Considering how we drive . . . We’re getting a great deal.
Can confirm, moved from CO to IA and it cut my insurance payment in half.
Is this assuming a set vehicle value? Otherwise that could be a factor.
Gotta say I’m not sure where they’re getting NY numbers from. I live in NYC, and as a driver who got insurance for the first time last year I only pay $1800/year
I thought Florida was the most expensive. Either way it’s too high.
So sad to be a commuter in Florida right now…
I’m pleased and relieved to see that Michigan is no longer the most expensive. At the same time, I recognize this probably is partly due to bad legislation that weakened our no-fault system, and reduced rehab support for people with extremely severe injuries.
I was very happy with the change in my insurance rate when I moved from Manhattan to Virginia … then I discovered personal property tax. And we were back at the same payment level.
NC drivers are bad but SC drivers are actually a menace to society
My 01 4runner with liability only is under $40 a month now living in Washington.
Not sure how/if it’s a factor, but car insurance is optional in New Hampshire.
Anecdotally, MA >> MN for cost. All my brokers agree. I wonder why this data suggests otherwise.
MI insurance is ridiculous. I went from $1700 a year to $2600 the next year. And that was the cheapest I could find at *any* insurance company.
Pretty data but what does that data mean? per driver, per household, per car, per equal amount of coverage? what does average mean? This requires way more detail than this map, or even the article from Insurify, as the costs are more nuanced than just average cost. My insurance is less than half of the Avg. of my state. We have older vehicles and are older ourselves and have good credit and good driving records, etc…
Why is Maryland the most expensive? I would have assume California or Massachusetts.
NH resident here. Once I purchase a brand new vehicle at the end of this month, my premium goes from 1285 to just above 1500. Premium is for full coverage on 3 vehicles.
Property taxes suck though
Lol people either are shitty drivers or have expensive cars cus I sure as hell ain’t paying even half that much.
Only a fool drives through Oklahoma without uninsured motorist coverage. That’s one thing you should never skimp on.
Most of Maryland is just a GTA server of uninsured Altimas
I moved from Florida to Illinois and my premium went down by over half. The insurance agent said they never saw anything like that before.
Data is not so beautiful in Maryland
People focus on physical damage when thinking about car insurance costs.
There are factors at play there, first and foremost the proliferation of technology and sensors across the body of a vehicle.
What people forget is liability. Individual states have different approaches to handling liability coverage and also different regulations around at-fault and no-fault liability coverage. Some states also take different approaches to PIP (personal injury protection) which can be fraud prone (along with med-pay).
So yes if everyone drives cyber trucks that probably drives up premiums, but regulatory frameworks and liability coverage are at play too.
Pricing tends to be far more variable between different zipcodes than different states especially when you’re looking at specific metro areas.
This map is a better way to see the dynamics than the one OP posted
Having worked in the business…. Here are some general thoughts; feel free to ask any questions.
1. Most insurance companies struggle making money on their auto insurance lines. Most pay out 95-99% of their auto premiums in claims (this isn’t up for debate, they’re publically traded companies and they announce their loss rations ever quarter) and what they pay their underwriters. Also, its very common for company’s to pay out MORE THAN they collect. For example, they collected 10 million in premium yet pay out 10.5 million in claims. They can stay in business because the government forces them to buy BILLIONS in stocks and bonds. When you see a headline like All-state made 10 Billion dollars… Its not because they collected 20 Billion in premium and only paid out 10 Billion. Its 10 Billion write up in their stock and bond portfolio.
2. Lots of underinsured and uninsured drivers. People drive 10-20 year old cars and carry state minimum limits of $15,000 or $25,000 coverage because they don’t care about their car or their car isn’t worth X. However they get into accident and hit a car worth $50,000 while also hurting the driver… Suddenly this claim is $300,000. This is now covered by the victims policy. (Also you’d be shocked at the amount of illegals driving here without any insurance whatsoever.) I remember a claim where one hit an insured of ours in a Lambo and we paid $175,000 and our driver had zero fault as he was rear ended.
3. Car prices and repairs — Your fender bender from 30 years ago that cost $500 to repair is like closer to $5000 now because of parts & labor costs,
4. Older drivers, baby boomers aging! People really don’t understand how bad your vision and reaction speed deteriorates as you age. The elder are always hitting things and when they do their medical bills are so much more expensive, legally you cant discriminate on age… its very hard to properly price an auto policy for that 75 year old in a Cadillac.
5. The last is our court system. Lawyers and “ambulance” chasers; the amount of legal costs related to traffic incidents has go up so much! Part of your auto policy typically covers “defense costs” i.e you hit someone the insurance company will pay representation for you. Defense costs sometimes cost 20-30% of whatever the payout is.
How are Mass and PA so cheap? I thought Boston had terrible drivers, until I went to Philly, then I really knew what terrible drivers looked like.
![[OC] The Avg. Cost of Car Insurance Across America](https://www.europesays.com/wp-content/uploads/2024/08/76jsini12ujd1-1300x1024.png)
26 comments
Source: [https://insurify.com/car-insurance/report/](https://insurify.com/car-insurance/report/)
Considering how we drive . . . We’re getting a great deal.
Can confirm, moved from CO to IA and it cut my insurance payment in half.
Is this assuming a set vehicle value? Otherwise that could be a factor.
Gotta say I’m not sure where they’re getting NY numbers from. I live in NYC, and as a driver who got insurance for the first time last year I only pay $1800/year
I thought Florida was the most expensive. Either way it’s too high.
So sad to be a commuter in Florida right now…
I’m pleased and relieved to see that Michigan is no longer the most expensive. At the same time, I recognize this probably is partly due to bad legislation that weakened our no-fault system, and reduced rehab support for people with extremely severe injuries.
I was very happy with the change in my insurance rate when I moved from Manhattan to Virginia … then I discovered personal property tax. And we were back at the same payment level.
NC drivers are bad but SC drivers are actually a menace to society
My 01 4runner with liability only is under $40 a month now living in Washington.
Not sure how/if it’s a factor, but car insurance is optional in New Hampshire.
Anecdotally, MA >> MN for cost. All my brokers agree. I wonder why this data suggests otherwise.
MI insurance is ridiculous. I went from $1700 a year to $2600 the next year. And that was the cheapest I could find at *any* insurance company.
Pretty data but what does that data mean? per driver, per household, per car, per equal amount of coverage? what does average mean? This requires way more detail than this map, or even the article from Insurify, as the costs are more nuanced than just average cost. My insurance is less than half of the Avg. of my state. We have older vehicles and are older ourselves and have good credit and good driving records, etc…
Why is Maryland the most expensive? I would have assume California or Massachusetts.
NH resident here. Once I purchase a brand new vehicle at the end of this month, my premium goes from 1285 to just above 1500. Premium is for full coverage on 3 vehicles.
Property taxes suck though
Lol people either are shitty drivers or have expensive cars cus I sure as hell ain’t paying even half that much.
Only a fool drives through Oklahoma without uninsured motorist coverage. That’s one thing you should never skimp on.
Most of Maryland is just a GTA server of uninsured Altimas
I moved from Florida to Illinois and my premium went down by over half. The insurance agent said they never saw anything like that before.
Data is not so beautiful in Maryland
People focus on physical damage when thinking about car insurance costs.
There are factors at play there, first and foremost the proliferation of technology and sensors across the body of a vehicle.
What people forget is liability. Individual states have different approaches to handling liability coverage and also different regulations around at-fault and no-fault liability coverage. Some states also take different approaches to PIP (personal injury protection) which can be fraud prone (along with med-pay).
So yes if everyone drives cyber trucks that probably drives up premiums, but regulatory frameworks and liability coverage are at play too.
Pricing tends to be far more variable between different zipcodes than different states especially when you’re looking at specific metro areas.
This map is a better way to see the dynamics than the one OP posted
[https://rateretriever.com/wp-content/uploads/2023/10/US-heatmap-1024×768.jpg](https://rateretriever.com/wp-content/uploads/2023/10/US-heatmap-1024×768.jpg)
Having worked in the business…. Here are some general thoughts; feel free to ask any questions.
1. Most insurance companies struggle making money on their auto insurance lines. Most pay out 95-99% of their auto premiums in claims (this isn’t up for debate, they’re publically traded companies and they announce their loss rations ever quarter) and what they pay their underwriters. Also, its very common for company’s to pay out MORE THAN they collect. For example, they collected 10 million in premium yet pay out 10.5 million in claims. They can stay in business because the government forces them to buy BILLIONS in stocks and bonds. When you see a headline like All-state made 10 Billion dollars… Its not because they collected 20 Billion in premium and only paid out 10 Billion. Its 10 Billion write up in their stock and bond portfolio.
2. Lots of underinsured and uninsured drivers. People drive 10-20 year old cars and carry state minimum limits of $15,000 or $25,000 coverage because they don’t care about their car or their car isn’t worth X. However they get into accident and hit a car worth $50,000 while also hurting the driver… Suddenly this claim is $300,000. This is now covered by the victims policy. (Also you’d be shocked at the amount of illegals driving here without any insurance whatsoever.) I remember a claim where one hit an insured of ours in a Lambo and we paid $175,000 and our driver had zero fault as he was rear ended.
3. Car prices and repairs — Your fender bender from 30 years ago that cost $500 to repair is like closer to $5000 now because of parts & labor costs,
4. Older drivers, baby boomers aging! People really don’t understand how bad your vision and reaction speed deteriorates as you age. The elder are always hitting things and when they do their medical bills are so much more expensive, legally you cant discriminate on age… its very hard to properly price an auto policy for that 75 year old in a Cadillac.
5. The last is our court system. Lawyers and “ambulance” chasers; the amount of legal costs related to traffic incidents has go up so much! Part of your auto policy typically covers “defense costs” i.e you hit someone the insurance company will pay representation for you. Defense costs sometimes cost 20-30% of whatever the payout is.
How are Mass and PA so cheap? I thought Boston had terrible drivers, until I went to Philly, then I really knew what terrible drivers looked like.