These Are the 5 Cheapest Car Insurers for 2020

women in a car
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Geico offers the best deal on car insurance in 2020 — whether you want full coverage or just the minimum required by your state, according to a CarInsurance.com survey.

After researching quotes from major companies for various driver profiles and coverage levels, CarInsurance.com determined that Geico was the most affordable car insurance company in 37 states. (Even better, Geico is among the companies refunding customers due to the coronavirus pandemic, as we reported in “Why Your Car Insurer Might Give You Money Soon.”)

While Geico offered the best deal by a significant margin, four other car insurers charged premiums that beat those of other major insurers. The four companies all offered coverage rates that were within $100 of each other.

Average annual rates at the five cheapest major insurers were as follows:

  • Geico: $901 for full coverage/$338 for state minimum
  • Nationwide: $1,227/$523
  • State Farm: $1,313/$454
  • Farmers: $1,351/$659
  • Progressive: $1,415/$552

CarInsurance.com’s research reveals the importance of comparison shopping. Drivers can save up to $1,127, on average — the difference between highest and lowest costs for the same policy — just by shopping around for the best deal.

Rates are especially likely to change in the wake of specific life events — such as after buying a car, getting married or divorced, or adding or removing a driver from a policy — says Michelle Megna, editorial director of CarInsurance.com.

When such events occur, it makes sense to shop around to find the best deal for your new life circumstances, she adds.

It also can make sense to shop around when negative driving events occur, as some insurers offer better deals than others to such drivers.

For example, CarInsurance.com notes that Geico offers the best deals to drivers who have recently been in an accident or received a speeding ticket.

Note that shopping around for car insurance need not involve talking to insurance agents or even scouring auto insurer websites anymore.

These days, you can let a third party like Gabi or The Zebra gather insurance quotes for you. These companies specialize in streamlining the car insurance shopping process.

Looking for more tips for getting the best car insurance policy? Read through “How to Get the Best Possible Deal on Car Insurance,” and you might never need to read another article on shopping for an auto policy.

Money Talks News founder Stacy Johnson wrote the story. He says:

“This step-by-step guide is about paying as little as possible for car insurance, while still maintaining enough coverage. Many of the things you’ll learn here will also apply to other insurance policies you’ll encounter, from home and health to life.”

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.