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Best Car Insurance in Omaha, NE

A survey of the best car insurance providers in Nebraska’s largest city

Best Cheap Auto Insurance in Omaha
Farmers Mutual Logo

With average rates of $1,308 per year for car insurance, Farmers Mutual of Nebraska is the most affordable provider on our list. Although it’s available only in three states, Farmers Mutual has a 130-year history demonstrating its service and financial stability.

Best Pay-Per-Mile Auto Insurance in Omaha
Nationwide logo

With the advent of remote and hybrid work environments, you may want to consider a pay-per-mile plan to bring your costs down. Nationwide’s pay-per-mile program, SmartMiles, will set your premium based on how many miles you drive each month.

Best Auto Insurance for Safe Drivers in Omaha
State Farm Logo

With State Farm, drivers are rewarded for staying safe behind the wheel. You can take advantage of State Farm’s many safety-related discounts and usage-based safety insurance programs.

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If you’ve noticed your car insurance premiums increase this past year in Omaha, you aren’t alone. Across the country, auto insurance rates increased by nearly 20 percent between 2022 and 2023, according to a recent Consumer Price Index report.1 Even with lower-than-average car insurance rates in Omaha (compared to the U.S. average), sudden price increases in car insurance, food, electricity, and other day-to-day goods can be a financial strain to many drivers and families.

If you’re one of Douglas County’s more than 420,000 drivers looking for quality insurance at an affordable rate, you came to the right place.2 Below we’ll break down the best providers in Omaha based on their average rates, specialty coverage options, discounts, and third-party rankings. Read on to learn more about how you optimize your car insurance coverage while keeping your rates low.

Average Car Insurance Rate in Omaha

The average cost of auto insurance in Omaha is $1,809, which is cheaper than the national average ($2,071) but more expensive than the state average ($1,683). Your rates may be higher or lower than the city average based on your driving history, gender, vehicle type, ZIP code, credit score, and other factors that car insurance providers consider to determine your rates.

Cheapest Car Insurance in Nebraska

Here’s how Omaha’s car insurance rates compare to the rest of the state.

City Monthly average cost Annual average cost
Lincoln $145 $1,740
Grand Island $149 $1,788
Kearney $150 $1,800
Omaha $151 $1,809
Bellevue $153 $1,836

Comparison of the Best Auto Insurance Companies in Omaha, Nebraska

Feature Farmers Mutual of Nebraska Nationwide State Farm Farm Bureau GEICO
Average annual rate in Omaha $1,308 $,1500 $1,917 $1,382 $1,428
Customer Satisfaction Index Ranking out of 1,000 (J.D. Power)3 N/A 875 891 N/A 871
Best for People looking for the cheapest option Low-mileage drivers Safe drivers Drivers with a DUI, accident, on moving violation People with a bad credit score
Coverage for farm vehicles Yes Yes Yes Yes Yes
Review N/A Nationwide review State Farm review N/A GEICO review

Summary of the Best Auto insurance in Omaha

  1. 1.

    Best Cheap Auto Insurance in Omaha: Farmers Mutual

  2. 2.

    Best Pay-Per-Mile Auto Insurance in Omaha: Nationwide

  3. 3.

    Best Auto Insurance for Safe Drivers in Omaha: State Farm

  4. 4.

    Best Auto Insurance for Drivers With a Bad Record in Omaha: Farm Bureau Financial Services

  5. 5.

    Best Auto Insurance for Federal Employees and Military in Omaha: Geico

Detailed List of the Best Auto Insurance in Omaha, Nebraska

1. Best Cheap Auto Insurance in Omaha - Farmers Mutual
Farmers Mutual Logo

What We Like Most:

  • Cheapest in Omaha
  • 130+ years in service
  • Perks for farmers

Farmers Mutual of Nebraska offers the cheapest rates in Omaha on average. Only available in three states, Farmers Mutual grew from a group of 22 farmers in 1891 to one of the largest insurers in the Midwest. Today, it insures about 9 percent of all drivers in Nebraska, making it the third-largest provider in the state.4

ProsWho It's Best For
  • pro
    People looking for the cheapest option
  • pro
    Farmers
  • pro
    Young drivers
  • pro
    Drivers of RVs
ConsWho It's Not Best For
  • con
    Military members
  • con
    Unsafe drivers

Cheapest Full-Coverage Rate in Omaha

Farmers Mutual of Nebraska offers the cheapest full-coverage rate in Omaha. Here’s how it compares to major competitors in the city.

Company Monthly average cost Annual average cost
Farmers Mutual $109 $1,308
Farm Bureau $115 $1,382
GEICO $119 $1,428
Nationwide $125 $1,500
State Farm $160 $1,917
Progressive $183 $2,194
Allstate $197 $2,369

Cheapest Minimum-Coverage Rate in Omaha

Farmers Mutual also offers the most affordable rate for minimum liability, which includes minimum limits on property damage, bodily injury, and uninsured motorist coverage.

Company Monthly average cost Annual average cost
Farmers Mutual $25 $300
Farm Bureau $31 $376
Progressive $49 $588
State Farm $52 $624
Nationwide $61 $732
Allstate $75 $900

Incentives for Hauling and Farming Vehicles

If you have a farm vehicle, like a semi-tractor, you can take advantage of Farmers Mutual’s Limited Hauling for Hire Endorsement. This optional coverage provides $1 million in additional coverage for your farm and personal vehicles when you’re transporting non-owned farming goods.

2. Best Pay-Per-Mile Auto Insurance in Omaha - Nationwide

What We Like Most:

  • Discounts for taking a defensive driver course
  • Network of local agents
  • Usage-based insurance program for low-mileage drivers

Nationwide has been around for nearly a century, offering insurance for auto, home, business, and more. It’s the eighth-largest provider in the state, with dozens of agents to choose from in Omaha.

ProsWho It's Best For
  • pro
    Safe drivers
  • pro
    Low-mileage drivers
  • pro
    Teens
  • pro
    People with bad credit
ConsWho It's Not Best For
  • con
    Someone with a DUI on their record
  • con
    People who regularly commute long distances

Best Pay-Per-Mile Insurance

Nationwide is one of the few companies in Nebraska that offer a pay-per-mile insurance plan. Its pay-per-mile program, SmartMiles, tracks how many miles you drive each month and calculates your monthly premium based on the number of miles you drive.

Here’s a plan that Nationwide advertises for a 35-year-old single male who drives fewer than 500 miles per month.

Base rate Per-mile rate Miles driven per month Total cost per month
$60 $.07/mile 500 $95

Keep in mind that your pay-per-mile and base rates could be higher or lower based on your credit score, driving record, location, age, and other relevant factors.

Did You Know?

The average commute time in Douglas County is only 19 minutes, which is about 30 percent lower than Nebraska’s highest average commute time for employees (28 minutes). If you don’t commute long distances for work or other daily needs, you should consider a pay-per-mile plan.5

Solid Gap Insurance

Between 2021 and 2022, used-car prices increased by 33 percent in Nebraska (about $9,000).6 If you can’t afford to buy a new or used vehicle outright, you’ll need to finance or lease your vehicle, which will require gap insurance.

Gap insurance works by offering extra coverage for your vehicle if it’s totaled before you’ve paid off your loan. Your insurance will cover only what your car is worth at the time of the accident, and because cars depreciate immediately, your $35,000 car may be worth only $30,000 after a few months of driving.

Gap insurance will cover the additional $5,000 if you total your vehicle before paying off your loan.

Free Agent Consultation

You can take advantage of Nationwide’s free consultation service, “On Your Side” review. It’s a free agent consultation you can use to evaluate your policy, optimize your discounts/coverage, and ask any questions you might have. The service is available once per year, and it’s designed to help you find more affordable and better coverage through Nationwide’s policy offers.

3. Best Auto Insurance for Safe Drivers in Omaha - State Farm

What We Like Most:

  • Multiple discounts for safe driving, including one specifically for young drivers
  • Local agents
  • Discounts for multiple cars

State Farm insures more drivers in Nebraska (and the U.S.) than any other auto insurance company. It offers several discounts, coverage options, and safe-driver incentives for drivers in Omaha.

ProsWho It's Best For
  • pro
    Safe drivers
  • pro
    People who want usage-based insurance
  • pro
    Teens
  • pro
    People with safety vehicle equipment installed
ConsWho It's Not Best For

Safe-Driver Discounts

When you sign up with State Farm, you can take advantage of the following safe-driver discounts:

  • Good driver discount: If no one in your household has a history of moving violations or at-fault accidents, you may be eligible for this discount.
  • Defensive driver course discount: Take a defensive driver course, and you could save on your car insurance.
  • Steer Clear program: Drivers under age 25 can earn a discount by completing the Steer Clear safety program.
  • Accident-free discount: Maintain an accident-free record, and you can earn this discount.

Usage-Based Safety Program

State Farm’s Drive Safe & Save Program can save you up to 30 percent on your car insurance. State Farm will track your driving habits through the mobile app, assess your score based on your driving habits (acceleration, braking, and turning; time of day you’re driving; etc.), and calculate a discount based on that score.

Remember that your premium may increase if you score poorly, so sign up for the program with discretion.

Third-Party Ratings

If you’re seeking quality customer service, look no further. State Farm has the highest J.D. Power customer satisfaction rating on our list (891/1,000) and was ranked fifth for highest customer satisfaction out of all providers in 2023.

It also has the highest AM Best rating (A++ ), which means it has excellent creditworthiness and financial strength.

4. Best Auto Insurance for Drivers With a Bad Record in Omaha - Farm Bureau Financial Services
Farm Bureau Financial Services logo

What We Like Most:

  • Insurance for cars, motorcycles, RVs, and farm vehicles
  • Save money with usage-based insurance, up to 30 percent for good drivers
  • Discounts available if you drive 75,000 miles or less per year

The Nebraska Farm Bureau has more than 55,000 members in Nebraska. Along with offering cheap auto insurance, especially to drivers with a bad record, the Farm Bureau advocates for farmers’ rights through grassroots efforts, leadership development, and education programs. If you’re a part of Douglas County’s more than 360 farms, you should consider Farm Bureau for your personal and commercial needs.7

ProsWho It's Best For
  • pro
    People with a bad driving record
  • pro
    Farmers
  • pro
    People who want to bundle insurance for RVs, motorcycles, farm vehicles, and more
  • pro
    Safe drivers (discounts also available for safe drivers)
ConsWho It's Not Best For
  • con
    Non-Farm Bureau members
  • con
    People who prefer to manage insurance from their phones

Affordable Coverage After a DUI

Car insurance rates tend to increase after an accident, speeding ticket, or DUI because these violations lead to higher rates of claims for insurers. While you won’t always see a premium increase after your first violation (it depends on the severity of the violation), providers will usually increase your rate after your first DUI or at-fault accident.

Here’s how Farm Bureau’s rate compares to other companies in Omaha after a DUI:

Company Average monthly rate Average annual rate
American Family $148 $1,780
Farm Bureau $156 $1,866
GEICO $162 $1,945
Nationwide $167 $2,005
Farmers Mutual $170 $2,039
Progressive $170 $2,039
State Farm $173 $2,076
Farmers $201 $2,411
Allstate $235 $2,819

Affordable Coverage After an Accident

Here’s how Farm Bureau’s rate compares to other companies in Omaha after an accident:

Company Average monthly rate Average annual rate
Farm Bureau $135 $1,620
Farmers Mutual $148 $1,776
American Family $157 $1,884
Nationwide $163 $1,956
State Farm $197 $2,364
GEICO $203 $2,436
Farmers $215 $2,580
Allstate $240 $2,880

Affordable Coverage After a speeding ticket

Here’s how Farm Bureau’s rate compares to other companies in Omaha after a speeding ticket:

Company Average monthly rate Average annual rate
Farm Bureau $121 $1,452
Farmers Mutual $134 $1,608
State Farm $146 $1,752
American Family $150 $1,800
Nationwide $198 $2,376
Progressive $205 $2,460
Farmers $263 $3,156
5. Best Auto Insurance for Federal Employees and Military in Omaha - Geico

What We Like Most:

  • Save money with defensive driving courses
  • Cheapest rates after a speeding ticket
  • Save by installing safety equipment

GEICO offers several discounts for federal employees and military members, including a discount for federal workers and emergency deployment. If you’re a military member or federal employee working on the Offutt Air Force Base, Nebraska’s largest military base, GEICO is our top pick.

ProsWho It's Best For
  • pro
    People with bad credit
  • pro
    Affinity group members/military members
  • pro
    People who want to manage their insurance from their phone
  • pro
    Federal employees and military members affiliated with Offutt Air Force Base
ConsWho It's Not Best For
  • con
    People who want several local options for agents

Fun Fact:

More than 90 percent of all active military members in Nebraska are a part of the Air Force on Offutt Air Force Base, and there are nearly 10,000 federal employees within Omaha.89 Ask your GEICO agent about a military, federal employee, or affiliation discount if you think these discounts apply to you.

Federal Employee Discounts

You can earn up to 12 percent off your GEICO car insurance premium if you work for the federal government. GEICO’s Eagle discount applies to active and retired federal workers.

You can also earn a discount as a federal employee by asking about an affiliation discount. GEICO won’t provide this discount to all federal groups, so speak to your agent about your eligibility.

Military Discounts

Military members have a few ways to save on car insurance with GEICO.

  • Emergency deployment discount: If you leave the state for emergency deployment, you can save 25 percent on your car insurance.
  • Military discount: Active duty military members, military retirees, and National Guard members may be eligible for a 15 percent discount with GEICO.
  • Military membership discount: If you’re a member of one of the following associations/groups, you may qualify for an additional membership discount:
    • Association of the United States Army (AUSA)
    • Armed Forces Benefit Association (AFBA)
    • Navy League of the United States (NLUS)

Cheapest Provider for Drivers With Bad Credit

Nebraskans should be proud to be one of the top 10 states for the best average credit score. If your credit is near the state average (728), you probably don’t have to worry about your credit score increasing your car insurance premium.10

However, if you have a poor credit score (under 580), your credit may make it difficult to obtain affordable insurance. Fortunately, providers like GEICO offer affordable rates to those with bad credit. Here’s what your car insurance premium might look like:

Company Average monthly rate Average annual rate
GEICO $157 $1,885
Farmers Mutual $159 $1,912
Nationwide $168 $2,019
Farm Bureau $207 $2,487
Allstate $251 $3,012
Progressive $264 $3,165
State Farm $276 $3,310

Frequently Asked Questions

Which car insurance company has the best reviews in Omaha?

Every provider on our list has an A+ rating (the highest possible rating) from the Better Business Bureau, which indicates how likely a company is to interact with customers and respond to complaints.

Regarding customer satisfaction, State Farm (891 out of 1,000) ranks the highest on our list, and Amica (909 out of 1,000) ranks the highest across the state of Nebraska, according to J.D. Power.

Is Nebraska an at-fault state?

Yes, Nebraska is an at-fault state, which means the driver responsible for an accident will be responsible for paying for damages/injuries to the other party.

Nebraska enforces a modified comparative negligence fault law, which states that if you are at least 50 percent responsible for an accident, you won’t be eligible to collect any damages from the other parties involved in the accident.

What happens if I drive without insurance in Omaha?

Your driving license will be automatically suspended if you’re found guilty of a citation for no proof of insurance. If you don’t own the vehicle you’re driving, you should not plead guilty, according to the state.

To reinstate your license, you’ll have to pay a $50 fee and file proof of insurance with your local DMV.

What’s the uninsured motorist rate in Nebraska?

With 9 percent of people driving uninsured in Nebraska, the state has a relatively low uninsured motorist rate compared to the rest of the country.

Methodology

We understand what drivers are looking for because we work with individual drivers every day to find quality coverage at an affordable rate. We base our recommendations on the cheapest car insurance companies in Omaha, the city’s most common types of drivers, and the most popular companies in the area.

  • Proprietary data: AutoInsurance.com has gathered millions of data points over two decades of working with drivers. We’ve helped match customers with the best auto insurance providers based on their needs, location, driving background, and budget. These interactions provide us with the resources to help customers find their best matches in Omaha and across the country.
  • Insider experience: We work closely with Paul Ford, president of insurance at Centerfield (AutoInsurance.com’s parent company). With Paul’s decades of experience as a leader in the insurance world, we can make informative, data-driven, accurate recommendations for our readers and customers.
  • Public information: The National Association of Insurance Commissioners, Federal Highway Administration, and Insurance Research Council are just a few of the organizations we refer to for data and information on driving and insurance trends. Crash stats, miles driven per state, car use by age, and other relevant Omaha data help inform how we approach our local guides.

Citations

  1. Car insurance rates just had their biggest annual jump in 47 years. This is why. CNN Business. (2023, Sep 13).
    https://www.cnn.com/2023/09/13/business/inflation-car-insurance-rate-increases/index.html

  2. Nebraska Licensed Drivers by County. Nebraska.gov. (2023).
    https://dot.nebraska.gov/media/phhabp1b/tr12licdvrco.pdf

  3. Auto Insurers Manage Customer Expectations as Repair Cycle Times Double in Two Years, J.D. Power Finds. J.D. Power. (2023, Oct 26).
    https://www.jdpower.com/business/press-releases/2023-us-auto-claims-satisfaction-study

  4. Auto Insurance: A Rate Comparison Guide. Nebraska.gov. (2016, Aug).
    https://doi.nebraska.gov/sites/doi.nebraska.gov/files/doc/out98111.pdf

  5. Nebraska Average Commute Time by County. Mundi Index. (2018).
    https://www.indexmundi.com/facts/united-states/quick-facts/nebraska/average-commute-time#map

  6. This is the average price of a used car in each state. KTLA News. (2022, Apr 15).
    https://ktla.com/automotive/this-is-the-average-price-of-a-used-car-in-each-state/

  7. Douglas County Nebraska. 2017 Census of Agriculture County Profile. (2017).
    https://www.nass.usda.gov/Publications/AgCensus/2017/Online_Resources/County_Profiles/Nebraska/cp31055.pdf

  8. Federal Employment Totals by State. University of Nebraska Omaha. (2021, Jun 3).
    https://www.unomaha.edu/college-of-public-affairs-and-community-service/governing/stories/federal-employment-totals-by-state.php

  9. All Employees: Government: Federal Government in Omaha-Council Bluffs, NE-IA (MSA). FRED Economic Data. (2023, Dec 23).
    https://fred.stlouisfed.org/series/SMU31365409091000001SA

  10. Minnesota residents have the highest average credit score—here’s how other states compare. CNBC Select. (2022, May 24).
    https://www.cnbc.com/select/average-credit-score-by-state/