Top Ten Least Expensive States for Auto Insurance
Each state in the U.S. has its own set of laws regarding the amount of auto liability insurance you will have to carry in order to operate a vehicle in that state and the penalties for driving without at least the bare minimum auto liability insurance. State limits, along with the number of drivers on the roads, accident rates, and number of claims all help to determine how affordable or expensive it will be to operate a vehicle in any given state.
While minimum auto liability limits might be high in some states, their average yearly premium could be among the lowest in the country. For example, at 50/100/25, the state of Alaska and the state of Maine currently have the highest minimum auto liability limits, but at $634, Maine currently has the 10th lowest average yearly premium in the country. At $955 per year, Alaska ranks as 11th most expensive. So what are the least expensive places for auto insurance? Continue reading. The answer might surprise you!
Top Ten Least Expensive States for Auto Insurance
- North Dakota: $530
- Iowa: $536
- South Dakota: $554
- Idaho: $577
- Kansas: $579
- Nebraska: $584
- Wisconsin: $590
- North Carolina: $596
- Indiana: $631
- Maine: $634
Note: The National Association of Insurance Commissioners (NAIC) reports that, "urban population, traffic density and per capita income have a significant impact on premiums. The latest report shows that high premium states tend also to be highly urban, with higher wage and price levels and greater traffic density. Tort liability and other auto laws, labor costs, liability coverage requirements, theft rates and other factors can also affect auto insurance prices."
For more information about auto insurance liability limits and insurance laws in your state, contact your state insurance department. Click here to visit the National Association of Insurance Commissioners (NAIC) for a directory of state insurance websites.