10 Worst States for Auto Insurance Premiums in the USA

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By: Aquib Nawab

Finance

1 - Nebraska

Nebraska claims the spot for least expensive of the most expensive states, with an average annual premium of $2,018. The region's volatile weather, including storms, droughts, and floods, contributes to more accidents and higher insurance costs.

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2 - New York

New York residents pay an average annual premium of $2,020 for auto insurance. The state's large cities and high-density population lead to increased insurance costs.

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3 - Nevada

Nevada ranks among the states with high insurance premiums, with an average annual cost of $2,023. Factors such as high rates of vehicle thefts, especially in cities like Las Vegas, contribute to these costs.

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4 - Missouri

Missouri's average annual premium stands at $2,104, reflecting an increase in accidents due to more drivers on the road. In 2020, the state witnessed 914 fatal crashes, up from 803 in 2015.

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5 - Kentucky

Kentucky drivers face an average annual premium of $2,105, attributed to high rates of car thefts and uninsured motorists. These factors drive up insurance costs for residents.

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6 - California

California's average annual premium reaches $2,115, influenced by urban centers, costly healthcare, expensive auto repairs, and severe weather conditions. These elements contribute to higher insurance expenses for drivers.

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7 - Michigan

Michigan's average annual premium stands at $2,133, partly due to the state's No-Fault car insurance system and higher rates of insurance fraud. Personal injury lawsuits have also seen a significant increase in the past decade.

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8 - Delaware

Delaware residents pay an average annual premium of $2,137, influenced by rising inflation, increasing medical expenses, and susceptibility to bad weather, including tropical cyclones.

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9 - Louisiana

Louisiana ranks among the states with the highest auto insurance premiums, with an average annual cost of $2,546. A significant factor is the high percentage of uninsured drivers, estimated at 11.7% of the population.

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10 - Florida

Florida's average annual premium stands at $2,560, reflecting the presence of high-risk drivers such as senior citizens, new student drivers, and visitors. These drivers are considered higher risk by insurance companies, contributing to the state's elevated insurance costs.

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