Cheap car insurance for bad credit
Having bad credit makes car insurance much more expensive, but it’s still possible to get affordable coverage. We found that MAPFRE has the cheapest overall car insurance for bad credit at $125 per month.
But MAPFRE is only available in 18 states, so GEICO may be a better pick for cheap car insurance for drivers with poor credit. USAA, NJM, and Nationwide are also affordable alternatives.

Compare rates and shop affordable car insurance today
We don't sell your information to third parties.
Why do drivers with bad credit pay more for car insurance?
In most states, car insurance companies charge drivers with bad credit more for car insurance because it’s one of the factors that may increase the likelihood of a future claim. Car insurance companies technically look at insurance scores, which take credit into account.
Why you can trust our picks for the best car insurance for bad credit
We found the cheapest companies for drivers with bad credit by analyzing rates from Quadrant Information Services. These rates were for every ZIP code in the country and were for the following amounts of insurance:
Bodily injury liability: $50,000 per person, $100,000 per accident
Property damage liability: $50,000 per accident
Uninsured/underinsured motorist: $50,000 per person, $100,000 per accident
Comprehensive: $500 deductible
Collision: $500 deductible
Our sample driver was a single 30-year-old driver who drove a 2017 Toyota Camry and had a credit score under 578.
Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.
Best and cheapest companies for drivers with bad credit
On average, car insurance for drivers with bad credit can be thousands of dollars more per year than for someone with a better credit score. That price difference means it’s even more important for drivers with low credit to compare rates and find their cheapest company.
Cheapest car insurance for bad credit from a large company: GEICO
Cheapest car insurance for bad credit from a high-risk company: Kemper
Cheapest overall car insurance for bad credit: MAPFRE
Cheapest overall for bad credit
Monthly cost: $125 for bad credit
Number of complaints: Lower than average
MAPFRE has the cheapest car insurance for drivers with bad credit, but it’s only available in 18 states. Besides its low average rates for drivers with bad credit, MAPFRE also receives fewer-than-average complaints from policyholders.
We found that MAPFRE has the overall cheapest car insurance for drivers with bad credit. With MAPFRE, car insurance is $125 per month on average for drivers with a bad credit score. That’s $1,613 more expensive per year than the average rate for auto insurance with bad credit.
MAPFRE also has a reputation for great customer service. According to the National Association of Insurance Commissioners, MAPFRE significantly fewer complaints from policyholders than most companies.
But one drawback to MAPFRE is that it doesn’t offer insurance everywhere. It’s only available in the following states:
Arizona
California
Connecticut
Idaho
Indiana
Kentucky
Maine
Massachusetts
New Hampshire
New Jersey
New York
Ohio
Oregon
Pennsylvania
Rhode Island
Tennessee
Washington
Vermont
Cheapest car insurance for bad credit from a large company: GEICO

Cheapest for bad credit from a large company
Monthly cost: $157 for bad credit
Number of complaints: Average
GEICO has the best insurance rates for drivers with bad credit of any nationally available company. This means that even though it doesn’t have the cheapest rates overall, it’s the best choice for most drivers with poor credit.
GEICO has some of the best auto insurance rates for bad credit. On average, insurance from GEICO costs $157 per month, or $1,232 less annually than average for drivers with bad credit. If you qualify for discounts from GEICO, it could be lower.
And unlike some competitors, GEICO offers car insurance coverage in every state. It’s also $156 cheaper per year than the next-cheapest large insurance provider.
Large company name | Average monthly cost | Average annual cost |
---|---|---|
GEICO | $157 | $1,885 |
USAA* | $170 | $2,042 |
Nationwide | $181 | $2,166 |
Travelers | $210 | $2,523 |
American Family | $254 | $3,049 |
USAA is only available to drivers in the military or in military families
Cheapest non-standard car insurance for bad credit: Kemper

Cheapest non-standard company
Monthly cost: $224 for bad credit
Number of complaints: Higher than average
If you’re having trouble getting insurance because of your bad credit, Kemper may have your best rates. But, like other non-standard companies, Kemper’s customer service doesn’t get high praise.
Kemper is a non-standard insurance company, which means it covers high-risk drivers who may not be able to find coverage elsewhere. On average, the cost of car insurance for bad credit from Kemper is $224 per month, which is $431 less than average per year.
While Kemper offers affordable car insurance even for drivers with bad credit, it receives far more complaints than average. Still, with low rates and excellent financial strength rating, it’s a reputable company where high-risk drivers can get covered despite poor or bad credit scores.
Non-standard company | Average monthly cost | Average annual cost |
---|---|---|
Kemper | $224 | $2,686 |
National General (owned by Allstate) | $257 | $3,086 |
State Auto | $266 | $3,187 |
UAIC | $267 | $3,204 |
Safe Auto | $356 | $4,277 |
Cheapest car insurance for bad credit in every state
We found that GEICO has the cheapest car insurance for drivers with bad credit in 22 states. That’s the most compared to any other company, but drivers may also find that USAA or Nationwide has the cheapest rates where they live.
The average cost of car insurance for drivers with bad credit is $260 per month, but many companies have much lower rates.
State | Cheapest company | Monthly cost |
---|---|---|
Safeway | $136 | |
USAA | $142 | |
GEICO | $130 | |
USAA | $150 | |
GEICO | $136 | |
GEICO | $105 | |
GEICO | $182 | |
GEICO | $191 | |
GEICO | $267 | |
GEICO | $159 | |
GEICO | $82 | |
Pekin | $109 | |
GEICO | $106 | |
West Bend Mutual | $128 | |
GEICO | $123 | |
GEICO | $173 | |
USAA | $207 | |
USAA | $87 | |
GEICO | $105 | |
GEICO | $146 | |
West Bend Mutual | $137 | |
National General | $146 | |
USAA | $115 | |
GEICO | $146 | |
Nationwide | $131 | |
GEICO | $129 | |
USAA | $105 | |
Selective | $169 | |
GEICO | $123 | |
GEICO | $136 | |
National General | $83 | |
USAA | $118 | |
GEICO | $96 | |
USAA | $146 | |
GEICO | $137 | |
Nationwide | $124 | |
GEICO | $175 | |
USAA | $139 | |
Kemper | $114 | |
USAA | $129 | |
Redpoint | $113 | |
Nationwide | $143 | |
GEICO | $91 | |
Nationwide | $126 | |
USAA | $136 | |
GEICO | $97 | |
American National | $94 |
Compare rates and shop affordable car insurance today
We don't sell your information to third parties.
How bad credit affects your car insurance
Since a driver’s credit score is one of the factors that insurers use to set rates, your credit score has a direct impact on what you pay for insurance.
In most states, drivers with worse credit scores pay more for car insurance than a driver with a higher credit score. In fact, someone with poor credit may pay $1,000 more a year for car insurance than someone with fair credit.
Credit tier | Average monthly cost | Average annual cost |
---|---|---|
Excellent (800-850) | $117 | $1,400 |
Very good (740-799) | $129 | $1,550 |
Good (670-739) | $142 | $1,703 |
Fair (580-669) | $173 | $2,073 |
Poor (300-579) | $260 | $3,117 |
Credit ranges based on Experian, scoring ranges can vary by carrier
There are also some states where insurance companies aren’t allowed to take your credit score into account when they set your rates. In these states, your rates may still be determined by other factors like your age and gender, driving record, and claims history.
The states where car insurance companies can’t consider your credit score are:
California
Hawaii
Maryland
Massachusetts
Michigan
Oregon
Utah
Does getting an insurance quote impact your credit score?
No, you can get car insurance quotes and compare prices without affecting your credit. Insurance companies do what’s called soft inquiry or pull when you get quotes instead of a hard inquiry, like if you applied for a credit card. A soft inquiry shows up on your credit record but doesn’t affect your score at all.
What is no-credit check car insurance?
There’s technically no such thing as no-credit check car insurance. As long as you live in a state that doesn’t have any laws about it, almost every insurance company will check your credit score (and use your credit to set your rates) before covering you.
Some smaller companies may not check your credit, but there’s a good chance these companies will charge higher rates anyway.
That said, some companies may not put as much importance on your credit. Usage-based insurance companies, like Root, which has pledged to phase out the use of credit scores by 2025, set rates based mostly on your driving habits.
How to improve your credit score
If you have bad credit (and are paying high insurance premiums because of it) you can take steps to improve your credit score.
It takes a while to get a better score, but your car insurance may be much cheaper, even if you only move from a poor score to a fair or average credit score.
Some ways to improve your credit include:
Gradually paying off any outstanding credit card debt
Paying down other debt and loan balances you have
Avoiding any hard credit inquiries, like for new credit cards
Using a small percentage of your available credit balance
Keeping credit cards open instead of canceling them
On the other hand, if you have average credit, be sure not to let your credit score drop. Your insurance won’t get more expensive right after your credit score drops, but your rates will be higher because of your credit when you renew your policy.
How to get cheaper insurance if you have bad credit
Improving your credit takes time, but there are ways you can find cheap insurance in the meantime. You can lower your car insurance costs (even with bad credit) by:
Finding the company with the best rates: The most reliable way drivers with bad credit can get cheaper insurance is by comparing quotes from multiple companies and choosing the one with the lowest rates.
Avoiding accidents and claims: Keeping a clean driving record is one of the most effective ways to keep your insurance rates as low as possible. If you’re in a crash while you’re working to improve your credit, whatever gains you made could be erased.
Completing a defensive driving class: Most insurance companies offer a discount to drivers who complete a defensive or safe driving class. This makes it an effective (and quick) way for many people with bad credit to lower their rates.
Make sure to re-shop your policy every year: If your credit score drops, wait till it’s time for you to renew your policy and compare instead rates for your credit tier from other companies. You don’t have to renew — and you might get a better rate somewhere else.
Compare rates and shop affordable car insurance today
We don't sell your information to third parties.
Frequently asked questions
Which company has the cheapest quotes for someone with poor credit?
We found that MAPFRE has the cheapest quotes for drivers with poor credit. But since MAPFRE isn’t offered in every state, GEICO is likely to have the cheapest quotes for more drivers.
What is a good credit score for insurance?
There’s not a single good credit score for insurance. That said, drivers who have a good credit score will pay higher rates than someone with an excellent score, and someone with a fair credit score will have higher costs than someone with a good score, and so on.
Can you be refused or denied insurance because of your credit score?
Insurance companies don’t have to cover you if your credit score is too low. If you don’t live in one of the states that has rules about insurance companies using your credit to set your rates, you can still find other companies that won’t deny you your credit score.