For drivers in Memphis, one of the more important factors that are looked at to help calculate the amount you pay for auto insurance is where you call home. Areas with more people or more claims likely pay more, whereas more rural areas tend to receive slightly lower rates.
The illustration below ranks the most expensive cities in Tennessee to buy auto insurance in. Memphis shows up at #1 with an annual cost of $1,446 on average, which is approximately $121 per month.
| Rank | City | Annual Premium |
|---|---|---|
| 1 | Memphis | $1,446 |
| 2 | Bartlett | $1,363 |
| 3 | Collierville | $1,349 |
| 4 | Germantown | $1,320 |
| 5 | Jackson | $1,305 |
| 6 | Knoxville | $1,230 |
| 7 | Oak Ridge | $1,223 |
| 8 | Clarksville | $1,206 |
| 9 | Columbia | $1,190 |
| 10 | La Vergne | $1,186 |
| 11 | Brentwood | $1,179 |
| 12 | Maryville | $1,172 |
| 13 | Nashville | $1,165 |
| 14 | Chattanooga | $1,161 |
| 15 | Smyrna | $1,159 |
| 16 | Morristown | $1,159 |
| 17 | Hendersonville | $1,158 |
| 18 | Spring Hill | $1,157 |
| 19 | Murfreesboro | $1,148 |
| 20 | Franklin | $1,140 |
| 21 | Cookeville | $1,136 |
| 22 | Cleveland | $1,135 |
| 23 | Gallatin | $1,121 |
| 24 | Johnson City | $1,031 |
| 25 | Kingsport | $1,026 |
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Rate quotes are approximated as the specific area where the vehicle is garaged can decrease or increase prices considerably.
Now that we understand where Memphis ranks compared to other cities, figuring out which company has the most affordable insurance rates in Memphis takes a little more effort in order to find coverage that fits your budget. Every car insurance company used slightly different criteria to determine premium rates, so let’s take a look at the most competitive insurance companies in Memphis, TN.
We do need to point out that Tennessee insurance rates are influenced by many factors which can substantially decrease or increase the cost of coverage. Simply having a birthday, getting divorced, or getting a couple of tickets may cause policy rate changes that may make certain companies more affordable than the competition.
Find the Best Cheap Insurance in Memphis
Utica National may offer some of the best car insurance rates in Memphis at around $744 a year. Auto-Owners, Cincinnati Insurance, Penn National, and Tennessee Farmers also qualify as some of the most economical Memphis, TN insurance companies.
In this example, if you currently have a policy with Penn National and switched to Auto-Owners, you could realize savings of approximately $72. Insureds with Tennessee Farmers may save as much as $106 a year, and USAA customers might reduce prices by as much as $120 a year.
To compare your rates to other Tennessee insurance companies, click here or quote prices from the following companies.
These premium estimates are averages across all ages of drivers and types of vehicles and do not factor in an exact vehicle garaging location in Memphis. So the auto insurance company that can offer you the lowest price may not even be in the top 30 companies in the list above. That illustrates why you need to quote rates from as many companies as possible using your own individual information.
The vehicle model to be insured is one of the primary factors when shopping around for cheaper insurance in Memphis. Vehicles with limited top-end speed, an excellent safety record, or a low likelihood of having liability claims will cost less to insure than adrenaline junky models.
The data below illustrates car insurance prices for the most economical vehicles to buy coverage for.
| Insured Vehicle | Estimated Cost for Full Coverage |
|---|---|
| Honda Accord EX-L 4-Dr Sedan | $1,776 |
| Jeep Wrangler Sahara 4WD 2-Dr | $1,834 |
| Ford Escape XLS 4WD | $1,872 |
| Chevrolet Impala LS | $1,898 |
| Honda CR-V EX 4WD | $1,913 |
| Jeep Grand Cherokee Laredo 2WD | $1,936 |
| Ford Explorer Eddie Bauer 4WD | $1,971 |
| Hyundai Elantra GLS Touring Station Wagon | $2,003 |
| Ford Edge SE 2WD | $2,058 |
| Honda Odyssey LX | $2,067 |
| Ford Fusion SEL 4-Dr Sedan | $2,070 |
| Dodge Ram Crew Cab SLT 2WD | $2,113 |
| Ford Focus SE 4-Dr Sedan | $2,174 |
| Volkswagen Jetta 2.0T Station Wagon | $2,186 |
| Toyota Camry Hybrid | $2,212 |
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Table data assumes single female driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Tennessee minimum liability limits. Discounts applied include multi-vehicle, multi-policy, safe-driver, claim-free, and homeowner. Table data does not factor in vehicle location which can revise prices noticeably.
Based upon these rates, you can figure that makes and models like the Honda Accord, Jeep Wrangler, Ford Escape, and Chevrolet Impala are the most economical vehicles to insure for drivers in Memphis.
Types of discounts on Memphis car insurance rates
Auto insurance companies that provide coverage in Memphis may provide special discounts that could lower prices by as much as 30% if you meet the requirements. Larger insurance companies and their possible discounts are outlined below.
- The Hartford discounts include air bag, bundle, driver training, vehicle fuel type, anti-theft, defensive driver, and good student.
- American Family offers premium reductions for good driver, Steer into Savings, mySafetyValet, accident-free, and multi-vehicle.
- Progressive may include discounts for multi-policy, good student, continuous coverage, homeowner, online quote discount, online signing, and multi-vehicle.
- Travelers offers discounts including good student, IntelliDrive, home ownership, multi-car, continuous insurance, and driver training.
- Farmers Insurance offers discounts for alternative fuel, switch companies, electronic funds transfer, bundle discounts, and early shopping.
- USAA has discounts for multi-policy, family discount, vehicle storage, driver training, new vehicle, and military installation.
- Liberty Mutual policyholders can earn discounts including new graduate, multi-car, preferred payment discount, exclusive group savings, good student, and newly married.
The illustration below illustrates the comparison of insurance costs with and without discounts applied. The price estimates are based on a female driver, no claims or violations, Tennessee state minimum liability limits, comprehensive and collision coverage, and $1,000 deductibles. The first bar for each age group shows the average rate with no discounts. The lower bar shows the rates with anti-theft, safe-driver, claim-free, vehicle safety, accident-free, and defensive driving course discounts applied. When these discounts are applied to the policy premium, the average savings per year on insurance in Memphis is 28% or $437.
The diagram below illustrates how choosing a deductible can influence premium costs when researching cheap insurance in Memphis. The data assumes a single female driver, comp and collision included, and no discounts are applied.
In the chart above, a 50-year-old driver could save $230 a year by switching their comprehensive and collision coverages from a $100 deductible to a $500 deductible, or save $346 by choosing a $1,000 deductible. Even younger insureds, like the Age 20 chart data, could potentially save as much as $580 every year by using a higher deductible.
When choosing a higher deductible, it’s a good idea to have additional funds in a savings account to be able to cover the extra out-of-pocket expense, which is the main drawback of higher deductibles.
Illustration showing the impact of accidents and violations
The recommended way to obtain cheap insurance prices in Tennessee for drivers in Memphis is to drive safe and maintain a clean driving record. The illustration below illustrates how traffic citations and at-fault fender-benders impact car insurance costs for different ages of insureds. The information is based on a married male driver, full coverage, $250 deductibles, and no discounts are factored in.
In the previous chart, the average cost of auto insurance in Memphis per year with a clean driving record and no accidents is $1,763. Add in two speeding tickets and the average cost increases to $2,435, an increase of $672 each year. Then add one accident along with the two speeding tickets and the 12-month cost of insurance in Memphis increases to an average of $3,112. That’s an increase of $1,349, or $112 per month, just for not maintaining a clean driving record!
How to find cheaper auto insurance in Memphis
It’s not impossible to find cheaper rates, and here are a few money-saving suggestions that can help Memphis drivers find lower-cost coverage.
- Prevent price hikes by avoiding at-fault accidents
- Good credit can save money
- Tickets and violations raise rates
- Buy a safer vehicle
- Avoid filing small claims
- Comparison shop frequently
That last piece of advice is very important, as we emphasized in this write-up. Prices charged by companies in Memphis fluctuate constantly, so drivers shouldn’t hesitate to change to a new company if you can save money.
We understand brand loyalty, but we do not recommend it if that devotion results in you overpaying a small fortune. It only takes a couple minutes to compare rates to find cheaper insurance in Memphis.
If you aren’t sure which coverage you need and prefer to get some professional advice when trying to find the best insurance rates for drivers in Memphis, the professional agents shown below can help you make a decision which insurance coverage will be best for you. To locate a Memphis insurance agent nearest to you, click the button link following the list or click here to compare price quotes.
- Steve Womack – State Farm Insurance Agent
848 Cooper St – Memphis, TN 38104 – (901) 725-1919 - Fred L. Davis Insurance Agency – Car Insurance Agency
1374 Airways Blvd – Memphis, TN 38114 – (901) 323-6159 - Allstate Insurance: Angie Hooten-Hughes
6803 Summer Ave – Memphis, TN 38134 – (901) 373-6060 - Allstate Insurance: Brandon Goodrich
3725 Riverdale Rd Ste 4 – Memphis, TN 38115 – (901) 794-0080