Car insurance rates continued their downward trend in March 2026. The national average for full coverage fell to $177 per month — down from $178 in February — while the liability-only average dipped to $99, according to Insurify's monthly rate data. Drivers in the most expensive states are still paying nearly four times more than those in the cheapest states.
- National average full coverage: $177/month in March 2026 (down from $178 in February)
- National average liability-only: $99/month (down from $100)
- Washington, D.C. remains the most expensive at $299/month for full coverage
- New Hampshire is the cheapest at $78/month for full coverage
- South Carolina entered the top 5 most expensive, replacing New York
- Full coverage rates have dropped roughly 15% since early 2025
Car insurance rates are finally moving in the right direction for most American drivers. Insurify released its March 2026 monthly rate data this week, showing the national average for full-coverage auto insurance fell to $177 per month — down $1 from February and down more than $30 from the $208 average seen in early 2025. Liability-only coverage now averages $99 per month nationally.
That's real relief after two years of aggressive rate hikes. But the headline average masks an enormous gap between states — and if you haven't shopped your policy recently, there's a good chance you're still overpaying.
Car Insurance Rates by State — March 2026
Location is the single biggest driver of what you pay for car insurance. A driver with a clean record in New Hampshire pays $78 per month for full coverage. The same driver in Washington, D.C., pays $299 — nearly four times as much. Here's the full picture for all 50 states and D.C., based on Insurify's analysis of more than 97 million quotes through the end of February 2026.
| State | Full Coverage ($/mo) | Liability Only ($/mo) |
|---|---|---|
| Alabama | $134 | $67 |
| Alaska | $113 | $71 |
| Arizona | $152 | $87 |
| Arkansas | $144 | $77 |
| California | $191 | $93 |
| Colorado | $212 | $98 |
| Connecticut | $203 | $149 |
| Delaware | $240 | $163 |
| Florida | $224 | $132 |
| Georgia | $243 | $156 |
| Hawaii | $143 | $61 |
| Idaho | $102 | $65 |
| Illinois | $148 | $79 |
| Indiana | $122 | $65 |
| Iowa | $101 | $56 |
| Kansas | $139 | $77 |
| Kentucky | $181 | $119 |
| Louisiana | $194 | $107 |
| Maine | $131 | $79 |
| Maryland | $294 | $193 |
| Massachusetts | $153 | $108 |
| Michigan | $211 | $135 |
| Minnesota | $172 | $92 |
| Mississippi | $171 | $90 |
| Missouri | $171 | $90 |
| Montana | $120 | $62 |
| Nebraska | $127 | $68 |
| Nevada | $241 | $155 |
| New Hampshire | $78 | $52 |
| New Jersey | $254 | $183 |
| New Mexico | $129 | $65 |
| New York | $234 | $156 |
| North Carolina | $104 | $69 |
| North Dakota | $103 | $65 |
| Ohio | $112 | $64 |
| Oklahoma | $161 | $83 |
| Oregon | $140 | $91 |
| Pennsylvania | $153 | $89 |
| Rhode Island | $280 | $176 |
| South Carolina | $243 | $161 |
| South Dakota | $142 | $64 |
| Tennessee | $123 | $59 |
| Texas | $202 | $111 |
| Utah | $136 | $92 |
| Vermont | $127 | $62 |
| Virginia | $190 | $114 |
| Washington | $167 | $94 |
| Washington, D.C. | $299 | $205 |
| West Virginia | $142 | $79 |
| Wisconsin | $116 | $56 |
| Wyoming | $84 | $50 |
Source: Insurify, based on 97 million+ quotes analyzed through end of February 2026. Rates are averages for drivers ages 20–70 with clean records and average or better credit.
The 5 Most Expensive States for Car Insurance
Washington, D.C., retains its unwelcome title as the priciest location in the nation, with full coverage averaging $299 per month. That's 69% above the national average. Maryland comes in second at $294 — and the proximity isn't a coincidence. Both areas share high urban density, heavy traffic congestion, above-average vehicle theft rates, and litigation environments that inflate claims costs.
| State | Overall Average ($/mo) | Liability Only ($/mo) | Full Coverage ($/mo) |
|---|---|---|---|
| Washington, D.C. | $252 | $205 | $299 |
| Maryland | $244 | $193 | $294 |
| Rhode Island | $228 | $176 | $280 |
| New Jersey | $219 | $183 | $254 |
| South Carolina | $202 | $161 | $243 |
The big news this month: South Carolina has entered the top five most expensive states, replacing New York. South Carolina has long battled high rates driven by uninsured motorist rates above 10%, frequent severe weather events including hurricanes and flooding, and a legal climate that produces higher average claim payouts. Georgia and Nevada, which round out the top seven, are also worth watching — both states have seen ongoing pressure from high litigation activity and vehicle theft rates.
D.C. drivers pay $299/month for full coverage — nearly four times what New Hampshire drivers pay for the same protection at $78/month.
The 5 Cheapest States for Car Insurance
New Hampshire holds its position as the most affordable state, with full coverage averaging just $78 per month. That's partly structural — New Hampshire is one of the only states that doesn't require drivers to carry auto liability insurance — but it also benefits from low population density, a well-educated driver pool, and minimal weather-related claims compared to coastal or tornado-prone states.
| State | Overall Average ($/mo) | Liability Only ($/mo) | Full Coverage ($/mo) |
|---|---|---|---|
| New Hampshire | $65 | $52 | $78 |
| Wyoming | $67 | $50 | $84 |
| Iowa | $79 | $56 | $101 |
| Idaho | $84 | $65 | $102 |
| North Dakota | $84 | $65 | $103 |
North Dakota makes a notable first-time appearance on the cheapest states list, replacing North Carolina. Rural states with low traffic density, fewer uninsured drivers, and less vehicle theft consistently produce the most affordable premiums. If you live in the Midwest or Northern Plains, you're getting some of the best value in the country.
Why Some States Cost So Much More
The gap between the cheapest and most expensive states comes down to a handful of compounding factors. Urban density increases the frequency of accidents — more cars on the road means more collisions per mile driven. States with high rates of uninsured drivers force insured motorists to pay more through uninsured motorist coverage and through claims costs that spread across the risk pool.
Legal environments matter enormously. States with plaintiff-friendly litigation climates — where attorneys frequently pursue large bodily injury settlements — see claims costs that flow directly into premiums. Rhode Island and New Jersey's high rates are substantially driven by their legal environments and high density. South Carolina's recent rise is partly attributed to an uptick in nuclear verdicts (jury awards exceeding $10 million) in personal injury cases involving auto accidents.
Weather is another major cost driver. Coastal states face hurricane risk. Tornado alley states absorb hail and wind damage costs. States with harsh winters see more comprehensive claims from ice damage. Florida, which sits at $224/month, reflects all three risk categories: storms, litigation, and fraud — particularly in the South Florida no-fault market.
What This Means for Your Wallet
If you're paying more than your state's average, it doesn't necessarily mean you're being overcharged — your driving history, vehicle, credit score, and coverage limits all affect your individual rate. But it does mean it's worth shopping around. Insurify data shows drivers who compare quotes save $600–$1,200 per year on average.
The broader trend matters too. Full coverage rates have fallen from roughly $208 per month in early 2025 to $177 in March 2026 — a decline of more than 15% in 14 months. If your policy renewed 12 or more months ago, your current rate may not reflect the improved market conditions. Insurers have been filing rate decreases in dozens of states as claims trends stabilize.
The March 2026 rate data doesn't yet reflect the impact of new vehicle tariffs announced in early 2026. Auto parts and repair costs could rise later in the year, which may slow or reverse the downward rate trend. If you're planning to shop for insurance, sooner may be better than waiting.
What You Should Do Now
Compare Your Rate to Your State Average
Use the table above to find your state's average. If you're paying significantly more than the average, you likely have room to save by switching carriers or adjusting your coverage.
Get at Least 3 Quotes Before Your Next Renewal
Rates vary widely between carriers for the same driver in the same state. Getting multiple quotes takes about 15 minutes and can save hundreds of dollars per year.
Ask About Telematics Discounts
Programs like Progressive Snapshot, State Farm Drive Safe & Save, and Allstate Drivewise reward safe drivers with discounts of up to 30%. If you're a careful driver, these programs almost always lower your rate.
Review Your Coverage Levels
If your car is older and paid off, you may be over-insured with full coverage. Use the 10% rule: if your annual collision and comprehensive premium exceeds 10% of your car's value, liability-only may be the smarter choice.
Frequently Asked Questions
Washington, D.C., combines several high-cost factors in a small geographic area: extreme traffic density, high vehicle theft rates, a no-fault insurance framework (PIP coverage is required), and a litigation climate with above-average bodily injury claims costs. The result is the highest average premium in the country at $299/month for full coverage.
South Carolina has seen rising claims costs driven by increasing severe weather events (including hurricanes and flooding), a high uninsured motorist rate, and growing litigation activity — including a rise in large bodily injury verdicts. These factors push insurer costs up, and those costs get passed on in premiums.
Potentially, yes. Vehicle parts tariffs announced in early 2026 could increase repair costs, which flow directly into comprehensive and collision claims. The March 2026 rate data does not yet reflect this impact. Analysts expect any tariff-related rate increases to begin showing up in renewal notices later in 2026.
Insurify analyzes quotes from its database of 50+ partner insurance companies across all 50 states and D.C. The March 2026 figures are based on more than 97 million rate data points. Full-coverage averages represent two-year rolling medians for most states. Rates reflect drivers ages 20–70 with clean driving records and average or better credit.
Usually, yes — at least worth getting quotes. Your individual rate depends on your specific profile (age, vehicle, credit, claims history), so the state average is a benchmark, not a guarantee. But if you're paying well above the average and haven't shopped in 12+ months, there's a strong chance you can find a lower rate. Insurify's data shows the average shopper saves $600–$1,200 per year by comparing carriers.