228 to $408 annually if you get into an accident, depending on the insurer.

Auto-Owners is the cheapest for drivers with an accident record at $71 per month. The best auto insurance companies for high-risk drivers may offer discounts for completing an approved defensive driving program.

These monthly minimum coverage rates show how each insurer’s pricing changes from a clean record to after an accident.

Auto Insurance Monthly Rates Before & After an Accident

If you carry collision or comprehensive coverage, choosing a higher deductible may lower that portion of your premium. Before making the change, be sure you could comfortably pay the higher out-of-pocket cost if you file another claim.

A clean driving record can help you qualify for lower rates and safe-driver discounts. Your credit history may also affect your premium in states where insurers can use it to price policies.

If your premium goes up after a crash, call your insurer to check your mileage and available discounts. Before renewing, compare two or three quotes to see whether another company offers a better price.

An accident is only one part of a driving record, and insurers don’t treat every incident the same way. More serious violations, especially a DUI, can affect eligibility and pricing differently. The next comparison looks at affordable companies for drivers who have a DUI.

Cheapest Car Insurance After a Drunk Driving Offense

Getting a DUI usually raises car insurance rates. DUI is short for driving under the influence. DWI can mean driving while intoxicated or driving while impaired, depending on the state. Some states use DWI and DUI interchangeably, while others distinguish between the offenses.

Auto-Owners has the lowest rate after a DUI at $90 monthly. This comparison covers DUI rates, not DWI rates. Other providers may also offer cheap auto insurance rates after a DUI, depending on the state.

Auto Insurance Monthly Rates Before & After a DUI

This comparison uses monthly minimum coverage rates for drivers with a clean record and those with a DUI. Keeping the coverage level consistent makes each insurer’s increase easier to evaluate.

Auto-Owners has the smallest monthly increase after a DUI at $38, while The General has the largest at $68. A DUI or DWI may also lead to license suspension, an SR-22 filing, and other legal consequences.

A quote can look cheaper simply because it comes with lower coverage limits. Use our free online comparison tool to check personalized prices, then make sure each policy offers the same level of protection.

A DUI or DWI is only one part of the price you pay. Insurers may also consider details unrelated to your driving history. Where state law permits it, your credit information can affect your rate.

Cheapest Car Insurance Across Credit Levels

Where permitted, insurers use credit information to estimate claim risk and set auto insurance rates. Credit is only one of several factors that may affect your price.

Stronger scores often lead to lower prices, but company formulas vary, so drivers with similar credit may still receive different quotes. For more details, read this article: How Credit Scores Affect Auto Insurance Rates

Auto Insurance Monthly Rates by Credit Score

Monthly premiums are based on a 45-year-old male driver with a clean record. Keeping the profile consistent shows how rates change across the four credit tiers.

Auto-Owners offers the lowest monthly rates across all tiers, ranging from $52 to $95. The General has the highest rates, ranging from $94 to $181.

Cheapest Auto Insurance Companies for Younger Drivers

Teens between 16 and 18 usually pay the highest car insurance rates, with 16-year-olds paying the most. Rates tend to drop each year and fall even more by age 19 as teens gain driving experience.

Auto-Owners offers some of the cheapest teen auto insurance among the companies compared and has the lowest rate at every age from 16 to 19. Actual prices will vary by driver profile and location.

Auto Insurance Monthly Rates for Teens by Age

For 16-year-olds, monthly rates go from $164 with Auto-Owners up to $296 with The General. By age 19, rates drop to between $101 and $183. Comparing quotes from different insurers can help you save a lot.

Insurance companies charge new drivers more since they have less experience and are more likely to get into accidents. A clean driving record may lower premiums over time, and eligible teens may also save through driver-training and good-student discounts.

Teen boys may get higher quotes in states where gender is a rating factor. Males accounted for 73% of motor vehicle crash deaths among 13- to 19-year-olds in 2024, according to IIHS. Insurers do not all price that risk the same way.

A safer, less powerful car may help lower a teen’s premium. Review the policy after birthdays or a move to college, since mileage and coverage needs can change. You can also check: Does the car a teen drives affect car insurance rates?

Cheapest Auto Insurance Companies for Older Drivers

Across every insurer listed, monthly rates are lowest at age 65 and then rise at ages 70 and 75. For example, AAA’s rate increases from $54 at age 65 to $65 at age 75.

Auto-Owners is the cheapest company for senior drivers in our comparison at every age shown, with rates ranging from $43 to $52. Explore More: Best Auto Insurance for Seniors.

Auto Insurance Monthly Rates for Seniors by Age

Senior drivers can often lower auto insurance costs by taking defensive driving courses, maintaining a clean record, and asking about discounts.

Senior male drivers may pay slightly more than female seniors, unless gender-based rates are banned. In those states, similar drivers pay the same rates. See our article: Cheap Auto Insurance for Drivers Over 80

Have collision or comprehensive coverage? A higher deductible may reduce your premium, but it also means paying more out of pocket after a claim. Also tell your insurer if your annual mileage has dropped.

Check your discounts each time your policy renews, since your driving habits or household needs might change. If you are retired, you may qualify for low-mileage savings. New safety features on your car may also qualify you for more discounts.

When comparing insurers, use the same coverage limits and deductible for every quote. This provides a fair price comparison and helps you avoid choosing a cheaper policy that offers less protection.

To compare more options, enter your ZIP code to find the best cheap auto insurance for your driver profile.

Auto Insurance Costs by Driver Profile

Your rate starts with the details insurers have about you and your policy. They may look at your age, driving and claims history, location, vehicle, and chosen coverage. State law determines which of these details they can use.

Each insurer uses its own pricing formula and may weigh certain details more heavily. Our guide, Factors That Affect Auto Insurance Rates, explains how these details can change your premium.

Some parts of your profile can change over time, including your mileage, vehicle, driving record, and coverage choices. Other details, such as your age and location, may be harder to control.

Knowing what goes into a quote can help you spot the details you can control. See how to compare price and protection in How to Find Affordable Auto Insurance Rates Online.

Top Reasons for Car Insurance Rate Increases

Insurance companies use these factors to estimate risk, but they do not weigh every detail equally. State rules also determine which information insurers may consider when calculating your premium.

• Age: Young drivers are more likely to be involved in accidents, and older drivers face age-related issues such as slower reaction times.
• Claims History: Multiple claims can raise rates because insurers see you as high-risk. Find out more: 10 Best Auto Insurance Companies for Paying Claims.
• Coverage Choices: Higher limits and added coverage cost more, while higher deductibles on applicable coverages may lower your rate.
• Credit Score: Lower credit scores may raise rates, but some states don’t allow insurers to use credit as a pricing factor.
• Driving Record: Even one ticket or at-fault accident can push your rate up for years. A DUI usually has an even larger impact.
• Gender: Some states allow gender-based pricing, while others have banned it. Where it’s used, insurers look at the claims and crash history of different driver groups.
• Location: Rates often reflect the crashes, thefts, repair bills, and insurance claims near where you live.
• Mileage: The more time you spend driving, the more chances you have of getting into an accident.
• Vehicle: A car may cost more to insure when it is expensive to repair or commonly targeted by thieves.

Your policy renewal is a good time to check for discounts you missed or coverage you no longer need. Small changes may lower your premium.

Keeping tickets and claims off your record can help you maintain lower rates over time. If you drive carefully, usage-based auto insurance may offer additional savings.

Cheap usage-based auto insurance companies offer different programs and maximum discounts. Review their eligibility rules and whether poor results can raise your rate before enrolling.

A low-mileage driver may benefit from one program but not another. Check whether the insurer measures mileage, braking, speed, or travel time to determine whether it suits your habits.

A clean driving record can help show insurers that you are less likely to file claims, which may lead to lower premiums over time.

Location and coverage choices can affect your rate, especially if claim costs are higher where you live.

How to Save More Money on Your Car Insurance

Auto insurance discounts are one of the easiest ways to lower your premium. These may include savings for safe driving, bundling, vehicle safety features, or low annual mileage. For more details, read our guide: How Annual Mileage Affects Your Auto Insurance Rates.

You may qualify for more than one discount, depending on your insurer and policy. Checking these options regularly can help you find more ways to save.

Top Auto Insurance Discounts by Category

Discount names, eligibility, availability, and savings vary by insurer and state. Some discounts appear when you request a quote, while safe-driving or pay-as-you-drive savings may not appear in the initial rate.

Reviewing your available discounts may help you reduce costs without changing your coverage, but shopping around and comparing quotes online can also help you find additional savings.

Insurers may offer savings for safety equipment, low annual mileage, or responsible driving habits. Bundling policies or choosing higher deductibles for applicable coverages may also reduce premiums. Review our guide to the Best Auto Insurance Discounts before changing your coverage.

One company might charge more than another to insure the same car. Insurers don’t all treat repair bills, past claims, and driver history the same way, so your quote could look quite different from the average.

Before choosing the cheapest quote, check the details. Different limits, deductibles, or optional coverage can lower the price, so make sure you’re comparing policies with the same protection.

See More: Why Do Auto Insurance Rates Vary So Much?

Get an insurance quote for each car you’re considering. A cheaper vehicle isn’t always cheaper to insure, and knowing both costs can help you avoid stretching your budget.

10 Cheapest Auto Insurance Companies

Our top 10 ranking is based on national average rates for minimum coverage car insurance. Below, you’ll find what makes each of the 10 cheapest auto insurance providers stand out, along with their pros and cons.

Compare and evaluate insurance quotes online from multiple providers to find the cheapest company near you.

#1 – Auto-Owners: Cheapest Overall

Pros

• Competitive Pricing: Auto-Owners averages $52 monthly for minimum coverage and offers add-ons such as roadside assistance and custom parts coverage.
• Complaint Record: Auto-Owners has been BBB-accredited since 2016 and holds an A+ rating based partly on its complaint history and business practices.
• Wide Range of Discounts Available: Offers safe driver, bundling, and paperless billing discounts. Read more in our guide: Auto-Owners Insurance Review

Cons

• Agent-Based Quotes: Auto-Owners generally handles quotes and policy purchases through independent agents, which may not suit drivers who prefer to buy entirely online.
• Limited Availability: Auto-Owners does not sell auto insurance nationwide, so coverage may not be available in your area.

#2 – Erie: Best for Add-Ons

Pros

• Useful Policy Add-Ons: Erie offers options such as rate lock, better vehicle protection, and a diminishing deductible. Learn More: Erie Auto Insurance Review
• Strong Financial Standing: Founded in 1925, Erie holds an A rating from A.M. Best.
• Above-Average Customer Service: Erie provides responsive claims support and clear guidance throughout the claims process.

Price isn’t the only reason to consider Erie. Its add-ons and discounts can change what you get for your money, so check what’s included before choosing a policy.

Learn more about Erie’s auto insurance options and key benefits. Explore its available discounts, policy features, and potential drawbacks. This overview can help you decide if Erie fits your needs.

Cons

• Limited Availability: Erie is only available in 12 states, mostly in the Northeast and Midwest.
• Limited Digital Tools: Erie’s online and mobile tools are less extensive than those offered by some larger national insurers.

#3 – Nationwide: Best for Bundle Savings

Pros

• Bundle Savings: Nationwide offers discounts for combining auto insurance with home, life, or other policies.
• Good Customer Service: Nationwide offers support online, by phone, and through local agents. See our Nationwide Review for additional details.
• Plenty of Coverage Options: Customers can tailor their auto insurance policy to their needs by choosing from a range of coverage options.

Cons

• Claims Delays: Nationwide’s BBB review page includes accounts of claim investigations taking longer than customers expected.
• Limited State Availability: Nationwide does not offer auto insurance in Alaska, Hawaii, Louisiana, or Massachusetts.

#4 – The Hartford: Best for AARP Members

Pros

• AARP Member Benefits: The Hartford offers AARP members specialized auto insurance benefits and savings. Explore its options in our guide: The Hartford Review.
• Plenty of Discounts: Offers a wide range of discounts to help customers save on auto insurance.
• Easy Claims Process: The Hartford makes it fairly simple to file a claim and follow its progress through to resolution.

Cons

• Limited Availability: Coverage options vary by state, so some drivers may not have access to every policy or feature The Hartford offers.
• Expensive for Young Drivers: The Hartford’s auto insurance may cost more for young drivers because of their age and driving experience.

#5 – AAA: Best for Roadside Assistance

Pros

• Roadside Assistance: AAA helps members with towing, flat tires, dead batteries, and lockouts. Find Out More: AAA Auto Insurance Review
• Strong Reputation: AAA affiliates ranked first in both the Southwest and Texas, and second in California in J.D. Power’s 2026 U.S. Auto Insurance Study
• Discounts and Rewards: AAA offers a wide range of discounts and rewards, including good-driver and new young-driver discounts.

Cons

• Membership Requirement: AAA auto insurance typically requires you to become an AAA member.
• Regional Restrictions: If you move to a different state or region not served by your original AAA club, you may need to change AAA insurance providers.

#6 – American Family: Best for Claims Service

Pros

• Excellent Claims Service: American Family offers responsive claims support to help customers navigate the process. Our American Family Review provides additional details.
• Customizable Policies: American Family lets drivers choose the coverage and add-ons that make sense for their situation.
• Affordable Rates: At $69 per month, American Family remains one of the lower-priced options reviewed.

Cons

• Limited Availability: American Family is only available in 19 states, which may make it difficult for some customers to access its services.
• Mixed Customer Reviews: Billing disputes and unexpected policy changes appear in reviews on American Family’s BBB profile.

#7 – Travelers: Best for Broad Coverage

Pros

• Broad Coverage Options: Travelers offers standard coverage and add-ons such as gap, rental, and rideshare insurance. See More: Travelers Auto Insurance Review
• Accident Forgiveness: Travelers offers accident and minor violation forgiveness to eligible drivers. See how Accident Forgiveness works.
• Ways to Save: Safe drivers, bundled policies, and hybrid or electric cars can save you money.

Cons

• Sparse Local Agents: Finding a nearby Travelers office may be difficult in some areas.
• Mixed Customer Reviews: Travelers’ BBB reviews include criticism of claim handling and customer support.

#8 – Farmers: Best for Safe Drivers

Pros

• Safe-Driving Discounts: Our Farmers Insurance Review found that safe drivers can save through Signal, its usage-based program.
• Multiple Coverage Options: Customers can choose from several coverage options to customize their policy.
• Strong Financial Standing: Farmers’ 2026 Update reports that its exchanges increased their 2025 surplus and remain well capitalized.

Cons

• Costlier for High-Risk Drivers: Customers with a history of accidents or traffic violations may pay higher rates with Farmers than with other insurers.
• Low Customer Satisfaction: Farmers scored below average in California, the Southeast, Southwest, and Texas in J.D. Power’s 2026 U.S. Auto Insurance Study.

#9 – Liberty Mutual: Best Coverage Options

Pros

• Coverage Options: Customers can customize their coverage and choose from add-ons such as accident forgiveness and new-auto replacement.
• Nationwide Availability: Liberty Mutual is available in all 50 states. Read More: Liberty Mutual Auto Insurance Review
• Excellent Ratings: Liberty Mutual holds an A rating from A.M. Best for financial strength and an A+ rating from the BBB for its business practices.

Cons

• Higher-Than-Average Complaints: Liberty Mutual Insurance Co. had a personal auto insurance complaint index of 2.24 in the NAIC’s 2025 report.
• Regional Satisfaction: Liberty Mutual scored below average in six regions in J.D. Power’s 2026 U.S. Auto Insurance Study.

#10 – The General: Best for High-Risk Drivers

Pros

• High-Risk Coverage: The General auto insurance offers coverage specifically for high-risk drivers.
• Quick and Easy Quotes: Customers can get a quote within minutes on The General’s website or by calling their toll-free number.
• Flexible Payment Plans: The General offers flexible payment plans. Find out how to benefit from these plans: The General Auto Insurance Review

Cons

• Claims Delays: Some complaints on The General’s BBB profile mention slow claim processing and delayed updates.
• Higher Rates: The General has the highest minimum coverage rates in the clean-record, ticket, accident, and DUI tables.

How to Find the Cheapest Auto Insurance

State minimum coverage is usually the lowest-cost option because it includes only the coverages and limits your state requires.

However, minimum coverage may not be enough for every driver. Consider adding collision and comprehensive coverage if any of the following applies:

Read More: Cheapest Liability-Only Auto Insurance

• Your Auto Has a Loan or Lease: Most loan and lease agreements require you to carry comprehensive and collision insurance until you pay off the loan or lease.
• Your Auto Still Has Value: If your auto is expensive and fairly new, you could face a huge loss after an accident.

Don’t reduce liability limits just to lower your premium if doing so could leave your assets exposed after a serious accident. Higher liability limits can provide more financial protection if you’re responsible for injuries or property damage.

Collision and comprehensive coverage protect your vehicle instead. If your auto is paid off and worth little, consider whether these coverages are still worth the cost. Once you decide which coverage fits, you can compare quotes and purchase a policy online.

You can buy auto insurance online without much trouble, but it helps to have your paperwork within reach. Grab your current policy and pull together the vehicle and driving details for everyone in your household. You’ll spend less time digging through files while filling out quotes.

Don’t stop at the monthly price. Click into the quote and see what the company changed to get there. Sometimes the limits are lower; sometimes the deductible is higher. If neither one moved, the lower bill may be worth taking.

Before you buy, make sure you know when the policy begins and what you’ll pay now and later. Take a minute to look at the discounts, cancellation rules, and customer reviews, too. A bargain isn’t much of a bargain if the coverage falls short or no one helps when you file a claim.

As a general rule, consider whether collision and comprehensive coverage are worth keeping if their combined annual cost is 10% or more of your car’s value. Consumer Reports recommends using this benchmark when weighing the cost of these coverages against your vehicle’s value.

Also consider your deductible and whether you could afford to repair or replace your car out of pocket. Our free comparison tool lets you compare auto insurance quotes instantly to find the cheapest coverage in your area.