Yes, affordable car insurance in Florida does exist, though it might take some searching.
While there’s a lot to enjoy about the Sunshine State, residents also have to deal with high auto insurance prices. According to the National Association of Insurance Commissioners (NAIC), car insurance in Florida is the third most expensive in the nation on average. And while you can’t just change your zip code or driving record on a whim, you can shop around to find Florida car insurance companies that offer good rates.
We recently dove into a market review of over 30 car insurance brands nationwide to help you find the best coverage for your car. In Florida, car insurance providers USAA and Progressive topped our list. We strongly encourage you to get free quotes from multiple providers and compare them, as quotes will depend on several factors specific to you.
Use our tool below or call (855) 518-0148 to start comparing personalized car insurance quotes:
In this article:
- Who Has The Cheapest Car Insurance In Florida?
- What Is The Average Cost Of Car Insurance In Florida?
- Minimum Requirements For Car Insurance: Florida
- Is Florida A No-Fault State?
- What Happens When Insurance Doesn’t Cover The Costs?
- SR-22 Florida Car Insurance Requirements
- FR-44 Florida Car Insurance Requirements
Who Has The Cheapest Car Insurance In Florida?
Finding the best car insurance in Florida requires looking at several factors. Sure, we all want to save money, but the cost can’t be the only factor. After all, you can go with the cheapest car insurance in Florida, but will your claims be paid promptly?
That’s why we evaluate car insurance coverage by various factors, looking at things like average cost, financial strength, J.D. Power Claim Servicing Score, and additional benefits.
Here's a quick overview of the top Florida car insurance providers.
|Best Florida Car Insurance||Motor1 Rating||Customer Service||Affordability||Coverage|
#1 USAA: Cheapest Florida Car Insurance
If you’re really looking for the cheapest car insurance in Florida, you can’t go wrong with USAA. Floridians with USAA pay about $1,000 for their yearly policy on average. The average price includes people on a range of policies, from the minimum to full coverage. Depending on the coverage options you want, you might see a higher price. Plus, USAA doesn’t add a fee to break your policy up into monthly payments.
We recently compared many popular car insurance companies and ranked USAA the best across the country, as well – giving the provider 5.0 out of 5.0 stars. After digging into the insurer, we found plenty of positive qualities. It has great financials according to its AM Best rating of A++, and it wrote over $15 billion in premiums in 2019, according to the NAIC.
Looking at customer service, USAA got a 889 out of 1,000 score on J.D. Power’s 2020 Auto Claims Satisfaction StudySM, which was higher than any other company. USAA also scored 900 out of 1,000 on J.D. Power’s 2020 Insurance Shopping StudySM for its great quotes experience. That was the highest score among surveyed providers.
When most people think of USAA, they might think you have to be in the military or a direct family member to get car insurance in Florida. However, it’s actually open to more people than that. USAA is available for:
- U.S. military members who are active, retired, honorably separated, or enlisted
- Candidates in commissioning programs (ROTC, Academy, OCS/OTS)
- Spouses and children of USAA members who have or have had an auto or property policy
If you meet any of these qualifications, you’ll have a hard time finding a lower price for Florida car insurance. Between the price and the customer service, we think USAA is the best car insurance in Florida, hands down.
|Affordable rates and numerous discounts||Only available for military and their families|
|Good option for military members and young drivers|
|Superior financial rating from AM Best|
To learn more about the car insurance provider, check out our complete review of USAA insurance.
#2 Progressive: Top Choice For Car Insurance In Florida
At the end of the day, not everyone can get a USAA policy. That’s why we think you should also check out Progressive for cheap car insurance in Florida. While it offers some of the best rates, it is a bit more expensive than USAA. People pay about $1,800 on average for a yearly plan, though that’s still below the state’s average.
While Progressive came in third place in our nationwide car insurance research, we found that Progressive offered better car insurance rates in Florida than in many other states. As another full-service company, Progressive has a lot going for it. The insurer has an AM Best financial strength rating of A+ and has brought new innovations to the car insurance market since its inception in 1937. For example, Progressive was the first car insurance company to sell policies online.
Looking at customer service, Progressive fared average in both of the studies by J.D. Power mentioned above. While there might be other companies with better customer service, we think Progressive offers the best car insurance rates for Floridians who can’t get USAA.
|One of the top auto insurers in the United States||Average claims process|
|A+ financial strength rating from the AM Best||Mixed customer service reviews|
|Great choice for high-risk drivers|
|Several money-saving features|
#3 Geico: Best Florida Car Insurance For Students
Geico may provide the best car insurance rates for students in Florida. The company offers a long list of money-saving features such as good student discounts and usage-based insurance. If you're a good driver with a clean record, you may find excellent rates with Geico.
Geico is a full-service insurer with an A++ AM Best financial strength rating. While Geico may not have the lowest rates for car insurance in Florida, the company has a good industry reputation and many positive customer reviews.
In the annual J.D. Power Auto Claims Satisfaction Study Geico consistently scores above average in most regions. In 2020, Geico ranked second in overall customer satisfaction for the Florida region, scoring a total of 856 out of a possible 1,000 points.
|A+ rating from the BBB and A++ financial strength rating from AM Best||Average quotes experience|
|Many choices for coverage|
|High level of customer satisfaction|
|Available in 50 states|
To learn more about Geico, read our Geico car insurance review.
#4 State Farm: Best Florida Car Insurance For Young Drivers
State Farm is the biggest auto insurer in the United States, covering more drivers than any other company. One thing that makes this provider stand out is its suite of insurance apps that can make life easier and provide discounts:
- State Farm app: This app lets you submit claims, pay for your policies, manage your bank accounts, and more.
- Steer ClearⓇ: This is an educational app available for drivers under the age of 25. Drivers complete in-app courses, log progress with a mentor, complete driving hours, and receive a certification. The certification provides reduced rates for young drivers.
- Drive Safe & Save™: This is State Farm’s usage-based insurance app. If you score high enough, you can get up to a 30-percent discount on your premium. The app tracks things like cornering, hard braking, acceleration, and phone use while driving.
- State Farm Pocket Estimate: State Farm’s Pocket Estimator lets you snap photos of your car’s damage and get a repair estimate right in the app.
Most of the State Farm apps have excellent user ratings in the Google Play and Apple app stores.
|Comprehensive coverage offerings||Reported errors with autopay|
|Extensive selection of discounts|
|Positive customer reviews|
|Easy online quotes process|
|A+ rating from the BBB|
You can find more information in our State Farm insurance review.
#5 Allstate: Best Local Agents For Florida Car Insurance
Allstate works through a network of local agents to provide coverage to its customers. This means that customer service quality may vary from state to state. Allstate's Florida network is particularly strong. The company ranked the highest in the J.D. Power 2020 Auto Claims Satisfaction Study for the state of Florida.
In addition to offering discounts for student drivers and first-time car owners, Allstate has a mileage-based discount program called Drivewise®. Customers can receive a three-percent discount on their policy just for signing up. After 50 trips, drivers can receive up to 15-percent cash back for safe driving, with assessments every six months after that. You can even earn Allstate Rewards® points that can be used for things like gift cards to restaurants and local businesses.
|Works through a network of local agents to provide coverage||Expensive|
|Superior financial strength rating by AM Best and A+ rating with the BBB||Mixed customer service reviews|
|Mileage-based discount program|
Read our Allstate insurance review to learn more.
What Is The Average Cost Of Car Insurance In Florida?
Compared to the national average, car insurance in Florida is very expensive. In fact, it is the third most expensive state for car insurance, coming in only behind Louisiana and Michigan.
According to the NAIC, the cost of car insurance in Florida was $1,356.90 in 2017, while the national average was $1,004.68. Here’s a breakdown of the coverage costs that year based on data from the Insurance Information Institute:
|Type of Coverage||Average Annual Expenditure in 2017|
*Most drivers carry liability coverage but not necessarily other types of auto insurance. Total average annual expenditure measures what Florida drivers actually spent on auto insurance in 2017.
These averages might not be what you see in your area. Many people know that the county they live in matters, but prices can even fluctuate between zip codes. Miami is one of the most expensive places to live, while rural areas and middle-class suburbs are the cheapest. Even though Florida auto insurance costs a lot in some areas, other areas are cheaper and balance out the state average.
Why Is Car Insurance In Florida So Expensive?
Florida car insurance is complex, and many different things influence the price. While high-mileage drivers tend to see higher rates, Floridian drivers as a whole drive a bit less than the national average. Federal Highway Administration data shows that Americans average 13,476 miles per year, but drivers in Florida actually drive about 12,000 miles per year.
Even so, there are a lot of other drivers in the state to crash into. According to Florida Highway Safety And Motor Vehicles data, there were 17 million licensed drivers in 2018. The department also recorded 400,000 crashes that year. If we assume that one crash involves two drivers, each driver has a percent chance of being involved in an accident per year. Of course, this estimate doesn’t take things like county populations or driver demographics into account, but it’s good to have an idea of the risk since crashes can raise your rates.
Costs can vary day-by-day and will also depend on your location, driving history, and more. Use our tool or call (855) 518-0148 to get the best Florida car insurance quotes available:
Minimum Requirements For Car Insurance: Florida
Each state requires residents to provide proof that they can handle the financial responsibility of a car accident. By far, the most common way states do this is by requiring car insurance. There are a couple of states that don’t require you to carry a policy, but you do have to prove that you have the financial means to offer restitution after an accident. However, Florida is not one of those states.
In Florida, things are a bit different from most other states. Many states require bodily injury liability (BI) coverage, which covers the other party if you cause an accident. However, the Sunshine State only requires personal injury protection (PIP) and property damage liability (PD) with a Florida car insurance policy.
Personal Injury Protection
PIP covers medical expenses for yourself after an accident, no matter who was at fault. At a minimum, Florida requires drivers to carry $10,000 in PIP coverage. This is also the maximum amount that you can have.
PIP pays 80 percent of medical costs for things like hospitalization, surgery, and medication. It also covers 60 percent of lost wages for the time spent recovering and $5,000 in death benefits. However, if the accident results in an injury that is not an emergency (a neck or back strain, for example), you can only claim $2,500. Also, you can only get coverage if you file a claim within two weeks of an accident.
Property Damage Liability
Florida also requires drivers to carry $10,000 in PD. Through this coverage, the at-fault driver pays for damage to the other party’s property. This coverage applies per accident and is given out on a first-come, first-served basis. If you bump into a car that bumps into another one, the $10,000 is for both cars. If each car needs $7,000 in repairs, the second driver to claim property damage won’t get the full amount from your coverage.
In Florida, the coverage mentioned above are the basic car insurance requirements. If you think these requirements are pretty low, you’re right. Every other state requires at least $15,000 in medical coverage. Also, $10,000 for property damage is pretty low too, and only 12 other states require that level of coverage.
Under certain circumstances, you might be required to carry bodily injury liability, but we’ll get to that in a minute. For extra medical coverage, you can also opt to add medical payments (MedPay) to your plan. This acts like PIP except it doesn’t pay lost wages. MedPay can boost your medical coverage and also help pay for the 20 percent that PIP doesn’t cover.
Uninsured/underinsured motorist coverage is another option. This will help cover medical and property damage in an accident caused by an uninsured motorist. It’s probably a good idea to have uninsured motorist coverage with your Florida car insurance since the state had an uninsured rate of 26.7 percent in 2015, according to the Insurance Information Institute.
Is Florida A No-Fault State?
Imagine that you’re sitting at a stoplight, waiting for the light to turn green. A car comes down the road behind you and rear-ends your car. You might assume that the accident was the other driver’s fault. Well, in Florida, it’s nobody’s fault.
Florida has a no-fault car insurance system. That means you turn to your own insurance company to claim injury coverage whether you caused an accident or not. If you have the minimum required coverage, you don’t risk not being able to cover the other party’s medical expenses. You risk not covering your own.
However, the scenario above is a bit simplistic. As we mentioned before, Florida also requires property damage liability, and this coverage does care about who was at fault.
Say you had a $2,000 bill for a neck brace and whiplash treatment. Your own PIP coverage would pay for this. In addition to that, your car sustained $3,000 in damage from the accident. The other driver’s property damage liability would pay for that.
Pros And Cons Of No-Fault States
The advantage of a no-fault system is that you can get medical payment coverage right away. You don’t have to file a claim with another auto insurance company and go back and forth with that company. However, there are some downsides to the no-fault system. Florida requires that you seek coverage from your PIP plan before health insurance, and some people take advantage of the system. PIP claims fraud is not uncommon, and the Insurance Research Council found that Floridians claim about 50 percent more on their injuries than the nationwide average.
The high cost of claims is one reason why Florida car insurance rates are so expensive. Forty years ago, almost half of the United States had no-fault insurance systems. Today, only 12 states still do. Colorado switched to an at-fault system in 2004. Insurance rates went down, and fewer people went uninsured because of that. The Florida legislature may do the same one day, but the no-fault system is here to stay for now.
What Happens When Insurance Doesn’t Cover The Costs?
You might assume that in a no-fault state, you don’t really have any responsibility when you cause an accident. However, that’s not the case. As we just mentioned, Florida requires drivers to carry a minimum of $10,000 in PIP, but that’s also the maximum they can carry. Florida also does not require people to purchase MedPay, so many people only have PIP.
Imagine you caused a severe accident and the other driver claimed $20,000 in medical bills. Their own PIP would cover $10,000 of that amount, but Florida law allows them to sue you for the other $10,000. Under a personal injury lawsuit, the other driver could sue for:
- Medical expenses
- Lost income
- Pain and suffering
- Emotional trauma
The other driver can also sue you if they suffer a permanent injury from the accident. Permanent injury includes:
- Loss of an important bodily function
That’s why it’s a good idea to carry bodily injury liability on your Florida car insurance plan. That coverage will pay for the other party’s medical costs in an accident that you cause. PIP gets used first, but BI is there to safeguard against lawsuits when claims go beyond the limit.
SR-22 Florida Car Insurance Requirements
While there is no BI requirement for the general public, Florida requires drivers who have caused any degree of injury in an accident to carry it. If you don’t carry it at the time of an accident, you have to file an SR-22 and purchase minimum BI coverages. This form carries a small fee and certifies that you will have BI for the next three years. The state minimum requirements for BI in Florida are:
- $10,000 BI per person: This coverage pays for the other driver’s medical expenses when you are at fault in an accident.
- $20,000 BI per accident: Your BI needs to at least cover $20,000 per accident. This works similarly to property damage liability and is given out on a first-come, first-served basis.
FR-44 Florida Car Insurance Requirements
The FR-44 certificate also requires a minimum level of BI coverage. Drivers who are convicted of a DUI are required to file this form and purchase:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
These minimums are a lot higher, but that’s because a drunk driver can cause a lot more damage. Auto insurance rates are also higher for people with FR-44 certificates.
Enter your zip code in the tool below to collect and compare car insurance quotes from providers available in Florida. You can also call our team at (855) 518-0148 for free quotes seven days a week.
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