The Best Car Insurance in North Carolina

Whether you’re headed to the Outer Banks for a beach getaway, a couple of hundred miles east for a tour of the University of North Carolina at Chapel Hill, or even further east for a hike through the Blue Ridge Mountains, the Tar Heel State has much to offer visitors and locals alike. Before setting out on an adventure, though, ensuring you have an active and adequate auto insurance policy is essential.

While all drivers in North Carolina must, without question, have an auto insurance policy, many drivers will want to consider a few factors to get the best policy for their needs. Let’s find out how you can get the best North Carolina auto insurance policy for your needs while saving a buck or two.

Not all North Carolina auto insurance is created equal. In fact, many policies and coverages exist to fit the lifestyles and needs of individual drivers. Policies vary from driver to driver, company to company, and state to state. It’s important to note, too, that what may be best for one driver may not be best for all drivers, as needs vary from person to person.

When considering a policy, the decision will likely come down to cost or coverage. Those who value coverage over cost will likely go for a full coverage policy from an insurer that offers many additional coverage options. Those who value cost, however, will likely opt for a minimum coverage policy from an insurer that offers plenty of discounts. A minimum coverage policy will often be the cheapest in the state.

Many drivers, especially those of average income and lifestyle, may value both coverage and cost. Those who value cost and coverage equally will likely opt for a full coverage policy from an insurer that offers low base rates and several opportunities for discounts.

Car insurance laws in the Tar Heel State mandate drivers have at least $30,000 in boldly injury liability coverage per person, $60,000 in bodily injury liability coverage per accident, and $25,000 in property damage liability coverage per accident (30/60/25 liability coverage), and the same limit of uninsured motorist coverage (UM). Those with leased or financed vehicles may also need collision and comprehensive coverages on their policies. 

While it’s always up to the driver what type of coverage to add to one’s policy, driving without insurance is illegal in North Carolina. Those without coverage may face fines, fees, license and registration suspension, or even jail time. Those caught driving without a policy may be required to carry an SR-22 form in North Carolina for years following the incident. 

Carrying the minimum amount of coverage required in the state will protect drivers from legal penalties and in minor accidents they may cause. However, a minimum coverage policy isn’t necessarily the best for all drivers because it lacks any coverage for the policyholder if they’re the victim in an accident. Premiums for a minimum coverage policy are generally about half the cost of those for a full coverage policy. Thus, those on a budget often opt for a minimum coverage policy. 

On average, a full coverage policy in the Tar Heel State costs about $1,340 annually, making it one of the cheapest states for auto insurance in the country. Some drivers may even be eligible for rates below the state average. Let’s see how those who value cost over coverage may be able to find the best rates on a minimum coverage policy or a full coverage policy. 

The best North Carolina auto insurance company for many drivers will be the one with the lowest base rates and most discounts, as many drivers highly value savings. Some companies with the best rates in the Tar Heel State are State Farm, Progressive, and Geico. However, car insurance is highly suggestive, and what works for one driver may not work for others. That said, it’s also crucial to note that premiums vary based on several factors, so while one driver may get the lowest rates from Geico, other drivers may find the lowest rates with other companies. 

Insurers will often consider several factors about each policyholder when determining premiums. Often, an insurer will use a driver’s driving record, insurance history, ZIP code, age, and gender, among several other factors. These characteristics help insurers determine one’s risk of filing a claim, which then determines the cost of one’s premium.

If a driver is at higher-than-average risk of filing a claim, insurers may charge them higher-than-average premiums to compensate for the risk they take by writing a policy. On the other hand, if a driver has a lower-than-average risk of filing a claim, they may have lower-than-average premiums. 

Out of all the car insurance companies in North Carolina, a few are favored over others. The best way to find an insurer that best suits your lifestyle is to get and compare quotes from several insurers. While the quoting process may take a bit of research, the deal you may find on your policy may be worth your time. 

If you’re quoted for higher-than-average premiums with one insurer, you may have better luck elsewhere. Some insurers specialize in certain policies or only insure certain drivers, thus offering lower-than-average rates for drivers with certain high-risk factors. 

However, some drivers may not be eligible for rates below the average in the state, regardless of the insurer. Premiums vary over time and may stabilize closer to the state average after some time, but sometimes, all there is to do is wait it out.

Let’s take a look at the insurance companies drivers in the Tar Heel State bind with, time and time again.

While there’s a vast marketplace of insurers in the Tar Heel State, the best auto insurance companies in North Carolina tend to stand out time and time again. While car insurance is always subjective based on the policy, premium, and types of coverage, some companies have better options for drivers across the board. Let’s check out which insurers North Carolinians can’t get enough of.

One of the favored insurers among drivers in the Tar Heel State is Allstate. Allstate boasts average car insurance premiums coming in at about $1,660 annually, only about 20% more than the state average of about $1,340 annually. While the average premium with this insurer is a bit higher than the state average, Allstate offers plenty of discounts policyholders can stack onto their policies to potentially lower their premiums to or below the state average.

Among the options of insurers in North Carolina, Nationwide stands out as a favorite for several reasons. First of all, the average premium in the state from this insurer falls at about $1,380 annually, only $40 more than the state average. Plus, with savings from one of Nationwide’s many discounts, like their pay-per-mile program or their usage-based discount program, drivers may be able to lower their premiums below the state average. 

Geico is well-loved among drivers in North Carolina, and for good reason too. The average full coverage policy with Geico in the Tar Heel State costs about $1,130 annually, or about 15% less than the state average. Plus, geico is known for offering best-in-class customer service and several discounts policyholders can use to lower their premiums even further, like a multi-car discount and a student discount. 

Progressive, one of our regarded insurance partners here at Clovered, also happens to be one of the top insurers in North Carolina. A full coverage policy with this insurer in the Tar Heel State costs about $960 when paid annually, putting it at nearly 30% below the state average of $1,340. This insurer scores highly on ratings from J.D Power and A.M. Best, meaning customers are very satisfied with the quality of service they’ve received from this insurer. 

The company that offers the most bang for your buck in the Tar Heel State is State Farm. With this insurer, base rates average at about $840 annually for a full coverage policy, or nearly 40% less than the state average. On top of the lower-than-average base rates, this insurer also offers best-in-class customer service and a vast array of discounts. Discounts with State Farm range from a bundling discount to a good driver discount, with many others in between. 

If you’re interested in getting the best car insurance policy in the Tar Heel State, the easiest way to accomplish that is to get and compare quotes online. By getting and comparing quotes from several insurers, you can ensure your policy meets the specific needs of your lifestyle while getting the best deal available.

Luckily, here at Clovered, we’re obsessed with quotes. We even have a free quoting tool you can use to make your life even easier when it comes to getting the right policy for your needs. If you want to chat with a real person about your policy, we have those, too! You can call or email us during business hours at 833-255-4117 or [email protected].