Most and Least Expensive States for Car Insurance

Many people don't consider the cost of ownership when they think about buying a car. As you can see for Louisiana residents, insurance can add up to more than $200 per month for each driver.
The reason for the large difference in premiums is mostly due to state laws and policies. For example, in Louisiana, claims exceeding $50,000 automatically receive a jury trial. Rather than incur the expense of a trial, many insurance companies simply settle out of court, which leads to higher settlements and thus higher premiums.
The main reason insurance rates are low in Maine is due to low commuter mileage, which makes the roads less crowded and the number of accidents fewer.
Here is the full ranking of states and the average annual premium:
Rank | State | Premium |
1 | Louisiana | $2,510.87 |
2 | Michigan | $2,098.29 |
3 | Oklahoma | $1,869.39 |
4 | Montana | $1,857.96 |
5 | California | $1,774.41 |
6 | South Dakota | $1,772.83 |
7 | Washington, D.C. | $1,753.19 |
8 | Georgia | $1,751.42 |
9 | Illinois | $1,679.15 |
10 | Connecticut | $1,678.90 |
11 | Arkansas | $1,648.80 |
12 | New Mexico | $1,603.65 |
13 | Rhode Island | $1,595.97 |
14 | West Virginia | $1,589.69 |
15 | Alaska | $1,572.21 |
16 | Wyoming | $1,552.98 |
17 | Maryland | $1,550.13 |
18 | Kansas | $1,524.51 |
19 | Kentucky | $1,515.30 |
20 | Colorado | $1,480.97 |
21 | Mississippi | $1,474.94 |
22 | New Jersey | $1,473.73 |
23 | New York | $1,463.21 |
24 | Texas | $1,462.65 |
25 | Florida | $1,453.20 |
26 | Pennsylvania | $1,420.78 |
27 | Delaware | $1,405.80 |
28 | Missouri | $1,390.59 |
29 | Minnesota | $1,381.09 |
30 | Alabama | $1,380.38 |
31 | North Dakota | $1,365.22 |
32 | Hawaii | $1,306.97 |
33 | Indiana | $1,302.51 |
34 | Nevada | $1,282.50 |
35 | Washington | $1,279.84 |
36 | Utah | $1,234.30 |
37 | Virginia | $1,233.36 |
38 | Nebraska | $1,210.74 |
39 | Oregon | $1,194.69 |
40 | Idaho | $1,183.47 |
41 | South Carolina | $1,182.18 |
42 | Tennessee | $1,170.12 |
43 | Arizona | $1,152.50 |
44 | North Carolina | $1,130.45 |
45 | Massachusetts | $1,043.80 |
46 | Iowa | $1,039.04 |
47 | New Hampshire | $1,011.23 |
48 | Wisconsin | $1,010.93 |
49 | Ohio | $999.86 |
50 | Vermont | $968.58 |
51 | Maine | $902.85 |

Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid
About The Author

Latest Weekly Car Buying Tips
July 2025
- Best 0% Finance Deals July 2025 Jul 03, 2025
- Best Bang for Your Buck Lease Deals Jul 03, 2025
- Best Electric, Hybrid Lease Deals Jul 03, 2025
- Best Car Deals for 4th of July 2025 Jul 03, 2025
June 2025
- Best Car Deals Around the Country Jun 26, 2025
- Real Prices of Compact Cars Jun 26, 2025
- Cheapest Luxury Lease Deals Jun 26, 2025
- Largest Hidden Dealer Rebates Jun 26, 2025
- Top 100 Cheapest Lease Deals Jun 19, 2025
- All SUV Lease Deals Compared June 2025 Jun 19, 2025
- Cars With the Largest Rebates Jun 19, 2025
- Price Comparison of Subcompact SUVs Jun 19, 2025
- Top 100 Cheapest New Cars Right Now Jun 12, 2025
- Real Prices of New Compact SUVs Jun 12, 2025
- Biggest Discounts on New Cars June 2025 Jun 05, 2025
- New Cars with the Most Available Inventory Jun 05, 2025
- Real Prices of Midsize SUVs Jun 05, 2025