Compare Car Insurance Quotes (2024)

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• The best way to find a better policy is to shop for car insurance and compare your options.
• You'll want to compare both big national insurers and smaller local insurance providers.
• Look beyond the monthly premium and deductible to see what's actually covered.

51% of drivers do not trust their car insurance providers and car insurance costs continue to rise, up by 11.2% in 2023-2024. If your auto insurance renewal is approaching — or if you're buying car insurance for the first time — get ahead of the game by shopping for a better quote. Here's how.

Why Compare Car Insurance Quotes?

Benefits of Comparing Car Insurance Quotes

The main benefit of comparing quotes is to save money on your insurance policy. Since insurance companies calculate rates differently, shopping around helps you find the most competitive rates on the market.

Another benefit is securing better coverage on your policy. You don't need to skip out on adequate coverage to fit your budget. Comparing quotes allows you to customize your policy based on your coverage needs and find a policy that offers the lowest rates.

Common Mistakes to Avoid

One common mistake to avoid when buying car insurance is to settle on the first policy you find. You may be tempted to buy insurance from a major player, like State Farm or GEICO, just because of its popularity. But doing some research may point you towards a local, less well-known provider that offers personalized coverage for drivers in your region and lower rates.

Another mistake is choosing the lowest price. Liability-only insurance is often the cheapest insurance policy offered by companies. It only pays for the other person's damages and injuries if you're at fault in an accident, not yours. So, choosing the lowest-priced policy without examining your coverages likely means you're not fully protected

Finally, another mistake to avoid is not shopping around regularly. Rates change all the time, even with the same insurer. You can ensure that you always have the best rates for your coverages by shopping at renewal, which is at least once a year for most policyholders.

How to shop for car insurance

If you're in the market for car insurance, here's a step-by-step guide to finding the best and cheapest car insurance for you.

Step-by-Step Guide

Step 1. Find out your state's minimum coverage requirements

Liability coverage is required by law. If you're involved in an accident, liability insurance covers damage you cause to the other vehicle, driver, and its passengers. If you finance or lease your car, your lender probably requires comprehensive and collision coverage.

Liability coverage requirements and minimums vary by state. The two main components of liability insurance are bodily injury and property damage, which most states require. Liability insurance also includes uninsured motorists and underinsured motorists.

Step 2. Compare at least three different policies

The best way to make sure you haven't overlooked any red flags or essential questions is to compare policies by getting quotes from at least three different auto insurance companies. Be sure to check both national and local companies, too. You'd be surprised how many regional insurers have better customer satisfaction than national carriers.

Comparison shopping is the best practice for a few reasons. For starters, it prevents you from assuming that one company in particular is the cheapest. Also, one company might be more forthcoming than another when it comes to a particular feature of their policy. This will help you build a list of questions you should be asking all of your potential insurers.

Step 3. Avoid falsifying information

When faced with rising premiums, you might be tempted to "fudge" your numbers to get a lower rate. You're not alone. Many drivers have either intentionally underestimated mileage, left a driver off their policy, provided a different ZIP code in a more desirable area than the one the car is actually stored in or claimed their car was for pleasure instead of commuting.

While you might enjoy lower premiums if you take this route, all of these lies will come to the surface if you file a claim. In this case, you could be on the hook for the entire cost of damages because your policy would be rendered inapplicable since the price you were paying was not for the truth of your situation. That's why it's best to avoid playing the odds and be truthful when shopping.

Step 4. Ask for discounts

One way to get cheap car insurance is to ask for a discount. Most companies list available discounts on their website, but there may be some that aren't listed. Common discounts include:

• Deals for members of professional organizations (be sure to name yours)
• Multi-car discounts
• Special quotes for paying your six-month or annual premium in one payment
• Anti-theft installed systems
• Good driving record discounts
• On-time payment discounts that could save you in the long run

After you've completed these steps, you can relax, knowing you did your due diligence to ensure you're paying the best rate for your personal car insurance.

Remember — be thorough in your search, starting with national companies but also looking into local companies to compare rates. You'll be happy you did. On average, consumers who shop around can save as much as 47% in premium costs, or as much as $847 per year. Even if you only save a fraction of this, a $200 savings is money that can be well spent (or saved) elsewhere.

Tools and Resources

You can use an online insurance comparison tool — like Policygenius — to help comparison shop. You'll need your vehicle's VIN number, the year, make, and model of your car. This will include your daily commute (in miles), your ZIP code, where the car is stored (in a garage or on the street), and the number of accidents you've had in recent years. You'll also need to put in your age and gender since some states consider these factors.

Obviously, you'll want to find a plan that fits your budget — so premium payment is likely the first thing you'll consider. But you'll also want to take into account the deductible, i.e. the price you'll pay if you file a claim, along with coverage areas. Some plans cover damage from uninsured motorists, and others don't.

You'll want to find a plan that covers all of your state's minimum coverage requirements, plus any important requirements. Remember if you're financing or leasing, you will likely need comprehensive and collision coverage in addition to the state minimum liability coverage.

Though a lower premium is nice, you often get what you pay for. After you get quotes from each of the companies you speak to, ask them to send your quotes to you via email. If possible, print out every quote and compare the coverage line-by-line. This will give you a true idea of what the costs will be in the event of an accident.

Factors That Affect Car Insurance Quotes

Personal Factors

One personal factor that affects your car insurance quotes is your age and gender. The Insurance Information Institute (III) reports that females and drivers over 25 experience fewer accidents and moving violations than males and teen drivers. So, they tend to see lower rates on their insurance policies.

Your credit score is another personal factor that influences your car insurance rates. According to the III, drivers with good credit histories file fewer claims. So, insurers use insurance-based credit scores to determine your rates in states where applicable.

Vehicle-Related Factors

The specifics of your vehicle also play a part in how expensive your insurance premiums will be. Vehicles with higher replacement, like new or luxury cars, require more coverage, leading to increased premiums. The III also notes that insurers consider your vehicle's theft rate, engine size, and overall safety record when calculating your costs.

Policy Related Factors

Finally, policy-related factors such as coverages will influence your insurance bill. Several relevant policy features that alter your premiums include, but aren't limited to:

• Whether you purchase a full-coverage or a liability-only policy
• Coverage limits
• Optional coverages
• Deductible amounts
• The amount of discounts applied
• Payment terms (monthly, quarterly, annually)

It's important to read the fine print to ensure your policy meets your individual needs so you're only paying for what you need.

Top Car Insurance Companies to Consider

Overview of Major Providers

Based on our review of the best car insurance companies, these are some providers insurance providers to consider:

• Best for customer satisfaction: Amica
• Best for affordability: GEICO
• Best for military personnel: USAA
• Best for teen drivers: State Farm
• Best for discounts: Farmers
• Best for teachers: Liberty Mutual
• Best for accident forgiveness: Progressive

Comparison of Key Features

Take a look at the table below for key features related to each auto insurance provider.

Tips for Comparing Car Insurance Quotes

Bundling Policies

One of the most common ways to get the best car insurance rates is by buying two or more insurance products from the same insurance company via their multi-policy discount. Auto and home insurance is a common bundle. But auto insurance companies may let you pair your auto policy with renters, motorcycle, pet, and life insurance.

Increasing Deductibles

Another way to save on car insurance is by choosing a higher deductible on your policy. A deductible is what you must pay out-of-pocket when you make a claim. For example, if your insurer agrees to settle your claim for $1,000 in car repairs, and you have a deductible of $500, you'll receive $500. Choosing a higher deductible means lower premiums, but higher out-of-pocket costs, so be sure you can pay your deductible if you have to file a claim.

Maintaining a Good Driving Record

A good driving record is crucial if you want low insurance premiums. Drivers with moving violations, speeding tickets, at-fault accidents, and DUIs file more claims than drivers without. So insurers charge those drivers more to offset the risk. One of the best ways to get the best rates on your policy is by practicing safe driving. If you already have an infraction on your record, taking a defensive driving course could lower your rates.

How to Compare Car Insurance Quotes FAQ