Average U.S. car insurance cost remains stable as state variations persist

The average cost of car insurance in the United States remained at $150 per month in September, according to Insurify data. The stability in rates was supported by a slight decrease in the average cost of full-coverage car insurance. Liability-only car insurance also held steady at $104 per month, while full-coverage costs decreased from $196 in August to $195 by the end of September.

Insurance rates varied across states, with Connecticut experiencing the most significant drop in full-coverage rates, decreasing by $96. Conversely, New York saw a notable increase of $136 in full-coverage costs.

"Insurance rates can vary greatly based on location," said Insurify. Factors influencing these variations include exposure to extreme weather, traffic congestion, and vehicle crime rates.

In terms of liability car insurance, most states saw an increase. New York experienced the largest rise with an increase of $160, followed by Maryland with a $29 increase. However, full-coverage rates dropped in many states; Connecticut and Washington had significant declines of $96 and $69 respectively.

As of October 1, 2024, Maryland had the highest overall average rate at $266 per month and led in full-coverage averages at $331. North Carolina reported the lowest overall average rate at just $83 per month but was among states where full-coverage averages increased slightly.

Factors affecting car insurance rates include driving history, age, gender, location, credit history, vehicle make and model, vehicle usage and equipment safety features. Coverage type and limits also influence premiums.

Insurify suggests that drivers can reduce their insurance costs by driving safely, seeking discounts from insurers such as good student or multi-car discounts, increasing deductibles for collision/comprehensive coverage and adjusting coverages appropriately. Comparison shopping is recommended when policies are up for renewal.

The methodology used by Insurify involved analyzing over 97 million rates from its proprietary database across all 50 states and Washington D.C., reflecting real quotes from more than 50 partner companies for drivers aged between 20 and 70 with clean driving records and average or better credit scores.