There’s no doubt that car insurance in Florida can be costly. Fortunately, there are ways to make sure that you get the best coverage for your needs at a price that you can afford.
Finding the cheapest car insurance in Florida is possible when you take the time to conduct careful research and compare the coverage options and discounts offered by insurers.
While personal factors such as your age and driving history, play a huge role in determining the price of your auto insurance premium, geographical factors influence the cost of your coverage as well.
Use the following information to find out what other Floridians are paying and learn how to comparison shop for affordable insurance.
Companies with the Cheapest Car Insurance in Florida
Here are the top 4 providers of the cheapest car insurance in Florida:
Progressive Car Insurance
Progressive, which is the third largest car insurance provider in Florida, insures nearly 16 percent of drivers in the state.
Policyholders can use the company’s unique Name Your Price® tool to customize coverage options to fit their needs and budget.
Allstate Car Insurance
Allstate, which is known for its tagline, “You’re in good hands with Allstate,” has been providing car insurance since 1931.
This insurer is among the top four in the state, holding nearly 10 percent of the market share.
Liberty Mutual Car Insurance
Liberty Mutual, which is the sixth-largest insurer in Florida, has been insuring drivers since 1912.
The company has been the recipient of numerous awards, including the 2017 Internet Advertising Competition award for Outstanding Achievement in Advertising for its memorable teen driving campaign.
Esurance was founded in 1999, making it a relatively young car insurance provider. Allstate purchased the company in 2011, giving Esurance great financial backing.
Among its unique offerings is its DriveSense® Mobile app, which tracks the user’s driving routes and habits for possible safe driving discounts.
How Much is Car Insurance in Florida?
Florida is among the pricier states for auto insurance, ranking as the sixth most expensive state for auto insurance in the United States in 2015.
According to the 2017 report by the National Association of Insurance Commissioners, Floridians paid an average premium of $1,257.13 in 2015, which is nearly $250 more than the national median of $1,009.38.
On average, the cost of insurance in Florida sees yearly increases of roughly $25. Residents of nearby states, including Alabama, Georgia, and South Carolina, generally pay less for their coverage.
|Average Cost of Car Insurance in Florida||$1,257.13|
|Average Cost of Car Insurance in Alabama||$868.48|
|Average Cost of Car Insurance in Georgia||$1,048.40|
|Average Cost of Car Insurance in South Carolina||$973.10|
|Countrywide Average Cost of Car Insurance||$1,009.38|
The base rates for the cheapest car insurance in Florida are based on a variety of factors, including the state’s traffic conditions, the rate at which vehicles are stolen, its population density, and the average disposable income of residents.
To measure the traffic density of a state, the NAIC examines the total number of miles driven by every car on every highway in the state. Florida’s traffic density was unusually high at 1,642,608 vehicle miles per highway mile in 2015, compared to the countrywide average of 724,348. This makes it a higher-risk proposition for insurers, as it incrementally raises the possibility of accidents, and may therefore be a significant factor in Florida’s high premiums.
Vehicle Theft Rates
Vehicle thefts play a significant role in determining the cost of comprehensive auto insurance coverage.
Florida ranks third on the Insurance Institute of Information’s 2016 report of states with the highest numbers of vehicle thefts. In Florida, vehicles are stolen at a rate of 209.3 per 100,000 residents, compared to the national average of 236.9.
Ford Pickups are statistically the most likely vehicle to be taken in Florida, accounting for 2,211 vehicle thefts in 2016. Other frequent objects of theft include the Nissan Altima, Toyota Camry, and Honda Civic and Accord.
While population density doesn’t directly influence auto insurance rates, higher population density means more people and vehicles per square mile, which generally leads to more accidents.
In Florida, the population density as reported by the NAIC was 369 people per square mile in 2014, compared to the national average of 90 people. In 2010, nearly 81 percent of Florida’s population lived in metro areas like Miami.
As with population density, disposable income doesn’t directly impact insurance premiums. However, the more disposable income a state has, the higher the odds that newer and higher-priced vehicles are on the road.
Not only do these vehicles need higher comprehensive and collision coverage limits, but the state minimum insurance requirements are also usually higher to protect policyholders.
In 2014, the average Florida household had $38,350 in disposable income, which is a couple of thousand dollars lower than the countywide average of $40,859.
Just a glance at the above statistics should help you understand why Florida’s car insurance rates are higher than surrounding states. However, you can still score a great deal on your insurance by checking out some of the companies below.
What Is Mandatory for Car Insurance?
Florida does not require its drivers to carry liability coverage for bodily injury, which covers medical expenses incurred by the other driver if the policyholder is responsible for an accident, contrary to almost every other state.
Instead, drivers are required to carry at least $10,000 in Personal Injury Protection coverage, or PIP.
Additionally, drivers must have $10,000 in property damage liability. Floridians with previous accidents or criminal offenses on their record may be required by the state to purchase additional liability insurance.
Florida drivers are required by law to provide proof of insurance when they register their vehicle, and they should always be able to quickly provide proof of coverage in the event of a collision or traffic stop.
In addition to showing their auto insurance card, Floridians can provide digital proof of insurance via a mobile device.
How to Reduce the Cost of Your Car Insurance in Florida
Florida is a pricier state for insurance, particularly for drivers living in Miami where the Insurance Information Institute reports average annual premiums of over $3,000.
Drivers who are looking for the cheapest car insurance in Florida should consider ways to reduce their premium. While you won’t be able to completely eliminate it, you may be able to lighten the financial burden.
Among the most popular ways that drivers save money on their premium is by researching the discounts offered by different car insurance companies.
While not every insurer offers discounts, many do, particularly for experienced drivers with good driving records or those who spend relatively little time behind the wheel.
Common discounts include paperless billing discounts, multi-line and multi-policy discounts, good driver discounts, defensive driving course discounts, and good student discounts.
Another way to reduce the cost of your coverage is by considering how much coverage you truly need. If you drive an older vehicle that’s only worth a couple of thousand dollars, you may not need collision and comprehensive coverage to replace the car in case of an accident or other misfortune.
While it’s always a good idea to carry as much liability insurance as you can afford, you may be able to save money by declining other insurance options.
Carrying a high deductible, which is how much you would pay if your car needed to be repaired or replaced following a covered loss, is another way to trim your premium. Drivers with high deductibles are less likely to file a claim, meaning that the insurer can afford to charge them less for coverage.
Keep in mind, however, that you should choose a deductible that you could comfortably pay if the unexpected happens.
When you’re researching your options, you should have several pieces of information gathered and readily available to help your insurance agent provide you with the lowest, most accurate quote possible. Information to have on hand includes:
- The make, model, year, trim package, and VIN for each car that you want to insure
- Each vehicle’s safety features, such as passive restraints, backup cameras, lane departure warning systems, and anti-lock brakes
- Each vehicle’s anti-theft devices, like GPS trackers
- The average number of miles you put on each car annually
- Whether you have any other insurance policies with the company, such as homeowners or renters insurance, boat or RV insurance, or life insurance
- How many drivers are in your household, as well as anyone else who may occasionally drive your car
- Whether you own your home
- Where you park your vehicle at night
- What types of coverage you want and how high you want your policy limits to be
- Your potential deductible allowance
- Whether you or any other driver on your policy has completed a defensive driving course
- The age of each driver on your policy
- School grades for young drivers
- Your driving record
What Can Increase the Cost of Your Car Insurance in Florida?
Just as some factors work to your advantage by decreasing how much you pay for your coverage, there are others that can have the opposite effect. In addition to geographical nuances that may drive up your rate, you may have personal factors that result in a higher premium. Some of these directly pertain to your driving while others seem entirely unrelated.
However, your insurance company weighs these factors to determine how likely you are to file a claim. Some things that can increase your insurance costs include:
- Your Age: Older drivers and younger drivers are statistically more likely to file a claim. Insurers typically charge these policyholders a higher premium to offset this elevated risk,
- Your Car: While newer vehicles are often equipped with advanced safety features that can make their drivers eligible for discounts, they are also generally cost considerably more to repair or replace. Drivers with newer, higher-end vehicles can expect to pay more for collision and comprehensive coverage than drivers with less expensive cars.
- Your Claims History: Insurance providers often look at your history of claim filing to predict the likelihood of future claims. Statistically, drivers who have filed multiple claims in the past are significantly more likely to file another one than someone who has never filed a claim.
- Your Driving Record: Florida has a points system that assigns points for violations like speeding, leaving the scene of an accident without providing insurance information, and failing to follow traffic signals. Not only can accruing points result in fines or even license suspensions, but they can result in increased auto insurance premiums. By taking a safe driving course, drivers can have points removed from their record sooner, possibly saving them money on their premium.
Shopping For Car Insurance in Florida
When shopping around for the cheapest car insurance in Florida, it’s important to get quotes from at least three different companies, but the cost of coverage is just one aspect to consider.
Other factors include how a company handles claims, whether it’s financially stable, and how current customers rate its service.
By knowing what drivers in the Sunshine State pay on average for their coverage and understanding the different ways to trim down your costs, you can make sure that you get the cheapest car insurance in Florida and the best policy for your money.*While we make every effort to keep our site updated, please be aware that "timely" information on this page, such as quote estimates, or pertinent details about companies, may only be accurate as of its last edit day. Huntley Wealth & Insurance Services and its representatives do not give legal or tax advice. Please consult your own legal or tax adviser.