Where a driver lives and parks their car in Nebraska plays a significant role in how car insurance companies quote them. We analyzed quotes in more than 40 locations in the Cornhusker State to determine which cities and companies have the cheapest auto insurance. Based on our two sample drivers, we found that the most expensive company cost 2.5x the lowest cost carrier in Nebraska, and the most expensive city cost 22% more than the cheapest place.
- Cheapest Auto Insurance Companies
- Best Car Insurance Rates: by City
- Cost of Car Insurance: by City
- Best Auto Insurance Companies in NE
For consumers looking for companies with the cheapest car insurance in Nebraska, we crunched the numbers across 18 companies and 41 cities in the state to find the answer. The numbers below represent the average annual premium of two sample single drivers: a young 30-year old man, and a mature 65-year old man. Based on this data, we found that Farm Bureau Mutual (has membership dues), State Farm, and GEICO had three of the lowest rates overall. The three insurers had a combined average of $701 for our sample drivers' auto insurance coverage, which was 30% cheaper than the statewide rate for them.
All of these providers are national insurers with the exception of Farmers Mutual of Nebraska, which only underwrites insurance in Nebraska and South Dakota. Membership dues at the Farm Bureau Mutual can run from $40 - $55 depending on the county you live in - for drivers in Omaha / Douglas County, that's $43 a year. You do not need to be a farmer or employed in the agricultural industry to get covered by either Farmers Mutual or Farm Bureau Mutual. For those motorists who'd rather go for more general companies, Allstate rounds out the top five lowest cost car insurers in Nebraska. Together, the six companies averaged annual rates of $772, which is a 23% reduction from the state average.
Most Expensive Auto Insurance Companies in Nebraska
On the other hand, the most expensive companies in Nebraska were EMC, Shelter, and American National. These three insurers had an average annual premium of $1,349 for our two sample motorists, which was an increase of 35% from the state average. EMC was the most expensive provider, costing $500 more than Nebraska’s overall average for our benchmark.
List of Car Insurance Companies
Below we have ranked the 18 insurance companies that were used in our study from the lowest costs and upward. However, not every driver qualifies for every provider. For example, California Casualty only provides insurance to drivers who are employed as firefighters, educators, nurses, and peace officers.
|Company||Average Annual Rates||Change vs. State Average|
|Farm Bureau Mutual||$604||-40%|
|Farmers Mutual of Nebraska||812||-19%|
|Auto Club Group||1,028||3%|
To provide a local perspective, we created a table of some of the largest cities in the state and found the three companies with the lowest auto insurance rates in each place. The rates are derived from our two profiled drivers, who both had good credit score and excellent driving record. Your actual quotes will differ depending on your driving history and the liability coverage and amounts you choose.
|Cheapest Insurer #1||Cheapest Insurer #2||Cheapest Insurer #3|
|Omaha||Farm Bureau Mutual||528||State Farm||780||Nationwide||822|
|Lincoln||Farm Bureau Mutual||486||State Farm||672||Nationwide||708|
|Bellevue||State Farm||684||Farm Bureau Mutual||732||GEICO||744|
|Grand Island||Farm Bureau Mutual||558||State Farm||762||Nationwide||822|
|Kearney||Farm Bureau Mutual||654||Nationwide||732||State Farm||780|
|Fremont||Farm Bureau Mutual||612||State Farm||762||GEICO||804|
|Hastings||Farm Bureau Mutual||696||State Farm||702||GEICO||744|
|North Platte||Farm Bureau Mutual||564||GEICO||678||State Farm||762|
|Norfolk||Farm Bureau Mutual||576||GEICO||678||State Farm||744|
|Columbus||Farm Bureau Mutual||630||State Farm||684||GEICO||744|
Based on our two sample drivers, the typical quote for the top five most affordable cities was $932 per year, or 7% cheaper than the state mean. The cities with the lowest average car insurance quotes were all clustered in the southeast portion of Nebraska. The smallest town in terms of population had 7,000 residents, while the most populated was home to 250,000 people.
|Rank||City||Average Annual Rates||Change vs. NE Average|
The capital and second-most populous city in the state also happens to have the most affordable car insurance compared to other cities in our study. Lincoln ranks as the best city in Nebraska for auto insurance with an average annual rate of $891, 11% more favorable than the state mean. The “Star City” was founded in 1856 as Lancaster and was renamed Lincoln after the president was assassinated. 24,000 students return for studies to the city's University of Nebraska-Lincoln each fall, and turn out in force to cheer for their Huskers games. Healthcare and technology are both large drivers of the local economy - the Omaha-Lincoln area are referred to as the “Midwest Silicon Prairie,” mirroring California’s Silicon Valley.
Grand Island, NE
Contrary to what its name would indicate, Grand Island - the spot with the 2nd cheapest car insurance rates in Nebraska - is a landlocked city in Hall County. The current site for the Nebraska State Fair, the city was founded in 1857, and attracted more settlers when the Union Pacific Railroad laid down tracks on the site. Today, you'll find more people in automobiles on the road, with U.S. Highways 281 and 30 criss-crossing the city. Grand Island motorists will see averages 7% more favorable than the state average, with premiums of $931.
Hastings ranks as the third best city in Nebraska for affordable auto insurance. Premiums for basic liability coverage for our sample drivers average $943, 6% cheaper than the typical Nebraska city. Hastings expanded after the Burlington and Missouri River Railroad reached the area in 1872. During WWII, the largest naval ammunition depot was built here, and employed many local citizens. The depot was closed shortly after the war and the site is now home to the Central Community College as well as other facilities.
Norfolk is located in northeastern Nebraska along U.S. Highway 81. The city was established in 1866 by German settlers and grew after the Fremont, Elkhorn and Missouri Valley Railroad was built through town. Norfolk’s economy relies primarily on retail, in addition to agriculture, manufacturing, health care and education. In Norfolk, premiums on average cost $945 annually, ranking the city as the 4th Best City for Auto Insurance Costs. Rates here are 6% lower than the Nebraska state average for our profiled drivers.
York rounds off our list of cities with the most affordable car insurance with an average premium of $952, 5% better than the state mean. York is the seat of York County and sits at the intersection of Interstate 80, which connects the city to Lincoln, and U.S. Route 81. The city is the site of York College as well as the Nebraska Correctional Center for Women.
The five most expensive cities in Nebraska average $1,072 a year for our sample drivers' car insurance – quotes were 7% more than the typical city in the Cornhusker State. Except for South Sioux City, all of the places are located in western Nebraska. They're generally smaller cities, with average populations of around 10,000.
|Rank||City||Average Annual Rates||Change vs. NE Average|
|1||South Sioux City||$1,083||8%|
South Sioux City, NE
South Sioux City had the most expensive auto insurance costs in our state study. Motorists can see basic liability coverage costs of around $1,083, which are 8% more expensive than the Nebraska average and about $120 higher than any other city. Located immediately across the river from Sioux City, Iowa, South Sioux City is served by Interstate 129 and U.S. Highway 77. The Lewis & Clark and Outlaw Scenic Byways, along with a number of nature centers and the Ponca State Park are a short drive away.
Scottsbluff takes second place in our list of the most expensive cities for auto insurance. The city was established in 1900, when railroad tracks were built through the western county. A quick six miles away in Gering is the Scotts Bluff National Monument and other Oregon Trail landmarks. Scottsbluff itself is home to the University of Nebraska Medical Center. Drivers living in Scottsbluff can see rates around $1,074 a year – 7% costlier than the state mean.
Alliance is located in Box Butte County, in northwestern Nebraska. In Alliance, basic liability insurance averages $1,072 a year for our benchmark drivers - 7% more expensive than the typical Nebraskan city. The city was founded in 1888 as “Grand Lake” and was renamed “Alliance” when the Chicago, Burlington and Quincy Railroad was built through town. “Carhenge”, a replica of Stonehenge constructed from automobiles instead of stones is located just outside the main city area. Hopefully the owners of those cars didn’t file expensive claims!
Sidney was founded in 1867 by the Union Pacific Railroad and named after an attorney for the railroad. The city is home to the Old West’s Boot Hill cemetery, where many Civil War soldiers were interred. Numbering about 7,000 residents, the small city is located between Cheyenne, WY and North Platte, NE on Interstate 80. Sidney drivers can see rates averaging 7% higher than the state mean at $1,067 annually.
The last Nebraskan city in our roundup of expensive cities for car insurance has an average annual rate of $1,064 – 6% pricier than the typical Nebraska city. Kimball was founded in 1870 after the Union Pacific Railroad laid tracks through the city and was named after a railroad official. The city is located near Panorama Point, the highest altitude in Nebraska.
A total of 41 cities and towns in Nebraska were included in our study. Beyond the top five cheapest and most expensive highlighted above, here are how the other places compared to each other in terms of the avereage quotes our study's benchmark motorists saw:
To find the best auto insurance companies in Nebraska, we created a complaint ratio comparing a company’s complaints to their written premiums for auto liability and property damage. This allows consumers to see the amount of complaints every company has and compare how they're performing against their competitors. We looked at ten of the biggest providers in the state, and found that the best rated insurers were GEICO and Progressive - they had fewer complaints compared to their competitors even after factoring in their size. The table below shows our results; the lower the complaint per million in premium, the better the company and the happier customers are with their services is our inference.
|Company||Complaints||Premiums||Complaint Ratio (per $MM premium)|
|Iowa Farm Bureau||34||120,525,000||0.46|
We gathered quotes from auto insurance companies for two sample drivers in more than 40 cities in the state. Our two sample demographics were a single 30 year old male and a single 65 year old male. We used these two benchmarks to have a standard comparison between the various cities in the state. The two men own their 2010 Toyota Camry vehicles in full and commute to and from work, using about 12,000 miles a year. They also have good credit history and a spotless driving record with no accidents or traffic violations in the past five years.
We assumed basic liability protection for the Camry. The state requires minimum limits of $25,000 per person and up to $50,000 per accident for Bodily Injury Liability, Uninsured and Underinsured Motorist Coverage. It also requires that drivers are insured for up to $25,000 for property damage. We included insurers such as GEICO, Allstate, and EMC Insurance Company in our study.
|Type||Nebraska Minimum Requirements||Study Limits|
|Bodily Injury Liability||$25,000 per person, and||$50,000 per person, and|
|up to $50,000 per accident||up to $100,000 per accident|
|Property Damage||$25,000 per accident||$25,000 per accident|
|Uninsured / Underinsured Motorist||$25,000 per person, and||$50,000 per person, and|
|up to $50,000 per accident||up to $100,000 per accident|
|Collision / Comprehensive Deductible||Optional||$500|
Cities were selected at random to include a mixture of some of the largest and smallest cities in Nebraska. For our readers' reference, below are the 40+ cities analyzed in the study in alphabetical order.
|Rank||City||Average Annual Rates||Change vs. State Average|
|41||South Sioux City||1,083||8%|
Nebraska Department of Insurance: http://www.doi.nebraska.gov/
Nebraska Census Data: http://quickfacts.census.gov/qfd/states/31000.html
Photo Courtesy of kevinsaff / Flickr: https://flic.kr/p/4P1xd