Where You’ll Spend the Most and the Least for Auto Insurance


Auto insurance is a necessary expense to protect yourself and others, whether you’re cruising around town or driving across the country. That said, did you know that the cost of your car insurance can vary greatly depending upon where you live? In general, motorists saw a decrease in rates across the United States in 2021, with only a few states seeing increases in premiums.

High rates move south

For years, Michigan held the title of most expensive state for car insurance. Its high rates are caused by being a no-fault state and having a high percentage of uninsured drivers. However, the state has seen rates for full-coverage auto insurance decrease over the past few years, following a nationwide trend. While Michigan’s full-coverage premiums were still, on average, the highest in the country in late July 2021, full-coverage costs continued to fall throughout the rest of the year.

Because of this, at the end of 2021, NerdWallet announced that Louisiana had taken the title of the state with the most expensive full-coverage auto insurance. Louisiana’s jump was due to being one of the very few states where rates increased over 2021, and the state has one of the highest percentages of uninsured drivers, with over 10% of licensed drivers in the state not carrying insurance. Michigan, however, still maintains the highest premiums for minimum coverage auto insurance.

Where can you save?

The least expensive coverage depends on whether you need full coverage or can get by with minimum coverage. If your vehicle still requires a full-coverage policy, then look to the northeast. According to the same report from NerdWallet, Maine’s full-coverage premiums are 50% below the national average because of its statistically low rate of car thefts and traffic fatalities. They also have the lowest percentage of uninsured drivers (4.5%).

If you can get by with minimum coverage, then the Midwest is your destination, as Iowa offers the lowest cost for state-minimum coverage. These rates are up to 19% lower than the national average, and with short commutes for most drivers in the state, premiums are primed to stay low going into 2022.

Individual auto insurance rates may vary

Factors that determine your auto insurance premiums can vary by state. According to the Insurance Information Institute, your driving record, location, age, and the type of car you drive can affect the cost of your auto insurance policy. Often, insurers look at the safety features of a particular vehicle and consider any anti-theft features of the model. Other factors that vary state to state include frequency of litigations, medical and car repair costs, and weather trends.

To get the best possible rate for auto insurance, many people spend hours shopping around and comparing coverages and prices. Luckily, Westwood Insurance Agency can do the work for you. Our independent agents specialize in helping you find the best coverage at the best prices for your unique circumstances. Learn more about auto insurance here, or request a quote online today.