Cheapest Car Insurance Minnesota: Cost and Options (2024) (2024)

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Because insurance coverage rates are slightly cheaper in Minnesota than the national average, you have a good chance at finding great car insurance in Minnesota at excellent prices. Here, we’ll look at the cheapest car insurance companies and coverage options in the state, beginning with the most affordable providers and coverage options.

Cheapest Car Insurance Companies in Minnesota

When shopping for car insurance, it’s important to look at providers’ prices but also while considering factors like claims satisfaction and discount availability. Below are our top five recommendations for car insurance in Minnesota, and our ratings for each across several categories.

We recommend looking into State Farm, USAA, Geico, Liberty Mutual and American Family Insurance for the cheapest auto insurance in Minnesota.

*Our research team considers nationwide factors when scoring providers. The ranking of providers in this table is specific to car insurance in Minnesota.

Cheapest Car Insurance Coverage in Minnesota

Our rate estimates revealed that drivers in Minnesota can find full coverage car insurance for as cheap as $1,060 per year and minimum coverage as low as $345 per year. Below are the largest providers in Minnesota, ranked by the cheapest coverage cost.

Age, driving histories and credit scores can have huge impacts on the cost of car insurance in Minnesota. Below we compare cheap car insurance estimates for Minnesota drivers in these categories.

Cheapest Car Insurance for Young Drivers in Minnesota

Young drivers in their teens and early 20s can pay significantly more for car insurance than older adults. The series of tables below show the cheapest car insurance for young drivers in Minnesota, along with estimated monthly and annual costs.

Cheapest Minnesota Auto Insurance for 16-Year-Olds

Sixteen-year-olds on their own insurance can find full coverage as low as $3,036 per year.

Cheapest Minnesota Car Insurance for 17-Year-Olds

Car insurance prices are slightly cheaper for 17-year-olds in Minnesota, with average costs starting at $2,726 per year.

Cheapest Minnesota Car Insurance for 18-Year-Olds

Eighteen-year-olds can find full coverage insurance as low as $2,470 per year on average in Minnesota.

Cheapest Minnesota Car Insurance for 21-Year-Olds

Prices for car insurance in Minnesota drop for 21-year-olds. Drivers can find full coverage policies as low as $1,631 per year.

Cheapest Minnesota Car Insurance for 25-Year-Olds

In Minnesota, 25-year-olds can find full coverage insurance as cheap as $1,341 per year on average.

Cheapest Minnesota Car Insurance for High-risk Drivers

At-risk drivers who have had a speeding ticket, DUI or recent accident can pay substantially more for auto insurance. The sections below provide estimates for the cheapest car insurance rates for drivers who may fall into these categories.

Cheapest Minnesota Car Insurance for Drivers With a Speeding Ticket

If you get a speeding ticket, you can count on your auto insurance rates going up. On average, Minnesota drivers with a speeding ticket pay around $2,217 per year for full coverage insurance.

Cheapest Minnesota Car Insurance for Drivers With a Recent Accident

Having an at-fault accident on your record can raise your rates substantially. On average, drivers with a recent accident pay around $2,918 per year for full coverage insurance in Minnesota.

Cheapest Minnesota Car Insurance for Drivers With a DUI

As a serious traffic violation, a DUI can send your car insurance premiums soaring. On average, full coverage insurance costs around $3,567 per year for drivers with a DUI.

Cheapest Minnesota Car Insurance for Drivers With Poor Credit

In Minnesota, insurance companies are legally allowed to adjust your premiums based on your credit score. On average, Minnesota drivers with poor credit scores pay $3,107 per year for a full coverage policy.

The average cost of car insurance in Minnesota is $1,632 per year (or $136 per month) for a full coverage policy. This is good news for drivers in the Land of 10,000 Lakes, as that’s cheaper than the national average rate of $1,730 per year.

Cost of Car Insurance in Minnesota by City

Auto insurance rates differ from state to state, but they also vary within states. Like in many other states, Minnesota residents in more urban ZIP codes typically pay higher rates for insurance than those in rural areas. The table below shows rate estimates for different Minnesota cities.

Minnesota Car Insurance Cost by Age

Your age is one of the biggest factors in how much you pay for a car insurance policy. Younger drivers are more likely to get into car accidents, so they pay more. After age 30, car insurance prices typically level out until age 55, when prices increase again slightly.

Factors That Affect Car Insurance Rates in Minnesota

We’ve covered how age, locations, driving records and credit scores affect car insurance rates in Minnesota. Here are some other important factors in the cost of your premiums:

• Marital status: Insurers tend to give married drivers lower rates than single drivers because married drivers are more likely to bundle policies and own several cars.
• Gender listed on driver’s license: Female drivers get lower rates than same-age male drivers at certain ages, especially when they’re in their teens and early 20s.
• Deductible amount: Opting for a higher deductible will lower a premium, but drivers will have to pay more out of pocket in the event of a car collision.
• Policy discounts: Car owners can qualify for many discounts at insurance companies, and these can really help lower premiums.

Minnesota’s minimum coverage requirements are a bit more extensive than some other state minimums. Minnesota law requires drivers to carry personal injury protection (PIP), liability, uninsured motorist coverage and underinsured motorist coverage.

What Is the Minimum Car Insurance in Minnesota?

Here are the details according to the Minnesota Commerce Department:

• Personal injury protection (PIP): $40,000
• Bodily injury liability insurance: $30,000 per person and $60,000 per accident
• Property damage liability: $10,000 per accident
• Underinsured/uninsured motorist insurance: $25,000 per person and $50,000 per accident

Minnesota is a no-fault state. That means you pursue injury claims from your own company under your PIP coverage. This is also why the state requires PIP coverage for every driver. The no-fault system only applies to medical expenses from accidents, not property damage.

Be aware that Minnesota state requirements such as liability coverage won’t cover your vehicle if you are responsible for the accident. To get full coverage, consider adding collision coverage and comprehensive coverage to your auto insurance policy. Lenders usually require these types of insurance, as well.

Is It Illegal Not To Have Car Insurance in Minnesota?

Minnesota has strict laws about driving with no insurance. It is actually considered a misdemeanor criminal offense in the state.

Your first and second offense of driving without insurance in Minnesota can result in fines of up to $1,000, losing your license for up to 30 days, a requirement to carry SR-22 (high-risk) coverage and, in some cases, community service. If you have a third offense within 10 years, you can lose your license for a year, be fined up to $3,000 and spend as many as 90 days in jail.

How To Get Car Insurance in Minnesota

In Minnesota, you can find affordable auto insurance coverage from many providers, including State Farm, USAA and Geico. We recommend comparing multiple car insurance quotes as you shop for coverage since each provider will treat your situation differently.

In this article, we reviewed the cheapest auto insurance companies, coverage and rates in the state of Minnesota. We also looked at the Gopher State’s average cost of car insurance and coverage requirements.

Car Insurance Minnesota: FAQ

Below are some frequently asked questions about cheap car insurance in Minnesota:

Our Methodology

Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list.

Here are the factors our ratings take into account:

• Cost: Auto insurance rate estimates generated by Quadrant Information Services and discount opportunities were both taken into consideration.
• Coverage: Companies that offer a variety of choices for insurance coverage are more likely to meet consumer needs.
• Reputation and experience: Our research team considered market share, ratings from industry experts and years in business when giving this score.
• Availability: Auto insurance companies with greater state availability and few eligibility requirements scored highest in this category.
• Customer experience: This score is based on volume of complaints reported by the NAIC and customer satisfaction ratings reported by J.D. Power. We also considered the responsiveness, friendliness and helpfulness of each insurance company’s customer service team based on our own shopper analysis.

Our credentials:

• 800 hours researched
• 45 companies reviewed
• 8,500+ consumers surveyed

*Data accurate at time of publication.