The 10 Most Expensive & Affordable States For Auto Insurance

There are many different factors that contribute to calculation of motorists insurance rates across the country. The driving record, the type of vehicle and many other factors all have a heavy influence on how much people pay for auto insurance coverage each year. One of the most significant variables to many auto insurance providers is the location that the driver resides in. The average auto insurance premiums for motorists vary greatly from state to state across the U.S. Louisiana’s average auto insurance premium of around $2,700 is nearly three times higher than the average premiums for motorists in Maine. This is not mentioning the different types of auto insurance out there. There are many companies like First Acceptance, who offer high risk car insurance, which falls in a non-standard category which we won’t cover in too much depth in this piece.

Motorists living in cities typically pay higher rates than motorists living in rural areas as well. Regardless of the location, drivers usually pay more for driving SUVs, crossovers, cars or trucks that auto insurance providers consider to be high risk vehicles. Luxury and performance vehicles can have insurance premiums four times higher than the average automobile for the state. The highest premium in the U.S is currently on a Mercedes CL65 AMG coupe for motorists living in Oregon. Once motorists understand more about how these rates vary, its easier to make more economical decisions when choosing a vehicle or insurance provider.

States with the lowest averages for auto insurance premiums:

$943 in Maine
$1,028 in Iowa
$1,085 in North Carolina
$1,106 in Ohio
map of the usa$1,112 in New Hampshire
$1,133 in Idaho
$1,176 in Vermont
$1,183 in Indiana
$1,226 in Washington
$1,227 in Arizona

States with the highest averages for auto insurance premiums:

$2,699 in Louisiana
$2,520 in Michigan
$2,155 in Georgia
$2,074 in Oklahoma
$2,006 in Washington
$1,914 in Montana
$1,819 in California
$1,816 in West Virginia
$1,735 in Rhode Island
$1,725 in Kentucky

Motorists may not be surprised to see their own state somewhere on these two lists. Each state may have different reasons why it routinely shows up one of these list. In Louisiana, a high number of motorists that have accidents file bodily injury claims, this one of the major reasons this state has the highest premiums in the country. In addition, civil suits for sums under $50,000 are designated to elected judges; many believe these judges tend to side with consumers more often than a jury.

Michigan has its own reasons why it ranks as one of the most expensive states for auto insurance in the U.S. Motorists in Michigan are shouldering the burden of expensive medical care legislation that provides people involved in a collision with personal injury coverage for the rest of their lifetime. Calculations estimate that this lifetime coverage costs Michigan motorists an addition $175 on their insurance premium each year.

One of the major reasons that Maine has the lowest insurance premium is because of its rural setting accompanied by a low number of claims. One of the other factors that contributes to Maine’s low average for insurance premiums is an effective statewide license course that has led to less car accidents among young motorists. Once motorists have identified what the average insurance premium is in their own state, it’s easier to move forward with a plan on how to lower this cost even more.