Best Car Insurance in North Carolina for 2020
Drivers in North Carolina have some of the lowest car insurance prices in the country, although, in recent years, these have been increasing.
This does not mean that you have to empty your savings account to get the car insurance coverage you need. With many insurance companies available in the Tar Heel State, drivers have many options to choose from.
In this post, I will be looking at the best ones to help you save some money and get a better service.
What Car Insurance Is Required in North Carolina?
Choosing the coverages you need and setting the limits is very individual-specific, as each motorist will have different requirements. You should also remember to never pay for something you don’t need as this is a cost you can easily avoid without any repercussions.
It is important to note that the state of North Carolina has minimum coverages in place, which are set by law. All licensed drivers in the Tar Heel State must carry liability coverage. This includes bodily injury and property damage liability as well as uninsured/underinsured motorist coverage.
The minimum limit for bodily injury is $30,000 per person and $60,000 per accident. The property damage limit is set at $25,000 per accident. The limits for uninsured/underinsured motorist coverage are the same as the liability coverage. If you own more than 26 vehicles, you can choose to be self-insured.
Cheapest Car Insurance in NC
Here are the top 10 providers of cheap car insurance in North Carolina:
- North Carolina Farm Bureau
- National General
- Auto Owner Insurance
- Alfa Insurance
- State Farm
Geico is an insurance provider that offers the cheapest auto insurance rates in most cases. They attract customers with their fast quoting system, low rates, fast claims, big discounts, and always-available customer support.
Geico has many extra coverages you can choose from, including accident forgiveness, mechanical breakdown insurance, and others. According to J.D. Power, their overall customer satisfaction is around average, which is not bad for such an affordable auto insurance company.
- One of the cheapest providers in NC
- Accident forgiveness
- Big discounts
Progressive is a well-known car insurance provider offering low rates. It might be the best choice for drivers on a budget, but the extra coverages offered are not very generous. They offer many discounts, including a huge discount for bundling your home and car policies.
Their coverages include all of the basic ones and a few others like roadside assistance. You can get a Progressive quote online in a few minutes and compare it with other companies easily.
- Low rates
- Online quotes
- Good discounts
Erie auto insurance in an affordable option with a great selection of extra coverages. Depending on your policy, you might get extra accident forgiveness, pet injury coverage, glass repair, personal item coverage, and others.
For only $25 a year, you can get the Auto Plus package, which can include diminishing deductible, waived deductible, 10 extra days of rental car coverage, and other perks. Erie is ranked as excellent by J.D. Power for their overall customer satisfaction.
- Excellent overall customer satisfaction
- A long selection of extra coverages and other perks
- Affordable rates
4. North Carolina Farm Bureau
NC Farm Bureau is one of the cheapest options for car insurance in North Carolina. On top of the low rates, they also have a list of discounts on offer such as married drivers, experience, multi-car, and other discounts.
They offer all of the basic coverages through a large network of agents. They will help you to determine how much coverage you need and what discounts you qualify for.
- A regional company selling policies through agents
- One of the best rates in NC
- Great discounts
5. National General
National General is another big insurance company that is offering auto insurance in North Carolina. They specialize in “high risk” drivers and can be a great choice for those with a bad driving record. They sell their policies both online and through independent agents.
National General also has a wide selection of coverages and a great list of discounts, including discounts for tracking your mileage, multi-policy, and multi-vehicle discounts.
- Policies for high-risk drivers
- Accessible online and through independent agents
- Many discounts
Allied offers affordable car insurance for drivers in a variety of situations, including young and senior drivers and families. They have great discounts for good drivers with no accidents and owners of new cars.
Their coverages include all of the basic ones as well as optional coverages, including accident forgiveness, gap coverage, vanishing deductible, and roadside assistance.
- Low rates
- Accident forgiveness and vanishing deductible
- Discounts for families with teen drivers
7. Auto Owner Insurance
Auto Owner Insurance is a car insurance provider that operates through independent agents. While they are not a big company and not everyone has heard of them, they are known for their excellent customer service and good rates.
They offer all of the standard coverages and most of the discounts that other companies have available. It can be a great option for you if you like getting services face to face through an agent.
- Excellent customer service
- Independent agents
- Great discounts
8. Alfa Insurance
Alfa Insurance provides car insurance at great rates. They offer basic coverages such as liability, collision, and comprehensive as well as some extra add ons. These include emergency road service, loss of income, loss of car use, and others.
Claims can be filed online, through the phone, via a mobile app, or by contacting a local agent. The discount list from Alfa Insurance is pretty standard and includes defensive driver, multi-policy, and other discounts.
- Many ways to file a claim
- Great selection of coverages
- Discounts available
9. State Farm
State Farm is an affordable auto insurance provider with many coverages for you to choose from. The company has a good reputation nationwide for customer service, great rates, and savings programs.
Drive Safe & Save earns you discounts by calculating your mileage as well as monitoring your driving habits. The Steer Clear Driver program is aimed at those under 25. You can save on their premiums after completing this program.
State Farm has all standard coverages and some extras like rental car coverage.
- Good reputation and a well-known name
- Many ways to save
- Rental car coverage
Nationwide offers high-quality car insurance. It might not be your cheapest option, especially since their minimum limits are higher than those required by the state. Besides the standard coverages, they also have gap coverage, new car replacement, and total loss deductible waiver.
Nationwide’s discounts are not the greatest out there, but they do have a plan for families. This might be a good option for families with teenage drivers to keep the premiums down. They also offer a SmartRide program which monitors your driving and can earn discounts.
- Gap coverage and total loss deductible waiver
- Family plan
- SmartRide program
Who has the cheapest car insurance in North Carolina?
North Carolina offers affordable car insurance for most drivers, with its average premium being on the lower end of the scales. If you are looking for the cheapest option, it’s always advisable to get quotes from many different companies.
While the factors different companies take into consideration are more or less the same, the rate calculation formula is usually different. We looked at the cheapest options for a few different categories to give you a clearer picture of what to expect.
- Overall Cheapest: There are a few leaders in this category, including Geico, Erie, National General, and North Carolina Farm Bureau.
- Cheapest for Young Drivers: Geico is the cheapest auto insurance provider for young drivers with an average cost of $881 per year for full coverage.
- Cheapest Minimum Coverage: North Carolina Farm Bureau is cheapest for minimum coverage with an average of $331 per year for a good 40-year-old driver.
What is the Average Cost of Car Insurance in North Carolina?
The average cost drivers pay for their car insurance is $655 per year. This figure has been increasing over the past few years, but it is still much lower than the national average of $889.
This is an average cost and your cost might be either higher or lower than this depending on many factors, such as your age, gender, location, driving record, and many other factors.
Is Auto Insurance Cheaper in North Carolina?
Car insurance in North Carolina is cheaper than in many states, and it is known to be one of the most affordable in the country. But with an increasing number of accidents in the state, the rates are rising accordingly. The minimum required coverage limits have also increased.
The reason for such a low average cost is the area. North Carolina is mostly rural land, which in the eyes of auto insurance providers, is not as risky as urban areas. Another reason for the low rates is the insurance commissioner who holds a cap on insurance rates year after year.
While residents of NC can enjoy low car insurance rates, it remains important to choose a company that best fits your needs.
Which company has the best car insurance?
There is no one size fits all company when it comes to car insurance. The best car insurance is not easy to define and is quite personal.
Once you decide what coverages you need, you can shop around and see which companies can offer you the best deal. If you value customer service, State Farm might be the best fit for you. If you are after low rates, Geico, Progressive, or NC Farm Bureau will probably be one of the best options.
Only when you understand what is important for you can, you can start getting quotes and comparing the policies and rates.
How to Find the Best Car Insurance in North Carolina for You
Here’s what you need to think about to make sure you find the best insurance for you:
- Think about which coverages you really need.
This will largely depend on a number of things, including how often you drive, how confident you feel behind the wheel, how much traffic is in the areas you go to, and the value of your car.
- Think of what the perfect auto insurance company looks like to you.
Do they have excellent customer service, or maybe you prefer to manage everything online without ever dealing with a live agent? Or perhaps it’s the small regional company with a local agent that remembers your name you feel most comfortable with?
- Pick a few companies that offer the coverages you need.
Get quotes from them – and compare. No need to rush – finding the company that works best for you is the ultimate goal.