No, car insurance in Kentucky is not cheaper than the national average cost of car insurance. The average cost of car insurance in Kentucky is $78 per month, or $931 per year, which is more expensive than the national average of $716 per year.
However, you can still find cheap coverage by comparing quotes and taking advantage of discounts. To help you get started, here are some of the cheapest car insurance companies in Kentucky.
Car insurance in Kentucky costs $78 monthly ($931 per year) for minimum coverage, on average, and around $199 per month ($2,391 annually) for a full-coverage policy. The cheapest insurance companies in Kentucky are Geico, State Farm, and Cincinnati Insurance, but insurers calculate premiums differently, so it’s a good idea to get quotes from more companies to find the best deal.… read full answer
Average Cost of Car Insurance in Kentucky by Category
Clean driving record: $81 per month
After an at-fault accident: $123 per month
Driver with poor credit: $147 per month
Teen driver: $301 per month
After a DUI: $201 per month
The average cost of car insurance in Kentucky is 29% higher than the national average auto insurance premium, and Kentucky ranks 40 out of 50 for the most affordable car insurance rates in the U.S.. There are several factors that affect how much you’ll pay for car insurance in Kentucky, including your driving record, age, location, the amount of coverage that you purchase, and the insurance company you buy it from.
Finally, it’s worth noting that car insurance premiums in Kentucky are high, compared to the cost of coverage in neighboring states like Tennessee and Ohio. You can find more details in the table below.
Cost of Car Insurance in Kentucky vs. Neighboring States
The cheapest car to insure in Kentucky is an SUV because minimum coverage only costs $895 per year, on average. The cost to insure a SUV is less than the average cost of minimum coverage in Kentucky ($931 per year).
Cost to Insure Different Types of Cars in Kentucky
It is important to note that while some cars will be cheaper to insure based on their reliability and brand, your specific premiums will vary depending on your age, location, and driving history. We recommend comparing multiple quotes before buying insurance so you can get the best deal.
Paying off your car may affect your insurance coverage requirements. However, paying off your car does not directly affect your auto insurance rate.
The presence of a car loan, no matter how much you owe, doesn’t mean you’ll automatically pay a higher insurance rate, as listing a financial company as a payee on your policy won’t affect your rate. However, having a car loan will almost certainly mean that you’ll have to carry more insurance than your home state’s minimum requirements. Banks that back auto financing loans almost always stipulate that their customers carry more coverage than is required by law – such as additional liability insurance as well as … read full answercomprehensive, collision, and/or lease/loan payoff coverage – to protect the bank’s interest in the car. Also, customers who finance vehicles are sometimes required to carry insurance policies that have lower deductibles, which makes their premium more expensive.
Once you have paid off your car loan, and you own the vehicle outright, the company that financed your car doesn’t have a say in what type of insurance coverage you must have any longer, and you can shop around for different options. Dropping certain types of coverage or lowering the limits on your policy could get you a lower premium.
So, paying off your car could allow you to pay less for insurance, but you won’t see it as an automatic rate decrease on your policy. If you have paid off your car and want to make changes to your coverage options, call your insurance provider as soon as possible.
WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.
WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.