Car insurance in Florida cost a lot — is it expensive to obtain in the state?

 

It seems like we just heard through the rumor mill that Car insurance in Florida is extremely costly. Is this true? Did I hear correctly that Florida car insurance is expensive?

Car insurance in Florida costs are elevated because of these reasons:
In Florida, approximately 20% of drivers don't have insurance. Because of this, other drivers — who do have insurance — see their premiums increase as a result.
Florida’s growing population leads to more commuters on the roads each year.

This causes insurance companies to anticipate a higher likelihood of accidents, which prompts them to raise their rates.

Because of hurricanes, tropical cyclones, floods and other extreme weather conditions, Florida faces a lot of property damage. Insurers mitigate this risk by increasing their premiums.

When insurance companies pay out claims, the bulk of their money goes toward covering Florida's increasing medical costs. Consequently, insurance companies increase their rates to ensure they can cover these payments.

By searching for quotes on the Jerry app, you can save time and money on your car insurance. The app provides the lowest rates available to you, which typically saves users over $800 every year. Florida's typical car insurance rates are higher than average, but using the app still helps users save.

Car insurance in Florida rates vary depending on the company and policy. According to NerdWallet, the average cost of complete car insurance  is $2,780 annually, or $232 per month. Minimum coverage in Florida averages $1,084 yearly; however, cheaper policies are available. For example, Geico offers the cheapest Car insurance policies for a 35-year-old driver with a clean record and minimum coverage. Their average annual cost is $717.

Cheap insurance Florida companies were selected through a methodical process.

In order to compare car insurance rates, the editorial team at NerdWallet analyzed 6 different insurers in Florida for 2019 Toyota Camry L. They broke down rates by age brackets and histories; however, they analyzed minimum coverage requirements for Florida drivers. Additionally, they analyzed full coverage with the following limits:

$100,000 in bodily injury liability per person is required.

You must pay $300,000 for each accident involving bodily injury.

You are liable for $50,000 of damage per accident on property.

Each person has $100,000 in uninsured motorist coverage.

In the event of one accident, the injured party is provided with $300,000 in uninsured motorist coverage that isn't affected by their existing insurance.

A $1,000 deductible covers collision insurance.

A $1,000 deductible comes with comprehensive insurance coverage.

Florida Car Insurance costs the lowest out of all other states.

Florida's high insurance premiums can be reduced by taking advantage of discounts. When looking for car insurance, remember to check which companies offer these reductions. Common discounts include anti-theft devices, multiple policies for cars, a defensive driving course and a clean driving record.
According to Autolist, certain personal attributes can decrease the cost of your insurance premium.

 These include being a military member, senior citizen, veteran or an insured student determined to be good by the company. Additionally, good credit can lower premium costs more than some blemishes in driving records— such as DUIs or at-fault wrecks— as per a Nerd Wallet study. For their survey, Nerd Wallet averaged rates among 40-year-old insured people with a driver discount.

Florida offers the cheapest car insurance rates out of all the states.

A 2019 Value Penguin study lists State Farm, Travelers, GEICO, USAA and Florida Farm Bureau as having the lowest insurance rates in the state of Florida. The study found that rates from these providers were 44% lower than the average rate for both full coverage insurance and minimum coverage. One of the reasons these specific companies were listed is because they offer lower rates in Florida compared to other states. For example, Travelers offers rates 36% lower than average when compared to other states. Furthermore, certain vehicle features or location can affect the cost of insurance. For example, cars with anti-theft systems can cost up to $80 less per year.

When considering which auto insurance coverage to select, it's important to keep in mind that selecting a lower premium option can expose you to significant expenses in the case of an accident.

According to Insurance Panda, Allstate is the most satisfying car insurance provider despite their high prices. Alternatively, Progressive has the highest prices in Florida; they are 35% higher than the state average.

According to Car and Driver Magazine, Michigan has the highest insurance rates in the nation. Roughly $2,611 is the average annual premium in the state. Florida is close behind with premiums around $2,511. However, you can reduce these costs by asking your agent for any discounts you're eligible for. Additionally, you can save money by taking advantage of any discounts that can be applied to your insurance rates.