What Is the Average Car Insurance Cost in Georgia? A Guide to Rates and Savings
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Almost all states, including Georgia, require car insurance. Car insurance helps protect you from accidents, theft, and other car-related incidents.
Understanding the average auto insurance rates in Georgia can help you make better decisions when choosing an insurance company. This guide breaks down the costs, factors influencing rates, and how to find the right coverage.
Understanding the Average Cost of Car Insurance
Average premiums for car insurance vary widely based on several factors.
National Average vs. Georgia Average
According to a 2022 study by the National Association of Insurance Commissioners, the national average cost of car insurance for full coverage (liability, comprehensive, and collision) is approximately $1,258 per year, or about $105 per month. However, the average cost of car insurance in Georgia is higher: $1,513 per year for full coverage, which is $126 per month.
Comparison With Neighboring States
Georgia's rates are higher than those in neighboring states like Alabama, Tennessee, North Carolina, and South Carolina, where average annual costs hover around $1,128, $1,061, $990, and $1,332, respectively. Florida's rates are slightly higher than Georgia's, at $1,703.
There are several reasons why Georgia's rates are higher than average. One such reason is that auto insurance companies in Georgia do not need permission from the Insurance Commissioner to raise rates, unlike in many other states. Other factors include the costs of vehicle repair and healthcare, which have risen substantially in the past few years. Additionally, more people are driving in Georgia, leading to more accidents.
Key Factors Affecting Insurance Costs in Georgia
Many factors impact Georgia car insurance rates. These include:
- Age: Younger drivers have higher insurance rates than older drivers.
- Driving history: Drivers with accidents, DUIs, or traffic violations can significantly increase premiums.
- Credit score: Georgia insurance providers use credit scores to help determine a driver's financial responsibility. Drivers with higher credit scores typically have lower rates.
- Location: More populated areas, such as Atlanta, typically have higher insurance rates than rural counties due to the increased traffic, crime, and accident likelihood.
- Demographics such as gender, occupation, and marital status: These factors generally have less impact than others but can still influence rates. On average, male teen drivers pay more than female teen drivers. Married drivers pay less since they tend to share driving duties. Some insurers give discounts to certain occupations with less risky driving habits and specific professional organizations.
- Vehicle type: New and luxury cars tend to have higher premiums since parts are more expensive to replace.
- Deductible: Higher deductibles mean lower rates and vice versa.
- Coverage type: Additional coverage — such as uninsured motorist coverage, collision coverage, property damage liability, and bodily injury liability — means higher premiums because insurance companies must pay more for each claim.
Minimum vs. Full Coverage: What's Right for You?
The minimum limits of liability insurance in Georgia are:
- $25,000 for bodily injury per person
- $50,000 for bodily injury per accident
- $25,000 for property damage per accident
Minimum coverage is cheaper, averaging around $895 annually in Georgia. However, liability-only car insurance covers only damages and injuries to the other party. If you are on a tight budget, you must still have at least liability coverage.
Full coverage, on the other hand, includes liability, collision, and comprehensive policies. While it costs more, it provides broader protection, including coverage for your vehicle, regardless of who is at fault. Full coverage is often better if you can afford it and your car is newer or financed.
Tips for Lowering Car Insurance Costs in Georgia
The average car insurance cost per month in Georgia is higher than the national average, but here are strategies to help save on premiums.
- Compare quotes: Use tools like EverQuote to compare options from multiple providers. Rates can vary significantly, even for similar coverage.
- Maintain a clean driving record: Drivers who avoid accidents and traffic violations get lower rates and may qualify for safe driver discounts.
- Bundle policies: Combine your auto insurance with renters or home insurance to access multi-policy discounts.
- Increase your deductible: A higher deductible can lower your monthly premium, but it means paying more out-of-pocket.
- Take advantage of discounts: Many insurers offer discounts for good students, military members, or drivers who complete defensive driving courses.
- Monitor your credit score: Improving your credit score can lower your premiums.
How To Get the Best Rates on Car Insurance in Georgia: Find the Best Car Insurance Rates Today!
The best way to secure affordable car insurance is to shop around, compare quotes, and choose a policy tailored to your needs. Online marketplaces like EverQuote simplify this process by providing quick, custom comparisons based on your zip code, vehicle, and driving profile.
Insurance costs are constantly fluctuating, and what works for you today may not in the future. Reviewing your insurance needs yearly ensures you always get the best deal available. Don't wait — get started with custom quotes in just minutes to find cheap car insurance in Georgia.