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Last updated: March 9, 2024

Average Cost of Car Insurance in Iowa 2024

Keep a sharp eye on your auto insurance needs.

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The Hawkeye State is affordable by many metrics. The median cost of a home is 36 percent lower and the average annual cost of auto insurance is 32 percent lower than their national averages. That said, finding the right auto insurance provider can still be a monumental task. The auto insurance field is challenging to navigate even in relatively straightforward situations, so we created this guide for Iowa drivers to better understand what to expect.

Average Cost of Car Insurance in Iowa

The average annual cost of auto insurance in Iowa is $708, which is 32 percent less than the countrywide average of $1,047.1 Your rate depends on many factors, including insurance history, driving history, ZIP code, and — in Iowa — age, credit score, and sex. Even the type of car you drive can impact what you pay for car insurance.

By City

In general, your auto insurance rate will be higher if you live in a major metropolitan area than in a suburb or small town. Iowa’s most populous cities by population are Des Moines (213,164), Cedar Rapids (136,929), and Davenport (101,448).2 Sioux City and Ankeny are both in the top 10 cities.

City Average annual cost of car insurance
Ankeny $1,239
Cedar Rapids $1,349
Davenport $1,403
Des Moines $1,419
Sioux City $1,528

By Age

Iowa’s data on teen driver insurance costs reflects the nationwide trend: Teen drivers and their parents pay far more for auto insurance than adult drivers or the parents themselves. All things equal, your auto insurance rate should level out in your 20s or 30s.

Age Average annual cost of car insurance
16 $2,460
17 $2,774
18 $2,460
19 $2,460
20s $1,460
30s $1,167
40s $1,412
50s $1,412
60s $1,017

By Coverage Level

Iowa’s minimum coverage costs 60 percent less than a full coverage policy. Of course, a minimum coverage policy comes with much less protection than a full coverage policy. Weigh the costs and benefits before deciding based on price alone.

Coverage level Average annual cost of car insurance
Minimum $543
Full $1,373

By Violation

Another instance in which Iowa reflects the national trend is that violations will increase your auto insurance rates. Depending on the severity and number of your incidents, you could see a drastic increase (almost 50 percent).

Driving history Average annual cost of car insurance
Clean driving record $1,368
Speeding ticket $1,615
Accident $1,891
DUI (OWI) $2,458


Iowa’s distracted driving law is primary, which means a law enforcement officer can stop any driver who is texting or using a portable electronic device while driving without breaking another traffic law.3

By Company

Each auto insurance provider has a slightly different algorithm for determining your auto insurance rate. See below how the top insurance providers in Iowa stack up.

Company Average annual cost of car insurance
State Farm $1,068
Travelers $1,124
USAA $1,117
GEICO $1,553
Progressive $1,496
Nationwide $1,574
Farmers $2,027
Auto-Owners $1,384
American Family $1,428

Cheapest Car Insurance in Iowa

More than 11 percent of drivers in Iowa are uninsured.4 Failure to provide proof of insurance could result in community service, fines, revocation of your driving privileges, and other penalties. Don’t let this happen to you when Iowa has some of the cheapest car insurance rates in the U.S. Check out our list of cheapest car insurance companies in Iowa for your demographic.

Demographic Cheapest company Average annual rate
Male teens IMT $2,378
Female teens State Farm $1,880
Full coverage State Farm $891
Minimum coverage State Farm $200
Poor credit Travelers $1,747
Speeding ticket State Farm $1,020
Accident State Farm $1,094
DUI State Farm $1,226
18 years old State Farm $2,628
20s Hastings Mutual $1,768
30s Hastings Mutual $766
40s Hastings Mutual $674
50s Hastings Mutual $620
60s Hastings Mutual $652
70s Hastings Mutual $814


You don’t need proof of insurance to register your vehicle in Iowa, but you do need it before you drive your vehicle.

How to Save on Car Insurance in Iowa

Iowa has affordable car insurance rates, but it always pays to be thorough in your search for the perfect policy provider. Here are some ways you can ensure you get the best rate and coverage options:

  1. Ask about discounts. Most auto insurance providers offer discounts. These can range from discounts for getting good grades to having a new car. An insurance agent will help you check what discounts you qualify for.
  2. Bundle your policies. Bundling coverages — for example, home and auto insurance — will often lower your overall premium with most major insurers.
  3. Increase your deductible. Raising your deductible will lower your premium; however, you should raise your deductible only to an amount you can afford to pay out of pocket in the event of an accident.
  4. Lower your limits. Decreasing your coverage limits also lowers your premium; again, make sure you understand the risks of exceeding your limits.

Minimum Car Insurance in Iowa

Iowa law stipulates every driver carry minimum liability coverage of:

  • $20,000 of bodily injury to or death of one person in any one accident
  • $40,000 of bodily injury to or death of two or more persons in any one accident
  • $15,000 property damage liability of others in any one accident5

Fault Law in Iowa

Iowa is an at-fault state. Its laws require a comparison of the actions of the parties involved. If someone hits you while you are waiting at a red light, they are likely 100 percent at fault. On the other hand, if a driver pulls out in front of you and you are looking at your phone, then you might share the fault. The percentage of fault reduces your compensation by the same number.6 If you are 50 percent or more at fault, you won’t receive any payout from the other party for damages or injuries.


If your license is suspended after failure to provide proof of auto insurance or being convicted of a serious violation, you must provide proof of financial responsibility in the form of an SR-22. An SR-22 confirms you have the minimum required amount of auto insurance coverage. In Iowa, this proof is required for two years starting on the date of your last suspension or revocation.7


Iowa is a reasonably affordable state to purchase auto insurance, but it does vary. Insurance providers can take your age, sex, and credit score into account, as well as other demographic factors, when providing you with a quote. Make sure you get multiple quotes and ask providers about discounts and other ways to reduce the burden of your insurance premium if your primary consideration is cost.


We utilize a proprietary database of auto insurance transaction information and research on Iowa’s minimum coverage requirements, fault laws, and demographics to give you an overview of what you can expect to pay for car insurance.

Frequently Asked Questions

How much is car insurance in Iowa per month?

Car insurance costs $59 per month on average, according to the National Association of Insurance Commissioners.

Is car insurance cheaper in Iowa or Illinois?

Car insurance is cheaper in Iowa than in Illinois. According to the National Association of Insurance Commissioners, the average annual cost of auto insurance in Iowa is $708; in Illinois, it is $915.

How much is car insurance for a 17-year-old in Iowa?

The average annual cost of auto insurance for a 17-year-old in Iowa is $2,774.

What is the grace period for car insurance in Iowa?

Most auto insurers provide a grace period of two to 30 days after you purchase a new car.

What is the fine for not having insurance in Iowa?

The fine for driving without insurance in Iowa can reach $250.


  1. 2019/2020 Auto Insurance Database Report. National Association of Insurance Commissioners. (2023, Jan).

  2. Iowa Cities by Population. Iowa Demographics. (2024).

  3. DISTRACTED DRIVING. Official State of Iowa Website. (2024).

  4. One in Eight Drivers Uninsured: $13 Billion Spent in 2016 to Protect Against Uninsured and Underinsured Drivers. Insurance Research Council. (2021, Mar 22).

  5. Auto Insurance. Iowa Insurance Division. (2024).

  6. Chapter 668 Liability in Tort – Comparative Fault. Iowa Legislature. (2024).

  7. 761—640.6(321A) Proof of financial responsibility for the future. Iowa Legislature. (2024).