Out of the nine biggest auto insurance companies in Arkansas, State Farm offers the best premium rates, with a minimum-coverage cost of $374 per year.
Car insurance rates vary depending on your driving history, personal profile and city of residence. Since there are so many factors that determine your rates, we recommend that you shop around and compare quotes from at least three insurers.
Cheapest auto insurance in Arkansas: State Farm
According to our research, the companies with the cheapest minimum-coverage auto insurance in Arkansas are State Farm, Progressive and Southern Farm Bureau. The annual rates from these companies averaged 32% less than the Arkansas average.
Additionally, USAA will likely provide drivers with very cheap car insurance — although only veterans, military members and their families are eligible for these policies.
Find Cheap Auto Insurance Quotes in Arkansas
The minimum-coverage insurance policy is the cheapest plan an Arkansas driver can purchase. However, depending on your background and history, you may need additional coverage.
The purpose of having a minimum-coverage policy is to protect other drivers and their vehicles. Your own vehicle will not be financially reimbursed, which can result in hefty out-of-pocket costs if your car is expensive.
Arkansas drivers should opt for a higher limit or more than the minimum coverage if their vehicle is one of the following:
- Worth more than $3,000.
- Less than 10 years old.
Cheapest company for full coverage: State Farm
For a full-coverage car insurance policy, Arkansas drivers can expect to get the cheapest car insurance rates with State Farm. This company provided the cheapest quotes for our 30-year-old male profile driver — with rates that averaged $1,416 per year. State Farm’s rates are 46% less than the average cost of full-coverage auto insurance in the state.
|Southern Farm Bureau||$1,626||$136|
Full coverage policies include comprehensive and collision insurance coverage — which pay out to repair or replace your own vehicle if it is stolen or damaged in a crash. It is recommended that drivers consider these policies if their car is worth more than a few thousand dollars.
Cheap car insurance for drivers with prior incidents
The average cost of a full coverage policy tends to be higher for drivers with a history of citations, traffic violations, or accidents. Depending on what violation you have, rates can increase by a few hundred to thousands of dollars.
Find Cheap Auto Insurance Quotes in Arkansas
Cheapest for drivers with an accident: State Farm
The best company for inexpensive car insurance after an accident in Arkansas is State Farm. Rates from State Farm were nearly half the average cost of insurance for drivers with an accident — which is $3,094 per year. Choosing State Farm over the average insurance company in the state could represent a savings of $121 per month on premiums.
|Southern Farm Bureau||$2,078||$173|
Insurance companies may raise rates after you've been in an accident because you are statistically more likely to be in future accidents. According to our research of Arkansas companies, the increase in rates could be as much as 82% — depending on your insurer.
Cheapest car insurance for people with a speeding ticket: State Farm
Arkansas's best insurance company for drivers with a speeding ticket is State Farm. The cost difference between State Farm and the most expensive company is an average of $2,791. This gap emphasizes why it's so important to shop and compare multiple companies. Two other cheap insurers worth checking out are Geico and Southern Farm Bureau.
|Southern Farm Bureau||$1,759||$147|
Insurance companies use violation history as another way to assess risk. Having a traffic ticket on your record indicates that you are riskier to take on than a customer with a clean record.
Cheapest car insurance for drivers with a DUI: State Farm
Being charged with a DUI will likely cause your insurance rates to go up. If you're lucky enough to leave the ordeal with only a conviction, you should check out State Farm for the best low-cost full-coverage policy. Those insured under this company pay less than half the price of the average Arkansas driver.
|Southern Farm Bureau||$1,940||$162|
Serious driving convictions like DUIs can stay on your record longer than something minor, like driving 10 miles per hour over the speed limit. Comparing rates can help mitigate the impact of having a DUI, but driving responsibly for a while is the only way to get your rates back to where they were before.
Cheapest car insurance for drivers with poor credit: Geico
Geico offers the cheapest premiums for drivers with poor credit. Despite being slightly more expensive, Southern Farm Bureau and State Farm are two alternatives still worth looking into. Insurers use credit scores to determine quotes because drivers with low credit scores are statistically more likely to file insurance claims.
|Southern Farm Bureau||$2,105||$175|
Cheapest car insurance for married drivers: State Farm
Arkansas's married drivers pay a slightly smaller amount than single drivers for car insurance. In fact, our sample married driver paid an average $225 less, per year, than our sample single driver. If you've tied the knot, we recommend receiving quotes from Progressive, State Farm and Southern Farm Bureau.
|Southern Farm Bureau||$1,441||$120|
Cheapest car insurance for young drivers: Southern Farm Bureau
Teens who have recently obtained their license can find the most affordable car insurance for their profile with Southern Farm Bureau, which costs $3,078 annually.
If you or one of your family members is a veteran or current military member, you should contact USAA, which has the cheapest overall premium out of the nine largest insurers in Arkansas.
Age is one of several factors insurers take into account when calculating your annual premium. Teens and new drivers in Arkansas pay more than three times as much as a driver in their 30s. However, once you get older and garner more driving experience, the cost of car insurance decreases.
|Southern Farm Bureau||$3,078||$1,171|
*USAA is excluded from rankings because it is only available to current and former military members and their families.
Cheapest for young drivers with one accident: Southern Farm Bureau
Young drivers who have been in an accident should contact Southern Farm Bureau and State Farm. Their average premiums are nearly half the state average for our sample driver of the same profile.
Having an accident history will most likely increase your insurance rates because drivers found to be at-fault in an accident are more likely to be involved in another incident. This price hike can be particularly burdensome for young people, who are already charged higher premiums on average.
|Southern Farm Bureau||$4,033||$336|
Cheapest for young drivers with one speeding ticket: Southern Farm Bureau
Southern Farm Bureau and State Farm not only have the best prices for teen drivers after an accident, they also have the best rates for young drivers after a speeding ticket.
Having a speeding ticket on your record and having an accident history result in similar effects to your insurance premiums. Both can increase your car insurance costs, sometimes by thousands of dollars. However, you can mitigate the amount you have to pay annually best by comparing rates at multiple companies.
Allstate has the most expensive full-coverage auto insurance for our 18-year-old sample driver, has an annual rate of $15,560 — which is $12,188 more costly than Southern Farm Bureau, the cheapest option.
|Southern Farm Bureau||$3,372||$281|
Best auto insurance companies in Arkansas
Offering a combination of quality claims processing and customer service, USAA is our top-rated auto insurance company in Arkansas. In our survey of current policyholders, this company had the highest percentage of "excellent" ratings for both claims satisfaction and customer service.
Nationwide and State Farm also received excellent reviews from current customers and ranked as the second and third best in the nation, according to our survey.
% extremely satisfied with most recent claim
% reporting excellent customer service
|NA||Southern Farm Bureau||NA||NA|
The National Association of Insurance Commissioners (NAIC) compiles Complaint Index numbers from insurance companies in Arkansas. A higher Complaint Index indicates that customers file complaints to their state regulators at a higher rate.
The insurers with the best customer service, as measured by the NAIC Complaint Index, are Southern Farm Bureau, Auto-Owners and Farmers.
2019 NAIC Complaint Index
2020 J.D. Power claims satisfaction
AM Best rating
|Southern Farm Bureau||0.27||—||A+|
Cost of car insurance in Arkansas by city
Insurance costs vary depending on your city of residence. Each area of Arkansas is diverse in its population density, crime rate and accident frequency, which all factor into your annual rate estimates. The average cost of full-coverage car insurance by city in Arkansas ranged from $1,842 in Cave Springs to $2,391 in West Helena.
Average annual cost
Percent from average
Arkansas rate changes by company
Arkansas auto insurance companies reduced their premiums by 5% for the 2020 plan year, which was only the second time since 2015 that auto rates fell in the state. When taking a closer look at individual insurers, State Farm decreased its rates the most compared to competitors — by over 10%.
The decreases in auto premiums are due mainly to a fall in auto insurance claims. Almost all insurance companies paid out fewer claims than they usually would due to a decrease in driving caused by the COVID-19 pandemic.
Premiums written (millions) 2019
Rate change 2019
Rate change 2020
|Southern Farm Bureau||$278.2||1.8%||-4.5%|
Arkansas car insurance requirements
Arkansas drivers are required to have a minimum amount of liability insurance, which pays out for damages that they may be responsible for in the event of an accident. Those caught driving without insurance may face fines and vehicle registration suspension. Below, we've provided the minimum car insurance policy limits in Arkansas:
- Bodily injury liability insurance: $25,000 per person/$50,000 per accident
- Property damage liability insurance: $25,000 per person
Keep in mind that while the minimum amount of liability is the cheapest, it may not provide sufficient protection for your individual needs. This level of protection does not provide financial reimbursement for damages obtained by your car. We recommend that drivers with expensive or new vehicles purchase higher liability limits or additional coverage.
Recap of the cheapest auto insurance in Arkansas
- Minimum coverage: State Farm
- Full coverage: State Farm
- After an at-fault accident: State Farm
- After a speeding ticket: State Farm
- After a DUI: State Farm
- Poor credit history: Geico
- Very good credit history: State Farm
- Married couples: State Farm
- Young drivers: Southern Farm Bureau
- Young drivers with one accident: Southern Farm Bureau
- Young drivers with one speeding ticket: Southern Farm Bureau
We collected thousands of rates from ZIP codes across Arkansas for the largest 10 insurers. We used a sample driver with the following profile:
- 30-year-old man
- Drives a 2015 Honda Civic EX
- Average credit
The base policy for the study was a full-coverage policy with the following limits:
|Bodily liability||$50,000 per person/$100,000 per accident|
|Personal injury protection||$10,000|
|Property damage||$25,000 per accident|
|Uninsured/underinsured motorist bodily injury||$50,000 per person/$100,000 per accident|
|Comprehensive and collision||$500 deductible|
For our minimum-coverage policy, we quoted a policy with the minimum required limits in Arkansas, above.
For other rates analyses (age, credit score, accident history and marriage status) the base policy listed above was alternated to reflect the new driver.
ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes may be different.