The average cost of full coverage car insurance in Tennessee is $1,338 per year, which is well below the U.S. national average of $1,674 per year. Many factors go into determining your car insurance premiums, including but not limited to age, gender, claims history, location, and credit score.*
Remember, the cleaner your driving record, the lower your auto insurance premiums. Luckily, there are many discounts available that will help you save money on car insurance. Some of these discounts are awarded if you can prove ownership of anti-lock brakes, anti-theft devices, homes, and even a good student record.
Additionally, your car insurance rates could be affected by where you live. Zip codes with lots of car theft and auto accidents are subject to higher insurance premiums than safer and incident-free zip codes.
What Is the Average Premium in Tennessee for Full Coverage Car Insurance?
The average annual premium for full coverage in Tennessee is $1,338, which works out to $112 per month. Full coverage car insurance includes liability, comprehensive, and collision coverage.
Liability pays for expenses incurred by other parties after an accident. Collision coverage goes towards the cost of vehicle repairs, and comprehensive coverage offers non-collision-related damages, such as theft and extreme weather.
Paying an additional $50 to $100 a month with a lower deductible and higher liability limits can result in greater peace of mind in the event of an accident. To find out what discounts you are eligible for, check with your insurance agent.
How Much Is It for Just the Minimum Required Car Insurance in Tennessee?
The average annual cost for state-required minimum insurance coverage is $371 or $31 per month.
Remember, Tennessee is an at-fault state, meaning you will be responsible for paying for all medical and property damages – both yours and any other drivers involved – in the event of an accident if you are found to be at fault. The more liability insurance you can carry, the better.
Once your insurance company has paid its share, you will be responsible out of pocket for the remaining bills due for yourself and the other driver(s).
Note, any driver with lapsed insurance can be subject to a lawsuit, which may result in high legal fees, court appearances, and other methods of extracting penalties, including wage garnishment. Be sure to have the right auto insurance policy for your needs.
How Do Rates Compare Across Major Cities in Tennessee?
Rates vary significantly depending on where you live. For example, residents of Hendersonville pay an average monthly rate of $38 a month, whereas residents in denser zip areas, such as Memphis, pay an average of $59 a month. Generally, residents living in less populated areas pay lower auto insurance premiums due to the reduced risk of an accident and vehicle crime.
*Methodology: We use the following methodology to arrive at our average cost: male, age 30, lowest possible legal coverage allowed by the state. Your rates will be determined by several factors, including your age, your gender, and the amount of coverage you want to purchase.