If you’re shopping for car insurance, you have probably heard of full coverage insurance. But what does that term entail and who offers the cheapest full coverage insurance coverage?
To help answer that question and more, we'll take an in-depth look into why people buy full coverage auto insurance, how much it costs, and how you can get the cheapest full coverage car insurance by shopping smart.
Cheapest Full Coverage Auto Insurance Providers
- State Farm
To help you make the best decision for your wallet, we reviewed the best car insurance companies in the market based on their coverage options, cost, discounts, customer service, financial strength, and more. Use the tool below or call (844) 246-8209 to start collecting and comparing quotes from auto insurance companies available in your state.
In this article:
- What Is Full Coverage Insurance?
- How Much Does Cheap Full Coverage Insurance Cost?
- Why Might You Want Full Coverage Insurance For Your Vehicle?
- How Much Does Full Coverage Insurance Cost?
- 8 Steps To Get The Cheapest Full Coverage Insurance
- FAQ: Cheap Full Coverage Auto insurance
What Is Full Coverage Insurance?
Full coverage insurance is a combination of collision, liability, and comprehensive coverage and covers damages caused to both your car and the other guy's car in case of an accident, as well as non-collision damages to your car.
Here's a look at what each coverage includes:
- Collision coverage offers protection for your car from damage in an accident
- Liability coverage offers protection from injuries and damage to others in at-fault accidents
- Comprehensive coverage offers protection for your car from non-collision damage or loss such as fire, theft, vandalism, etc.
What Isn’t Covered Under Full Coverage Insurance?
In an ideal situation, your full coverage insurance will provide 100-percent of protection on the road. However, no insurance does that.
Typically, your full coverage insurance will not cover the cost of renting a car while your vehicle is being repaired or driving your car for delivery service. It will also not cover the theft of personal items from your car.
If you want additional protection, such as accident forgiveness insurance, custom parts, and equipment coverage (some insurers provide coverage up to a certain limit as part of comprehensive coverage), 24/7 roadside assistance, gap coverage, ridesharing coverage, or new car replacement coverage, you will likely need to buy these separately as add-ons to your full coverage insurance.
How Much Does Cheap Full Coverage Insurance Cost?
In our study into the cheapest full coverage insurance companies, we found several companies that provide low car insurance rates. The five best providers for the cheapest full coverage insurance are listed below. In our review, however, we won’t focus solely on insurance price, we’ll also evaluate the customer service, ease of filing a claim, and company reputation.
Here are the top five providers of the cheapest full coverage insurance in the U.S.:
|Cheapest Full Coverage Insurance||Overall Star Rating||Average Monthly Rate|
3. Auto-Owners Insurance
If you want to get the cheapest full coverage insurance, it is important to first understand the different factors that affect your auto insurance rates. Here are some things providers consider when determining the risk of insuring a customer:
- Marital status
- Driving record
- Coverage limits
The average price of a full coverage policy in 2018 was $1056.55, according to the National Association of Insurance Commissioners (NAIC). By contrast, the average car insurance costs for minimum coverage was $644.11 for the same period.
According to a report published by the Insurance Information Institute (III), the average cost of a full coverage policy for a medium-sized sedan and a driver younger than 65 years with a good driving record, six years of driving experience, and in a suburban/urban location was $1,251.
If you come across companies offering affordable car insurance coverage without a down payment, know you will still be required to pay the first monthly installment when you buy your policy. No company will insure you without any payment at all.
#1 USAA Auto Insurance: Best For Military
USAA provides the cheapest full coverage insurance if you are eligible. It is important to note that USAA only provides coverage to military members, veterans, and their families.
If you are eligible, we highly recommend USAA. On top of full coverage insurance, USAA also provides further perks, such as roadside assistance, accident forgiveness, rental car coverage, and car replacement assistance (CRA). If you are looking to bundle insurance, USAA also providers life insurance, homeowners/renters insurance, health insurance, and more.
USAA auto insurance might be right for you if:
- You are part of the military, are a veteran, or a family member
- Want the cheapest full coverage insurance
To learn more about this cheap auto insurance provider, check out our review of USAA auto insurance.
#2 Erie Auto Insurance: Best For Multi-Car Homes
Another provider of cheap comprehensive insurance is Erie Insurance. This company provides cheap full coverage insurance quotes online and is known for customer service. The main downside of Erie Insurance is that coverage isn’t available in every state. You can only get an auto insurance policy if you live in these regions.
District of Columbia
Erie Insurance might be right for you if:
- You live in a covered state
- You have had one accident
- Your credit score is excellent
To learn more about this cheap auto insurance provider, check out our review of Erie auto insurance.
#3 Auto-Owners Insurance
Even though it only serves 30 states, Auto-Owners Insurance has a reputation for quality customer service and affordable coverage. Besides standard auto coverage types, customers can pick up options like gap insurance and new car replacement. It also has an app that allows policyholders to view claim status, their insurance card, or pay bills.
Unlike many major providers, you’ll have to contact an agent directly to receive a quote or file a claim, which some might consider a hassle. You’re also only eligible for coverage if you live in the following states:
|North Dakota||Nebraska||New Hampshire||Ohio||Pennsylvania||South Carolina|
Auto-Owners might be right for you if:
- You have a young driver
- You own multiple vehicles
- You have a strong credit history and like to pay upfront
#4 State Farm Auto Insurance: Best For Students
Another good option for cheap full coverage insurance is State Farm. The company is known for its comprehensive coverage options and extensive discount selection.
Drive Safe & Save Discounts can help you save up to 30 percent. The program is simple to use and can be performed from OnStar or your smartphone. State Farm also offers a safe vehicle discount for specific safety features and a loyalty discount if you insure multiple vehicles or bundle several different types of insurance.
State Farm might be right for you if:
- You want to participate in the safe driving program
- You have poor credit
- Your driving record shows an accident
To learn more about this cheap auto insurance provider, check out our review of State Farm auto insurance.
#5 Geico Auto Insurance: Best For Good Drivers
While Geico might not be the best choice for someone with a spotty record, safe drivers find a lot of benefits to using the provider for full coverage insurance. On top of high levels of customer satisfaction, Geico offers many choices for coverage. Some additional perks offered by Geico include roadside assistance, ridesharing insurance, and mechanical breakdown coverage.
Geico might be right for you if:
You want to customize coverage
You don’t have infractions on your driving record
To learn more about this cheap auto insurance provider, check out our review of Geico auto insurance review.
Why Might You Want Full Coverage Insurance For Your Vehicle?
Each extra coverage in your full coverage car insurance comes with an added premium. No one wants to spend more money, but here are a few reasons why full coverage car insurance might be a good idea.
- Because it’s required: Every state requires drivers to some form of liability insurance if they cause an accident. In addition to liability, some states may also require you to have medical payments or personal injury protection (PIP) to pay for your injuries in an accident, as well as uninsured motorist coverage for when the other party is at fault but has no or very little insurance. In such cases, your “full coverage” policy should also include these additional coverages.
- Because your car is new and expensive: A full coverage car insurance policy is most valuable when you drive a new car. If your vehicle gets damaged in an accident or stolen, your comprehensive or collision insurance will cover repairs and get you back on the road as quickly. Some companies include roadside assistance and rental car reimbursement in the event of an accident, but this varies by provider.
- You live in a high-risk area: If you live in an area where you frequently have severe weather, theft, or collisions with animals, having comprehensive coverage is a good idea. It is important to note that such zip codes also tend to have higher car insurance premiums because of the high incidence of claims.
- You can’t afford to replace or repair your car: If you have enough savings to replace or repair your car without relying on insurance, you can consider dropping your comprehensive coverage. In 2018, the average comprehensive claim was $1,833, according to the Insurance Information Institute (III). Would you be able to afford a huge repair like this on your own?
How Much Does Full Coverage Insurance Cost?
Auto insurance is regulated by the states, so the cheapest company in your state may not be the company offering the cheapest car insurance at a national level. Here’s a table of the cheapest full coverage insurance policies by state.
|State||Average Monthly Cost||Cheapest Provider||Cheapest Provider Monthly Cost|
|North Carolina||$106||Erie Insurance||$77|
|Texas||$172||Texas Farm Bureau||$84|
8 Steps To Get The Cheapest Full Coverage Insurance
Just because you need full coverage insurance, that doesn’t mean you have to pay a top rate for it. There are many ways to get cheap full coverage car insurance. Here are a few worth giving a try.
1. Compare Car Insurance Quotes
No two insurance companies have the same pricing formula, which is why one of the best ways to get the cheapest full coverage insurance is by comparing quotes from multiple providers.
However, comparing auto insurance quotes by price alone may not always be the best idea. In some cases, cheap auto insurance could come with less coverage and fewer benefits. Always make sure that all your quotes offer the same coverage limits and benefits, and have the same deductibles.
2. Lower Your Liability Limits
Basic state-minimum liability coverages are not very expensive, but the State's minimum limits are generally low and don’t provide very much protection.
However, while choosing a low coverage limit will help you lower your insurance cost, we don’t recommend it. Such a step could ruin you financially if the other party sues you for more than your policy limits.
If you want more liability coverage to protect your personal assets if you are in an at-fault accident, then you should buy coverage with higher liability limits, if you can afford it.
3. Raise Your Deductible
For comprehensive and collision coverages, the market value of your car and the deductible you choose will decide your premiums. Generally, if you have a high deductible, you can save money on your premium. However, it will increase your out-of-pocket expenses if you have an accident.
4. Look For Car Insurance Discounts
Almost all car insurance companies provide discounts for things such as:
- Bundling auto and home or renters policies
- Owning a home
- Having a good driving record
- Setting up automatic payments
- Installing anti-theft devices or anti-lock brakes in your vehicle
- Paying the full amount upfront
If you are eligible, these discounts can bring down your premiums significantly. As a rule of thumb, look for new car insurance discounts each time you renew your policy. It could be that your life situation has changed since the time you originally bought the policy, and you are now eligible for other discounts.
5. Drive Safe And Drive Less
Many insurance companies offer usage-based insurance programs that base your coverage rates on your driving habits and mileage. If you cut down how much you drive your car and are a safe driver, you may be able to save some money by signing up for such a program.
If you enroll in usage-based programs, be aware that insurance companies review your usage data periodically, and set your rates accordingly. With some companies, you may see your premiums go up if you don’t practice safe driving or your mileage ends up being more than the estimated annual mileage.
6. Maintain A Good Credit Score
In some states, your credit score will affect your insurance premiums. People with better credit usually get cheaper rates. If you improve your credit score by paying your bills on time and clearing your debt as much as possible, you may be able to bring down your premiums.
7. Don’t Let Your Coverage Lapse
Gaps in insurance coverage can put you in a higher-risk category and drive up your premiums the next time you buy coverage.
If you plan to put your car in storage for a long time, don’t cancel your auto insurance altogether. Talk to your provider to know your options. You may even choose to temporarily drop your liability coverage as long as you remember to renew it once you are ready to go back on the road.
8. Buy Only The Coverage You Want
You can’t drive legally without the state-required coverage. But if you own your car outright without a loan or lease, and your car is already on its last leg, you may want to consider foregoing comprehensive and collision coverage.
The maximum amount your comprehensive coverage will pay you is the market value of the car – which decreases with each passing year – minus your deductible. If this amount is more than your premium, then it will be useful. If not, you would be better off saving the money you would have otherwise spent on the premium for repairs.
We suggest using the Kelley Blue Book or Edmunds.com car value pricing tools to determine how much your car is worth and decide if what you pay for your comprehensive coverage is actually worth it.
Whenever you shop for car insurance, we recommend getting quotes from multiple full coverage insurance providers so you can compare coverage and rates. In addition to the insurance company you choose, factors such as your age, vehicle make and model, and driving history can affect your premium, so what’s best for your neighbor might not be best for you.
You can either use the tool below or call our team at (844) 246-8209 to start comparing personalized quotes for cheap car insurance:
In an effort to provide accurate and unbiased information to consumers, our expert review team collects data from dozens of auto insurance providers to formulate rankings of the best insurers. Companies receive a score in each of the following categories, as well as an overall weighted score out of 5.0 stars.
- Industry Standing: Insurers with strong financial ratings and customer-first business practices receive the highest scores in this category.
- Availability: We consider availability by state as well as exclusions for specific groups of drivers.
- Coverage: This rating is based on types of insurance available, maximum coverage limits, and add-on policies.
- Cost and Discounts: Our research team reviews auto insurance rate estimates generated by Quadrant Information Services for a variety of drivers in every state. Companies with lower prices and many car insurance discount opportunities receive the best scores.
- Customer Service: We comb through customer reviews and consumer feedback studies from experts like J.D. Power.
- Technology: Auto insurers with mobile apps, advanced online services and telematics are more likely to meet consumer needs.
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