Don’t get caught driving without car insurance in Minnesota. This article will explain state minimum requirements and recommend some of the top insurance providers in the state.
While auto insurance rates in Minnesota are generally lower than the national average, that doesn’t mean you shouldn’t try to find the cheapest coverage you can. But you also shouldn’t sacrifice quality, which is why we only recommend providers with strong customer service reputations. We’ve reviewed the best car insurance companies in the United States, and here we use the same criteria to determine the top providers in the state of Minnesota.
The best way to find the lowest rates is to compare car insurance prices from multiple providers. You can do so by entering your zip code into the quote comparison tool below.
In this article:
- Cheapest Car Insurance Companies In Minnesota
- Top 5 Car Insurance Companies In Minnesota
- Minnesota Car Insurance Requirements
- What To Know About Driving In Minnesota
- Final Thoughts
- FAQ: Car Insurance In Minnesota
Cheapest Car Insurance Companies In Minnesota
According to our cost estimates, USAA, State Farm, and Auto Owners are among the cheapest full-coverage providers in Minnesota.
|Car Insurance Provider||Average Annual Cost Estimate|
Cost Of Car Insurance In Minnesota
The cost of your car insurance in Minnesota will depend on your own driver profile. Factors such as age, gender, marital status, and driving record are considered when insurers set your rates.
Rates also tend to vary from city to city and state to state. The table below shows average insurance costs for drivers in Minnesota according to a report published by the National Association of Insurance Commissioners (NAIC). This report was based on insurance data from 2018.
|Type Of Coverage||Average Annual Expenditure|
According to the NAIC study, the average liability premium across all states was $644 and the average total insurance premium for all states was $1,056. This makes Minnesota car insurance only slightly cheaper than the national average.
Annual Minnesota Car Insurance Estimates By Age
A 24-year-old in Minnesota can pay up to $622 more for car insurance than a 35-year-old.
|Age||Minnesota Annual Car Insurance|
Annual Minnesota Car Insurance Estimates By Gender
Car insurance costs are slightly higher for female drivers in Minnesota.
|Gender||Minnesota Annual Car Insurance|
Annual Minnesota Car Insurance Estimates For Drivers With Bad Credit
Drivers with poor credit can pay up to 49 percent more for car insurance than drivers with good credit.
|Credit Rating||Minnesota Annual Car Insurance|
Annual Minnesota Car Insurance Estimates For Bad Drivers
Speeding tickets, accidents, and DUIs can increase your car insurance costs up to 54 percent in Minnesota.
|Driving Record||Minnesota Annual Car Insurance|
Top 5 Car Insurance Companies In Minnesota
The most important factors we took into consideration when assessing Minnesota auto insurance providers were cost, coverage, and customer service. Every provider recommended below scored highly in each of these areas, and all ranked above average in the J.D. Power 2020 U.S. Auto Insurance Satisfaction StudySM for the Central region (which includes Arkansas, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma, and South Dakota).
|Best Car Insurance in Minnesota||Motor1 Rating||Average Cost|
|1. USAA Auto Insurance||5.0||$942|
|2. Geico Auto Insurance||4.5||N/A|
|3. Auto-Owners Insurance||4.0||$1357|
|4. Progressive Car Insurance||4.5||$1823|
|5. State Farm Car Insurance||4.5||$1258|
*Not all companies were included in our rate estimates for each state. You may also notice that some car insurance companies are listed above those with higher star ratings. This is because our star ratings take into account nationwide factors, while our ranking looks specifically at what insurance providers are best for car insurance in Minnesota.
#1 USAA: Best For Military
Based on our research, USAA offers the best car insurance in Minnesota for those who are eligible to purchase a policy. USAA policies are only available to military members and those with a parent or spouse that is a USAA member. If this doesn’t apply to you, you’ll need to consider our other recommended providers instead.
If you are eligible for a USAA membership, you should certainly consider joining. USAA is one of the most well-regarded insurers in Minnesota. In the 2020 J.D. Power Satisfaction Study for the Central region, USAA scored a total of 905 out of a possible 1,000 points. This made it the highest-scoring provider in the region, though it was not eligible for formal ranking because of its limited availability.
USAA doesn’t just have exceptional customer service – it also boasts excellent coverage options. In addition to the standard types of auto insurance, USAA customers can also purchase guaranteed asset protection (GAP), car replacement assistance (CRA), glass coverage, and more.
The company’s policies are also inexpensive. Customers can save by taking advantage of many potential discounts, such as:
- Defensive driving course discount
- Driver training course discount
- Military installation discount
- Annual mileage discount
- Premier driver discount
- Good student discount
- New vehicle discount
- Automatic payment discount
- Family discount
It’s safe to say that if you’re eligible for a policy, USAA is among the best options for car insurance in Minnesota.
|USAA Pros||USAA Cons|
|Affordable rates and numerous discounts||Only available for military members
and their immediate families
|Good option for military members and young drivers|
|Superior financial strength rating and A- rating from the BBB|
Learn more about the company by reading our full USAA auto insurance review.
#2 Geico: Best Overall
Geico is one of the top auto insurance providers in the U.S. We’ve named it the best provider in the industry because it has a strong reputation, consistently receives high customer satisfaction marks, and often offers the lowest rates to drivers.
Geico’s reputation for superior customer service holds up in Minnesota. In the J.D. Power Satisfaction Study, Geico scored a total of 855 out of 1,000 possible points, placing it second in the Central region.
Drivers receive not only excellent service with Geico, but may also find the lowest premium rates. The many discounts offered by Geico include:
- Good student discount
- Good driver discount
- Defensive driver discount
- Safety feature discounts
- Anti-theft device discount
- Multiple policy discounts
- Military discount
- Federal employee discount
Geico is the second largest car insurance company in the U.S. and a great choice for Minnesota car insurance thanks to its affordability and smooth claims experience.
|Geico Pros||Geico Cons|
|Available in 50 states||Average quotes experience|
|Superior financial strength rating and A+ rating from the BBB||Usage-based app not available in all states|
|Many choices for coverage|
|High level of customer satisfaction|
Learn more about the company by reading our full Geico auto insurance review.
#3 Auto-Owners Insurance: Best Local Service
Founded in 1916 in Lansing, Michigan, Auto-Owners Insurance serves 26 states in the north and central U.S. In these states, Auto-Owners has an excellent customer service reputation. Minnesota drivers rate the company highly, and it scored 868 out of 1,000 possible points in the 2020 J.D. Power Satisfaction Study for the Central region. This put it in first place among the providers ranked.
Auto-Owners Insurance operates exclusively through local agents. While this means you’ll need to contact an agent to get a quote or to file claims, it also means you’ll have access to someone who specializes in Minnesota auto insurance coverage. Knowledgeable Auto-Owners agents can help you find the best policy for your needs and budget.
In addition to standard auto coverage, Auto-Owners Insurance offers roadside assistance, rental and travel expense coverage, GAP insurance, and more. Many Minnesota drivers find that Auto-Owners offers the lowest car insurance rates in the area, well below the state average. Customers can save by taking advantage of any of the following discounts the company offers:
- Favorable loss history discount
- Good student discount
- Multiple policy discount
- Payment history discount
- Pay-in-full discount
- Student away at school discount
- Teen driver monitoring
- Advance quote discount
- Multiple car discount
- Safety features discount
Auto-Owners Insurance has an A++ financial rating from AM Best, indicating a superior ability to pay customer claims.
|Auto-Owners Insurance Pros||Auto-Owners Insurance Cons|
|Local licensed agents throughout Minnesota||Have to contact an insurance agent to get a quote or file a claim|
|Helpful mobile app|
|Excellent customer service reputation|
#4 Progressive: Best For High-Risk Drivers
In the 2020 J.D. Power Satisfaction Study for the Central region, Progressive earned 849 out of 1,000 points, putting it in fourth place and above the regional average. The company also earned an A- rating from the BBB.
Progressive is a good choice for high-risk drivers looking for cheap auto insurance in Minnesota, as such drivers often find lower rates with Progressive than other companies. Customers are also able to save by taking advantage of Progressive’s discounts, such as:
- Deductible savings bank: Gives you $50 toward your next deductible for every 6 months you go without filing a claim
- Policy bundling: Discounts for bundling your auto policy with another policy, such as home insurance or Progressive motorcycle insurance
- Snapshot® mobile app: Monitors your driving habits to set your premium and rewards good behavior on the road
Progressive also helps drivers save with the Name Your Price® tool, which matches customers with policy options based on a price they set.
|Progressive Pros||Progressive Cons|
|One of the top auto insurers in the U.S.||Average claims process|
|Superior financial strength rating and A- rating from the BBB||Mixed customer service reviews|
|Great choice for high-risk drivers||Higher rates than some competitors|
|Several money-saving features and easy quotes process|
If you want to learn more about Progressive, read our comprehensive Progressive auto insurance review.
#5 State Farm: Best For Students
State Farm is a national provider with strong financials and a reputation for handling customer claims quickly. It makes our list of top insurers in Minnesota because of its positive reputation and high customer service scores. It ranked fifth overall in the 2020 J.D. Power Satisfaction Study for the Central region, scoring 849 out of 1,000 points.
State Farm is a good option for low-cost auto insurance in Minnesota, and drivers can save even more by taking advantage of the following discounts:
- Safe driving discount
- Safe vehicle discount
- Loyalty discounts
We recommend State Farm for students because of its Drive Safe & SaveTM and Steer Clear® programs. The Drive Safe & Save mobile app monitors things like acceleration, braking, speed, and more and can give discounts to safe drivers with low annual mileage. The Steer Clear program provides specialized training that drivers under 25 can participate in to save money on auto insurance premiums.
|State Farm Pros||State Farm Cons|
|Comprehensive coverage offerings available in 48 states||Reported errors with autopay|
|Many discounts for teens and students||Not taking new customers in Massachusetts or Rhode Island|
|Positive customer reviews||Higher rates than some competitors|
|Easy online quotes process|
|Superior financial strength rating and A+ rating from the BBB|
To learn more about this provider, read our State Farm auto insurance review.
You can get free quotes from top providers of car insurance in Minnesota by entering your zip code below.
Minnesota Car Insurance Requirements
Requirements for auto insurance in Minnesota are a little higher than in other states. While many states only require liability auto insurance, Minnesota law also requires drivers to carry personal injury protection as well as uninsured/underinsured motorist coverage. The chart below details the minimum coverage limits required by Minnesota state law.
|Bodily Injury Liability (Per Person)||$30,000|
|Bodily Injury Liability (Per Accident)||$60,000|
|Property Damage Liability (Per Accident)||$10,000|
|Personal Injury Protection||$40,000|
|Uninsured/Underinsured Motorist Coverage (Per Person)||$25,000|
|Uninsured/Underinsured Motorist Coverage (Per Accident)||$50,000|
Minnesota is a no-fault state. This means that drivers are covered by their own insurance after an accident, regardless of who was at fault. In no-fault states, after a collision, each driver is responsible for covering their own medical and vehicle repair expenses. However, drivers who are not at-fault can still sue the at-fault driver for damages.
Driving without insurance in Minnesota carries legal penalties, which are outlined in the chart below.
|First and Second Offense||-Minimum fine of $200
-Up to 90 days in jail
-License suspension up to one year
|Third Offense||-Fine of up to $3,000
-Up to one year in jail
-License and registration suspension up to one year
What To Know About Driving In Minnesota
According to data collected by the Insurance Institute for Highway Safety (IIHS), Minnesota drivers traveled an average of 14,507 miles per licensed driver in 2018. That same year, there were 381 traffic deaths, an average of 6.8 deaths per 100,000 people. This is a fairly low accident death rate compared to other states.
Drivers in Minnesota should keep in mind that the state experiences a high level of annual snowfall and be sure to drive cautiously in winter conditions.
We recommend USAA and Geico as the top two options for car insurance in Minnesota. Though there are other good providers in the state, USAA and Geico offer low average premium rates and have good reputations among customers.
If you’re trying to find the cheapest car insurance in Minnesota, each of the companies recommended above would be a good place to start your search. You can also compare free, personalized quotes from our top providers quickly and easily by entering your zip code into the tool below.
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.