The cheapest car insurance in the USA right now typically comes from GEICO, State Farm, and Progressive, with average minimum coverage rates starting around $28 to $45 per month, depending on your state and driving record. USAA often offers even lower rates, but it is only available to military members and their families. The exact cheapest insurer varies by location, age, credit score, and driving history. Comparing at least 3 quotes is the fastest way to lock in the lowest price.
Latest Update
- Several major insurers have reduced rate increases after previous premium spikes, as claims inflation shows signs of stabilizing. Drivers are seeing more competitive online quotes compared to earlier periods.
- Usage-based insurance programs are expanding nationwide. More companies now offer discounts up to 30% for safe driving tracked through mobile apps.
- State regulators in high-premium regions are reviewing rate filings more aggressively. This has slowed down additional premium hikes in some large states.
- Online comparison platforms are reporting higher search volumes for “cheapest car insurance right now” as drivers actively shop to offset rising living costs.
Which Company Has the Cheapest Car Insurance in the USA Right Now?
For most drivers, GEICO and State Farm currently offer the lowest widely available average rates for minimum coverage. Monthly premiums can start as low as $28 to $35 for drivers with clean records. USAA may be cheaper, but it is limited to military families. The cheapest option always depends on your personal profile and state laws.
Here is a snapshot of average monthly minimum coverage premiums nationwide:
| Insurance Company | Average Monthly Minimum Coverage | Average Monthly Full Coverage | Best For |
| GEICO | $28 to $38 | $110 to $150 | Budget-conscious drivers |
| State Farm | $30 to $45 | $120 to $165 | Young drivers and students |
| Progressive | $35 to $50 | $130 to $180 | High-risk drivers |
| USAA | $25 to $35 | $100 to $140 | Military families |
Minimum coverage is cheaper because it meets only state liability requirements. Full coverage includes collision and comprehensive protection, which increases premiums but offers better financial protection.
If you are switching policies, always compare the same coverage limits. A $30 policy with lower liability limits may not truly be cheaper if it leaves you exposed after an accident.
What Is the Cheapest Car Insurance for Full Coverage?
USAA and GEICO often provide the cheapest full coverage car insurance, with average rates starting around $100 to $120 per month. Full coverage costs more because it protects your own vehicle from damage, theft, and natural disasters. However, it can save thousands of dollars after a serious accident.
Full coverage typically includes:
- Liability coverage
- Collision coverage
- Comprehensive coverage
- Uninsured motorist protection in some states
If your car is financed or leased, lenders usually require full coverage. Even if it is not required, drivers with vehicles worth more than $5,000 should strongly consider it.
Example: If your car is worth $15,000 and you cause an accident, minimum coverage will not pay for your vehicle repairs. Full coverage would cover damage after your deductible, potentially saving you $10,000 or more.
What Is the Cheapest Car Insurance by State?
The cheapest insurer varies significantly by state due to local regulations, accident rates, and repair costs. A company that is cheapest in Texas may not be cheapest in California or Florida. Always compare quotes within your state.
Here is a comparison example:
| State | Cheapest Company | Average Monthly Rate |
| California | GEICO | $32 |
| Texas | State Farm | $34 |
| Florida | GEICO | $42 |
| New York | Progressive | $45 |
| Ohio | State Farm | $28 |
Urban states with high accident frequency usually have higher premiums. Rural states often see lower average rates due to fewer claims and lower repair costs.
How Can You Get the Cheapest Car Insurance Rate Today?
The fastest way to get the cheapest car insurance right now is to compare at least 3 quotes and maximize available discounts. Even switching insurers can save drivers $300 to $900 per year.
Follow these proven strategies:
- Compare quotes online within 15 minutes
- Increase your deductible from $500 to $1,000 if financially comfortable
- Bundle auto and home insurance for up to 25% savings
- Enroll in safe driver or telematics programs
- Maintain a good credit score where allowed
Example: Raising your deductible from $500 to $1,000 could reduce full coverage premiums by 10% to 20% annually.
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Is Minimum Coverage Always the Cheapest Option?
Minimum coverage is the cheapest upfront, but it may not be the most cost-effective long term. It only covers damages you cause to others and does not pay for your own vehicle repairs. While premiums may be under $40 per month, the financial risk can be high.
Consider this scenario:
- You cause a $20,000 accident.
- Your state minimum liability covers only $15,000.
- You must pay $5,000 out of pocket.
In such cases, paying $20 to $40 extra per month for better coverage could prevent major financial strain.
Who Qualifies for the Absolute Cheapest Rates?
Drivers with clean records, good credit, and low annual mileage qualify for the cheapest car insurance rates. Age also matters. Drivers between 30 and 60 years old usually pay the lowest premiums.
Factors that lower rates:
- No accidents or tickets in 3 to 5 years
- Credit score above 700
- Driving less than 10,000 miles annually
- Owning a car with strong safety ratings
- Good student status under age 25
Young drivers under 25 often pay double the national average. Adding them to a parent policy is usually cheaper than buying a standalone policy.
How Much Does Car Insurance Cost on Average in the USA?
The average car insurance cost in the USA is about $40 to $60 per month for minimum coverage and $120 to $180 per month for full coverage. However, rates vary widely by state, vehicle type, and personal risk factors.
Annual average cost comparison:
| Coverage Type | Average Annual Cost | Average Monthly Cost |
| Minimum Coverage | $600 to $900 | $50 to $75 |
| Full Coverage | $1,500 to $2,200 | $125 to $185 |
Drivers in high-risk areas may pay over $2,500 annually for full coverage. Meanwhile, safe drivers in low-risk states may pay under $1,200 annually.
Key Takeaways
- GEICO and State Farm currently offer some of the cheapest nationwide rates
- USAA is often the lowest, but is limited to military families
- Minimum coverage can start under $30 per month in some states
- Full coverage averages $100 to $150 monthly
- Comparing multiple quotes can save $500 or more per year
Frequently Asked Questions
What is the absolute cheapest car insurance company right now?
GEICO and USAA typically offer the lowest average rates nationwide. USAA is limited to military families, while GEICO is widely available.
Can I get car insurance for under $50 per month?
Yes. Many drivers qualify for minimum coverage under $50 per month, especially with a clean driving record and good credit.
Why did car insurance rates increase recently?
Rates increased due to higher repair costs, vehicle prices, medical expenses, and accident claims. Some markets are now stabilizing.
Is full coverage worth the extra cost?
Full coverage is worth it if your car is valuable or financed. It protects your vehicle from accidents, theft, and natural disasters.
Does credit score affect car insurance rates?
In most states, yes. Drivers with higher credit scores often receive lower premiums because insurers view them as lower risk.
How often should I compare car insurance quotes?
You should compare quotes at least once per year or after major life changes like moving, buying a new car, or improving your credit score.
Conclusion: How to Lock in the Cheapest Car Insurance Today
The cheapest car insurance in the USA right now usually comes from GEICO, State Farm, Progressive, or USAA for eligible drivers. Minimum coverage can cost under $30 per month in low-risk states, while full coverage averages $120 to $150 monthly. However, the true cheapest policy depends on your location, age, credit score, and driving history. The smartest move is to compare at least three quotes, review coverage limits carefully, and maximize discounts. Taking 15 minutes to shop around could save you hundreds of dollars each year.