The 10 Most Expensive States For Car Insurance

Car insurance premiums vary from state to state, and are the highest in Michigan, Montana, New Jersey, Louisiana, and California.
· 
by
It’s no secret that car insurance isn’t free. It’s an important service for any driver, and as a result, you have to pay a decent amount for it. There are a lot of things you can do to keep your car insurance premiums low, such as drive safely, attend driving courses, limit your miles, and search for discounts and incentives that you qualify for. Unfortunately, there are also a lot of elements that factor into your auto insurance price that you have little or no control over.
One such factor is the state that you live in. Different states have different auto insurance prices, for a variety of different reasons. Some states have rules or laws that contribute to the average rate, while others have to charge more because the risk of driving is costlier. Whatever the reasons, these are the ten states in the nation that are the most expensive for car insurance.

Number 1: Michigan

Michigan leads this list largely due to their strict no-fault insurance laws, which require auto insurance companies to provide extensive coverage in any accident, regardless of who is at fault. As a result, even the best drivers are risks for car insurance providers, so companies have to charge a large amount. As Personal Injury Protection (PIP) coverage is the highest in Michigan, it is abused by many.

Number 2: Montana

Montana may seem like an odd choice to be so high on this list, but the state leads the country in automotive fatality rate. Montana features a bevy of open roads where drivers can speed and drive dangerously, and the result is a lot of serious accidents.

Number 3: New Jersey

New Jersey is high on this list for the same reason as Michigan. The Garden State is a no-fault state, and has the second highest PIP coverage in the country. Add in an extremely high accident rate, due to the interstates, and New Jersey is third on the list.

Number 4: Louisiana

Louisiana may seem like a relaxed state, but not so much with auto insurance rates. The extreme rates in Louisiana are largely due to two things: poor road conditions, and the fact that Louisiana residents file the highest rate of personal injury claims in the country.

Number 5: Oklahoma

The biggest reason for Oklahoma’s high rates are the large number of uninsured drivers that live in the state.

Number 6: Washington D.C.

The nation’s capital has far and away the highest rate of car theft in the country, which is why car insurance rates are so high. Also, since D.C. is a metropolitan area, accident rates are high.

Number 7: California

California has a high number of densely populated metropolitan areas. In metropolitan areas, the chance of accidents is high, as is the chance of theft.

Number 8: Florida

Florida is in the top ten because of their no-fault rules, and the rate of PIP fraud.

Number 9: Maryland

Maryland also has no-fault laws, in addition to challenging rules about paying premiums up front, which rises costs.

Number 10: Rhode Island

Rhode Island rounds out the list primarily because of the high cost of auto mechanic labor in the state. It costs a lot of money to have a vehicle repaired in Rhode Island, and as a result, car insurance companies have to charge higher premiums.
Just because you live in one of these ten states doesn’t mean your car insurance needs to be way above average. There are still a lot of things you can do to help keep your rates low.
Owning car insurance is one of the pivotal aspects of having a car. Unfortunately, as rates steadily increase, and situations change, most drivers end up paying far more for their premiums than they should have to. If you want to lower the cost of your auto insurance, but you aren’t interested in shopping around, you can have Jerry take care of it for you, to find a car insurance package that is the perfect fit for you.
Share this article

Hate shopping for car insurance?

Jerry does that for you automatically using AI technology.
1. Tell us your name, phone and current insurance company.
2. We shop with up to 45 insurance companies to find you savings.
3. We do all the paperwork for you to switch, at no cost to you.
illustration
Contact
  • hi@getjerry.com
    1-833-445-3779
    (M-F 8am-5pm PT)
JERRY INSURANCE AGENCY is a licensed insurance broker licensed to do business in all 50 states.
Copyrights © Jerry 2018. All rights reserved.
Jerry App
Jerry automatically checks if you're paying lowest price for your car insurance, for free.