Best Cheap Auto Insurance Rates in North Carolina (2022)

Best Cheap Auto Insurance Rates in North Carolina (2022)

The cheapest car insurance in North Carolina comes from Erie, which offers coverage for $344 per year, on average.

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Cheapest car insurance in North Carolina: Erie

Erie offers the cheapest rates to drivers who want a policy that satisfies the state's minimum auto insurance requirements. The average cost of car insurance from Erie is $334 per year — 32% cheaper than the statewide average.

The average cost of car insurance in North Carolina is $492 per year, or $41 per month, for minimum liability.

Alternatively, drivers may find cheap rates at less than $450 per year with Farm Bureau and State Farm.

Cheapest car insurance companies in North Carolina

Find Cheap Auto Insurance Quotes in North Carolina

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Company
Annual rate
Monthly rate
Erie$344$29
Farm Bureau$380$32
State Farm$435$36
Geico$480$40
Progressive$488$41
Nationwide$586$49
Allstate$730$61

Minimum coverage is less expensive than full coverage because it doesn’t include comprehensive and collision coverage. It's also cheap because of its low liability coverage limits, which means you risk not having enough protection after an accident.

Cheapest full-coverage car insurance in North Carolina: Erie

While the cost of full coverage is more than double the average cost of minimum coverage, it's still possible to find affordable quotes in North Carolina. The cheapest full-coverage car insurance in the state comes from Erie, at $880 per year, 32% less than the statewide average.

The average cost of full-coverage car insurance in North Carolina is $1,291 per year — $799 more than the cost of a liability-only policy.

Drivers can also find cheap full coverage from State Farm and Farm Bureau. Insurance from these companies costs an average of $959 per year, or $80 per month — $332 cheaper per year than the statewide average.

Company
Annual rate
Monthly rate
Erie$880$73
Farm Bureau$902$75
State Farm$1,015$85
Geico$1,211$101
Progressive$1,218$101
Nationwide$1,797$150
Allstate$2,015$168

Cheap car insurance for drivers with prior incidents

It's common for North Carolina drivers to pay much more for car insurance if their driving record includes a DUI, traffic citation or an at-fault accident. Erie and Farm Bureau offer the cheapest full-coverage car insurance in North Carolina for drivers after an incident.

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Cheapest car insurance after an accident: Erie

After an accident, drivers may see substantially higher rates than average. Typically, the cost of car insurance for people with an at-fault accident on their records increases by 53%. However, some companies continue to offer affordable coverage. Erie is the cheapest insurance company for drivers who have caused an accident, offering rates as low as $924 per year.

Company
Annual rate
Monthly rate
Erie$924$77
Farm Bureau$1,426$119
State Farm$1,685$140
Progressive$1,941$162
Nationwide$2,319$193
Allstate$2,626$219
Geico$2,876$240

Cheapest car insurance after a speeding ticket: Farm Bureau

Farm Bureau has the cheapest car insurance for drivers who have a ticket on their record. Full coverage costs $1,201 per year with the insurer, which is 30% cheaper than average. Receiving a speeding ticket is likely to raise your rates by an average of 34% — though not as much as getting into an at-fault accident.

Company
Annual rate
Monthly rate
Farm Bureau$1,201$100
Erie$1,239$103
State Farm$1,395$116
Progressive$1,631$136
Geico$1,718$143
Nationwide$2,198$183
Allstate$2,705$225

Cheapest car insurance after a DUI: Farm Bureau

The cheapest car insurance in North Carolina for drivers with a DUI or DWI is Farm Bureau, which sells coverage for 32% less than average. Getting cited for a DUI is expensive: one offense nearly triples the average cost of insurance — to $5,090 per year.

Company
Annual rate
Monthly rate
Farm Bureau$3,445$287
Erie$3,604$300
Progressive$4,729$394
Geico$4,976$415
Nationwide$5,204$434
Allstate$8,583$715

State Farm DUI rates were not available.

Cheapest car insurance for drivers with poor credit: Erie

It's common for insurers to charge higher rates to drivers with poor credit, though several states are banning this practice. Fortunately, Erie still offers cheap car insurance to those drivers. With Erie, the auto insurance costs for drivers with poor credit went up 28%, but its initial rates are so low, the final price of $1,125 per year is still the cheapest.

Company
Annual rate
Monthly rate
Erie$1,125$94
Progressive$1,218$101
Farm Bureau$1,393$116
Geico$1,444$120
State Farm$2,039$170
Nationwide$2,084$174
Allstate$2,887$241

Cheapest car insurance for married drivers: Erie

Erie is the cheapest car insurance for married drivers, at $880 per year, despite not giving them any price break. Nationwide provides the largest discount for married drivers, $127 per year.

For the most part, married drivers pay the same amount for car insurance in North Carolina as single drivers, but they pay 4% less on average in the state. Insurers typically give married drivers a small discount on car insurance rates due to the correlation between being married and getting in fewer accidents.

Company
Annual rate
Monthly rate
Erie$880$73
Farm Bureau$902$75
State Farm$1,015$85
Progressive$1,218$101
Geico$1,310$109
Nationwide$1,670$139
Allstate$2,015$168

Best car insurance companies in North Carolina

Erie is the best-rated insurance provider in North Carolina based on cost, coverage and customer support. The company received strong marks for customer service in the 2021 J.D. Power U.S. Auto Claims Satisfaction Study and in ValuePenguin's editorial rating.

State Farm, which boasts strong all-around offerings, and Farm Bureau, with exceptional customer service, are also good options.

We recommend comparing the customer service reputations of insurance companies in your area in addition to shopping around for the best rate. If you ever have to file a claim after an accident, it's good to know your insurer has a history of quick, responsive service.

Company
Editor's rating
JD Power
AM Best
Erie
874A+
State Farm
859A++
Farm Bureau
836A
Geico
843A++
Nationwide
831A+
Allstate
838A+
Progressive
828A+

North Carolina auto insurance requirements

North Carolina requires minimum limits of $30,000 per person and up to $60,000 per accident for bodily injury liability and uninsured motorist coverage. It also requires that drivers are insured for up to $25,000 for property damage.

Coverage
Minimum required limits
Bodily injury liability$30,000 per person/$60,000 per accident
Property damage liability$25,000 per accident
Uninsured/underinsured motorist bodily injury$30,000 per person/$60,000 per accident
Uninsured motorist property damage$25,000 per accident

The North Carolina Department of Insurance mandates that policies with the minimum coverage limits include only uninsured motorist coverage. Once protection limits are raised, the law requires that both uninsured and underinsured motorist coverage are bundled together on drivers' policies.

While your car insurance policy may meet North Carolina's minimum coverage requirements, it may not be the best policy for your needs.

We recommend all North Carolina drivers consider higher coverage limits, as minimum coverage may not be enough to fully cover damage in a costly accident. And if you have a car loan or lease, you'll be required to add collision and comprehensive coverage to your policy.

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Average cost of car insurance in North Carolina by city

The most expensive city for car insurance in North Carolina is Newell, while the cheapest is Marble.

The average cost of full-coverage car insurance in North Carolina is $1,291 per year, or $108 per month. But depending on where you live in the state, full-coverage auto insurance rates can vary substantially.

City
Average annual rate
Percent from average
Aberdeen$1,229-5%
Advance$1,177-9%
Ahoskie$1,3777%
Alamance$1,2960%
Albemarle$1,226-5%
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Recap of the cheapest car insurance in North Carolina

  • Minimum coverage: Erie
  • Full coverage: Erie
  • After a speeding ticket: Farm Bureau
  • After an at-fault accident: Erie
  • After a DUI: Farm Bureau
  • Poor credit history: Erie
  • Married drivers: Erie
  • Young drivers: State Farm
  • Young drivers after a ticket: Erie
  • Young drivers after an accident: Erie

Frequently asked questions

Who has the cheapest car insurance in North Carolina?

We found that Erie has the best average price for minimum car insurance coverage in North Carolina, at $334 per year, as well as full coverage, at $880 annually.

What car insurance is required in North Carolina?

North Carolina requires $30,000/$60,000 of bodily injury liability and $25,000 in property damage coverage for all drivers. In addition, you're also required to carry the same amount of uninsured motorist coverage, which pays for your own damage if the other driver is at fault in an accident and they are uninsured. North Carolina is not a no-fault state, so you are not required to get personal injury protection (PIP).

How much does car insurance cost in Charlotte?

Car insurance in Charlotte averages $1,548 per year for full coverage. It's the most expensive major city in the state for car insurance, and coverage costs about 20% more per year than the average price statewide.

What is the best insurer in North Carolina?

The best car insurance companies in North Carolina are Erie, State Farm and Farm Bureau. Those companies have strong customer service and coverage options in addition to having some of the cheapest rates in the state.

Methodology

We collected thousands of rates from ZIP codes across North Carolina from the state's largest insurers. We used a sample driver with the following profile:

  • 30-year-old male
  • Drives a 2015 Honda Civic EX
  • Average credit

The base policy for the study was a full-coverage policy:

Coverage type
Study limits
Bodily injury liability$50,000 per person/$100,000 per accident
Personal injury protection$10,000
Property damage liability$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 North Carolina.

For other rate analyses (age, credit score, accident history and marital status), the base policy was changed to reflect the new driver. Eighteen-year-old drivers were quoted with a minimum-coverage policy.

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.