Enter your ZIP code above to begin comparing quotes from Iowa insurers, or read our analysis below to get a sense of what Iowa drivers are paying. And if you're looking for more than just the most affordable policy, we also provide recommendations for auto insurers based on customer experience.
Cheapest auto insurance in Iowa: IMT Insurance
If you're looking for the cheapest available car insurance quotes with the lowest limits allowed in Iowa, the most affordable minimum coverage is offered by IMT Insurance (Wadena).
The average cost of IMT Insurance is $220 per year, 46% cheaper than the statewide average. Drivers in Iowa can also find cheap car insurance from State Farm and Farm Bureau. Below, we've provided a list of rates for our sample driver as a general guide to car insurance prices for minimum coverage in Iowa.
Find Cheap Auto Insurance Quotes in Iowa
A liability-only policy will be the cheapest option for any given insurer, as it only meets state requirements for auto insurance coverage, but it will provide less protection than a policy with higher limits and add-on coverages.
Cheapest full-coverage car insurance in Iowa: State Farm
The average cost of full coverage auto insurance in Iowa is $1,659 per year, or $138 per month, although drivers could find the cheapest costs if they compare prices from multiple insurers.
A policy with increased liability limits and comprehensive and collision insurance, which aren't required by the state of Iowa, will generally cost you more per year but will give you more protection than a basic policy. The cheapest full-coverage policy comes from State Farm, which is 28% more affordable than average in Iowa.
Collision insurance covers the cost of damage to your own car after an accident, while comprehensive insurance pays for damage that isn't related to a collision, such as in cases of severe weather or vandalism. You may consider adding this coverage if you don't want to pay for these costs out of pocket.
Cheap car insurance for drivers with prior incidents
The average cost of full coverage car insurance in Iowa can be more expensive for drivers who have been involved in an accident or have gotten violations for DUI (driving under the influence) or other traffic violations. With this in mind, ValuePenguin calculated the cheapest full coverage car insurance for drivers who:
Find Cheap Auto Insurance Quotes in Iowa
Cheapest full coverage car insurance after an accident: State Farm
State Farm offers the cheapest rates for drivers who have been in an at-fault accident. Typically, the cost of full coverage auto insurance from State Farm for drivers with one accident is $1,311, which is 44% cheaper than the statewide average for drivers with one accident.
Generally, we found that the average cost of coverage rose by 40% after an accident. However, this doesn't mean you can't still find affordable auto insurance after you've had an at-fault collision. For instance, we found that for drivers with an accident State Farm is $2,116 cheaper per year than the most expensive provider, Progressive.
|Average in Iowa||$2,337||$195|
Cheapest for drivers with a speeding ticket: State Farm
Drivers who have gotten a speeding ticket see higher-than-average insurance costs, though not as high as those with an at-fault accident. State Farm has the cheapest full coverage auto insurance for people with a speeding ticket, as its premiums are 37% cheaper than average.
|Average cost in Iowa||$1,942||$162|
Cheapest for drivers with a DUI citation: State Farm
Receiving a DUI can increase the average cost of car insurance by 61% per year. State Farm is the cheapest insurance provider for most people who have a DUI, where drivers can get full coverage for 54% less than average. Notably, State Farm's premiums for drivers with a DUI aren't different from the rates charged to those with a speeding ticket.
|Average cost in Iowa||$2,668||$222|
Cheapest for drivers with poor credit history: IMT Insurance
Having poor credit compared to very good credit can raise the cost of car insurance by 99%, on average. For drivers with poor credit, IMT Insurance is the cheapest car insurance provider in Iowa. While the cost of full coverage from IMT Insurance is 40% more expensive for drivers with poor credit, the insurer is 35% cheaper than its competitors.
Very good credit
|Average in Iowa||$2,551||$1,281||99%|
Cheapest car insurance for married drivers
The average cost of full coverage car insurance for a married driver is $1,555 — an average of $104 per year cheaper than the cost for an unmarried driver.
Though it's not one of the cheapest insurance providers for married drivers, Progressive does provide the best discount for these shoppers. Progressive's discount for being married is five times greater than the average difference between what a married driver pays and what a single driver pays.
Cheapest car insurance for young drivers: IMT
The average cost of full coverage car insurance in Iowa for young drivers is $4,389 per year — 165% more expensive than the average for older drivers.
The cost of car insurance increases drastically for younger drivers. On average, 18-year-old drivers pay $1,259 more for minimum car insurance and nearly $3,000 more for full coverage. This is a substantial increase compared to the average cost of car insurance for adults in Iowa, which is $408 per year for minimum coverage.
It's still possible to find cheap coverage as a young driver: ValuePenguin found that IMT Insurance had the most affordable auto insurance for 18-year-old drivers. Drivers could find minimum coverage from IMT for just $592 per year, while full coverage costs $2,555 per year, 42% less expensive than competitors. Shoppers could also find cheap auto insurance from Farm Bureau, Grinnell and State Farm.
Rates are sorted by the cost of minimum coverage.
Cheapest for young drivers with one accident: State Farm
Accidents cause the cost of car insurance to rise greatly for most people, meaning a young driver who's involved in an at-fault crash will see significantly higher rates. If they have an at-fault crash on their record, young drivers could still find affordable full coverage car insurance in Iowa with State Farm. State Farm's rates are 33% less expensive than average.
|Average cost in Iowa||$5,658||$471|
Cheapest for young drivers with one speeding ticket: IMT Insurance
Young drivers are likely to see increased car insurance rates after receiving a speeding ticket, though the price hike isn't nearly as much as it is after an at-fault accident. The cheapest insurer for young drivers with a speeding ticket is IMT Insurance, which charges $3,305 for full coverage — 33% cheaper than average.
|Average cost in Iowa||$4,956||$413|
Best car insurance companies in Iowa
The best car insurance companies aren't necessarily those with the cheapest rates. In addition to looking for low prices, Iowa drivers should look for an insurer with a strong customer service reputation.
Auto-Owners has the best customer service in Iowa, with 100% of the respondents saying that they were extremely satisfied with their most recent claim. Furthermore, 67% of responding customers rated the insurance company's customer service as "excellent".
% of respondents overall extremely satisfied with most recent claim
% of respondents who rated customer service as "excellent"
|2||American Family (AmFam)||86%||50%|
Below, we rank the biggest insurers in the state by their complaint index, which measures the number of complaints a company receives, adjusted for the size of the company. The national median is 1.00, and a lower complaint index means customers submit fewer complaints about the company than the national average (and vice versa).
J.D. Claims Satisfaction score (higher is better)
A.M. Best Financial Strength Rating
Complaint index was drawn from the National Association of Insurance Commissioners. If an insurance group had multiple companies operating in the state, the complaint index was taken from the company with the largest market share. If that company's name was distinct from the parent group, it is noted in parentheses.
Auto insurance quotes in Iowa by city
The average cost of car insurance in Iowa for a full-coverage policy is $1,659 per year. This number comes from surveying 10 insurers across hundreds of cities, but rates can differ greatly depending on a variety of factors including driver profile, coverages and location.
Below, we have listed the average cost of car insurance in every city in Iowa based on the average price of a full-coverage policy. The following table is ordered alphabetically.
- University Heights is the cheapest city in Iowa for auto insurance, with an average full-coverage policy costing $1,425 per year.
- Carter Lake is the most expensive city for car insurance: A full-coverage policy costs $2,012 per year on average.
Percentage difference from average
Iowa car insurance laws
Drivers in Iowa are required to carry enough car insurance to meet the following limits:
- Bodily injury liability: $20,000 per person/$40,000 per accident
- Property damage liability: $15,000 per accident
Iowa is one of the few states in the nation that doesn't require auto insurance as long as you have an appropriate alternative. The law requires that a driver show proof of financial responsibility if they get into an accident or lose driving privileges.
There are a few ways to show proof of financial responsibility in Iowa, including:
- Bond insurance card: If you post a bond of at least $55,000 in value with Iowa's Department of Transportation, you will receive a bond insurance card that acts as proof of financial responsibility.
- Security insurance card: Similarly, you can file an endorsed certificate of deposit with the state treasurer to receive a security insurance card. This card indicates you've deposited at least $55,000 with an Iowa bank that can be used to meet your financial responsibilities if you're at fault in an accident.
Recap of the cheapest car insurance in Iowa
- Cheapest car insurance for minimum liability: IMT Insurance
- Cheapest full coverage car insurance: State Farm
- Cheapest for drivers with an accident: State Farm
- Cheapest for drivers with a speeding ticket: State Farm
- Cheapest for drivers with a DUI: State Farm
- Cheapest for drivers with poor credit: IMT Insurance
- Cheapest car insurance for married drivers: State Farm
- Cheapest full coverage car insurance for young drivers: State Farm
- Cheapest for young drivers with an accident: State Farm
- Cheapest for young drivers with a speeding ticket: IMT Insurance
Iowa rate changes by company
In Iowa, auto insurance providers decreased their premiums in 2020 by 2.1%, reversing a trend of increased rates in previous years. IMT Mutual showed the most significant decrease in premiums, down 10.5% compared to 2019. Other insurance providers in Iowa also decided to lower rates in 2020. State Farm, for instance, offered a 9.5% drop in premium rates.
Premiums written (millions) 2019
Rate change 2019
Rate change 2020
|Iowa Farm Bureau||$128.7||2.0%||2.5%|
We collected thousands of rates from ZIP codes across Iowa 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 Iowa, 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.