How to Compare Car Insurance Quotes 2024
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Cheapest Liability Car Insurance

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Content was accurate at the time of publication.

State Farm has the cheapest liability rates among major car insurance companies — but you may find a better rate from a smaller company, depending on where you live. Here are tips for how to find cheap liability car insurance, as well as a look at what it covers and how much you’ll need.

Find the Cheapest Car Insurance Quotes in Your Area

Liability car insurance is auto coverage that pays for injuries and property damage you cause to others in a car accident.

Almost every state requires you to have liability coverage. Several states require you to buy other coverages, too.

State Farm has the cheapest liability car insurance of companies available nationwide. Its rates average $605 a year, or $50 a month.

Depending on where you live, you may find cheaper liability car insurance from a smaller company, such as Auto-Owners, Erie or a Farm Bureau affiliate.

USAA has the cheapest minimum liability car insurance overall, but it’s only available to current and former military members and their families.

Since insurance company rates vary by customer, it’s important to compare quotes from multiple companies to find the cheapest liability car insurance for you.

Cheapest minimum-liability car insurance rates

CompanyAnnual rate
Erie$505
Mercury$511
Auto-Owners$516
Farm Bureau affiliates$543
State Farm$605
Country Financial$623
Geico$729
American Family$728
Shelter$762
Progressive$795
USAA*$413

Rates are for a 30-year-old male with good credit and a clean driving record. Your rates may vary. *USAA is only available to the military community.

Who has the cheapest liability car insurance in my state?

State Farm has the cheapest minimum-liability car insurance in 18 states, while GEICO is cheapest in seven states plus the District of Columbia.

Auto-Owners offers the cheapest minimum-liability car insurance coverage in six states; Erie is cheapest in four.

Farm Bureau affiliates have the cheapest minimum-liability car insurance in five states: Kansas, Louisiana, Tennessee, Texas and Virginia.

Cheapest liability car insurance companies by state

StateCheapest companyAnnual rate
AlabamaState Farm$313
AlaskaState Farm$551
ArizonaState Farm$660
ArkansasState Farm$377
CaliforniaGeico$425
ColoradoState Farm$519
ConnecticutState Farm$713
DelawareTravelers$858
FloridaGeico$469
GeorgiaAuto-Owners$500
HawaiiGeico$364
IdahoState Farm$227
IllinoisState Farm$521
IndianaAuto-Owners$339
IowaState Farm$237
KansasFarm Bureau$427
KentuckyTravelers$800
LouisianaFarm Bureau$666
MaineState Farm$363
MarylandGeico$803
MassachusettsHanover$484
MichiganAuto-Owners$1,134
MinnesotaState Farm$484
MississippiState Farm$344
MissouriProgressive$474
MontanaGeico$432
NebraskaFarmers$302
NevadaState Farm$753
New HampshireHanover$187
New JerseyGeico$583
New MexicoState Farm$393
New YorkProgressive$627
North CarolinaErie$317
North DakotaAmerican Family$292
OhioState Farm$309
OklahomaProgressive$343
OregonState Farm$651
PennsylvaniaErie$338
Rhode IslandTravelers$729
South CarolinaAuto-Owners$512
South DakotaAuto-Owners$234
TennesseeFarm Bureau$394
TexasFarm Bureau$401
UtahAuto-Owners$615
VermontState Farm$229
VirginiaFarm Bureau$507
WashingtonState Farm$401
Washington DCGeico$657
West VirginiaErie$399
WisconsinErie$293
WyomingGeico$212

Rates are for a 30-year-old male with good credit and a clean driving record. Your rates may vary.

The average cost of minimum-liability car insurance is $777 a year, or $65 a month. Average rates range from $351 a year in South Dakota to $1,849 in Michigan.

In no-fault insurance states such as Florida, New Jersey and New York, minimum-liability policies also include personal injury protection (PIP). Minimum-liability policies include uninsured motorist coverage in states that require this coverage.

A minimum-liability policy costs an average of 61% less than full-coverage. Full coverage includes higher liability limits and collision and comprehensive, which cover your vehicle.

Average minimum-liability car insurance costs by state

StateAnnual rate
Alabama$717
Alaska$663
Arizona$1,079
Arkansas$622
California$571
Colorado$897
Connecticut$1,088
Delaware$1,283
Florida$1,206
Georgia$790
Hawaii$609
Idaho$413
Illinois$848
Indiana$533
Iowa$444
Kansas$616
Kentucky$1,183
Louisiana$948
Maine$501
Maryland$1,093
Massachusetts$757
Michigan$1,849
Minnesota$743
Mississippi$662
Missouri$686
Montana$574
Nebraska$470
Nevada$1,368
New Hampshire$537
New Jersey$1,393
New Mexico$632
New York$1,059
North Carolina$532
North Dakota$522
Ohio$532
Oklahoma$656
Oregon$1,092
Pennsylvania$603
Rhode Island$1,224
South Carolina$803
South Dakota$351
Tennessee$505
Texas$696
Utah$989
Vermont$417
Virginia$923
Washington$651
Washington DC$949
West Virginia$659
Wisconsin$503
Wyoming$370

Rates are for a 30-year-old male with good credit and a clean driving record. Your rates may vary.

Find the Cheapest Car Insurance Quotes in Your Area

Your liability limits are the maximum amounts your insurance company pays to cover injuries and damage you cause in a car accident.

Most companies offer split liability limits, but some offer a combined single limit or let you choose between split and single limits.

What are split liability limits?

Split liability limits provide separate limits for bodily injury (BI) and property damage (PD). The BI limits are further separated into amounts for injured individuals and a combined total for all people injured in an accident.

For example, a policy with $25,000/$50,000/$25,000 liability limits, often shortened to 20/50/25 coverage, pays the following amounts:

  • Up to $25,000 in medical treatment for each injured person
  • No more than $50,000 total for everyone injured in an accident
  • Up to $25,000 total for damage to other people’s vehicles and/or property

What are combined single limits?

With a combined single limit, your insurance company covers the cumulative costs of injuries and damage you cause, up to the single limit you choose.

What’s the difference between split and single liability limits?

Split liability limits generally provide less flexibility than single limits over how insurance funds are distributed.

For example, a $75,000 combined single limit and a 25/50/25 split limit provide comparable amounts of coverage. However, there’s a difference in how they provide funds to an accident victim who requires $40,000 in medical treatment and $30,000 for their vehicle.

  • A 25/50/25 split limit only covers $25,000 for the individual’s medical expenses and caps coverage for the vehicle at $25,000, which results in a $20,000 shortfall.
  • A $75,000 combined single limit is high enough to cover the entire cost of the victim’s $70,000 claim.

The amount of liability car insurance you need to drive legally will vary by state. However, the minimum liability limits your state requires may not provide enough financial protection, regardless of where you live.

If the amounts needed to cover an accident victim’s injuries or car repairs exceed your policy’s liability limits, you can be held personally responsible for the shortfall. This, in turn, could put your savings or other assets at risk of being seized.

Choosing liability limits that match your net worth protects your assets if you cause severe injuries or damage in an accident.

If you have a high net worth and/or a high salary, consider buying an umbrella policy for more protection.

Do my liability car insurance limits cover legal costs?

If you need to dispute a liability claim against you, your car insurance company also covers the costs of your legal defense.

These expenses — which may include legal fees and court costs — aren’t applied to your policy’s liability limits.

The liability coverage in your car insurance doesn’t cover your own injuries or damage to your own vehicle. To cover these costs, add some or all of the coverages below to your car insurance:

  • PIP and medical payments (MedPay) cover injuries you and your passengers suffer in a car accident, regardless of fault. PIP is required in about a dozen states. PIP and/or MedPay are optional in most other states.
  • Uninsured motorist protection covers injuries you and your passengers suffer in an accident caused by a driver without insurance. About 20 states require this coverage, and it’s optional in most others.
  • Collision covers damage your vehicle sustains in a collision with another vehicle or object, or if it overturns.
  • Comprehensive covers your vehicle for theft or damage from non-collision causes, like fires, floods, falling objects and vandalism.
  • Collision and comprehensive aren’t required by law, but both typically are required for a car loan or leased vehicle.

The minimum amount of liability insurance you’ll need to drive legally will depend on your state’s insurance requirements. Choosing liability limits that match your net worth lets you protect your assets if you cause a severe car accident.

If you don’t have enough liability insurance to cover injuries and damage you cause in a car accident, you may be held responsible for the shortfall. Your savings or other assets could be seized to satisfy a judgment.

If another car hits you, the at-fault driver’s property damage liability insurance typically covers damage to your car. However, many states have comparative fault laws, which reduce an at-fault driver’s share of liability if you’re partially responsible for the accident.

No. Neither an at-fault driver nor an accident victim has to pay a deductible for an auto liability insurance claim.

Your liability insurance doesn’t cover damage to your own car. If someone else causes an accident that totals your car, their property damage liability covers your vehicle. If you cause the accident, your policy only covers your vehicle if you’ve added collision protection to it.

Methodology

Car insurance rates were obtained from Quadrant Information Services for the largest insurance companies in every U.S. state and the District of Columbia.

  • Minimum–liability rates include personal injury protection and/or uninsured motorist coverage where required by state law.
  • Prices reflect insurance for a 30-year-old male driver with good credit and a clean driving record.
  • Rates are provided for comparative purposes only. Your rates may vary.