Cheapest Auto Insurance Quotes in Louisville, Kentucky
Cheapest Auto Insurance Quotes in Louisville, Kentucky
Find Cheap Auto Insurance Quotes in Louisville
The average price of a minimum auto insurance policy in Louisville is $1,718, or about $143 per month.
On the other hand, the average full-coverage policy quote is $3,848, or $321 a month. Louisville is the largest city in Kentucky and also happens to have the highest auto insurance rates in the state.
Cheapest car insurance in Louisville: State Farm
State Farm offers the cheapest rates for a minimum liability policy, costing only $662 per year. The next most affordable option is Kentucky Farm Bureau, which has an average premium of $1,071.
Current military members and veterans should take time to contact USAA. It is one of the cheapest options available and has also been highly rated for customer service.
Find Cheap Auto Insurance Quotes in Louisville
Minimum-liability insurance is a policy that meets the lowest coverage requirements needed to drive in the state. It is the cheapest policy a driver can choose, but it may not be the best option for you.
The coverage options required by Kentucky won't financially protect your vehicle if it is stolen or damaged in a crash. Louisville drivers who own a car that is less than 10 years old or worth more than $3,000 should consider purchasing supplemental coverage beyond the minimum requirements.
Rank | Insurance company | Average annual rate |
|---|---|---|
| 1 | State Farm | $662 |
| 2 | Kentucky Farm Bureau | $1,071 |
| 3 | Nationwide | $2,124 |
| 4 | Progressive | $2,251 |
| 5 | Geico | $2,317 |
*USAA is only available to current and former military members and their families.
Cheapest car insurance for drivers with excellent credit
Louisville drivers with an excellent credit score will find the cheapest rates with State Farm and Kentucky Farm Bureau.
USAA is another insurer worth checking out, but it's important to note that the company has strict eligibility requirements.
Your credit score is one of many factors used by insurance companies to measure your "riskiness" from an auto insurance perspective. If your credit score has recently improved, it's worth filing that information with your insurance company to receive a better rate.
Rank | Insurance company | Average annual rate |
|---|---|---|
| 1 | State Farm | $388 |
| 2 | Kentucky Farm Bureau | $493 |
| 3 | Geico | $969 |
| 4 | Progressive | $1,214 |
| 5 | Allstate | $1,263 |
*USAA is only available to current and former military members and their families.
Cheapest full-coverage insurance: State Farm
You can find the cheapest full-coverage policy in Louisville through State Farm, which has an average annual premium of $1,776.
The second-cheapest option is Kentucky Farm Bureau, but the company's annual premium costs $2,595 on average — $819 more than State Farm's.
USAA is one of the more affordable options for a full-coverage policy; it's more expensive than State Farm but cheaper than Kentucky Farm Bureau. However, only current and former military members qualify for a quote from USAA.
Rank | Insurance company | Average annual premium |
|---|---|---|
| 1 | State Farm | $1,776 |
| 2 | Kentucky Farm Bureau | $2,595 |
| 3 | Nationwide | $3,931 |
| 4 | Geico | $4,678 |
| 5 | Progressive | $5,015 |
*USAA is only available to current and former military members and their families.
The average cost of a full-coverage policy in Louisville is $2,130 more expensive than the average cost of the city's minimum liability policy. This is because a full-coverage policy encompasses different types of protection, in addition to those required by the state. These protections come in the form of comprehensive and collision coverage.
Comprehensive coverage | Collision coverage |
|---|---|
| Financially protects against damage caused by circumstances out of your control. These may include vandalism, theft and "acts of God," such as natural disasters. | Financially protects your car if you're involved in a crash with another car or a piece of property. You're also covered if your car flips over or you drive into a pothole. |
We recommend you purchase a full-coverage policy if you lease or finance the car, it's worth more than $3,000 or it's less than 10 years old.
Cheapest full-coverage policy for young people? State Farm
Young people in Louisville looking for full-coverage car insurance should contact State Farm for a quote. State Farm offers, by far, the cheapest rates for young drivers, at an annual rate of $5,161 per year.
Rank | Insurance company | Average annual rate |
|---|---|---|
| 1 | State Farm | $5,161 |
| 2 | Kentucky Farm Bureau | $7,932 |
| 3 | Nationwide | $13,682 |
| 4 | Geico | $14,627 |
| 5 | Allstate | $16,804 |
*USAA is only available to current and former military members and their families.
Your age is one of the biggest factors that will affect your auto insurance rates. Our 18-year-old sample driver received an average insurance quote of $12,104 — more than three times the average insurance quote for our sample 30-year-old driver — demonstrating the significant impact of age on insurance pricing.
If you're a new professional or a college student trying to find insurance on an already tight budget, there are a few ways you can make your rates more affordable:
- Consider a combined or multicar policy. Ask your parents or an older driver in your family if you can join their insurance policy. Adding an 18-year-old to a six-month car insurance policy costs $1,510 on average, while the same 18-year-old would pay $3,589 for their own six-month policy.
- Ask about discounts. Most insurance companies, especially larger corporations, offer a menu of discount offerings. Some apply exclusively to college students. You can also receive discounts for attending safe-driving classes, installing safety devices and being accident-free for a certain period of time.
- Compare quotes from multiple companies. Many small insurers in Kentucky offer lower insurance rates compared to large companies such as State Farm or Geico.
Cheapest full-coverage plan for drivers with an accident history
The Louisville auto insurance companies that increased their full-coverage plan the least were:
- State Farm
- Kentucky Farm Bureau
- USAA
Rank | Company | Car insurance quote before accident | Car insurance quote after accident | Difference |
|---|---|---|---|---|
| 1 | State Farm | $1,776 | $2,052 | $275 |
| 2 | Kentucky Farm Bureau | $2,595 | $3,493 | $899 |
| 3 | Nationwide | $3,931 | $6,167 | $2,236 |
| 4 | Geico | $4,678 | $6,729 | $2,051 |
| 5 | Progressive | $5,015 | $8,468 | $3,452 |
*USAA is not ranked because only military members (current and former) and their families are eligible.
Although some insurers will only increase a driver's premium by only a few hundred dollars, other companies can hike up car insurance rates substantially following an accident. For example, Allstate, the most expensive insurer, nearly doubled our sample driver's average auto insurance quote following an accident.
These large price variations demonstrate why you should always compare quotes from multiple companies before deciding on an insurer.
Best insurance company service in Louisville: USAA
According to our survey on customer satisfaction, USAA and Allstate are the best insurance companies. Over 60% of USAA drivers were satisfied with the company and rated the customer service as excellent.
Allstate, which is the most expensive insurer, also received many positive reviews for its service quality. On the other hand, State Farm, the insurer with the cheapest insurance plans, ranks in the middle when it comes to customer satisfaction.
As a consumer, you will need to find an insurance company that has good customer service and the most affordable prices.
Satisfaction rank | Insurer | "Extremely satisfied" respondents | % of respondents who thought customer service "excellent" |
|---|---|---|---|
| 1 | USAA | 68% | 62% |
| 2 | Allstate | 64% | 47% |
| 3 | State Farm | 59% | 46% |
| 4 | Geico | 56% | 42% |
| 5 | Progressive | 51% | 34% |
Average cost of insurance, by Louisville ZIP code
Louisville is one of the largest cities in the country, with many distinct neighborhoods. Each area in Louisville has a different crime rate, population density and accident frequency, which leads to auto insurance price fluctuations depending on your neighborhood.
For example, residents of the historic area of Portland, the most expensive neighborhood, pay $2,129 for an average minimum-coverage policy. Meanwhile, Louisville drivers who live in Prospect, the cheapest area of the city, spend an average of $1,369 on a minimum policy.
ZIP code | Neighborhood | Average cost |
|---|---|---|
| 40059 | Prospect | $1,369 |
| 40202 | Medical Center/Central Business District | $1,799 |
| 40203 | Civic Center | $2,020 |
| 40204 | Cherokee Triangle | $1,637 |
| 40205 | Highlands Douglass | $1,403 |
Auto theft statistics in Kentucky
Out of the four most populated cities in Kentucky, Louisville has the highest rate of automobile theft. In 2017, the city reported approximately 565 stolen vehicles for every 100,000 residents.
City | Population | Car thefts | Thefts per 100,000 people |
|---|---|---|---|
| Louisville | 684,362 | 3,864 | 564.6 |
| Owensboro | 59,576 | 243 | 407.9 |
| Lexington | 322,332 | 1,273 | 394.9 |
| Bowling Green | 66,317 | 177 | 266.9 |
Motorvehicle theft data was pulled from the FBI 2017 Kentucky Crime Report.
Car insurance companies in Louisville
The 10 largest insurers in Kentucky make up nearly three-quarters of the number of premiums written in the state. State Farm, Kentucky Farm Bureau and Progressive, the three largest insurance companies in Louisville, account for almost half of the direct premiums written.
Being insured under a large company has its perks. For example, insurers like Geico or Travelers tend to have a larger offering of discounts and policies compared to smaller companies. However, drivers insured under small groups typically have a more personalized insurance experience.
Rank | Group | Direct premiums written | Percentage of direct premiums written |
|---|---|---|---|
| 1 | State Farm | 706,807 | 18.86% |
| 2 | Kentucky Farm Bureau | 609,318 | 16.26% |
| 3 | Progressive | 391,798 | 10.45% |
| 4 | Liberty Mutual | 251,465 | 6.71% |
| 5 | Geico | 219,691 | 5.86% |
*USAA is only available to current and former military members and their families.
Minimum insurance requirement: Louisville, Kentucky
Kentucky, like most states, requires residents to meet a minimum auto insurance coverage requirement before they can legally drive. If you are a Kentucky resident, you will be required to obtain the following:
Insurance coverage | Minimum requirements |
|---|---|
| Bodily injury liability (BIL) | $25,000 per person/$50,000 per accident |
| Property damage liability (PDL) | $25,000 per accident |
| Personal injury protection (PIP) | $10,000 per person |
PIP is required in 12 no-fault states, including Kentucky. It helps cover medical bills and lost wages that result from an accident. It is also meant to minimize the number of small accident claims in court.
Kentucky has the fourth most expensive full coverage and minimum coverage policy in the country. Despite the high price of the state and city's auto insurance, you should still consider obtaining additional coverage if your car is less than 10 years old or worth more than $3,000.
Methodology
Data was taken and analyzed from seven insurance companies located in Louisville, Kentucky. The sample driver used in our study was a man who owned a 2015 Honda Civic EX, has no credit history and obtained rates for a minimum liability policy.
During instances where our driver collected quotes for a a full-coverage policy, the following limits were in place:
Coverage type | Study limits |
|---|---|
| Bodily liability | $50,000 per person/$100,000 per accident |
| Property damage | $25,000 per accident |
| Uninsured/underinsured motorist bodily injury | $50,000 per person/$100,000 per accident |
| Comprehensive and collision | $500 deductible |
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.
Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.