Best car insurance in Tennessee (2024)

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By

Rachael BrennanSenior Editor & Licensed Auto Insurance ExpertRachael Brennan is a senior editor and a licensed auto insurance expert at Policygenius. Her work has also been featured in MoneyGeek, Clearsurance, Adweek, Boston Globe, The Ladders, and AutoInsurance.com.&Andrew HurstSenior Editor & Licensed Auto Insurance ExpertAndrew Hurst is a senior editor and a licensed auto insurance expert at Policygenius. His work has also been featured in The New York Times, The Wall Street Journal, Forbes, USA Today, NPR, Mic, Insurance Business Magazine, ValuePenguin, and Property Casualty 360.

Edited by

Anna SwartzAnna SwartzSenior Managing EditorAnna Swartz is a senior managing editor who specializes in home, auto, renters, and disability insurance at Policygenius. Previously, she was a senior staff writer at Mic and a writer at The Dodo. Her work has also appeared in Salon, HuffPost, MSN, AOL, and Heeb.
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Reviewed by

Maria FilindrasMaria FilindrasFinancial AdvisorMaria Filindras is a financial advisor, a licensed Life & Health insurance agent in California, and a member of the Financial Review Council at Policygenius.

Updated|4 min read

Expert reviewedExpert reviewedThis article has been reviewed by a member of ourFinancial Review Council to ensure all sources, statistics, and claims meet the highest standard for accurate and unbiased advice.Learn more about oureditorial review process.

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The cheapest car insurance company in Tennessee is USAA, at an average of $68 a month or $820 a year. But USAA is only available to drivers affiliated with the military, so State Farm, Auto-Owners, GEICO, and Travelers are the cheapest car insurance companies in Tennessee for most drivers.

Ready to shop car insurance?

Average cost per month

USAA

$68

State Farm

$71

Auto-Owners

$81

GEICO

$90

Travelers

$100

Methodology & why you can trust our rates

Policygenius has analyzed car insurance rates provided by Quadrant Information Services for every ZIP code in all 50 states plus Washington, D.C. For full coverage policies, the following coverage limits were used:

  • Bodily injury liability: 50/100

  • Property damage liability: $50,000

  • Uninsured/underinsured motorist: 50/100

  • Comprehensive: $500 deductible

  • Collision: $500 deductible

In some cases, additional coverages were added where required by state or insurer.

Rates for overall average rate, rates by ZIP code, and cheapest companies determined using averages for single drivers ages 30, 35, and 45. Our sample vehicle was a 2017 Toyota Camry LE driven 10,000 miles/year.

Rates for driving violations and “Poor” credit determined using average rates for a single male 30-year-old driver with 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.

Cheapest car insurance companies in Tennessee

USAA

USAA logo

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starFull orange star

5.0

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

All 50 states

Bundle home & auto

Coverage for rideshare drivers

Good student discount

Usage-based discount

Offers classic car insurance

Mobile app

Offers motorcycle insurance

Why we chose itchevron icon

USAA has some of the best car insurance rates and customer service ratings of any company in Tennessee. It also offers add-ons like gap insurance and roadside assistance, as well as special discounts for service members.

Pros and conschevron icon

Pros

  • Low rates

  • Available nationwide

  • High customer service ratings

Cons

  • Only available to military members and their families

More detailschevron icon

Why we chose USAA:

If you’re an active or retired member of the military or a part of a military family, USAA has some of the best and cheapest car insurance in Tennessee. USAA has some special features for its military clientele, including savings if you garage your car on base.

USAA’s customer service is one of its greatest strengths. It frequently earns top scores from J.D. Power for claims satisfaction, and receives about an average number of complaints for the industry, according to the National Association of Insurance Commissioners.

How does the cost of car insurance from USAA compare to average in Tennessee?

The average cost of car insurance from USAA in Tennessee is $68 a month or $820 per year, which is 38% cheaper than the statewide average.

State Farm

State Farm logo

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.8

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Bundle home & auto

Coverage for rideshare drivers

Good student discount

Mobile app

Usage-based discount

Offers classic car insurance

Offers motorcycle insurance

Why we chose itchevron icon

State Farm is one of our top car insurance companies in Tennessee thanks to its cheap rates and high customer service ratings. State Farm may even be an affordable pick for drivers with spotty records.

Pros and conschevron icon

Pros

  • Available in almost every state

  • Low rates for teens and drivers with accidents

  • High customer satisfaction ratings

Cons

  • Limited coverage options

More detailschevron icon

Why we chose State Farm:

State Farm is one of the cheapest car insurance companies in Tennessee even if you have a history of accidents and other driving violations.

State Farm also has high customer satisfaction ratings and receives fewer complaints than is average for the industry, according to the National Association of Insurance Commissioners.

How does the cost of car insurance from State Farm compare to the average in Tennessee?

The average cost of State Farm car insurance in Tennessee is $71 a month or $848 per year, which is 36% cheaper than the statewide average.

Auto-Owners

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.7

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Bundle home & auto

Offers gap coverage

Mobile app

Good student discount

Offers classic car insurance

Offers motorcycle insurance

Why we chose itchevron icon

Auto-Owners has affordable coverage and high customer service ratings in Tennessee, plus a range of useful coverage add-ons and discounts.

Pros and conschevron icon

Pros

  • Lower-than-average rates

  • Offers gap coverage

  • Owned by its policyholders

Cons

  • Not offered in every state

More detailschevron icon

Why we chose Auto-Owners:

Auto-Owners is one of the cheapest car insurance companies in Tennessee — and your rates may be even lower if you qualify for any of the available discounts.

Auto-Owners also has lots of add-ons to choose from, including gap insurance, accident forgiveness, coverage for your car’s lost value after an accident, and more.

How does the cost of car insurance from Auto-Owners compare to average in Tennessee?

The average cost of car insurance from Auto-Owners in Tennessee is $81 a month or $975 per year, which is 27% cheaper than the statewide average.

GEICO

Logo for GEICO insurance company

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.7

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Offers classic car insurance

All 50 states

Offers motorcycle insurance

Good student discount

Mobile app

Usage-based discount

Why we chose itchevron icon

GEICO is among our picks for top car insurance companies in Tennessee because of its low rates, convenient mobile app, and solid customer service.

Pros and conschevron icon

Pros

  • Available in all 50 states

  • Easy-to-use digital tools

  • Plenty of discounts

Cons

  • Only sells through GEICO agents

  • Doesn’t underwrite its other products

More detailschevron icon

Why we chose GEICO

GEICO is among the cheapest car insurance companies in Tennessee, even for drivers with bad credit or newly-licensed teens at home.

GEICO’s convenient mobile app even helps you estimate the cost of vehicle repairs after an accident. Though it’s one of the largest insurance companies in the country, GEICO gets fewer complaints from its customers than expected.

How does the cost of car insurance from GEICO compare to average in Tennessee?

The average cost of car insurance from GEICO in Tennessee is $90 a month or $1,078 per year, which is 19% cheaper than the statewide average.

Travelers

logo for Travelers car insurance

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.7

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Accident forgiveness

Bundle home & auto

Usage-based discount

Offers gap coverage

Offers new car replacement

All 50 states

Coverage for rideshare drivers

Mobile app

New homebuyer discount

Why we chose itchevron icon

Travelers has cheaper-than-average car insurance rates in Tennessee (along with a lengthy list of discounts), and a range of useful coverage add-ons.

Pros and conschevron icon

Pros

  • Offers useful add-ons like new car replacement and gap coverage

  • Cheaper-than-average rates

  • Receives few complaints for service

Cons

  • Has lower satisfaction ratings than competitors

More detailschevron icon

Why we chose Travelers:

Travelers’s rates are lower than average in Tennessee, and your insurance may be even more affordable once you factor in the many available discounts.

Travelers’s range of car insurance coverage options are another strong point. You can add gap insurance, along with accident forgiveness, new car replacement, and more.

How does the cost of car insurance from Travelers compare to average in Tennessee?

The average cost of car insurance from Travelers in Tennessee is $100 a month or $1,204 per year, which is 9% cheaper than the statewide average.

Best car insurance companies in Tennessee

The best car insurance company in Tennessee is USAA, which scored the highest on the 2023 J.D. Power Auto Insurance Study. [1] This study measures how drivers in the region feel about their insurance company’s service, billing, claims service, and price.

If you’re not in the military or in a military family, Tennessee Farm Bureau is the best-rated car insurance company.

Company

Score

1

USAA

876

2

Tennessee Farm Bureau

866

3

Erie

859

4

Kentucky Farm Bureau

857

5

Alfa

851

Cheapest car insurance companies by age in Tennessee

Car insurance for teens is typically much more expensive than insurance for adults, sometimes by several thousand dollars each year. This is because young drivers are statistically more likely to be in an accident or file a claim than older drivers. 

Most teens see their insurance costs go down as they get into their early twenties, but that is only if they have a clean driving record.

The table below shows the companies with the lowest rates by age in Tennessee:

Age

Cheapest company

Average cost

18

GEICO

$2,225

21

USAA

$1,256

35

USAA

$823

45

USAA

$773

55

USAA

$726

60

USAA

$723

65

USAA

$745

70

USAA

$791

16

State Farm

$2,997

25

State Farm

$1,008

30

State Farm

$863

Collapse table

Choosing the right car insurance company in Tennessee

Choosing the best car insurance company for you doesn’t have to be an overwhelming experience. There are several factors to consider, including:

  • Cost: The best way to keep insurance costs low is to get quotes from multiple companies to make sure you are getting the lowest possible rate.

  • Coverage: If you don’t have enough liability coverage you will still be held accountable for damage that goes beyond your coverage levels, so having the highest levels of liability coverage you can afford is an important consideration when choosing an insurance policy.

  • Customer service: The odds are good that you will only contact your insurance company if you are filing a claim. Given how stressful it can be to deal with the aftermath of an accident, choosing a company with stellar customer service can go a long way toward making a difficult situation better.

Policygenius can help you compare quotes and choose the right policy for your needs.

Car insurance rates for drivers with driving violations in Tennessee

Your driving history is one of the biggest factors insurance companies use to help determine your rates, meaning a single accident or a traffic ticket could have a significant impact on your insurance costs. 

The cheapest car insurance in Tennessee if you have an accident or driving violation on your record is State Farm.

A bar graph showing the cheapest car insurance companies in Tennessee after a driving violation. State Farm is the cheapest.

USAA

State Farm

Auto-Owners Insurance

GEICO

Travelers

At-fault accident

$1,249

$1,010

$1,720

$1,914

$1,747

Suspended license

$1,593

$936

$2,384

$2,795

$1,902

Open container

$1,162

$936

$1,292

$1,993

$1,660

Expired registration

$1,039

$936

$1,005

$1,256

$1,660

Driving without lights

$1,039

$936

$1,005

$1,299

$1,660

Running a red light

$1,039

$936

$1,005

$1,299

$1,683

Following too closely

$1,039

$936

$1,005

$1,299

$1,660

Hit and run

$1,712

$936

$2,384

$2,302

$1,902

Not-at-fault accident

$875

$863

$1,005

$1,075

$1,299

Passing a school bus

$1,162

$936

$1,423

$1,299

$1,902

Reckless driving

$1,162

$936

$2,384

$2,302

$1,902

Collapse table

Cheapest car insurance after an accident in Tennessee

The cheapest car insurance company in Tennessee after an at-fault accident is State Farm. On average, car insurance from State Farm costs $84 a month, or $1,010 a year with a single at-fault accident on your record.

Rates for drivers with an at-fault accident

State Farm

$1,010

USAA

$1,249

Auto-Owners

$1,720

Travelers

$1,747

GEICO

$1,914

Cheapest car insurance for drivers with a DUI in Tennessee

The cheapest car insurance company in Tennessee if you have a DUI on your record is State Farm. The average cost of car insurance from State Farm is $78 a month or $936 a month with a DUI.

Rates for drivers with DUIs

State Farm

$936

USAA

$1,651

Travelers

$1,902

GEICO

$1,993

Auto-Owners Insurance

$2,384

Cheapest car insurance for drivers with a speeding ticket in Tennessee

The cheapest car insurance after a speeding ticket in Tennessee comes from State Farm. On average, coverage from State Farm after a speeding ticket costs for $78 a month or $936 a year.

Rates for drivers with speeding tickets

State Farm

$936

USAA

$1,039

Travelers

$1,902

GEICO

$2,302

Auto-Owners Insurance

$3,258

→ Learn about how to find the cheapest SR-22 insurance in Tennessee

Cheapest car insurance for drivers with bad credit in Tennessee

Insurance companies in Tennessee can use your credit score to help determine your rates, or even decide whether or not to sell you insurance based on your credit. Drivers with poor credit histories and low credit scores can expect to pay more for their insurance than drivers with high credit scores.

Because of this, working to improve your credit score can save you money on car insurance. The chart below shows the car insurance companies with the lowest average rates for drivers with low credit:

Rates for drivers with bad credit

USAA

$1,544

GEICO

$1,644

Tennessee Farmers Mutual Insurance

$1,763

Grange Insurance

$1,879

Nationwide

$1,939

Cheapest car insurance in Tennessee by city

Your insurance rates will depend on local crime, population density, and traffic accidents and congestion near where you live.

Here are the cheapest car insurance companies in the 10 most populated cities in Tennessee.

Largest cities

Cheapest company

Average yearly rate for the cheapest company

Overall citywide average

Nashville

USAA

$812

$1,370

Memphis

USAA

$924

$1,700

Knoxville

USAA

$831

$1,283

Chattanooga

State Farm

$842

$1,290

Clarksville

USAA

$759

$1,318

Murfreesboro

USAA

$803

$1,284

Franklin

USAA

$771

$1,225

Johnson City

State Farm

$722

$1,123

Jackson

USAA

$823

$1,359

Hendersonville

USAA

$820

$1,256

Collapse table

Ready to shop car insurance?

Buying car insurance in Tennessee

If your vehicle is registered in Tennessee, state law says drivers must meet the following minimum liability insurance requirements or have other proof of financial responsibility:

  • $25,000 for each injury or death per accident

  • $50,000 for total injuries or deaths per accident

  • $25,000 for property damage per accident

These are just the basic required minimum amounts. However, these limits are relatively low. If you are in an accident that causes more damage than your liability limits will cover, you will be held personally responsible for any costs above and beyond your liability insurance coverage. If you have a car loan or lease a vehicle, you’ll need to have comprehensive and collision insurance as well.

Tennessee is an at fault state, which means that if you cause an accident, you must fully compensate the other driver for any damages to their property or bodily injuries sustained in an accident. Your liability insurance covers the cost of car repairs, other property damage, and medical expenses for the other driver if you are found at fault, but only up to your policy limits. If you don’t have enough liability insurance to cover those damages, expect to pay those additional costs out-of-pocket.

How to get cheap car insurance in Tennessee

Most insurance companies offer Tennessee drivers plenty of ways to save money on your car insurance. These are some of the discounts available from most companies:

  • Good student discount: Students who maintain a B average or higher can earn up to 15% off of their car insurance.

  • Bundling discount: Insurance companies typically offer a substantial discount to customers who combine multiple insurance policies (home, auto, renters, etc.) through the same company.

  • Safe driver discount: Taking a safe driver course can sometimes earn drivers a discount on their insurance, but some companies offer discounts for drivers who maintain a clean driving record for three years or more.

  • Group discount: Insurance discounts are often available based on profession. For example, teachers are often given a discount on their car insurance. Some insurance companies also partner with larger employers and offer discounts as part of an employee benefits package.

  • Low mileage discount: Insurance companies often charge lower rates for drivers who have short commutes.

  • Military discount: Many insurance companies offer a discount to active military members and their families.

Not everyone will qualify for these discounts, but there are other ways to save money on your car insurance. Keeping your driving record clean is the best way to keep your insurance costs low, while improving your credit rating can help save you a significant amount of money on your insurance.

Comparing quotes from multiple insurance companies is another excellent way to make sure you are getting the most affordable policy available.

Find car insurance in your city:

Frequently asked questions

How much is car insurance per month in Tennessee?

On average, car insurance costs $111 per month in Tennessee. This is about $300 less per year than the national average cost of coverage.

Why is car insurance so cheap in Tennessee?

The cost of car insurance in Tennessee is cheaper than the national average cost of coverage. This may be for a few reasons. Drivers in Tennessee may be less likely to make claims for damage than those in other states. In Tennessee, drivers may be less likely to fight a claim settlement in court — which saves insurers money on legal fees.

Is it mandatory to have car insurance in Tennessee?

Yes, Tennessee drivers must have at least the state-required minimum levels of liability coverage. The state requires drivers to carry at least $25,000 of bodily injury liability coverage per person, $50,000 per accident, and $15,000 of property damage liability insurance.

What happens if I drive without car insurance in Tennessee?

Driving without insurance in Tennessee is a Class C misdemeanor. This is punishable by a fine of $300 and the state will suspend your license and car registration until you provide proof of insurance.

References

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Policygenius uses external sources, including government data, industry studies, and reputable news organizations to supplement proprietary marketplace data and internal expertise. Learn more about how we use and vet external sources as part of oureditorial standards.

  1. J.D. Power

    . "

    Auto Insurance Customer Satisfaction Plummets as Rates Continue to Surge, J.D. Power Finds

    ." Accessed September 23, 2023.

Authors

Rachael Brennan is a senior editor and a licensed auto insurance expert at Policygenius. Her work has also been featured in MoneyGeek, Clearsurance, Adweek, Boston Globe, The Ladders, and AutoInsurance.com.

Andrew Hurst is a senior editor and a licensed auto insurance expert at Policygenius. His work has also been featured in The New York Times, The Wall Street Journal, Forbes, USA Today, NPR, Mic, Insurance Business Magazine, ValuePenguin, and Property Casualty 360.

Editor

Anna Swartz is a senior managing editor who specializes in home, auto, renters, and disability insurance at Policygenius. Previously, she was a senior staff writer at Mic and a writer at The Dodo. Her work has also appeared in Salon, HuffPost, MSN, AOL, and Heeb.

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