Car insurance in California costs roughly $114 per month, or $1,369 per year, on average. That is more than drivers in other states typically pay for car insurance.
How Much Insurance Costs in California for:
- Good drivers: $985
- New student drivers: $6,177
- High-risk drivers: $2,842
Where California Insurance Rates Rank Nationally
California ranks 42 out of 50 for the most affordable car insurance rates in the U.S. For context, Michigan has the most expensive insurance in the country, with drivers paying an average of $2,693 per year. And on the other end of the spectrum, Maine has the lowest average car insurance rate, at $896 per year.
Below, you can see how car insurance costs in California compare to rates in other states.
||Average Cost of Car Insurance per Year
Why Is California Car Insurance So Expensive?
High Crime Rate:
California has a moderate crime rate compared to other parts of the country. Higher crime means a higher likelihood of vandalism or theft, which raises insurance rates. So California's insurance costs more than states with less crime.
higher Insurance Requirements:
State laws affect insurance costs
, too. California has higher insurance requirements than many other states, which means insurance is slightly more expensive.
In addition to these statewide factors influencing car insurance costs, your personal information also affects the price you pay for insurance. Some of the most impactful data points are high-risk violations on your record (e.g. DUI), your age, and your car’s make and model.
Whether you are considered a responsible or high-risk driver, it is always worthwhile to compare costs between several insurance companies. In other words, make sure to shop around to find a good deal for your demographic.
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