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Location-specific factors drive up premiums in the most expensive states for car insurance. Find out if your state is one of them in this guide

Car insurance costs more in some states than in others. In fact, where you live is one of the biggest factors dictating how much premiums you need to pay.  

To give you an idea of the difference, Insurance Business outlines the most expensive states for car insurance, as well as the places where coverage is cheapest. We will also explain why rates vary by state and break down the different location-specific factors that impact auto insurance premiums. 

Read on and find out where your state ranks when it comes to car insurance rates in this guide.  

The table below lists the most expensive states for car insurance based on the data gathered by this website. The rates are for a hypothetical 40-year-old male driver with a clean record and good credit history.  

The 10 most expensive states for car insurance in the US 

Rank 

State 

Average annual premiums 

Diff. from natl. average ($) 

Diff. from natl. average (%) 

1 

Florida 

$2,560 

$878 

52% 

2 

Louisiana 

$2,546 

$864 

51% 

3 

Delaware 

$2,137 

$455 

27% 

4 

Michigan 

$2,133 

$451 

27% 

5 

California 

$2,115 

$433 

26% 

6 

Kentucky 

$2,105 

$423 

25% 

7 

Missouri 

$2,104 

$422 

25% 

8 

Nevada 

$2,023 

$341 

20% 

9 

New York 

$2,020 

$338 

20% 

10 

Nebraska 

$2,018 

$336 

20% 

Florida tops the list of the country’s costliest states for auto premiums, with average annual rates more than half the national average. The Sunshine State’s geographic location makes it susceptible to hurricanes and other weather-related calamities, pushing up insurance rates.  

It also doesn’t help that the state has among the highest number of uninsured drivers in the US. This makes costly lawsuits more likely. However, there are still ways to access cheap coverage. If you want to know how, you can check out this guide to the best car insurance in Florida. 

Like Florida, Louisiana and Delaware have long coastlines, making these states prone to extreme weather events.  

Michigan and California, meanwhile, are among the top 10 states with the largest percentage of uninsured motorists at 25% and 17%, respectively. The figures are based on the latest data from the Insurance Information Institute (Triple-I).  

We will discuss the different location-specific factors that impact car insurance premiums in more detail later.  

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