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Last updated: June 16, 2023

Cheapest Car Insurance in Arizona

Learn which auto insurers offer the lowest rates across the Grand Canyon state.

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On average, drivers in Arizona pay less than drivers in other states. Nevertheless, if you drive in Arizona, it’s important to consider what factors can drive up your car insurance rates, such as your age and gender, your ZIP code, and your state’s motor vehicle crash rate. Continue reading to discover how you can find Arizona’s most affordable auto insurance policies.

Cheap Car Insurance Companies in Arizona

Read on for the cheapest auto insurance companies in Arizona. Which offers the cheapest car insurance for you? The cheapest car insurance company depends on your demographics. Get car insurance quotes from multiple companies to find cheap auto insurance for you.


  • Minimum coverage (state car insurance requirements only): Travelers, $468
  • Full coverage: State Farm, $1,128

Cheapest Auto Insurance Companies

  • GEICO: $909
  • Mercury: $1,194
  • Progressive: $1,966
  • State Farm: $1,661
  • Travelers: $1,301
  • USAA: $1,617

Driving Record

  • Clean driving record: GEICO, $806
  • Speeding ticket: State Farm, $1,459
  • At-fault accident: State Farm, $1,674
  • DUI conviction: Progressive, $1,452


  • Good: $1,465
  • Average: $1,803
  • Poor: $2,214


Arizona state law allows insurance companies to consider credit scores when calculating rates, which is why drivers with good credit pay less for their auto insurance, typically. However, according to the Consumer Protection Division of Arizona’s Department of Insurance, a company must inform consumers if it decides to terminate or decline their coverage based on their credit scores.1

The Best Car Insurance in Arizona

  • Allstate
  • USAA
  • State Farm
  • Acceptance

Ways to Save

Explore the many ways to lower your annual car insurance premiums below.

  1. Enroll in a defensive driving course: Many companies offer savings to drivers who complete defensive driving courses.
  2. Bundle your policies: You’ll get cheaper rates for your auto insurance if you bundle it with other types of policies, like life insurance. In Arizona, some companies like State Farm and Allstate offer many different types of insurance that you can bundle together to save on your premiums.
  3. Raise your deductible: If you can afford to increase your deductible, you can reduce your overall cost of auto insurance.
  4. Improve your credit: If you want lower auto insurance rates, prioritize improving your credit score by paying your bills on time, paying back your debt and outstanding payments, and disputing any credit errors you notice.


In Arizona, drivers must meet specific eligibility requirements to enroll in defensive driving courses: they must not have taken a course within the last year and have an eligible violation. In all cases, completing a defensive driving course can dismiss one violation only. Review Arizona’s list of eligible violations:

How Much Coverage Do You Need?

In Arizona, drivers must have the following minimum coverages:

  • $25,000 in bodily injury liability insurance per person
  • $50,000 in bodily injury liability insurance per accident
  • $15,000 in property damage liability insurance

However, we recommend all drivers have more coverage than these minimum requirements because they only cover the expenses of the other party if you cause an accident. Consider adding the optional coverages to your policy for better protection.

  • Comprehensive coverage: This type of policy pays for damage to your car after unforeseen events like theft, vandalism, or fire.
  • Collision coverage: Collision coverage covers the costs of damage to your car after colliding with an object or another vehicle, regardless of who is at fault.
  • Uninsured/underinsured motorist coverage: Uninsured motorist coverage pays for damage expenses after an accident with a driver who lacks any, or insufficient, insurance.
  • Medical payments coverage: Medical payments coverage protects you and your passengers if you sustain injuries after an accident, no matter who is at fault.
  • Gap insurance: Though Arizona law does not require drivers to have gap coverage, some people find it helpful to invest in. Gap insurance covers theft of your entire vehicle or damage from an accident, and it’s required for those who buy their cars using leases or loans, typically. Read about gap insurance in Arizona to decide whether this coverage is right for you.

Alternative Car Insurance


If you own more than 10 vehicles in Arizona, you are eligible to apply for self-insurance.2 You’ll have to pay the minimum collateral amount of $90,000 to certify you are financially capable of insuring your own cars.

Alternate Methods of Proof

As an alternate method of proof of insurance, Arizona drivers may submit a certification of a deposit or cash of $40,000 to the state treasurer.

Arizona Motor Vehicle Division Information

  • Mail:
    • Motor Vehicle Division (MVD) Inquiries
    • P.O. Box 2100, MD 555M
    • Phoenix, AZ 8500
  • Phone: 602-255-0072
  • URL:


Generally speaking, car insurance in Arizona is slightly less expensive than the national average annual rate of $1,047. The yearly average cost of car insurance in Arizona is $1,042 as of 2020.3 However, certain factors lead to increased auto insurance rates. Among these factors include the state’s mandatory coverage amounts and its higher-than-average motor vehicle fatality rate of 16.2 deaths per 100,000 people, compared to the national average of 12.9 deaths per 100,000 people.4

Given these factors, you may want to consider the many ways you can save on your yearly premium, like with the plentiful discount opportunities Arizona insurance companies offer. Review our frequently asked questions below for more information on car insurance in Arizona.

Frequently Asked Questions

How long can I drive my new car without insurance in Arizona?

Arizona’s Department of Transportation states that all drivers have a 30-day grace period to submit proof of auto insurance after registering their cars.

Is it illegal to drive without car insurance in Arizona?

Yes, it is illegal to drive without car insurance in Arizona. Review the penalties for not carrying proper auto insurance in Arizona below, as stipulated by the Arizona legislature.

Offense number One Two Three and subsequent
Fine $500 $750 $1,000
Registration suspension in months 3 6 12

Do I need collision insurance in Arizona?

Arizona state law does not require drivers to have collision insurance. However, many people find it beneficial, as it helps pay for vehicle repairs and replacements after damage from collisions with both other drivers and stationary objects. Liability insurance does not cover damage to your vehicle from accidents you cause, nor collisions with objects like trees or poles. Therefore, we encourage all drivers to opt for collision insurance, unless they have old cars that are worth less than a collision deductible.

Who has the best auto insurance rates for seniors in Arizona?

GEICO offers some of the lowest auto insurance rates for seniors in Arizona, with an average annual cost of $1,434. However, individual factors like a driver’s age, marital status, driving history, and zip code shape the cost of their premiums. Shop the market and compare quotes from different companies to find the best rates for your circumstances.


  1. CONSUMER GUIDE HOW INSURANCE COMPANIES USE CREDIT INFORMATION. Consumer Protection Division Arizona Department of Insurance. (2023).

  2. Self-insurers. Arizona Legislature. (2023).

  3. 2019/2020 Auto Insurance Database Report. National Association of Insurance Commissioners. (2023, Jan).

  4. Fatality Facts 2021 State by state. Insurance Institute for Highway Safety. (2023, May).