Jessica Sautter is a Content Writer for CarInsuranceCompanies.com with a Bachelor’s Degree from Eastern Michigan University in Elementary Education with a Major in Reading and a Minor in Mathematics.

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Chris Harrigan has an economic degree from Limestone College and an MBA from Clemson University. He previously managed auto insurance claims for Enterprise Rent-A-Car. Currently, he is using his business and insurance expertise to provide insurance data analysis and visualizations to enhance the user experience.

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Reviewed by Chris Harrigan
Former Auto Insurance Claims Manager

UPDATED: Oct 15, 2020

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Key takeaways...

  • Almost every state has over 100 licensed auto insurance companies for private passenger vehicle insurance, however, even small states still have a healthy, competitive market for drivers to find affordable coverage
  • The best approach is to choose five or more insurers and compare policy quotes (making sure all the details of the coverage are the same)
  • All states have different car insurance laws and while the majority require liability insurance some also require personal injury protection, uninsured motorist coverage, and other types

Want to know how much car insurance in California is or compare car insurance company premiums in Florida?

Online auto insurance comparison makes comparing car insurance rates by state very easy with the click of a mouse, however, premiums are just one part of policy coverage.

Drivers also have to define what type of insurance they need, how much coverage and what car insurance company to choose.

Auto insurance companies are very clever making us fall in love piggies, cavemen, and celebrities, but at the end of the day it’s only important to find sufficient coverage at affordable premiums from a company, you can trust.

Learn more about car insurance companies below and make sure to use our free insurance comparison tool above!

Table of Contents

How many car insurance companies exist?

Almost every state has over 100 licensed auto insurance companies for private passenger vehicle insurance however even states like Massachusetts or Hawaii with much lower numbers of licensed insurers still have a healthy, competitive market.

Drivers are still able to find affordable coverage. You can view the number of car insurance companies per state here.

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How do I get auto insurance rates by state?

It’s hard to consider any study of average auto insurance rates as highly accurate since auto insurance is based on many variables, including:

  • Sex
  • Age
  • Vehicle

They can provide some kind of guidance about premium price ranges but most drivers pay under $2,000 a year for car insurance coverage anyway.

The best approach is to choose five or more insurers and compare policy quotes (making sure all the details of the coverage are the same).

Why are rates different in every state?

There are a number of reasons why premiums vary from one state to another but it’s really just a combination of data and car insurance laws. Some areas are prone to higher auto theft risk while others have higher car accident rates.

Car insurance companies employ large numbers of actuaries to collect, calculate and study risk so when you think about it premiums really vary wherever you are and not necessarily by the state.

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Are car insurance laws the same everywhere?

No. All states have different car insurance laws and while the majority require liability insurance some also require personal injury protection, uninsured motorist coverage, and other types.

Then there are about a dozen states who operate under no-fault car insurance laws. Before shopping for any type of auto insurance it’s important to know the particular car insurance laws of the state where a vehicle is being registered.

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How much car insurance do you need?

Car insurance requirements vary by state and the amount of coverage also varies.

Most state minimum car insurance requirements are administered by the Department of Insurance and can easily be found by doing a Google search for your city + the term car insurance requirements.

For example, if you live in New York, Google, “New York Car Insurance Requirements.”

A noteworthy tip, however, is to always try to find the right government website for the most current requirements as many websites exist with auto insurance information.

Unless you get the information directly from the state, it’s possible content from other sources may be a little outdated.

Online car insurance comparison is quick and easy so if you want to start premium comparison it’s almost always beneficial to begin your search for auto insurance rates online.

Don’t miss out on our free insurance comparison tool! Just enter your zip code and start comparing rates now!

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