Cheapest Car Insurance in Tennessee

Below, we’ve compiled average annual auto insurance costs from various companies depending on coverage level and demographic information. Keep in mind that auto insurance providers base their rates on various factors, including a person’s age, ZIP code, marital status, driving history and vehicle model.

Therefore, we suggest you compare online car insurance quotes from different companies to find the cheapest car insurance premiums for you and your circumstances. The cheapest car insurance company for someone with a clean driving record, for example, will be different for someone with a bad driving record. See the lowest average auto insurance rates for different demographics below.

Cheapest Companies

• Erie: $567
• GEICO: $1,120
• Progressive: $1,288
• State Farm: $800
• USAA: $755

Coverage

• Full coverage car insurance: State Farm, $920
• Minimum coverage in Tennessee: State Farm, $626

Driving Record

• Speeding ticket: State Farm, $678
• At-fault accident: State Farm, $883
• DUI: State Farm, $804

Our top picks for the best auto insurance in Tennessee include:

• Allstate
• Direct Auto
• Liberty Mutual
• USAA

1. Search for discounts through your provider: Many car insurance providers offer a wide range of discounts that may apply to you. If you have more than one vehicle you need to insure, qualify as a senior or have a student driver on your policy, you may be eligible for discounts.
2. Demonstrate safe driving: Drivers who demonstrate safety behind the wheel and defensive driving by taking a course can save on their yearly premiums.
3. Improve your credit score: Since auto insurance companies in Tennessee consider your credit score when calculating the cost of your insurance, one way to lower your premium is to have a high credit score. Paying your bills on time is one way to raise your credit score.

Tennessee’s minimum liability coverages are as follows:

• $25,000 in bodily injury liability per person
• $50,000 in bodily injury liability per accident
• $25,000 in property damage liability per accident²

Because these liability coverages cover the other party’s expenses if you cause an accident, many drivers invest in optional coverages to cover their own expenses. You should consider opting for the following coverages:

• Medical payments: Medical payments coverage pays for the medical expenses of you and your passengers after an accident, regardless of fault.
• Uninsured/underinsured motorist coverage: Uninsured and underinsured motorist coverage protects you in the event of a collision with an uninsured or underinsured driver.
• Comprehensive: Comprehensive coverage covers damage resulting from unforeseen events other than collisions, such as vandalism, theft, hail, fire or storms.
• Collision: Collision coverage pays for your vehicle repairs and replacements after an accident, no matter who was at fault.

Self-Insurance

Although this alternative does not apply to most people, Tennessee has a self-insurance option for auto insurance. Residents who own 25 vehicles or more can apply for self-insurance by submitting an application to the Tennessee Department of Commerce and Insurance.

• Phone: (888) 871-3171
• Mail:
  • Administration Office
  • 1150 Foster Avenue
  • Nashville, TN 37243
• URL: https://www.tn.gov/driver-services.html

Car insurance in Tennessee is cheaper than in other states, with an average annual cost of $854 compared to the national average of $1,047, as of 2020.³ That said, certain factors, such as your credit and driving history, may lead to higher rates or lower if you have good credit and driving history.

If you want the most protection as possible at an affordable price, we suggest you compare quotes from different providers. Continue reading through our frequently asked questions to learn more about car insurance and driving laws in Tennessee.