If you drive a Volkswagen, here’s what you’ll need to know.
With coverage in nearly all of the U.S. and a low average cost, State Farm is a great choice for most Volkswagen-owners.
If you’re a member of the military, a veteran, or a family member of either category, USAA will provide you with the lowest rates for your Volkswagen.
If you drive a Volkswagen or are considering purchasing one, you’ll want car insurance that’s tailored to your specific needs and concerns. Thanks to AutoInsurance.com’s decades of experience and millions of proprietary data points connecting Volkswagen drivers with insurance policies, we offer tried-and-true recommendations. Keep reading to learn more about our top picks for Volkswagen auto insurance.
Best Overall Insurance for Volkswagen: State Farm
Best Low-Cost Insurance for Volkswagen: USAA
Best for Bundling Home and Auto Insurance: Allstate
Best Vehicle Repair and Replacement Coverage for Volkswagen: Liberty Mutual
|Company||What it’s best for||Average annual cost||Availability||Read our full review|
|State Farm||Best overall insurance for Volkswagen||$1,419||All 50 states except Rhode Island and Massachusetts; Washington, D.C.; and Canada||State Farm auto insurance review|
|USAA||Best low cost insurance for Volkswagen||$1,151||All 50 states and Washington, D.C., as well as U.S. territories and the following places:
||USAA auto insurance review|
|Allstate||Best for bundling home and auto for Volkswagen||$1,673||All 50 states, Washington, D.C., and Canada||Allstate auto insurance review|
|Liberty Mutual||Best vehicle repair and replacement for Volkswagen||$1,637||All 50 states and Washington, D.C.||Liberty Mutual auto insurance review|
You may be familiar with State Farm from its witty ads featuring the character Jake from State Farm or the company’s tagline, “Like a good neighbor, State Farm is there.” State Farm was our overall pick for the best auto insurance, so it’s not a surprise that the company offers great coverage options for Volkswagens. It’s also the most popular auto insurance provider in the U.S., with great options for Volkswagen drivers.1
State Farm takes a unique approach to sell its insurance, working only with exclusive agents. In practical terms, this means that State Farm only sells its insurance policies through State Farm agents, as opposed to independent agents or insurance brokers. These exclusive agents sell only State Farm insurance policies.
This focus means that State Farm agents can focus exclusively on policy details important to your needs and your location, though you’ll miss out on the advantages of comparison shopping. With more than 19,000 agents located throughout the country, you’re likely to find a local option.
State Farm offers multiple insurance discounts for teens and other young adult drivers, who tend to pay high insurance premiums.
State Farm offers a variety of options when it comes to paying for your policy. As a State Farm customer, you’ll be able to choose your own monthly payment due date, from the 1st through the 28th of the month. You can also customize bill payment reminder notifications and choose how many days before your payment due date you’d like a reminder.
The United Services Automobile Association (USAA) is a unique financial services organization that offers banking, investment services, and a variety of insurance options for members and veterans of the United States Armed Forces, as well as to their families. Originally founded 100 years ago, USAA offers affordable insurance options for its members.
Thanks to its role serving the federal government and U.S. military, USAA offers its members some of the lowest car insurance prices in the nation. Using our proprietary market analysis, AutoInsurance.com found an average annual price of $1,151 per year for USAA car insurance. This figure is only $80 more than the average price of car insurance for all carriers, which is $1,070.47 per year.
Considering the wide variety of coverage and discounts USAA offers, which we’ll get into below, this is a great deal for insuring your Volkswagen vehicle.
USAA offers usage-based car insurance, also known as mileage-based or pay-per-mile insurance. This coverage allows customers who don’t use their cars much to pay less. For example, if you drive to work once a week and take public transit on most days, you might save by switching to usage-based insurance.
Additionally, USAA offers a special discount of up to 15 percent for members who garage their vehicles on military bases. These policies are especially relevant for active-duty military members who may be deployed away from their vehicles.
USAA offers its members $500 off the purchase or lease of any 2023 Volkswagen model other than the Golf R.3 This is just one of several benefits that the company offers its members benefits beyond those of many other insurance companies. Since USAA is a bank as well as an insurance provider, it offers specialized auto loans with reduced interest rates. The company also boasts a car-buying service that helps members compare prices on vehicles and advertises discounted prices and waived dealer fees.
Allstate has been selling insurance for more than 70 years and is the fourth-largest American auto insurance company by market share. It offers a wide range of insurance options for customers looking to bundle, including insurance for a variety of kinds of vehicles, property and renters insurance, and life insurance, among others. Additionally, Allstate offers several specialized forms of car insurance, including classic car insurance, coverage for drivers visiting Mexico, and rideshare driver insurance.
Allstate offers big savings for both homeowners and renters through its bundling discounts. Customers who purchase both auto insurance and homeowners or renters insurance can save up to 25 percent on both policies. The company also offers additional savings for customers who add more Allstate insurance policies, such as motorcycle insurance or life insurance.
The popularity of rideshare apps like Uber and Lyft means more and more drivers are using their personal vehicles to offer rides and make money. With their high safety ratings and stylish design, Volkswagen vehicles make great rideshare cars.
Uber specifically designates all Volkswagen models manufactured since 2007 as eligible vehicles for Uber services.4 The rideshare giant also lists the Arteon, Atlas, ID.4, Passat, Passat GTE, Tiguan, and Touareg as pricer Comfort ride options, and the Caravelle and Routan as candidates for Uber XL rides.
It’s important to keep in mind that your personal auto insurance policy does not apply while you’re using your car for commercial purposes, meaning your personal coverage “turns off” when you turn on the rideshare app. Most rideshare companies have their own insurance policies to cover you while you have passengers in the vehicle, but that coverage turns off when the passengers get out or while you are waiting for your next pickup.
Specialized rideshare insurance, like Allstate’s coverage, protects you during the periods when you’re waiting to be assigned a ride, or on your way to pick up a passenger.
Fans and collectors know that Volkswagen has produced several popular classic car models, such as the Volkswagen Type 1 (also known as the VW Bug), first released in 1938 and manufactured until 2003, or the VW Microbus, introduced in 1950 and popularly associated with the hippie culture of the sixties.5
Allstate is one of our picks for the best auto insurance for classic cars, thanks to the company’s wide range of coverage for classic and collectible vehicles, flexible claim service, and protections for classic car-related accessories, including tools, spare parts, and memorabilia.
Liberty Mutual’s tagline is “Only pay for what you need,” and the company advertises customized insurance coverage that can save drivers up to 12 percent on their auto insurance premiums.6 The company offers a large variety of other vehicle and property insurance options, as well as life insurance, pet insurance, tuition insurance, and other specialized types of coverage.
Since Volkswagen is a German company that manufactures its vehicles in multiple international locations, Volkswagen parts can be more expensive to replace than parts for domestically produced vehicles.7 Volkswagen cars have a good reputation for reliability, but it’s important to consider the potential risks of paying to repair or replace parts (or even the whole car) in the event of an accident or another issue.
If you’re concerned about these potential costs, Liberty Mutual is a great choice, since the company offers the following optional coverage options.
Lifetime repair guarantee: This coverage pays for repairs to your vehicle for as long as you own it. Liberty Mutual has vetted more than 2,000 nationwide Guaranteed Repair Network facilities.
The company will work with these facilities to provide you with a fast, high-quality repair service. Liberty Mutual will pay the shop directly for the full cost of your repairs beyond your deductible, and the company offers a 100 percent lifetime guarantee for these repairs. Additionally, Liberty Mutual advertises priority repair status for vehicles with this coverage.
Better car replacement: Think of Liberty Mutual’s better car replacement coverage as the next step after a year of new car replacement coverage. As well, this optional policy kicks in when your car is stolen and can’t be recovered or is totaled. If your covered vehicle is deemed a total loss, Liberty Mutual will give you the money for a replacement car that is one model year newer and has 15,000 fewer miles on it than your previous vehicle.
Volkswagen is constantly updating and improving its offerings, so a newer model can make a big difference. Recent changes include a 13 horsepower increase for the 2022 Volkswagen Golf versus the 2021 model, and making all-wheel drive standard starting with the 2022 Volkswagen Atlas line.8
Liberty Mutual’s deductible fund allows drivers to save on their deductibles each year that they continue to insure their vehicles with the company. Each year, you’ll pay an extra $30 as part of your premium, which goes to the deductible fund. Liberty Mutual will then contribute another $70.
The company will then lower your auto insurance deductible by $100 every year that you’re enrolled. These savings will reduce the balance you will need to pay out-of-pocket in the case of a claim.
Liberty Mutual offers unique auto insurance coverage options for teachers. In addition to exclusive discounts, the company offers the following features for educators:
We chose the best auto insurance providers using a three-pronged approach:
Yes, Volkswagen offers 24/7 VW roadside assistance. The service is free for the first three years or 36,000 miles, whichever comes first, for all new Volkswagen passenger vehicles sold in the U.S.
No, Volkswagen is not a luxury car brand. However, the Volkswagen group, Volkswagen’s parent company, owns several luxury car brands, including Audi, Lamborghini, and Bentley.
Yes, the Volkswagen Jetta scores highly on safety tests, receiving the best possible overall rating of “Good” from the Insurance Institute for Highway Safety. It also averages 35 MPG, making it a good car to buy in terms of fuel costs. Car and Driver magazine rated the 2023 Volkswagen Jetta 8.5 out of ten, making it the third highest-rated car in its class.
No, the Volkswagen Tiguan is not expensive to insure. Rather, it has reasonable car insurance rates. The 2022 Tiguan model has high safety ratings and low theft rates, making it a reasonably-priced vehicle to insure. The Tiguan was one of the Insurance Institute for Highway Safety’s (IIHS) top safety picks for 2022.
The IIHS also found that the Tiguan was significantly less likely to be stolen than the average car, with 32 to 35 percent fewer incidents of theft than the overall average, bringing the cost of car insurance down even more.
Progressive’s private auto market share growth continued amid pandemic. S&P Global. (2021, May 11).
2022 Volkswagen ID.4. Insurance Institute for Highway Safety (IIHS). (2023).
How to get the best military discounts. USAA. (2022, Nov 18).
Eligible Cars and Other Vehicles for Driving in Your City . Uber. (2023).
The VW Bus Took the Sixties on the Road. Now It’s Getting a Twenty-first-Century Makeover. The New Yorker. (2022, Jul 25).
Affordable car insurance, customized for you.. Liberty Mutual Insurance. (2023).
Portrait & Locations. Volkswagen. (2023).
Changes to the 2022 Volkswagen Models. J.D. Power. (2021, Dec 1).