Raleigh, NC Car Insurance
How much does car insurance cost in Raleigh?
In Raleigh, car insurance typically costs around $580 for a six-month policy or $97 per month. Our 2023 data identifies North Carolina Farm Bureau as the most affordable car insurance provider in Raleigh, with rates as low as $435 for a six-month policy. On average, drivers in North Carolina allocate approximately $574 every six months for car insurance.
Comparing this to the national average of $880, Raleigh's average rate remains competitive. Still, 39% of our customers in Raleigh leverage our service because they are paying too much for car insurance. If you're seeking guidance with your car insurance, read on to uncover insights on determining a fair rate in Raleigh based on factors such as credit score, coverage level, and more.
|Car Insurance in Raleigh vs. North Carolina||Avg. 6 Mo. Premium|
|North Carolina Average||$574|
The cheapest car insurance companies in Raleigh
North Carolina Farm Bureau takes the prize for the cheapest coverage at $73 per month or $435 for a six-month policy.
In second place is State Farm, offering auto insurance rates of just $77 per month ($464 for six months).
Finishing out as third-cheapest on our list is Erie. A policy from Erie in Raleigh costs $503 per six-month policy, which still comes in at under $100 per month.
Are you paying too much for auto insurance?
Raleigh car insurance rates by company
The latest statistics from 2023 expose North Carolina Farm Bureau as the most pocket-friendly car insurance option in Raleigh. On average, they charge a monthly rate of $73, translating to a six-month policy costing $435. Following closely behind is State Farm, offering a similar monthly rate of $77 or a total of $464 for a half-year term.
Expand your knowledge about the highest-rated car insurance companies by delving into The Zebra's Customer Satisfaction Survey.
Cheapest car insurance companies in Raleigh, NC
Dynamic auto insurance data methodology
Methodology: The auto insurance rates displayed above and throughout this page are dynamic, meaning the data will refresh when the most recent information is made available. Rates are based on a sample driver profile — a 30-year-old single male driver with a Honda Accord and full coverage. This profile was adjusted based on common pricing factors used by major car insurance companies, like age, coverage level, driving record and others.
Shop around to save on car insurance
To determine the most cost-effective coverage for your unique needs, it is important to do a thorough comparison. Allow us to do the necessary legwork on your behalf. By entering your ZIP code, you can promptly access the rates provided by Progressive, Allstate, USAA, State Farm, and other top-tier companies, enabling you to effortlessly discover the best and most affordable car insurance options in Raleigh.
Average car insurance in Raleigh by rating factor
Criteria known as rating factors form the basis for car insurance companies' determination of premium costs. These rating factors encompass diverse elements, including age, credit score, driving history, and the specific vehicle one possesses. While the relative importance of each factor may vary, they all possess the potential to impact the premium amount.
Consequently, both the rating factors and the most suitable car insurance company for an individual can change over time. Thus, it is a wise practice to occasionally search for alternative providers to ensure that the most favorable rates are still being obtained.
Q: I didn't have an accident — Why is my insurance going up?
A: The determination of your car insurance costs in Raleigh takes into account the end-of-year earnings, which compare the revenue generated from premiums to the amount spent on settling claims for insured individuals. It is essential to remember that despite having a clean claims history, you may still end up paying more with a particular insurance company owing to the increased costs involved in conducting business in Raleigh.
Auto insurance premiums by age in Raleigh
Age is one of the most crucial factors that impact insurance rates in the insurance business. Generally, teenagers have the highest accident rates among all age groups, resulting in higher premiums for them. In Raleigh, the rates for teenage drivers are more expensive, but not as egregious as other cities. The difference in rates paid by teenage drivers and drivers in their 20s is around $700 per six-month policy, or 113% more expensive.
Nevertheless, teenage drivers in Raleigh have the highest insurance premiums. You can check the table below to find the insurance companies that offer the cheapest rates for teenagers in Raleigh.
Cheapest car insurance companies for teen drivers in Raleigh, NC
|Age Bracket||Cheapest Companies||Avg. 6 Mo. Premium|
|20s||North Carolina Farm Bureau||$435|
|30s||North Carolina Farm Bureau||$433|
|40s||North Carolina Farm Bureau||$433|
|50s||North Carolina Farm Bureau||$433|
|60s||North Carolina Farm Bureau||$433|
|70s||North Carolina Farm Bureau||$433|
Auto insurance premiums for minimum coverage in Raleigh
Determining the nature of your car insurance premium involves considering various factors, among which the level of coverage you select holds great importance. Each state establishes its own requirements regarding the minimum coverage you must carry, and choosing this lower level typically leads to lower premiums. Notably, our data suggests that a substantial 31% of drivers in Raleigh have opted solely for the state minimum coverage. While this represents the most economical choice, it also leaves you vulnerable to the risk of being underinsured.
Alternatively, "full coverage" insurance, encompassing collision coverage and comprehensive coverage, demands higher premiums but ensures greater protection in the event of an accident. Both these coverages involve a deductible, which is the amount you need to pay upfront before your insurance coverage becomes effective.
Additionally, it may be worthwhile to consider other optional coverages such as roadside assistance or uninsured motorist coverage. While these coverages come with higher premiums, industry experts at The Zebra strongly advise taking advantage of these opportunities as they play a crucial role in safeguarding both you and your vehicle.
Q: Can I lower my car insurance coverage?
A: Possibly — if your vehicle is paid off.
Our data analysis reveals that the majority of drivers in Raleigh are proud owners of their vehicles. If you are not leasing or financing your vehicle, it is worth considering whether dropping comprehensive or collision coverage is a suitable choice for you. We recommend obtaining the actual cash value of your vehicle through reliable sources, such as Kelley Blue Book or other reputable channels. As a general rule, if your vehicle's worth is less than $4,000, collision coverage is likely unnecessary. Nevertheless, it is important to note that removing these coverages means you will be responsible for covering any repair expenses out of your own pocket.
Cheapest car insurance companies for minimum coverage in Raleigh, NC
- Minimum: State liability coverage only
- Basic: State liability + collision and comprehensive (full) coverage
- Better: Better liability limits at 50/100/50. Full coverage included with towing and rental car benefits. This may include additional personal medical benefits and uninsured/underinsured motorist coverage.
- Best: Best liability limits at 100/300/50. Full coverage included with better towing and rental car benefits and better personal medical benefits and increased uninsured/underinsured coverage.
28% of The Zebra's customers in Raleigh choose the minimum tier of coverage, but that doesn't mean it's right for everyone. As previously mentioned, opting for the state minimum required coverage is an effective way to reduce expenses. However, it can leave you vulnerable in situations involving multi-car accidents or bodily injuries. In North Carolina, the liability limits of 30/60/25 provide coverage up to $30,000 per person for bodily injury, $60,000 per accident for bodily injury, and $25,000 for property damage. While this may suffice for simple traffic incidents, it may prove inadequate for more complex scenarios.
North Carolina also requires uninsured motorist protection (UMPD), as well. Learn more about insurance laws in North Carolina.
Raleigh car insurance rates by credit score
While credit scores are no longer taken into consideration as a rating factor by some states, North Carolina still maintains this practice. The credit score has historically provided valuable insights into the likelihood of drivers filing claims—with lower credit scores indicating a higher propensity for engaging in risky driving behaviors, facing coverage gaps, and initiating claims. Consequently, insurance companies perceive a lower credit score as a heightened risk to insure.
Interestingly, Raleigh drivers with poor credit (300-579) experience a 36% increase in insurance costs compared to drivers with excellent credit (800-850). Our gathered data indicates that a notable portion of drivers in Raleigh possess an "average (580-679)" credit score. In 2023, North Carolina Farm Bureau stands out as the most economically favorable option for Raleigh drivers falling within this credit category.
Cheapest car insurance companies for bad credit in Raleigh, NC
Auto insurance rates with an at-fault accident
Among insurance claims, collisions or at-fault accidents are the most commonly reported types. In Raleigh, an at-fault accident can result in an increase in monthly rates ranging from $43 to $66. North Carolina Farm Bureau is recognized as the most budget-friendly insurance company in Raleigh after an at-fault accident.
The most effective strategy for keeping your auto insurance premiums at a minimum is to diligently avoid accidents and citations to the best of your capacity, regardless of your location. The impact on your premium duration varies based on the type of accident or ticket, typically lasting from three to five years. More severe charges such as DUIs and DWIs can have a longer-lasting effect on your driving record. Speeding tickets, reckless driving charges, and accidents all contribute significantly to the substantial rise in your premiums.
Cheapest car insurance companies after an at-fault accident in Raleigh, NC
Raleigh car insurance rates by violation
Check out the table below to see exactly how much a citation or violation could cost you in Raleigh.
Car insurance rate increases after violations and citations in Raleigh, NC
|Accident/Violation||Avg. 6 Mo. Premium||% Rate Increase||$ Rate Increase|
|One Med/PIP claim||$580||0%||$0|
|Two Med/PIP claims||$602||4%||$23|
|One comp claim||$602||4%||$23|
|Two comp claims||$622||7%||$42|
|Failure to show documents||$686||18%||$106|
|Driving without lights||$753||30%||$174|
|Child safety restraint||$753||30%||$174|
|Failure to wear a seat belt||$753||30%||$174|
|Texting while driving||$796||37%||$216|
|Cell phone violation||$796||37%||$216|
|Speeding 6 - 10 MPH over limit||$805||39%||$225|
|Driving with expired registration||$806||39%||$226|
|Driving too slowly||$824||42%||$244|
|Failure to stop at a red light||$824||42%||$244|
|Operating a vehicle without permission||$824||42%||$244|
|Wrong way/wrong lane||$824||42%||$244|
|Failure to yield||$824||42%||$244|
|Speeding in school zone||$828||43%||$248|
|At-fault accident - $1000-$2000||$837||44%||$257|
|At-fault accident - less than $1000||$837||44%||$257|
|Speeding 11 - 15 MPH over limit||$878||51%||$298|
|In 65 MPH zone||$878||51%||$298|
|Speeding 16 - 20 MPH over limit||$882||52%||$302|
|Speeding 21 - 25 MPH over limit||$882||52%||$302|
|Following too closely||$903||56%||$323|
|At-fault accident - greater than $2000||$974||68%||$394|
|Passing school bus||$1,102||90%||$522|
|Driving with a suspended license||$1,716||196%||$1,136|
|Leaving scene of an accident/hit and run||$2,413||316%||$1,833|
|Refusal to submit to a chemical test||$2,434||320%||$1,854|
Why is car insurance in Raleigh so expensive?
Car insurance in Raleigh proves to be fairly competitive with the average rate in the state of North Carolina and the national average. Although, various factors may be responsible for why your rates are higher than average. Raleigh's status as a major city in North Carolina subscribes to the general rule that metropolitan areas that generally accommodate a larger population may experience a higher likelihood of accidents.
Along with personal rating factors, location-specific elements also impact the heightened cost of car insurance in Raleigh. Read on to discover why rates may be expensive in Raleigh.
Most cities have experienced an increased cost of living for residents, and usually, that also means an increased cost of doing business for auto insurers. These costs typically get passed along to drivers in the form of higher insurance rates.
The cost of your car insurance is also affected by the location in which you reside within Raleigh. Alongside your driving history and age, your residential area is one of the key contributing factors to your insurance premiums. Variations in insurance rates by zip code are influenced by factors such as crime, theft, and the prevalence of uninsured motorists. Fortunately, Raleigh is relatively safe, with a lower crime rate than the national average.
Expensive Raleigh ZIP codes: 27610, 27601, 27604, 27609, 27616
Cheap Raleigh ZIP codes: 27607, 27606, 27608, 27605, 27695
Certain climates or regions that have hurricanes, frequent flooding or experience regular natural disasters will increase the risk for insurance companies, resulting in higher premiums. Weather-related damage is covered under comprehensive coverage, so if you are concerned about possible damage we definitely recommend you carry this as part of your policy in Raleigh.
As the population in Raleigh continues to grow, the number of drivers on the road rises, leading to an uptick in accidents. Consequently, insurers raise their rates, impacting not only frequent drivers but also those with good driving records or who drive infrequently. In North Carolina, UMPD coverage is mandatory, providing valuable peace of mind. This becomes particularly significant considering that 27% of drivers in Raleigh currently lack insurance coverage.
Bundling insurance policies in Raleigh
Car insurance prices continue to rise each year, but there are still effective ways to save on costs. One of the most recommended strategies is bundling two or more insurance products under the same provider, allowing you to benefit from a multi-policy discount. Most insurance companies offer this discount, so even if you are comparing quotes from different providers, it is worth considering bundling.
The most common combination is homeowners and auto insurance, and by having both policies with the same provider, you may be able to save 10% or more on the combined premiums. If you currently hold separate policies for your home and car, it is worth exploring the possibility of bundling to evaluate potential savings. Learn more about the advantages of bundling home and car insurance.
Cheapest car insurance companies for bundling home and auto insurance in Raleigh, NC
Although some rating factors may be beyond your control, you can still take specific steps to enhance your driving profile and make it more desirable to insurance providers. The initial approach is to proactively shop around and compare auto insurance quotes from a variety of companies, guaranteeing that you obtain the best possible rate for your coverage and service preferences.
It is advisable to repeat this practice at each renewal period, especially if personal factors like age, credit score, and location have undergone any modifications. Keep in mind that certain companies inherently come with higher price tags than others, so do not hesitate to explore the possibility of switching providers.
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Frequently asked questions
How much is car insurance in Raleigh?
In Raleigh, the average cost of a six-month auto insurance policy amounts to $580, which translates to approximately $97 per month. This falls below the national average but is in line with the average for the state of North Carolina.
What is the cheapest car insurance in Raleigh?
Among insurance carriers in Raleigh, North Carolina Farm Bureau offers the most affordable rates, with prices hovering around $435 for a six-month policy.
How much is car insurance in Raleigh for teenagers?
Teenagers in Raleigh face considerably high insurance expenses, with six-month policies reaching over $1,329, equivalent to approximately $222 per month. Given the exorbitant costs associated with teen drivers having their own policies, we strongly recommend parents or guardians to consider adding teens to their existing policy to help mitigate expenses.
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About The Zebra
The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.
- The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
- The Zebra’s insurance editorial content is not subject to review or alteration by insurance companies or partners.
- The Zebra’s editorial team operates independently of the company’s partnerships and commercialization interests, publishing unbiased information for consumer benefit.
- The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.