How Much Is Car Insurance in Pennsylvania?

Car insurance costs in the Keystone State vary from person to person and policy to policy. On average, insurance costs for Pennsylvania auto insurance stay within the national average, with the average full coverage policy in the state costing about $1,660 annually. The national average cost of a full coverage auto insurance policy is $1,670 annually, meaning Pennsylvanians pay just below average for their premiums. 

Several factors determine the insurance rates in a state, but the two key determinants are population and the number of uninsured drivers. The Keystone State is America’s fifth most populous state, but its uninsured driver population falls just below 6%. It’s a bit of an anomaly for such a populated state to have car insurance on par with the national average, but the low number of uninsured drivers adds some context to this statistic.

Typically, when a state is densely populated, this leads to densely populated roads, leading to a higher risk of car accidents and a higher risk of car accidents with uninsured drivers. Insurers see this risk and translate it into higher premiums. However, while the state has a high population, its low population of uninsured drivers keeps car insurance premiums in the ballpark of the national average. 

Pennsylvania car insurance costs about $1,660 annually for a full coverage policy or roughly $800 annually for a minimum coverage policy. While the national average cost of a full coverage policy is about $1,670, or just $10 more than the state average, not every Pennsylvanian will pay this amount, as various factors determine whether you may pay above or below average. 

Car insurance companies and agencies use several factors about you to determine your car insurance premiums, such as your age, gender, ZIP code, car type, and many other factors. These factors help your insurer determine your risk or how big of a risk they take by insuring you. 

For example, some drivers, like teenage boys or drivers above 70, have a higher statistical likelihood of getting into car accidents than other groups. Higher premiums reflect the risk an insurer takes by insuring someone in one of these groups.

The same goes for those who drive older cars or people who live in ZIP codes with high populations or higher-than-average rates of car accidents. If you own a newer car or live in a more suburban or rural area, you may pay less than average in premiums because insurers consider these low-risk situations. Similarly, if you lease or finance your car, your lender or leaser may require you to have collision and comprehensive coverage on your auto insurance policy, which may raise your premiums above the average rate.

Unique factors about you are only one piece of the premium puzzle. Car insurance laws and requirements also determine the average car insurance cost in Pennsylvania. Pennsylvania’s no-fault law factors heavily into the state’s average cost of auto insurance premiums.

No-fault laws mean that, in an accident, drivers will default to their own insurance to cover the medical expenses or car repairs instead of the at-fault driver’s insurance. In most cases, states with no-fault laws require drivers to carry first-party medical benefits (FPMB) on their auto insurance policies, which most often appears as personal injury protection, or PIP. State law requires drivers to carry at least $5,000 of PIP, with lower limits available for some exempt parties. 

Pennsylvania’s no-fault system operates slightly differently than other states. Policyholders can select a full or limited tort option when purchasing an auto insurance policy, allowing them to opt in or out of the state’s no-fault system. 

Those who select full tort opt out of the no-fault system and rely on other drivers’ liability coverage to cover their medical expenses if they’re a victim in an accident. Those who select the limited tort option opt into the state’s no-fault system and carry FPMB on their auto insurance policies to cover their medical expenses in the event of an accident.

Since Pennsylvania only requires drivers to carry a minimum of $5,000 in PIP on their policies, the state’s average cost of car insurance premiums remains low. Typically, states that require higher limits of FPMB have higher average premiums.

The average car insurance cost per month in Pennsylvania for a full coverage policy is about $138 per month and about $70 per month for a minimum coverage policy. Many drivers opt to carry a full coverage policy since the average full coverage policy offers a lot more protection for a great price. It’s always best to get the type of policy you are most comfortable with, though, which usually comes down to the question of coverage or cost.

If you value cost over coverage, the best policy for you is a minimum coverage policy since the premium is typically half the cost of a full coverage policy because you get about half of the coverage.

If you value coverage over cost, the best policy for you is a full coverage policy. Since auto insurance in Pennsylvania doesn’t cost higher than average, it may be the best decision to carry a full coverage policy. Here at Clovered, we always recommend having a full coverage policy since we believe it’s better to be safe than sorry.

In Pennsylvania, new driver insurance will cost higher than average, but the specific price will depend on other factors about the driver. If the new driver is a teenager, they may expect to pay anywhere from 10% to 25% more than the average full coverage premium in the state. The same goes if the new driver has poor credit or lives in a densely populated city like Philadelphia or Pittsburgh.

The cost of car insurance for a new driver will also depend on their policy type. If they have a minimum coverage policy, they may expect to pay higher than the state average of $800 annually but lower than the average cost of a full coverage premium, which is $1,660.

The cost of auto insurance in Pennsylvania is, on average, about $1,660 annually for a full coverage policy. A full coverage policy in Pennsylvania will include liability coverage, PIP, and several optional coverage types like comprehensive coverage, collision coverage, uninsured motorist coverage (UM), medical payments (MedPay), or GAP coverage. 

By state law, the minimum required amount of liability every driver must carry is $15,000 in bodily injury per person, $30,000 in bodily injury per accident, and $5,000 in property damage liability per accident. This limit will appear on your policy as 15/30/5 liability coverage. Typically, a full coverage policy will have a higher liability limit than what’s mandated by state law. 

The average car insurance in Pennsylvania is a policy that at least meets the legally required minimums in the state. State law requires all drivers to have 15/30/5 liability coverage and $5,000 of PIP. For those who finance or lease their vehicles, the average policy will also include a minimum amount of collision coverage, comprehensive coverage, or both.

From what we know about the average Pennsylvania car insurance cost, it’s safe to assume most drivers have a full coverage policy with a liability limit higher than the legal minimum, thus raising the average cost of premiums but providing much more coverage.

The average Pennsylvania car insurance rates are between $800 and $1,660, depending on whether you have a minimum or full coverage policy. The best way to find a policy at or below the average rate for the type of policy you desire is to gather quotes from several insurers. Getting quotes allows you to check out all the best insurance companies in Pennsylvania and see what company has the cheapest rates in the state. 

Pennsylvania’s average auto insurance premium is on par with the national average rate. If you’re interested in getting a policy for the average rate or, even better, for below the average cost, you will want to gather and compare quotes from several insurers. 

Luckily, you came to the right place. Here at Clovered, we have a free quoting tool you can use to get quotes from several insurers in the Keystone State in minutes. If you have any questions about your quote or auto insurance in the state, call us at 833-255-4117 or email us at [email protected].