Almost $4,000 for car insurance? Here are the states where drivers pay the highest rates
The average American pays a huge amount in car insurance: here are the top spenders.
As with just about everything in Donald Trump’s economy, the price of living continues to rise day by day, with the average American struggling to keep food on the table.
Making sure you can take your children to school is also becoming more unfeasible. Trump’s tariffs are putting top businesses on edge, meaning prices of insurance for vehicles are rising. Nowadays, the average American citizen pays thousands of dollars just to make sure their car is covered in case the worst should happen.
AOL have revealed stark contrasts in car insurance costs depending on where you live across the United States. If you’re in a bustling, high-risk state like California or New Jersey, expect premium pain.
But states such as North Carolina, Iowa, and New Hampshire remain comparatively gentle on the wallet. With rising costs driven by the aforementioned economic decisions as well as environmental risks, shopping around and staying informed have never been more important.
it should probably be a bigger story that most of the world has stopped shipping packages to the U.S. entirely because of Trump’s tariffs pic.twitter.com/0uKQhVAexT
— sam (@sam_d_1995) August 27, 2025
Highest average annual car insurance premiums in the U.S.
- New York $4,031
- Louisiana $3,953
- Florida $3,874
- Nevada $3,626
- Michigan $3,236
- Colorado $3,230
- California $3,102
- New Jersey $3,027
- Rhode Island $2,960
- Maryland $2,946
Tips to keep your car insurance down
If you feel like your car insurance premium keeps eating away at your wallet, you’re not alone. However, there are some surprisingly effective ways to trim that cost—without sacrificing coverage.
Loyalty might feel comforting, but when it comes to car insurance, sticking with the same provider could be costing you big time. A recent LendingTree survey showed that nearly every driver who compares offers—92% of them, in fact—finds a cheaper deal elsewhere.
Also, many insurers reward you for keeping multiple policies under one roof. Pair your auto coverage with your homeowners or renters policy, and you could shave anywhere from 5% to 20% off your bill.
Lowest average annual car insurance premiums in the U.S.
- Idaho $1,443
- Vermont $1,491
- Maine $1,631
- Hawaii $1,650
- Indiana $1,704
- New Hampshire $1,716
- Wyoming $1,760
- North Dakota $1,799
- Ohio $1,823
- Washington $1,890
Related stories
Finally, insurers are often more generous with discounts than they advertise. If you log fewer miles than the average commuter, you might qualify for a low-mileage reduction. The key here is to be proactive: these deals rarely get mentioned unless you ask.
Get your game on! Whether you’re into NFL touchdowns, NBA buzzer-beaters, world-class soccer goals, or MLB home runs, our app has it all. Dive into live coverage, expert insights, breaking news, exclusive videos, and more – plus, stay updated on the latest in current affairs and entertainment. Download now for all-access coverage, right at your fingertips – anytime, anywhere.
Complete your personal details to comment