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Last updated: February 10, 2023The Best Auto Insurance for BMWs
Comparisons of the best insurance plans for your BMW
Best Overall
State Farm is the most popular insurance provider in the country.1 With affordable rates, wide-scale availability, and a long list of discounts and coverage options, it’s our top pick for BMW owners.
Best for Bundling
If you’re looking to bundle your BMW with your home, condo, or other vehicle, Allstate comes out on top. Allstate has one of the most sizable bundling discounts (25 percent) and is one of the most reliable auto insurance providers in the country.
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Auto insurance for BMWs, like most luxury vehicles, will cost significantly more than your average car. Higher costs for parts, tendencies of theft, and rates of accidents are all reasons why insurance providers consider luxury cars to be high-risk vehicles.
While you can still get some idea of which providers will be the most affordable based on national averages, we recommend speaking to an agent to find the most accurate price range for your BMW car insurance. Below, we’ll break down the best providers for BMWs based on average rates, discounts, availability, and luxury coverage features.
Summary of the Best Auto Insurance for BMW
- 1.
Best overall: State Farm
- 2.
Best for bundling: Allstate
- 3.
Best for high-risk drivers: Acceptance Insurance
- 4.
Best for military: USAA
- 5.
Best replacement coverage: Liberty Mutual
Comparison of the Best Auto Insurance for BMWs
Review the following table to compare our top selections based on your needs.
| Insurance company | #1. State Farm | #2. Allstate | #3. Acceptance Insurance | #4. USAA | #5. Liberty Mutual |
|---|---|---|---|---|---|
| Average annual rates for drivers | $1,419 | $1,673 | N/A | $1,151 | $1,637 |
| Bundling discounts | Yes | Yes | Yes | Yes | Yes |
| Safety driver discount | Yes | Yes | Yes | Yes | Yes |
| Umbrella insurance | Yes | Yes | Yes, for commercial vehicles | Yes | Yes |
| J.D. Power customer satisfaction index ratings (Southeast) (out of 1,000)3 | 885 | 854 | N/A | 884 | 860 |
| Reviews | State Farm review | Allstate review | N/A | USAA review | Liberty Mutual review |
Detailed Description of the Best Auto Insurance for BMWs
1. Best overall - State Farm
What We Like Most:
- Multiple discounts for safe driving, including one specifically for young drivers
- Local agents
- Discounts for multiple cars
State Farm is one of the oldest providers, and the top provider in the country, for a reason. It’s one of the most affordable options for a wide array of locations, demographics, and driver history profiles. With a low average annual rate, a long list of discounts, robust bundling options, and added coverage features, State Farm is our top pick to insure your BMW.
Who It's Best For- Motorists who need SR-22s
- People who want to manage their policies from their phones
- Drivers with clean records
- Parents of young drivers
Who It's Not Best For
Residents of Massachusetts or Rhode Island- People with a history of at-fault accidents
Affordable Rates
The average insurance cost for BMWs across all series is a little under $2,000. This is significantly more expensive than your average sedan. However, with an average annual price of $1,419 across all types of cars, State Farm is the third-most affordable provider among the top ten.
NOTE:
Priced at $114,000 on average, the BMW 8 Series consists of the most expensive standard BMW models, which means it will most likely have expensive insurance rates.3
Robust Coverage Options
With State Farm’s extra coverage options, you can sleep easily knowing you’ll be covered in the event of an accident. In addition to liability coverage and full coverage options, you can add the following options to your coverage:
- Towing and/or labor costs
- Glass replacement
- Payoff Protector — similar to gap insurance
- Personal umbrella
- Rental car
- Rideshare insurance
- Transportation coverage
Classic Car Coverage
If you own a classic BMW and are researching a fair rate for your insurance, look no further. State Farm offers collector and classic car coverage for vehicles with historical interest. If your BMW is between 10 and 24 years old, you might be eligible for classic car coverage. You could also obtain antique classic coverage if your car is over 25 years old.
How insurance providers define classic or antique cars can be a bit tricky. They rely on a system of agreed value to decide on your premium rates. Because classic and vintage cars are unique and don’t depreciate over time as normal cars usually do, you’ll have to agree with State Farm on a value and insurance plan for the vehicle. Here are some of the factors that State Farm might take into consideration when determining the value of your classic or antique car:
- Type of car
- Mileage and condition
- Frequency of driving (State Farm is more likely to insure your car if you use it on a very limited basis.)
- Storage
- Maintenance and restoration
Be sure to speak to a State Farm agent to see if your BMW qualifies as a classic or vintage car.
2. Best for bundling - Allstate
What We Like Most:
- Three ways to earn a student discount
- Pay-per-mile option for drivers with low mileage
- No waiting period to purchase accident forgiveness
One of the best ways to lower rates on expensive car insurance is to take advantage of sizable bundling discounts. Not only does Allstate have one of the largest home and car bundling discounts (25 percent), but it’s one of the largest and most reliable insurance providers in the country.
Who It's Best For- Renters or homeowners
- People who can take advantage of Allstate’s bundling options
- Drivers with clean records
- Consumers with new cars
Who It's Not Best For- People looking for the most affordable option
- Drivers with bad credit
Great for Bundling
Allstate’s 25 percent discount for home and car bundling is the largest in the country among the Top 10 providers. If you need more than one type of protection, bundling is a good way to save money on your coverage. In addition, bundling makes managing insurance easier because you can access multiple plans quickly, adjust your policy, and review your coverage — all from the same place. Bundle your motorcycle, house, condo, or renters insurance with your car insurance.
Big Savings
Another way to bring your auto insurance costs down is to take advantage of all the discounts available to you. At Allstate, you have access to a long list of discounts, such as:
- Up to 25 percent off if you have multiple policies
- If your car has anti-lock braking
- If you take a safe-driving course
- If have a new-car discount
- EZ pay plan discount for automatic withdrawals on your premium
- Paperless ePolicy
- Smart student discount if you’re a student under 25 who meets one of these requirements:
- Maintains a 2.7 or above GPA
- Completes the teenSMART driver education program
- Attends school at least 100 miles from where you store your car
The best way to determine which discounts you’re eligible for is to ask your agent.
Pricing Based on Driving Habits
One way to save on your BMW coverage is to take advantage of providers who offer rates based on your safe driving habits. Sign up for either the Milewise or Drivewise driving plan through Allstate.
- Milewise: Milewise is a pay-per-mile insurance option that generates your rates based on how many miles you drive. If you don’t have a big commute or aren’t behind the wheel often, Milewise can save you money on your car insurance.
- Drivewise: Drivewise is an app-based driving tracker that analyzes your speed, driving habits and time of day you drive to determine your driving safety. Signing up is as easy as downloading the app so it can track your driving. You can complete Drivewise safe-driver challenges to earn points and redeem cash over time.
DID YOU KNOW?
The average person drives 13,476 miles per year, which is about 37 miles per day.4
3. Best for high-risk drivers - Acceptance Insurance
What We Like Most:
- Accepts high-risk drivers
- Bundle with renters', homeowners', or pet insurance
- Good for those with bad credit
Car insurance for BMWs is already expensive, but if you’re a high-risk driver, that number could triple what you would normally pay. In some cases, insurance providers may not even cover you if you need an SR-22, have a bad credit score, or have a history of accidents or traffic violations. If you have a poor credit score or driving record, consider Acceptance Insurance.
Who It's Best For- People who require SR-22 insurance
- Consumers with poor credit
- People with a history of traffic violations
- Young drivers
Who It's Not Best For- People who live outside of these states:
- Alabama
- Arizona
- California
- Florida
- Georgia
- Illinois
- Indiana
- Mississippi
- Missouri
- Nevada
- New Mexico
- Ohio
- Pennsylvania
- South Carolina
- Tennessee
- Texas
- Virginia
- Drivers with a safe-driving history
Insurance for High-Risk Drivers
Not all providers offer SR-22s or insurance for drivers with bad credit or driving histories. In contrast, Acceptance Insurance will cover you even if you have a history of violations, past DUIs, or accidents. We think you should consider Acceptance if you’re having a hard time finding coverage elsewhere and are a high-risk driver, which providers define as:
- Drivers with histories of accidents
- Drivers with histories of traffic violations
- Drivers with multiple DUIs
- Young drivers
- Drivers who need SR-22s
- Drivers with several points on their records
- Drivers with poor credit scores
Customizable Coverage
In addition to liability and full coverage, Acceptance offers these add-ons:
- Traffic citation coverage: covers the cost of minor traffic violations and legal fees for up to $650 a year
- Accidental death coverage
- Outdoor vehicle
- Roadside assistance
- Motorcycle insurance
- Towing and labor
These are other types of insurance policies you can take advantage of with Acceptance:
- Commercial
- Homeowners
- Indemnity — in case of hospitalization
- Life
- Pet
- Renters
- TeleMed
- Travel
PRO TIP:
Join the BMW Car Club of America for unique insurance discounts and benefits, including $1,500 off a new BMW and access to high-performance driving events.5
Many Ways to Save
Even though Acceptance caters to high-risk drivers, expect your BMW rates to be high if you have a poor credit score or a history of violations or accidents. One way to lower your costs is by taking advantage of every discount available to you from Acceptance, including for things like the following …
- Being a military member
- Having bundling options
- Being enrolled in Autopay
- Renewing your policy
- Having paperless billing
- Signing up online
- Taking a driving course
- Loyalty discount (such as if you were with your previous provider for at least six months)
- Being a good student
- Being a low-mileage driver
4. Best for military - USAA
What We Like Most:
- Cheapest rates for teens on a family policy or on their own
- Special discount for teens transitioning off their parents’ policy
- Strong customer service and claims process
If you’re an active military member, veteran, the spouse, or child of a military member, USAA is the best option for insuring your BMW. With an average annual price of $1,151, USAA is the cheapest, top-ten provider in the U.S.
J.D. Power ranked USAA the highest for customer satisfaction in every region of America, except for California, where it ranked second. Part of what makes USAA so affordable is its long list of membership discounts and benefits, which will go a long way with your BMW coverage.
Who It's Best For- Active military members, veterans, and their families
- Members of the military who need vehicle storage while they’re deployed
- People who want to bundle their insurance
- Drivers shopping for affordable coverage
Who It's Not Best For- Non-USAA members
- People with DUIs on their record
USAA Discounts
USAA has several discounts unique to military personnel. Here are some of the company’s key discounts:
- Good student discount
- Safe driver program offers up to 30 percent
- Bundling discount is up to 10 percent off
- Anti-theft device discount
- Vehicle storage up to 60 percent off
- Comprehensive coverage: up to 15 percent off for garaging your car on a military base
- Military families receive up to 10 percent off
- New vehicles three years old or less
Excellent Bundling Options
USAA offers a one-size-fits-all insurance option for bundling. It has one of the most robust bundling options to bring your costs down, simplify your insurance plan, and provide you with the coverage you’re seeking. With USAA, you can bundle your BMW insurance with a number of other policies and plans, including your …
- ATV
- Boat
- Classic car
- Condo
- Farm and ranch
- Homeowner insurance or renters insurance
- Motorcycle
- Personal umbrella
- Pet
- RV
- Small business
- Special event
- Supplemental health
USAA Membership Benefits
Take advantage of the many USAA membership benefits the company has to offer, including the following:
- Multiple-vehicle bundling
- Vehicle storage during deployment
- Shopping discounts for hotels, cruises, and vacation tours
- Travel insurance deals
- 24/7 membership support for insurance, deployment questions, or transition to life as a civilian
- ADT home security discount
- Banking advice for vehicle loans
- Financial advice for managing debt, investing, saving, and planning retirement or buying a home
5. Best replacement coverage - Liberty Mutual
What We Like Most:
- Save up to 30 percent with driver monitoring program
- Cheap average rates
- Over 2,000 local agents throughout the U.S.
Liberty Mutual is a top provider with a number of unique add-ons and options to fully cover your BMW. One of the most unique add-ons is the better car replacement coverage, which guarantees you a new car with 15,000 fewer miles than your old, totaled car.
According to research by Edmunds, some cars can depreciate by more than 20 percent in the first year. This means you can get the most out of replacement coverage in the first five years of ownership.
Who It's Best For- Young drivers
- People who want to bundle their insurance
- Shoppers who want gap insurance
- BMW Car Club of America members who are eligible for 10 percent off car insurance rates
Who It's Not Best For- People searching for the cheapest provider
- People who have been driving BMWs for over five years
Flexible Add-ons and Coverage
According to Kelly Blue Book, the lowest prices for new 2022 BMWs start at around $30,000, which makes add-on coverages like original parts and new car replacement all the more valuable.6 With Liberty Mutual, you can add the following types of coverage:
- Accident forgiveness
- Better car replacement coverage
- Deductible fund, which helps pay for any out-of-pocket payments for accidents
- Gap insurance
- Lifetime repair guarantee
- Mexico car insurance
- New car replacement for the first model year and 15,000 miles
- Auto insurance for teachers
Pricing Based on Driving Habits
Safe drivers should apply to Liberty Mutual’s RightTrack program to earn additional savings to insure your BMW. You receive a discount just for signing up, and the program will track your driving habits automatically through the Liberty Mutual app. If you’re a New York resident, you’ll need to use the RightTrack Plug-in device.
After 90 days, the app will assess your driving habits based on your speed, braking, mileage, and other metrics. A positive driving assessment can earn up to 30 percent off on your coverage; however, your car insurance costs could increase if you display risky behavior.
Mobile-Friendly Policy Management
Liberty Mutual offers a user-friendly mobile app that is highly rated for both iOS (4.8 out of five stars) and Android (4.7). Through the app, you can pay your bills, track claims, review your policy, and adjust your coverage.
Additionally, you can use the accident support features to take photos of accidents in real time and call for roadside assistance. Finally, the Coverage Customizer Tool is a great way to look for discounts in your next renewal, break down your current policy, or see what your coverage looks like after a claim — all from the comfort of your phone.
Methodology
Our proprietary data, insider knowledge, and access to accredited studies all informed our methodology for this guide on BMW insurance.
- Proprietary data: Over the past 20 years, Autoinsurance.com has been collecting millions of data points regarding car insurance companies that have had the most success insuring BMWs. We use that data to narrow down the best service providers that fit the unique needs of drivers from different backgrounds and life circumstances, such as age, gender, location, and marital status. Additionally, the cost will vary depending on minimum coverage vs. full coverage, safety features, car model, and other key factors that determine auto insurance rates.
- Public studies: Accredited public studies are a great resource when comparing customer satisfaction, customer service, and financial strength. We look at third-party studies from industry leaders — such as the Better Business Bureau, J.D. Power, Moody’s, AM Best, the National Association of Insurance Commissioners, and S&P Global — to find the most accurate information on insurance providers.
- Expert institutional guidance: We’re fortunate to have the president of insurance services at Centerfield, Autoinsurance.com’s parent company, back our research. Paul Ford has worked in insurance for three decades and has a plethora of industry knowledge from tenures at NetQuote, Bankrate, Datalot, Canadian Access, among other companies. His expert guidance enables us to provide customers with the most accurate information and recommendations on insurance providers.
Frequently Asked Questions
How much does BMW insurance cost?
According to Edmunds, the average cost of BMW insurance based on the series and make is …
| Model | Insurance costs in the first year |
|---|---|
| BMW X1 SUV xDrive28i | $1,477 |
| BMW 2 Series Gran Coupe Sedan 228i | $1,721 |
| BMW 3 Series Sedan 330i | $1,510 |
| BMW 4 Series Convertible 430i 2dr | $1,883 |
| BMW 5 Series Sedan 530i 4dr | $1,674 |
| BMW 6 Series Convertible 650i 2dr | $2,184 |
| BMW 7 Series Sedan 740i xDrive 4dr | $1,942 |
| BMW 8 Series Coupe M850i xDrive 2dr | $2,112 |
| Average | $1,813 |
How much does BMW insurance cost for teens?
BMW auto insurance for teens is the most expensive category for BMWs. The average annual rate is $6,301.
Do BMWs require special luxury or sports car insurance?
No, BMWs don’t require special luxury or sports car insurance. Rather, you can purchase higher coverage limits on your plan to cover the cost of a more expensive BMW on a regular, personal car insurance policy. If you own a class or vintage BMW, however, you will want to obtain classic car insurance.
What kind of BMW is the cheapest to insure?
Generally speaking, the cheaper the car, the lower your insurance rates will be. With a starting rate of $35,300, the BMW X1 Series is the cheapest BMW sedan to insure.
Citations
Facts + Statistics: Insurance company rankings. Insurance Information Institute. (2022).
https://www.iii.org/fact-statistic/facts-statistics-insurance-company-rankingsAuto Insurance Rate Hikes Erode Price Satisfaction, Drive Surge in Value Shopping, J.D. Power Finds. J.D. Power. (2022, May 23).
https://www.jdpower.com/business/press-releases/2022-us-insurance-shopping-study2022 BMW 8 Series Cost to Own. Edmunds. (2022).
https://www.edmunds.com/bmw/8-series/2022/cost-to-own/Average Annual Miles per Driver by Age Group. U.S. Department of Transportation Federal Highway Administration. (2022, May 31).
https://www.fhwa.dot.gov/ohim/onh00/bar8.htmDiscounts. BMW Car Club of America. (2022).
https://www.bmwcca.org/membershipbenefits/discountsCar Finder. Kelley Blue Book. (2022).
https://www.kbb.com/car-finder/?intent=new&manufacturers=bmw&sort=priceasc
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