The average cost of auto insurance in North Carolina is $1,392 per year for full coverage and $431 per year for minimum coverage, according to Bankrate’s 2022 study of annual premiums cited by Quadrant Information Services. . North Carolina drivers pay less than the national average for full coverage and minimum coverage, despite busy roads and high minimum limits. Our research on the average cost of coverage in North Carolina could help you find out if your rate is competitive.
Key points to remember
- North Carolina drivers pay an average of 21% less each year for full-coverage and minimum-coverage auto insurance compared to the national average.
- Geico and State Farm are among the cheapest car insurance companies in North Carolina.
- The Ford F-150 and Honda Odyssey are among the cheapest vehicles to insure in North Carolina, costing about 19% less than the state average for comprehensive coverage.
How much does auto insurance cost in North Carolina?
So how much does auto insurance cost in North Carolina? In 2022, the average cost of car insurance in North Carolina is $1,392 per year for full coverage and $431 per year for the state’s minimum coverage limits. Both of these rates are well below the national average auto insurance rate of $1,771 per year for full coverage and $545 per year for minimum coverage. To determine these rates, we turned to Quadrant Information Services and looked at the average rates of the state’s largest companies by market share.
North Carolina auto insurance rates by city
You know car insurance rates vary by state, but did you know they also vary by city? Big cities tend to have higher insurance costs. The higher cost of medical care may increase bodily injury liability coverage premiums, and the higher costs of vehicle repairs and labor may increase property damage liability premiums, comprehensive and collision coverage. Additionally, larger cities tend to have more traffic, which can lead to a greater likelihood of accidents. For example, Charlotte’s average annual full-coverage premium is 12% higher than the state average.
North Carolina Car Insurance Rates by Insurance Company
A major factor affecting auto insurance rates in the state of Tarheel is the carrier you choose. Each car insurance company uses its own rating system to determine your premium, so the same coverage may be priced differently by different carriers. That’s why shopping around and comparing car insurance quotes from several companies could help you find the cheapest car insurance in North Carolina for your needs.
North Carolina auto insurance rates by age
Car insurance rates vary by age, with younger drivers generally paying more for coverage due to a higher likelihood of accidents and a higher likelihood of filing claims, as they tend to be less well established financially. Teenage drivers typically face the highest car insurance rates, as shown below, due to their lack of driving experience. Premiums may begin to rise again when drivers reach retirement age, as aging can affect driving ability and potentially increase the likelihood of claims. At certain ages, younger drivers may be included in their parents’ policy or in their own policy. We have included both rates to illustrate the difference.
Average cost of car insurance for drivers on their parent’s policy
If a young driver still lives in the parent’s household, it’s usually less expensive to keep that driver on the parent’s policy. Generally, teen drivers on their parents’ insurance policy are less likely to file claims for minor incidents. You can see in the rates below that the newest drivers, those 16 and 17 years old, pay the highest rates. Premiums start to drop even after only one year of driving experience.
Average cost of car insurance by age for drivers with their own policy
For an 18-year-old on their own policy, comprehensive coverage costs 34% more than if the teenager were included in their parents’ policy. However, once a child leaves their parent’s home and establishes their own household, they will need their own insurance. Although young drivers can pay high premiums on their own, rates drop dramatically at age 25 and continue to fall.
North Carolina auto insurance rates by driving record
Safe drivers usually get the cheapest car insurance. Policyholders with driving incidents on their record may be considered high-risk drivers, which often results in higher premiums. The severity of your breach, as well as the company you work with and the number of incidents you have, will all impact your price. Although expensive, if you have a history of driving incidents, you may want to consider comprehensive insurance, which will provide financial support for damage to your own vehicle as well as damage you cause. A DUI (driving under the influence) conviction has the highest impact on your premiums in North Carolina, increasing premiums by an incredible 310% on average.
|Conviction for speeding||$2,089||50%|
North Carolina Car Insurance Rates by Vehicle Type
The type of vehicle you drive is another impacting pricing factor for car insurance in North Carolina. Vehicles that have a higher statistical probability of an accident, have fewer safety features, or have higher repair costs may cost more to insure. For example, a BMW 330 costs about 24% more than the state average to provide comprehensive coverage, while a Ford F-50 and Honda Odyssey cost about 19% less than the state average. .
How to Save on Car Insurance in North Carolina
Generally, car insurance in North Carolina is less expensive than comparable coverage in many other states. However, there are still ways to get a lower premium.
- Compare the prices: Since different companies charge different rates, comparing quotes and comparing them can help you find the lowest price for the coverage you need.
- Group your policies: Bundling your auto and home insurance simply means buying both policies from the same company. This is usually one of the biggest discounts you can get.
- Maintain a good driving record: Drivers with incidents such as tickets, at-fault accidents, and impaired driving convictions pay a little more for auto insurance coverage. Adopting safe driving habits could help you avoid these costly surcharges.
- Ask for a prayer for judgment: If you incur a traffic violation, you can ask for a prayer for judgment, which means that you will not be penalized even if you are guilty. There are, however, limits to how often this can be done and limits to the offenses to which it applies.
Keep in mind that North Carolina prohibits many common discounts, such as good student discounts. To make sure you’re taking advantage of available discounts, talk to your agent or company representative.
Frequently Asked Questions
Bankrate uses Quadrant Information Services to analyze 2022 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted by population density in each geographic region. Rates quoted are based on a 40 year old male and female with a clean driving record, good credit and the following full coverage limits:
- Civil liability of $100,000 in bodily injury per person
- Civil liability of $300,000 in bodily injury per accident
- Civil liability of $50,000 in property damage per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 aggregate deductible
To determine minimum coverage limits, Bankrate has used a minimum coverage that meets each state’s requirements. Our basic profile drivers own a 2020 Toyota Camry, commute five days a week and drive 12,000 miles per year.
These are sampling rates and should only be used for comparison purposes.
Age: Rates were calculated by evaluating our base profile with ages 18-60 (base: 40) applied. Depending on age, drivers can be renters or owners.
Incidents: Rates were calculated by evaluating our baseline profile with the following incidents applied: clean record (baseline), at-fault accident, single speeding ticket, single DUI conviction, and coverage lapse.