Tennessee: The Second Best Rates in the Region for Car Insurance

The Volunteer State is the focus of our latest study about auto insurance costs. We looked at 44 cities and towns across Tennessee and collected quotes to see which place was the most affordable in the state. Overall, we found a state average of $1,199 for our sample driver. The most expensive city was Memphis costing an average $1,600 per year, or 33% higher than the state average. The least expensive city was Bristol where the average premium was $1,071 or 11% less than the state average.

We also compared Tennessee to its neighboring states of North and South Carolina, Georgia, Alabama, Arkansas and Kentucky. In the seven state region, Tennessee is the second cheapest behind North Carolina where the average premium is $807. Tennessee is however, 36% less expensive than neighboring Kentucky where the average premium cost is $1,885.

Table of Contents

Least Expensive Cities in Tennessee

The average premium in Tennessee's five least expensive cities is $1,093 per year, about 8% less than the state average for our sample driver. The four least expensive cities can all be found in the northeastern part of the state near the Virginia border. With the exception of Elizabethton, are all small cities of around 60,000 people. The cities are also generally far away from any of Tennessee's major cities, except Brentwood, which is located just outside Nashville.

Graph showing how the top five least expensive cities in Tennessee for auto insurance stack up

Most Expensive Cities in Tennessee

The five most expensive cities in Tennessee have an average premium of $1,463 per year, about 18% higher than the state average for our sample driver. All five can be found in the western part of the state, and can all be reached on a 3 hour drive along the Arkansas border. The cities get more expensive the closer they get to Memphis. Memphis follows the trend found in other states where a fairly large metropolitan city is the most expensive spot for auto insurance in the state.

Graph showing how the top five most expensive cities in Tennessee for auto insurance stack up

Tennessee: Second Best Rates in the Region

Looking at 536 cities in the seven state region showed that Tennessee had the second least expensive statewide average for our sample driver. North Carolina is by far the least expensive in the region; our sample driver pays a full $392 per year less in North Carolina than he does in Tennessee. On the other hand, the Volunteer State is $686 less expensive than Kentucky. No Tennessee cities are in the top 150 most expensive nor are any in the top 100 least expensive. Memphis is the 168th most expensive city in the region while Bristol is the 115th *least *expensive.

Graph shows how Tennessee cities compare to neighboring states for auto insurance

Nashville Has the Fourth Best Rates of Cities Larger than 250,000 People in the Region

In the seven state region studied, there are eight cities of more than 250,000 people. Those eight cities have an average yearly premium of $1,264 for our sample driver. Nashville is the fourth best priced, costing about $1,209 per year for our sample driver, about 5% less than the average. The only three cities less expensive were Greensboro, Charlotte and Raleigh, North Carolina. Nashville is almost $400 cheaper than similarly populated Memphis and nearly $550 less expensive than Louisville.

graph shows how price of nashville auto insurance compares to other major cities

How Cost Differs by Place in Tennessee

In this study we analyzed 44 cities and towns across Tennessee where we found a statewide average of $1,199 per year -- based on our sample driver. The least expensive cities came mostly from northeastern Tennessee, while the most expensive came from the western part.

Tennessee Rank

Regional Rank (/536)CityPremiumPercent Difference From Average

1

115Bristol$1,067-11%

2

116Kingsport$1,071-11%

3

117Johnson City$1,078-10%

4

118Elizabethton$1,116-7%

5

119Brentwood$1,127-6%

6

120Gallatin$1,132-6%

7

121Hendersonville$1,135-5%

8

123Smyrna$1,145-5%

9

125Red Bank$1,146-4%

10

126Franklin$1,146-4%

11

127Mount Juliet$1,147-4%

12

128Soddy-Daisy$1,147-4%

13

129Lebanon$1,149-4%

14

130Goodlettsville$1,151-4%

15

131Greeneville$1,153-4%

16

132Cookeville$1,156-4%

17

133Cleveland$1,157-4%

18

134Murfreesboro$1,159-3%

19

135East Ridge$1,160-3%

20

136Morristown$1,160-3%

21

137Lawrenceburg$1,169-3%

22

139Chattanooga$1,172-2%

23

140Springfield$1,173-2%

24

141La Vergne$1,173-2%

25

142Shelbyville$1,175-2%

26

143Clarksville$1,176-2%

27

144McMinnville$1,177-2%

28

145Athens$1,178-2%

29

146Maryville$1,179-2%

30

147Columbia$1,191-1%

31

148Farragut$1,191-1%

32

149Tullahoma$1,193-1%

Tennessee Average$1,1990%

33

152Dickson$1,1990%

34

155Nashville$1,2091%

35

158Oak Ridge$1,2202%

36

159Knoxville$1,2262%

37

170Sevierville$1,2454%

38

174Jackson$1,2504%

39

186Union City$1,2706%

40

205Dyersburg$1,2948%

41

301Collierville$1,44921%

42

306Germantown$1,47123%

43

319Bartlett$1,50526%

44

365Memphis$1,60033%

How We Conducted This Study

We collected quotes from a variety of insurance companies across 44 towns and cities in Tennessee. Our sample driver was a 30 year old male who drove a Toyota Camry. To obtain quotes, we kept parameters for getting coverage the same, such as that he was single, had a good credit score and a clean driving record. The only parameter that changed was the zip code where he lived in Tennessee. For the neighboring states we conducted the same procedure for the same type of driver. The amount of coverage we opted for gave our driver bit more than what is required of state minimums. Below you can see the state required limits as well as the coverage used in our study.

Coverage TypeTennessee MinimumStudy (including Neighbor states) Limits

Bodily Liability

$25,000 per person / $50,000 per accident$50,000 per person/ $100,000 per accident

Property Damage

$15,000 per accident$50,000 per accident

Uninsured/Underinsured Motorist BI

$50,000 per person/ $100,000 per accident

Uninsured/Underinsured Motorist Property

$50,000 per accident

Comprehensive & Collision

$500 Deductible

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