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Icon CheckLast updated: November 4, 2022

The Best Liability Auto Insurance

Find the best plans for minimum coverage.

Best Overall
State Farm Logo

State Farm is the most popular auto insurance company in the country.1 It’s been around for over 100 years and has made itself known as a trusted and reliable service in the industry.

Best Cheap
Geico Logo

Priced at $1,194 a year on average, GEICO is one of the cheapest providers in the country.

Most states in the U.S. require you to have at least liability coverage before you can drive legally. Liability coverage helps cover the costs of the other driver’s bodily injuries and property damages if you’re in an at-fault accident. While we recommend you take on more coverage than just minimum liability, it’s fundamental to any insurance plan.

But who offers the best plans? And how do you know what additional coverage you might need? Below, we’ll look at our top picks for liability auto insurance based on rates, coverage options, discounts, and more.

Summary of the Best Liability Auto Insurance

  1. 1.

    Best Overall Liability Auto Insurance: State Farm

  2. 2.

    Best Cheap Liability Auto Insurance: Geico

  3. 3.

    Best Flexible Liability Auto Insurance: Travelers

  4. 4.

    Best Liability Auto Insurance for Bundling: Farmers

  5. 5.

    Best Liability Auto Insurance for High-Risk Drivers: Direct Auto

Comparison of the Best Liability Auto Insurance

Category #1. State Farm #2. GEICO #3. Travelers #4. Farmers #5. Direct Auto
Average annual rates for drivers $1,419 $1,194 $1,620 $1,878 $2,487
Bundling discounts (renters or homeowners insurance) Yes Yes Yes Yes Yes
Safe driver discount Yes Yes Yes Yes Yes
Umbrella Insurance Yes Yes Yes Yes No
J.D. Power customer satisfaction index (Southeast) (out of 1,000)2 885 853 853 862 N/A
Review State Farm review GEICO review Travelers review Coming Soon Coming Soon

Detailed List of the Best Liability Auto Insurance

1. Best Overall Liability Auto Insurance - State Farm

What We Like Most:

  • Local agents
  • Rideshare insurance available
  • Discounts for having multiple cars

There’s much more to State Farm than a host of commercials featuring athletes and other celebrities. Priced at an average of $1,419 annually, State Farm is one of the cheapest providers on our list. It offers affordable liability insurance with plenty of coverage add-ons, policy features, and bundling options. In addition, it has an easy-to-use app and is ranked number one in the country among all large insurance providers for customer service and satisfaction.

ProsWho It's Best For
  • pro
    Drivers who need SR-22s
  • pro
    Safe drivers
  • pro
    People who want to bundle their insurance
  • pro
    People looking for affordable liability coverage
ConsWho It's Not Best For
  • con
    People that want traditional gap insurance (State Farm has its own form of gap insurance called Payoff Protector)
  • con
    Federal employees, who cannot get any discounts based on their employment
  • con
    People who have been in several at-fault accidents

Solid Coverage Options

Often, liability coverage is the minimum you’ll need in order to drive legally, depending on which state you live in. Still, you may want some additional add-ons even with a solid liability plan to meet your unique needs as a driver. With State Farm, you can get the following features and coverage add-ons:

  • Rideshare coverage
  • Classic car coverage
  • Roadside assistance
  • Towing/labor coverage
  • Payoff Protector coverage (similar to gap insurance)
  • Glass coverage
  • Personal umbrella insurance
  • Transportation expense coverage

Variety of Discounts

If you’re looking for liability coverage in order to save on your car insurance expenses, then you’ll probably appreciate the variety of discounts that State Farm offers. Discounts and offers may vary from state to state, so speak with an agent to see what you’re eligible for. Here are some ways you can save on your liability insurance with State Farm:

  • Up to 30 percent off with State Farm’s safe driver program.
  • New driver discount if you’re under 25 years old
  • Accident-free savings
  • 40 percent off medical bills coverage if you install passive restraint systems (airbags, seatbelts, etc.) on vehicles made in 1993 or before
  • Up to 25 percent off on good student discounts
  • Up to 20 percent off on multiple-vehicle policies
  • Discounts for completing driver training courses

TIP


Speak to an agent to learn about all the discounts available to you based on your location, the kind of car you drive, and other personal factors.

Great Bundling

Do you own a home, RV, golf cart, or condo? Consider bundling your liability insurance with another type of insurance. It’s easier to manage multiple insurance policies from the same provider, and you can save when you bundle coverage. With State Farm, you can bundle your liability coverage with any of the following:

  • Homeowners insurance
  • Condo insurance
  • Renters insurance
  • Life insurance
  • Multiple vehicle bundling
  • Motorhome
  • Golf cart
  • RV
2. Best Cheap Liability Auto Insurance - Geico

What We Like Most:

  • Discounts for military and government employees
  • Good for all driving records
  • Repair estimates straight from the mobile app

Priced at $1,194 on average annually, GEICO is the cheapest provider on our list and one of the cheapest car insurance companies in the nation. With a long list of discounts and well-rounded bundling and coverage options, GEICO is a great option if you’re looking for affordable liability protection.

ProsWho It's Best For
  • pro
    People on a budget
  • pro
    People with multiple vehicles
  • pro
    Drivers with low credit scores
  • pro
    People who want mobile-friendly insurance policies
ConsWho It's Not Best For
  • con
    People who aren’t a part of the military or a military family
  • con
    Drivers who have DUIs
  • con
    People who want gap insurance
  • con
    People who want rideshare coverage

Affordable Coverage

Keep in mind that insurance coverage will vary from person to person and state to state depending on your demographic, location, the number of accidents in your area, instances of theft in your area, the chance of natural disasters, and much more.

With GEICO’s low average rate, however, you have a good chance at an affordable insurance quote on your liability coverage. A lot of drivers looking for liability can’t afford full coverage. With GEICO, you might be able to purchase liability coverage with extra protection and still have some money left over.

Tech-Friendly Plan Management

The GEICO mobile app has a 4.8 on the Apple store and a 4.7 on the Google Play store. It has a simple and easy-to-navigate interface that allows you to keep track of your policy and billing details, access your digital insurance card, file a claim, and pay bills. You can request roadside assistance and chat with agents directly on the app.

Additionally, GEICO has an accident estimate feature that allows you to upload photos of car damages to the app and get an estimate of how much the damages will cost.

Extra Coverage Options

You might be surprised to find that you can afford extra coverage options after taking on GEICO’s affordable liability insurance. And if you find yourself with more of a budget to work with, you’ll be happy to learn that GEICO offers a number of different features and coverage types, including these options:

  • Glass coverage
  • Accident death and dismemberment coverage
  • Personal umbrella insurance
  • Mechanical breakdown insurance
  • Personal umbrella insurance
  • Rental reimbursement coverage
  • Classic car coverage
3. Best Flexible Liability Auto Insurance - Travelers

What We Like Most:

  • High financial strength rating from AM Best
  • Great customer service reviews
  • Discounts for safe drivers, homeowners, electric vehicle owners, and more

Travelers is a great provider if you want to take on additional coverage and customize your policy. You can get liability coverage with roadside assistance, accident forgiveness, gap insurance, and other add-ons. On top of that, Travelers is one of the largest insurance companies in the country and is reasonably priced at $1,620 annually on average.

ProsWho It's Best For
  • pro
    People looking for add-ons to their liability coverage
  • pro
    People with DUIs on their records
  • pro
    People looking for gap insurance
  • pro
    People who want to take advantage of safe driver discounts
ConsWho It's Not Best For
  • con
    Anyone outside of Colorado and Illinois who wants rideshare insurance
  • con
    Parents who want to add a teen driver to their policy

DID YOU KNOW?


While most crimes take place primarily in cities and high-population areas, DUIs are actually more common in rural areas.3

Customizable Plans

Flexibility is one of the most important features for drivers who want a liability plan. While we recommend full coverage to keep you protected on the road, you can get some added protection by customizing your liability plan with add-ons that fit your needs. With Travelers auto insurance, you can add the following features and coverage options to your plan:

  • Loan/lease gap insurance
  • Rental car coverage
  • Roadside assistance
  • New car replacement if you total a new car within the first five years
  • Accident coverage
  • Rideshare coverage (only available in Colorado and Illinois)
  • Umbrella insurance for extra liability coverage

Named Non-Owner Insurance

Named non-owner insurance is liability coverage if you don’t own a vehicle. This is a great plan if you drive often but don’t own a car. You might consider signing up for named non-owner insurance if you meet any of the following conditions:

  • Drive rental vehicles often
  • Drive a company car for personal use
  • Borrow vehicles available to you in your social circles
  • Use car-share services
  • Provide care for someone you don’t live with and have to drive their car

While most drivers take on liability coverage for their named non-owner coverage, you can add types of coverage to your plan.

Featured Discount Programs

On top of a long list of discounts that you can find at most major insurance providers, Travelers has two unique featured discount programs: The Travelers Affinity Auto & Home Program and the IntelliDrive Program.

The Travelers Affinity Auto & Home Program will allow you to do the following:

  • Benefit from unique discounts unavailable to the general public
  • Become a member if you’re a part of a participating employer, credit union, or affinity association group
  • Become eligible to payroll deductions with no down payment or service free if your employer is a participating affinity member

The IntelliDrive Program is a 90-day safe driver program. Here’s how to apply:

  1. Install the app and link it to your car with the GPS and tracking system.
  2. Begin automatic tracking by driving and waiting for the app to respond.
  3. See your savings at the next policy renewal date.

You can save up to 30 percent through the IntelliDrive Program based on your driving habits, but you might end up with higher premiums if you drive recklessly or unsafely.

4. Best Liability Auto Insurance for Bundling - Farmers

What We Like Most:

  • Good drivers can save money with the Signal app
  • Transportation costs covered when your vehicle is being repaired
  • Roadside assistance available

You can bundle your liability coverage with renters insurance, homeowners insurance, pet insurance, and more. Bundling is a great way to get discounts on your insurance and manage all of your policies from the same provider and account.

Most drivers who get only liability coverage or minimum liability are looking for a more affordable plan, so bundling is a good option if you’re already paying for other types of coverage. Farmers is one of the largest providers in the country and is cheaper than the national average with a cost of $1,878 annually.

ProsWho It's Best For
  • pro
    Drivers who need rideshare insurance
  • pro
    Drivers who want to bundle their coverage
  • pro
    People with new cars
  • pro
    People who need SR-22s
ConsWho It's Not Best For
  • con
    Farmers auto insurance coverage is unavailable for anyone living in the following areas:
    • Alaska
    • Delaware
    • Hawaii
    • Maine
    • New Hampshire
    • Rhode Island
    • Vermont
    • Washington, D.C.
  • con
    People who want gap insurance

DID YOU KNOW?


Liability coverage (both bodily injury and property damage) is required in every state except for New Hampshire, Virginia, New Jersey, and Florida.

Great Bundling Plans

Farmers has one of the longest lists of bundling options in the country. You can simplify the way you manage your coverage and benefit from big bundling savings. Bundle home, life, business, pet, personal umbrella, and rideshare insurance with your liability coverage. On average, Farmers customers saved 20 percent on their insurance from bundling.

Robust Discounts

Farmers has plenty of discounts that revolve around safe driving habits. The discounts and eligibility can vary from state to state, so speak with an agent to see which ones apply to you. These are some of Farmers’ most notable discounts:

  • 20 percent off if you’re a high school/college student with a 3.0 GPA
  • Up to 5 percent off if you own a hybrid or alternative fuel vehicle
  • Up to 15 percent off if you own a corporation
  • Safe driver discount
  • Anti-theft device discount
  • Premium-paid-in-full discount
  • ePolicy paperless discount
  • Anti-lock brake discount

Seamless Mobile App

The Farmers mobile app has a 4.8-star rating on the Apple store and a 4.7 rating on the Google Play store. The app gives you easy access to pay bills, manage payment options, request roadside assistance, ask for a quote, view policy documents, and more. It’s free to install and gives you the freedom to manage your insurance policies from the comfort of your phone.

5. Best Liability Auto Insurance for High-Risk Drivers - Direct Auto
Direct Auto Logo

What We Like Most:

  • Low rates for high-risk drivers
  • Can pay in cash locally
  • Save money by bundling with life insurance

Do you have a history of DUIs, at-fault accidents, or traffic citations? If so, Direct Auto might be the choice for you.

Direct Auto offers affordable auto insurance for high-risk drivers. You can get minimum liability, full coverage, and a few add-ons to your plan. If you’re having a hard time getting insurance from other providers, Direct Auto might be the choice for you.

ProsWho It's Best For
  • pro
    People with a history of DUIs on their driving records
  • pro
    High-risk drivers
  • pro
    People who need SR-22s
  • pro
    People who live in the following states:
    • Alabama
    • Arkansas
    • Delaware
    • Florida
    • Georgia
    • Louisiana
    • Michigan
    • Mississippi
    • North Carolina
    • Ohio
    • Pennsylvania
    • South Carolina
    • Tennessee
    • Texas
    • Virginia
    • Washington
ConsWho It's Not Best For
  • con
    People who want gap insurance
  • con
    Safe drivers

FYI


SR-22s aren’t required in Delaware, Kentucky, Minnesota, New Mexico, New York, North Carolina, Oklahoma, and Pennsylvania.

Made for High-Risk Drivers

Direct Auto is one of the few providers that caters to individuals with a history of accidents, DUIs, traffic citations, and other driving violations that would deter most insurance providers. Although Direct Auto is the most expensive provider on our list at $2,487 annually, its rates are competitive when you compare them to other insurance providers for high-risk drivers, which are more expensive in general.

For many high-risk drivers, minimum liability might be the only affordable option available to you. Direct Auto will work with you directly to find a coverage plan that works, whether you’re looking for minimum liability or something more.

Great Savings

One of the ways Direct Auto keeps car insurance rates relatively low for drivers with histories of violations or accidents is through its discounts. With Direct Auto, you can lower your insurance rates with the following discounts:

  • Save up to 25 percent off if you’re an active military service member.
  • If you’ve been accident-free for three years with Direct Auto, you can save up to 10 percent.
  • If you maintain a B average as a high school or college student, you can get up to 10 percent off your insurance.
  • If you’re over the age of 55, you can get a 5 percent senior discount.
  • You can get up to 25 percent off through a multi-vehicle discount.
  • If you renew your policy within 10 days of expiration, you can get 20 percent off your plan.

Flexible Payment Options

Direct Auto understands how difficult it is to afford car insurance with a history of accidents and violations. That’s why it gives you the opportunity to customize your auto insurance payment options.

With Direct Auto, you can choose payment dates that fit your schedule, plan your payment schedule and recurring payments to fit your budget/spending ability, and decide how you want to pay: online, over the phone, or in person. Regardless of your financial situation, Direct Auto will work closely with you to find a plan that works for your liability insurance.

Methodology

Liability coverage is the backbone of any auto insurance plan, which is why we focused on finding the best rates, add-ons, features, and flexible plans when putting this list together. Whether you’re looking for liability insurance because you need the most affordable minimum requirements in your state or you want to increase your limits for added protection, this list will give you options. Our methodology comes down to three different approaches for finding reliable and objective information on auto insurance.

  • Proprietary data: We’ve looked at millions of auto insurance transactions over two decades and collected that information to help us understand what plans customers have the most success with. We consider pricing, personal information, vehicle types, and driving history data to understand where you can get the plans at the best rates. Our data-driven approach allows us to make an informed comparison of the top insurance providers and share the most relevant findings with our readership.
  • Expert institutional guidance: We’re fortunate to have the president of insurance services at Centerfield, Autoinsurance.com’s parent company, by our side. Paul Ford has worked in insurance for three decades, with tenures at NetQuote, Bankrate, Datalot, Canadian Access, and others. His insider knowledge and expert guidance enable us to provide customers with everything they need to find the perfect plans and get updated on the most essential auto insurance information.
  • Information from the providers: Sometimes, the best place to find the information you need is directly from the source. That’s why we look directly at insurance providers to compare prices, evaluate benefits and discounts, and assess their insurance processes. We talk to agents, compare car insurance quotes, and test the devices and discount programs auto insurance providers offer for ourselves.

Frequently Asked Questions

What is liability coverage?

Liability coverage is the minimum insurance required to drive legally in most states. It consists of bodily injury coverage, which pays for the treatment of injuries you cause to someone else in an accident, and property damage coverage, which pays for damages you caused to someone else’s car or objects/property.

How much auto insurance coverage do I need?

If it’s in your price range, we recommend buying full auto insurance coverage. With full coverage, you’ll be protected even in more serious accidents where you are at fault. Minimum liability coverage may not cover all the costs in the event of an at-fault accident.

How much does liability insurance cost?

On average, liability car insurance costs $650 annually on its own. Minimum coverage, which can cost more than liability coverage depending on the state you live in, is $1,417 annually on average. However, you can get lower auto insurance rates by using discounts for military members, good credit, clean driving record, and so on.

When should I have only liability coverage?

Generally speaking, the cheaper your car is, the less coverage you need. If the total value of your vehicle is so low that you would feel comfortable paying for its damages out of pocket, minimum liability may be a good option for you. However, if you’re in an accident with an underinsured/uninsured driver who is also at fault, you may want the peace of mind of knowing that you’re covered even if they can’t afford to pay for the damages they caused.

Citations

  1. Facts + Statistics: Insurance company rankings. Insurance Information Institute. (2022).
    https://www.iii.org/fact-statistic/facts-statistics-insurance-company-rankings

  2. Auto 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-study

  3. 2018 Crime in the United States. Federal Bureau of Investigation. (2018).
    https://ucr.fbi.gov/crime-in-the-u.s/2018/crime-in-the-u.s.-2018/topic-pages/persons-arrested-browse-by/cities-and-counties-grouped-by-size-population-group