Cheapest Car Insurance In North Carolina (2024) (2024)

Due to the increasing cost of car insurance, it is wise for drivers in North Carolina to explore different policy choices in order to find cheaper coverage. Our reviews team has researched the best car insurance companies nationwide. We carefully examined the reputation, customer satisfaction, coverage options, and average premiums of each provider.

In this article, we will discuss the most effective approaches to reduce costs on insurance and locate the most affordable car insurance in North Carolina that suits your driving habits.

Key Points

• Erie is the cheapest car insurance company in North Carolina overall, with an average rate of $26 per month for minimum coverage and $89 per month for full coverage.
• Progressive and State Farm also offer affordable car insurance rates for many driver profiles.
• If you are under 25 or have traffic violations on your record, you will notice car insurance rates that are higher than the average.
• You can save on car insurance by opting for minimum coverage, looking for discounts, increasing your deductible, and bundling your auto insurance with other policies.

Car insurance companies view driver profiles in various ways, so the provider that is the least expensive for one driver may not be the least expensive for you. For instance, here is an overview of the most affordable auto insurance providers and their rates for different types of drivers in North Carolina.

*Unless stated otherwise, average costs are minimum-coverage rates for single male drivers between the ages of 25 and 35 with good credit and a clean driving history.

What Is The Cheapest Car Insurance Company In North Carolina?

In general, we discovered that Erie has the most affordable car insurance in North Carolina for different types of drivers. The following sections will cover the average monthly costs of both minimum- and full-coverage car insurance from the cheapest companies in North Carolina.

These rates apply to drivers in North Carolina with varying ages, locations, and driving histories. The cheapest companies are organized by minimum coverage costs.

Cheapest Minimum Coverage In North Carolina: Erie

Drivers looking for the most affordable coverage that just meets North Carolina state minimum requirements may find it at Erie for about $26 per month or $311 per year on average.

Cheapest Full Coverage In North Carolina: Progressive

If you want the most complete coverage at the best price, Progressive is the best choice. The provider offers full-coverage insurance for an average of $75 per month.

Full-coverage insurance policies in North Carolina generally include liability insurance, uninsured/underinsured motorist coverage, collision coverage, and comprehensive insurance.

Cheapest Car Insurance In North Carolina: Age

Below, you’ll find average insurance costs for North Carolina drivers ages 16 to 55 as well as the top five most affordable car insurance companies for each age group. Drivers who are between the ages of 30 and 55 often receive the most favorable car insurance rates. This is because they have more driving experience and lower chances of being involved in accidents compared to younger drivers.

Average Car Insurance Rates By Age

Cheapest North Carolina Car Insurance: Young Drivers

As mentioned, new drivers and early 20s typically pay the most expensive car insurance rates. That’s mainly because these drivers don’t have much experience driving and are more likely to break traffic rules and get into accidents.

In fact, the fatal crash rate per mile driven for teen drivers was nearly three times the rate for drivers 20 years old and older in 2021, according to the Insurance Institute for Highway Safety.

Cheapest North Carolina Car Insurance For 16-Year-Olds: Erie

If you’re a teen driver or the parent of one, Erie may be your best bet for finding the most affordable car insurance in North Carolina.

The company’s cheapest average rates for 16-year-old drivers are $83 per month or $992 per year, which is relatively affordable compared to other states. If you’re looking for full coverage, the average is $219 per month or $2,631 per year from Progressive.

Cheapest North Carolina Car Insurance For 25-Year-Olds: Erie

Car insurance rates for young drivers in their 20s are much lower compared to what teenagers typically pay. However, the amount can still be quite high for this age group depending on the insurance company you select.

Erie provides the cheapest car insurance costs on average at $26 per month or $314 per year for minimum coverage. Progressive costs $75 per month or $896 per year for full coverage.

Cheapest North Carolina Car Insurance: Adult Drivers

People who are in their 40s usually have the cheapest car insurance rates. You can compare average rates of drivers in their 30s, 40s, and 50s from the top five cheapest companies for each age group below.

Cheapest North Carolina Car Insurance For 35-Year-Olds: Erie

Drivers in their mid-30s may insure their cars at the cheapest cost by getting a minimum coverage car insurance policy from Erie. The company offers average minimum-coverage costs of $26 per month or $307 per year. For full coverage, Progressive’s rates average $75 monthly or $896 annually.

Cheapest North Carolina Car Insurance For 45-Year-Olds: State Farm

Forty-five-year-old drivers may find the most affordable minimum coverage from State Farm, with average rates of $24 per month or $293 per year. The cheapest full coverage comes from Progressive at $75 per month or $896 per year.

Cheapest North Carolina Car Insurance For 55-Year-Olds: State Farm

Typically, people in their 50s can find the cheapest car insurance rates in North Carolina from State Farm. The insurer’s average premiums are $23 monthly or $279 annually for minimum coverage. The cheapest full coverage option is from State Farm, costing $76 monthly or $909 annually

Cheapest Car Insurance In North Carolina: High-Risk Drivers

Besides the type of coverage you choose and how old you are, how safely you drive greatly impacts the amount you’ll need to pay for car insurance. Auto insurers typically determine if you’re a high-risk driver by looking at how many infractions are on your driving record, including fines for speeding, at-fault accidents, and DUI convictions.

Average Car Insurance Rates For High-Risk Drivers

Drivers who are more likely to cause accidents have to pay car insurance prices that are higher than the average because they have many violations on their driving records. On average, North Carolina motorists who are deemed high-risk may find the most affordable rates from Erie for minimum coverage or Progressive for full coverage.

Cheapest North Carolina Car Insurance For Drivers With A Speeding Ticket: Erie

Drivers with a speeding citation on their record can generally find the most affordable coverage from Erie, with average rates of $41 per month or $494 per year for minimum coverage and $144 per month or $1,731 per year for full coverage.

Cheapest North Carolina Car Insurance For Drivers With An At-Fault Accident: Erie

Getting into a car crash in North Carolina can make your car insurance rates go up. Erie tends to offer the most affordable rates on average at about $41 per month or $494 per year for minimum coverage and $144 per month or $144 per year for full coverage.

Cheapest North Carolina Car Insurance For Drivers With A DUI: National General

If you’re a motorist with a DUI on record, you may find the cheapest minimum car insurance in North Carolina from National General for $61 per month or $734 per year on average. They also have rates of $464 monthly or $5,566 annually for full coverage.

Cheapest North Carolina Car Insurance For Drivers With Poor Credit: Progressive

Car insurance costs more for drivers who have bad credit. Those who don’t have the best credit history may want to check out Progressive, which has an average minimum-coverage rate of $30 per month or $359 per year and an average full-coverage rate of $75 per month or $896 per year.

Average Cost Of Car Insurance In 10 North Carolina Cities

Another thing that affects how much you pay for car insurance in North Carolina is where you live. Auto insurance companies consider drivers riskier to cover in areas with:

• Larger groups of people
• There are increased numbers of cars driving on the roads.
• More car accidents occurring at increased rates.
• More instances of breaking traffic rules
• More incidents of car theft and car vandalism
• Extreme weather conditions

Certain factors that increase the chance of car owners facing risks tend to have a bigger impact on those living in larger cities. That’s why drivers in busy cities typically have to pay the highest average price for minimum car insurance coverage. On the other hand, drivers in rural areas with lower crime rates and smaller populations usually enjoy lower rates.

Top 5 Car Insurance Companies In North Carolina

Besides the price, we have examined more than 40 insurance companies to determine the top five insurers for people who live in North Carolina. We considered their coverage, customer service, and trustworthiness in our analysis. Based on our research, we found Erie to be the best provider for most drivers in North Carolina. Here are the ratings for our top picks.

*The overall and category ratings above are based on nationwide factors.

How To Get The Cheapest Car Insurance In North Carolina

You can reduce your car insurance expenses in North Carolina in a few different ways. These include:

• Opting for minimum coverage: Choosing to have just the bare minimum insurance required by your state will result in obtaining the most affordable car insurance available.
• Seeking out discounts: Most insurance companies have multiple discounts that can help cut down on premium costs, from military and good student discounts to discounts for drivers that remain accident free for five years.
• Raising your deductible: A higher deductible will lower your premium costs, but you’ll have to pay more out of pocket if you file a claim.
• Bundling your auto insurance: You can often bundle your auto insurance with a homeowners insurance policy or other type of coverage to earn a discount.
• Comparing quotes: It’s a good idea to get price estimates from different companies. That way, you can figure out which provider will give you the best offer.

Many insurance companies offer usage-based insurance programs, which can be a good way to save money. These programs use telematics to monitor your driving habits–from your speed and braking to the time of day you drive. If you drive safely, you may be eligible for a significant discount. However, some programs might increase your rates if you engage in risky driving behaviors.

Some companies also offer diminishing deductibles and accident forgiveness. A diminishing deductible option decreases your deductible amount each time you renew your policy. Accident forgiveness ensures that your rates won’t increase after your first accident with the company.

What Does North Carolina Require For Car Insurance?

Drivers in North Carolina must meet minimum insurance requirements as outlined by state law, which include basic liability insurance and uninsured/underinsured motorist (UM/UIM) coverage:

• $60,000 bodily injury liability per accident
• $30,000 bodily injury liability per person
• $25,000 property damage liability per accident
• $60,000 underinsured/uninsured motorist bodily injury coverage per accident
• $30,000 underinsured/uninsured motorist bodily injury coverage per person
• $25,000 underinsured/uninsured motorist property damage coverage per accident

Liability coverage only takes care of other parties’ injuries and property damages in an accident that you cause. UM/UIM covers your injuries and property damages, but only in the case that the at-fault driver has little to no auto insurance.

Getting comprehensive insurance will ensure that your car is covered if stolen, vandalized, or damaged by floods, fire, animals, or other natural disasters. Collision insurance covers your car repairs after an accident.

Our Take: Best Cheap Car Insurance In North Carolina

When it comes to both minimum and full coverage, Erie is the best and cheapest car insurance company for most drivers in North Carolina. While the above costs can give you an idea of what you’d pay for car insurance in North Carolina, seeking an individualized rate will help give you a more accurate picture of what you’ll pay.

Many businesses offer convenient online tools for getting quotes quickly and without charge. Alternatively, you can also contact an insurance agent or representative at the company directly. Once you have gathered quotes from at least three different providers, compare them to find the best option for you.

Best Cheap Car Insurance In North Carolina: FAQ

Here are some frequently asked questions about car insurance in North Carolina:

How We Rate Insurers

Our review process aims to deliver consistent and unbiased assessments of car insurance providers. While there are multiple qualities that make a car insurance company successful, our review team focuses on those we believe are the most important for consumers:

• Cost: Cost can be difficult to compare between insurers because so many factors impact annual premiums. The cheapest insurer for one driver may not be the cheapest for another. To determine our cost score, we look at insurance rate estimates generated by Quadrant Information Services, discount opportunities, and consumer reports.
• Coverage: To determine our coverage score, we look at the number of coverage options available as well as coverage limits and deductible options. Our ratings also take into account additional services and benefits like roadside assistance.
• Reliability: It’s important that an auto insurer is able to meet its claims obligations. Companies with a strong financial strength rating from AM Best score best in this category. Established insurers with a long history of reliable service also receive positive marks.
• Service: We comb through customer reviews on sites like the Better Business Bureau (BBB) to learn about customer experiences. Insurers with a low volume of complaints score well in this area. We also consider the claims process, giving higher ratings to car insurance providers that offer easy-to-use claims apps.

*Data accurate at time of publication.