AutoInsurance.com is supported by commissions from providers listed on our site. Read our Editorial Guidelines.
Find Your Perfect Policy:866-843-5386
Find Your Perfect Policy:866-843-5386
Last updated: October 17, 2025Best Cheap Car Insurance in Minneapolis
State Farm, USAA, Progressive, Farm Bureau, and Auto-Owners are our top picks for affordable, quality auto insurance in Minneapolis.
Cheapest Major Insurer
Editor's Rating:4.9/5
Average Cost in Minneapolis
- Full Coverage: $132 monthly
- Minimum Coverage: $73 monthly
Best for Military/Veterans
Editor's Rating:5/5
Average Cost in Minneapolis
- Full Coverage: $140 monthly
- Minimum Coverage: $72 monthly
Best for Rideshare/Delivery
Editor's Rating:4.7/5
Average Cost in Minneapolis
- Full Coverage: $144 monthly
- Minimum Coverage: $107 monthly
Key Takeaways
- The average rate for full coverage auto insurance in Minneapolis is $2,378 per year — nearly $400 more than the statewide average of $2,010. Minimum coverage averages $1,107 per year, higher than the statewide average of $786.
- State Farm, USAA, Progressive, Farm Bureau, and Auto-Owners have some of the lowest rates for auto insurance in Minneapolis. Auto-Owners has the best ratings for customer satisfaction, but USAA and State Farm also have good ratings.
- Make sure to get quotes from at least three providers, because prices will differ depending on your driving record, age and other factors. Some insurers have low prices for good drivers but are not the cheapest for high-risk drivers.
Our Top Picks for the Best Cheap Auto Insurance in Minneapolis
- Cheapest Major Insurer: State Farm
- Best for Military and Veterans: USAA
- Best for Rideshare/Delivery Drivers: Progressive
- Cheapest for Full Coverage: Farm Bureau Financial Services
- Best Balance of Price and Service: Auto-Owners
Compare the Best Cheap Auto Insurance in Minneapolis
| Company | Full coverage annual average | Minimum coverage annual average | Central region customer satisfaction (J.D. Power) |
|---|---|---|---|
| State Farm | $1,581 | $875 | Above average |
| USAA | $1,680 | $866 | Above average* |
| Progressive | $1,704 | $1,284 | Below average |
| Farm Bureau | $1,465 | Data unavailable | Below average |
| Auto-Owners | $1,724 | $770 | Above average |
| Minneapolis | $2,378 | $1,107 | – |
*USAA technically doesn’t qualify to rank on J.D. Power studies due to its eligibility restrictions.
Detailed List of the Best Cheap Providers in Minneapolis
1. Cheapest Major Insurer - State Farm
What We Like Most:
- #2 in the Central Region on J.D. Power
- Local Minneapolis agents
- Good rates for high-risk drivers
Why we chose it
Although Farm Bureau has cheaper full coverage rates, and Auto-Owners and USAA offer lower minimum coverage rates in Minneapolis, their availability is limited (either by geography or military status). State Farm, by contrast, is the largest auto insurance provider in the country and still offers competitive rates and high customer satisfaction. It also stands out for its local agents, numerous discounts, and good rates for high-risk drivers. It also has the cheapest average rates for drivers in Minnesota with a speeding ticket.
Who it’s best for
State Farm is best for people who want to work with a major national insurer with competitive rates and good customer service from a local agent. It’s also a great option for drivers with a bad record in Minneapolis, including those with speeding tickets, DUIs, or at-fault accidents. Its rates tend to be higher-than-average in Minnesota for drivers with poor credit and households with teens.
State Farm Minneapolis pricing
| State Farm | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $132 | $73 |
| Annually | $1,581 | $875 |
| Difference from Minneapolis average | -34% | -21% |
2. Best for Military and Veterans - USAA
What We Like Most:
- High ratings for the Central region on J.D. Power
- Cheap Minneapolis rates
- Financial services in addition to insurance
Why we chose it
USAA has competitive rates and excellent service in Minneapolis and nationwide. It also has great rates for teens, drivers who have been in an accident, and people with a speeding ticket in Minnesota. USAA got high scores on the J.D. Power studies, but it doesn’t officially qualify to rank due to the studies’ eligibility restrictions.
Who it’s best for
USAA is a great option for anyone who qualifies for it — namely, those with a military affiliation — thanks to its consistently low rates and high customer satisfaction.
USAA Minneapolis pricing
| USAA | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $14 | $72 |
| Annually | $1,680 | $866 |
| Difference from Minneapolis average | -29% | -22% |
3. Best for Rideshare/Delivery Drivers - Progressive
What We Like Most:
- Easy online quotes
- Lots of discounts
- Coverage for Uber, Lyft, Uber Eats, and DoorDash
Why we chose it
Progressive sells rideshare coverage, which extends the protections of your personal policy when you’re working for a service like Uber, Lyft, Uber Eats, or DoorDash. In the event of an accident, it will also reimburse you the difference between your personal deductible and the TNC deductible. Progressive also offers easy online quotes as well as a variety of ways to save, including discounts for multiple cars, car insurance bundles, setting up auto-pay, remaining continuously insured, and maintaining a clean record.
Who it’s best for
Progressive is a solid choice for drivers who want to get online quotes and use digital tools to manage their policies. In addition to being a good choice for rideshare drivers, it’s also a solid pick for drivers of new cars due to its loan/lease payoff protector coverage. The company’s minimum coverage rates in Minneapolis are higher than the citywide average, so it’s best if you’re planning to purchase full coverage.
Progressive Minneapolis pricing
| Progressive | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $142 | $107 |
| Annually | $1,704 | $1,284 |
| Difference from Minneapolis average | -28% | +16% |
4. Cheapest for Full Coverage - Farm Bureau Financial Services
What We Like Most:
- Cheap rates in Minneapolis
- Strong claims and customer satisfaction
- Regional provider
Why we chose it
In Minneapolis, Farm Bureau Mutual has the cheapest average rates for full coverage. It offers roadside assistance and good claims services. Farm Bureau Mutual also scored higher than any of our other top picks on the CRASH Network Insurer Report Card, making the “Honor Roll” with an impressive B+.
Who it’s best for
Farm Bureau is best for customers who want the cheapest possible rates for full coverage auto insurance and prefer to work with a smaller provider and a local agent. Note that you must be a Farm Bureau member to purchase car insurance from Farm Bureau Mutual, but membership is open to all and is typically inexpensive. Farm Bureau is not the best fit if you want to shop online.
Farm Bureau Mutual Minneapolis pricing
| Farm Bureau Mutual | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $122 | Data not available |
| Annually | $1,465 | Data not available |
| Difference from Minneapolis average | -38% | – |
5. Best Balance of Price and Service - Auto-Owners
What We Like Most:
- Cheap rates in Minneapolis
- High third-party satisfaction ratings
- Below-average rates for households with teen drivers
Why we chose it
Auto-Owners stands out as a top choice for auto insurance in Minneapolis, with below-average rates for full and the cheapest average rates for minimum coverage, as well as great service. It consistently scores highly on the J.D. Power studies, the CRASH Network Insurer Report Card, and the National Association of Insurance Commissioners (NAIC) Complaint Index. Auto-Owners also has a wide range of discounts for students.
Who it’s best for
Auto-Owners is a great option for people who want the best balance of good service and low rates. It’s also a good choice for teens, as well as for drivers who have been in an accident. Auto-Owners is not a good fit for people who are looking to get online quotes, because it sells policies only through independent agents.
Auto-Owners Minneapolis pricing
| Auto-Owners | Full coverage | Minimum coverage |
|---|---|---|
| Monthly | $144 | $64 |
| Annually | $1,724 | $770 |
| Difference from Minneapolis average | -28% | -30% |
Minneapolis Best Cheap Picks – Detailed Customer Satisfaction Summary
| Company | J.D. Power Auto Insurance Study – Central1 | CRASH Network Insurer Report Card2 | J.D. Power Auto Claims Satisfaction Study3 | NAIC Complaint Index4 |
|---|---|---|---|---|
| State Farm | 664 | C- | 710 | 4.45 |
| USAA | 719* | D+ | 726* | 2.74 |
| Progressive | 637 | C | 672 | 2.51 |
| Farm Bureau | 645 | B+ | Not rated | 1.01 |
| Auto-Owners | 654 | B | 692 | 0.94 |
| Average | 649 (out of 1,000) | C+ | 697 (out of 1,000) | 1 |
| What the study measures | Customer satisfaction regionally, based on responses from over 40,000 customers | Claims handling and payment practices, based on an annual survey of collision repair shops | Satisfaction with the claims process, based on responses from nearly 10,000 customers who recently filed a claim | Consumer complaints relative to market share; the lower the score, the better |
*USAA technically doesn’t qualify to rank on J.D. Power studies due to its eligibility restrictions.
Cheapest Full Coverage Car Insurance in Minneapolis
The average rates for full coverage car insurance in Minneapolis are similar to the national average. However, plenty of companies — including USAA, Farm Bureau and State Farm — offer lower-than-average rates for full coverage.
| Company | Monthly Minneapolis average | Annual Minneapolis average |
|---|---|---|
| Farm Bureau | $122 | $1,465 |
| State Farm | $132 | $1,581 |
| USAA | $140 | $1,680 |
| Progressive | $142 | $1,704 |
| Auto-Owners | $144 | $1,724 |
| Safeco | $155 | $1,860 |
| American Family | $165 | $1,985 |
| Travelers | $169 | $2,029 |
| Nationwide | $170 | $2,036 |
| AAA (Auto Club Group) | $188 | $2,256 |
| GEICO | $200 | $2,398 |
| Allstate | $204 | $2,450 |
| Minneapolis average | $198 | $2,378 |
| Minnesota average | $167 | $2,010 |
| U.S. average | $200 | $2,399 |
Cheapest Minimum Coverage Car Insurance in Minneapolis
On average, minimum coverage car insurance in Minneapolis costs more than the national average. However, many providers — including Auto-Owners, Farm Bureau and USAA — offer competitive rates.
| Company | Monthly Minneapolis average | Annual Minneapolis average |
|---|---|---|
| Auto-Owners | $64 | $770 |
| USAA | $72 | $866 |
| State Farm | $73 | $875 |
| Safeco | $81 | $972 |
| National General | $88 | $1,050 |
| Nationwide | $101 | $1,214 |
| GEICO | $104 | $1,244 |
| Progressive | $107 | $1,284 |
| Direct Auto | $114 | $1,362 |
| Allstate | $114 | $1,363 |
| Dairyland | $125 | $1,500 |
| Liberty Mutual | $141 | $1,692 |
| The General | $145 | $1,734 |
| Travelers | $153 | $1,830 |
| Bristol West | $154 | $1,842 |
| COUNTRY Financial | $195 | $2,334 |
| Farmers | $214 | $2,562 |
| Minneapolis average | $92 | $1,107 |
| Minnesota average | $66 | $786 |
| U.S. average | $53 | $635 |
RELATED:
Check out the difference between full coverage and minimum coverage, also known as liability coverage, and find out if minimum coverage is enough for you.
How Many Car Accidents Happen in Minneapolis?
The Minneapolis Police Department reported 3,791 crashes in 2024, which injured 1,894 people and killed 13 people. 2,341 crashes involved property damage only. The majority of crashes took place in August, September, and October. As of October 16, 2025, the Department has reported 3,136 crashes, with 1,479 people injured and 6 killed.
In 2024, there were 18,278 crashes in Hennepin County, where Minneapolis is located. 6,449 people were injured and 53 killed. As of October 16, 2025, the county has reported 13,892 crashes with 4,981 people injured and 28 killed.5
DEFENSIVE DRIVING:
Being a defensive driver can help you avoid accidents on the road. Defensive driving starts with following traffic laws and keeping your focus on the road, but it also includes paying close attention to other drivers on the road so you can respond properly. Maintaining a safe distance from other cars gives you time to respond to other drivers, unexpected traffic changes and dangerous drivers.
Minimum Auto Insurance Requirements in Minnesota
Minnesota is a no-fault state, so drivers are covered by their own insurance for bodily injury regardless of which party is at fault for an accident. This means Minnesota drivers are required to carry liability coverage, personal injury protection (PIP) coverage, and uninsured and underinsured motorist coverage.6
- Bodily injury liability: $30,000 per person and $60,000 per accident
- Property damage liability: $10,000
- PIP: $40,000
- Underinsured/uninsured motorist coverage: $25,000 per person and $50,000 per accident
Frequently Asked Questions
Why is auto insurance so expensive in Minnesota?
Auto insurance is expensive in Minnesota in part because it is a no-fault state, which tends to result in higher premiums. In recent years, the cost of auto insurance in Minnesota has also increased significantly. The rising costs have been attributed to extreme weather, reinsurance costs, and labor and supplies.7
Who offers the cheapest car insurance in Minneapolis?
Car insurance rates vary from person to person. Premiums are determined by factors such as your age, driving record and type of coverage. Not every provider offers the lowest prices to all drivers. Make sure to get car insurance quotes from at least three providers to see which one is the cheapest for you.
How much is car insurance in Minneapolis?
The average cost of car insurance in Minneapolis is $2,378 for full coverage and $1,107 for minimum coverage. However, many providers offer premiums well below the average. Get quotes from multiple providers, as individual factors will affect the cost of your auto insurance.
How do I reduce my car insurance prices?
One way to reduce the price of your car insurance is to raise your deductible, though make sure you can afford to pay the higher amount if you get into an accident. With some providers, bundling home and auto insurance gives you a discount on your auto insurance premium. You also might consider lowering the limits of your coverage. Finally, many providers offer auto insurance discounts for drivers based on their driving record, vehicle safety, age and other factors.
Methodology
At AutoInsurance.com, we evaluate auto insurance providers based on four key factors:
- Price (40%): We analyzed average premiums for full and minimum coverage in Minneapolis, Minnesota, for good drivers with good credit. Full coverage averages use the following limits:
- Bodily injury liability: $30,000 per person and $60,000 per accident
- Property damage liability: $10,000
- PIP: $40,000
- Underinsured/uninsured motorist coverage: $25,000 per person and $50,000 per accident
- Claims handling (25%): A good claims handling process from an auto insurer is prompt, transparent and efficient, with clear communication throughout, fair evaluation of damages, and timely payment or resolution. We assess claims practices through sources like the CRASH Network Insurer Report Card and J.D. Power’s Auto Claims Satisfaction Study, and financial strength from sources like AM Best and S&P. Real-life customer experiences are included when available.
- Customer experience (25%): We evaluate the ease of the customer journey, from getting a quote and purchasing a policy to making changes or accessing documents. We consider the availability and quality of both online and agent interactions, as well as the functionality of the company’s website and mobile app. Our sources include J.D. Power studies, the NAIC Complaint Index, Better Business Bureau ratings, and app store reviews.
- Coverage options (10%): We review each company’s coverage offerings and value providers with options beyond the state required minimums, like accident forgiveness, gap insurance and rideshare coverage.
Read more about our ratings and methodology.
Staff Writer
Tracy S. Lee holds over 10 years of professional experience in writing, research, and storytelling for brands and individuals. She understands that the world of auto insurance can feel intimidating, like learning a new language, and she is committed to empowering consumers to ask more questions and to find the best protection and coverage to suit their specific needs. Tracy received a B.A. in Creative Writing at NYU’s Gallatin School of Individualized Studies.
Citations
It’s Now a Buyer’s Market for Auto Insurance, J.D. Power Finds. J.D. Power. (2025, June 10).
https://www.jdpower.com/business/press-releases/2025-us-auto-insurance-study2025 Insurer Report Card. CRASH Network. (2025).
https://www.crashnetwork.com/irc/Auto Insurance Repair Cycle Times Improve but Price Increases Take a Toll, J.D. Power Finds. J.D. Power. (2024, October 29).
https://www.jdpower.com/business/press-releases/2024-us-auto-claims-satisfaction-studyConsumer Insurance Search Results. NAIC. (2025).
https://content.naic.org/cis_refined_results.htm?TABLEAU=CIS_COMPLAINTS&COCODE=24112&:refreshMinnesota Crash Statistics. MnCrash / State of Minnesota. (2025).
https://mncrash.state.mn.us/Auto Insurance Basics. Minnesota Department of Commerce. (2025).
https://mn.gov/commerce/insurance/auto/basics/Trend: Homeowner and Auto Insurance Rates Rising. Minnesota Department of Commerce. (2024, April 5).
https://mn.gov/commerce/news/?id=17-619616
Related Articles
Best Cheap Car Insurance in St. Louis
October 31, 2025Best Cheap Car Insurance in Oklahoma City
October 30, 2025Best Cheap Car Insurance in Denver
October 29, 2025