Best Car Insurance in Iowa for 2024

Outsiders often think of Iowa as rolling cornfields, covered bridges, and the Field of Dreams. But locals know there is much more to explore, like the Loess Hills National Scenic Byway, the River Bluffs Scenic Byway, and multiple roadside attractions. 

Thankfully for residents starting a road trip through the Hawkeye State, car insurance costs in Iowa are affordable compared to the national average.

Key takeaways

• The best car insurance in Iowa is State Farm, which costs $750 a year for comprehensive coverage.
• Drivers with a clean driving record pay a monthly average of $94 in Iowa.
• Sioux City drivers pay the most for full coverage, averaging $1,544 per year.

Best car insurance companies in Iowa

The best car insurance in Iowa is State Farm, which offers full coverage policies for an average of $750 annually. USAA generally had the lowest minimum coverage in Iowa, costing an average of $217 per year. Allstate had the most expensive full coverage insurance on our list, averaging $1,355 annually.

Provider	J.D. Power customer satisfaction rating	Estimated annual full coverage	Estimated annual minimum liability coverage
USAA	890/1,000	$929/year	$217/year
State Farm	833/1,000	$750/year	$227/year
Farmers	819/1,000	$816/year	$390/year
GEICO	819/1,000	$1,105/year	$355/year
Allstate	806/1,000	$1,355/year	$520/year
Progressive	803/1,000	$1,281/year	$344/year
Nationwide	792/1,000	$1,157/year	$684/year

USAA: Highest customer satisfaction

USAA earned the highest customer satisfaction score in Iowa and offered the cheapest minimum coverage, averaging just $217 annually. However, its full coverage insurance was significantly more expensive than State Farm and Farmers. While USAA has multiple traditional policy options, it doesn’t have extensive optional policies, and its coverage is only available to current and former military members and their families.

Get a quote now | USAA review

State Farm: Most affordable coverage

State Farm offers Iowa residents the most affordable full and minimum coverage available to everyone in the state. It has standard and some optional specialty policies, like rideshare driver coverage. State Farm earned second place in customer satisfaction and has multiple discounts, including offering savings for three or more years without an accident.

Get a quote now | State Farm review

Farmers: Best for coverage options

Farmers Insurance is Iowa’s second most affordable full coverage insurance, averaging $816 annually. While still affordable, its minimum coverage is more expensive than some, averaging $390 annually. Farmers offers multiple optional coverage options, including loss of use, customized equipment, and a glass deductible buyback.

Get a quote now | Farmers review

GEICO: Best for multi-driver discounts

GEICO is a more expensive option for full coverage in Iowa, averaging $1,105 annually. However, it offers relatively low minimum coverage, averaging $355 per year. It earned average customer service scores, tying with Farmers Insurance. However, GEICO offers multiple discounts, including giving customers up to 25% in savings for having multiple auto policies.

Get a quote now | GEICO review

Allstate: Best for new cars

Allstate is Iowa’s most expensive full coverage carrier, costing a yearly average of $1,355. Despite the higher cost, drivers who want to protect a new car may find Allstate a good option. It offers specific policies for new vehicles, like new car replacement, repair provision coverage, and gap insurance.

Get a quote now | Allstate review

Iowa auto insurance requirements

Like most states, Iowa requires drivers to carry a minimum amount of insurance to drive legally. The minimum amounts are:

• $20,000 in bodily injury liability for one person in an accident
• $40,000 in bodily injury liability for two or more people in an accident
• $15,000 in property damage liability

These minimum amounts are generally low, and drivers should consider having insurance above the minimum limits if they can afford to.

How to choose a car insurance provider in Iowa

As you search for a new car insurance provider, consider the following to ensure you get the best deal:

• Read reviews: Check websites like the Better Business Bureau to see how a company responds to customer complaints. Ask friends and family members for a recommendation, especially if you’re new to the area.
• Check financial stability: Visit the AM Best or Standard and Poor’s websites to check each insurance company’s financial rating. As part of your research, confirm the company is licensed in Iowa by checking the Iowa Insurance Division or the National Association of Insurance Commissioners (NAIC).
• Get quotes: Compare pricing and coverage options from at least three companies against your existing insurance. Ensure the quotes match your current policy types and limits and that you get all the discounts you qualify for. Consider using an insurance broker to help you get multiple quotes without much extra work, but understand the broker’s fees before signing up.

How much does car insurance cost in Iowa?

The average cost of car insurance in Iowa is $1,129 a year for full coverage, compared to the national average of $1,582. Iowa’s minimum coverage costs an average of $320 annually.

Cedar Rapids residents tend to pay the least for their car insurance, an average of $1,265 per year. Sioux City drivers generally pay the most, an annual average of $1,544.

Iowa car insurance rates by city

Multiple factors affect your car insurance rates, including the crime rate where you live. Sioux City drivers pay an average of $1,544 a year for insurance, compared to the state average of $1,129, in part due to a higher crime rate than other parts of the state.

According to NeighborhoodScout, Sioux City residents are more likely to be victims of property crime, including car theft. More accidents or thefts often mean more insurance claims and higher insurance rates.

City	Avg. annual full-coverage premium
Sioux City	$1,544/year
Davenport	$1,482/year
Ames	$1,339/year
Des Moines	$1,330/year
Iowa City	$1,310/year
Cedar Rapids	$1,265/year

Methodology

FAQs about car insurance costs in Iowa