Best Car Insurance in Tennessee for 2024

From Music City to the gorgeous scenery of the Great Smoky Mountains, Tennessee is a fantastic place to call home. It also ranks ninth in the country’s top ten most affordable states. The low cost of living also extends to auto insurance, making road trips through The Volunteer State an easy decision.

Key takeaways

• The best car insurance in Tennessee is State Farm, which costs $863 per year for comprehensive coverage.
• Drivers with a clean driving record pay an average of $100 per month in Tennessee.
• High-risk drivers in Tennessee pay an average of $1,835 annually for full coverage.

Best car insurance companies in Tennessee

The average cost of car insurance in Tennessee is $1,205, but drivers who use State Farm may pay significantly less, an average of just $863 a year. Farm Bureau has the most expensive full-coverage car insurance in Tennessee, with an average of $1,644 yearly, and Allstate has the most costly minimum coverage, at $609 annually.

Provider	J.D. Power customer satisfaction rating	Estimated annual full coverage	Estimated annual minimum liability coverage
USAA	876/1,000	$890/year	$299/year
Farm Bureau	866/1,000	$1,644/year	$396/year
State Farm	847/1,000	$863/year	$327/year
Progressive	836/1,000	$1,300/year	$445/year
Allstate	832/1,000	$1,520/year	$609/year
GEICO	828/1,000	$972/year	$336/year
Travelers	818/1,000	$1,207/year	$490/year

USAA: Highest customer satisfaction

USAA earned the highest customer satisfaction rating in Tennessee. It is also the most affordable carrier for minimum coverage, costing an average of $299 yearly, but there were more cost-effective options for full coverage. USAA offers standard policies, but only current and former military members and their families qualify.

Get a quote now | USAA review

Farm Bureau: Best for ease of use

Farm Bureau was the most expensive full coverage option but earned Tennessee’s second-highest customer satisfaction score. Although more expensive, Farm Bureau’s auto insurance is available to everyone who signs up for a membership ($30 annual fee) and comes with perks like saving money on a new car or discounts at certain hotels.

Get a quote now | Farm Bureau review

State Farm: Most affordable coverage

State Farm is the lowest-cost option for full coverage insurance in Tennessee and has a variety of policy options to choose from. It was the second most affordable option for minimum coverage, costing $327 annually, behind USAA. State Farm earned third place in customer satisfaction scores.

Get a quote now | State Farm review

Progressive: Best for lowest deductible

Progressive is the lowest-cost option in Tennessee with a vanishing deductible, costing an average of $1,300 annually. If Progressive customers drive without an accident during the policy term, they may be able to reduce their deductible by $50 every six months or $100 once a year for annual renewals.

Get a quote now | Progressive review

Allstate: Best for coverage options

Allstate has various coverage options in Tennessee, including new vehicle replacement, gap coverage, and a vanishing deductible. It has multiple customer discounts, including bundling a home and auto policy or driving a new car. Despite its numerous options, it was the second most expensive carrier on our list of the best car insurance companies, charging an average of $1,520 annually.

Get a quote now | Allstate review

Tennessee auto insurance requirements

Drivers in Tennessee must meet minimum insurance requirements of:

• $25,000 in bodily injury protection for one person
• $50,000 in bodily injury protection for two or more people
• $25,000 for property damage liability

How to choose a car insurance provider in Tennessee

Finding a new car insurance provider can take time, but keeping a few things in mind can help:

• Check pricing and discounts: Get quotes from at least three companies to compare pricing and discounts. Double-check that the coverage options and limits are comparable to what you currently have and that you’re getting every discount you qualify for before you sign up for a policy.
• Ask for reviews: Check review websites and the Better Business Bureau to see what existing customers say. Ask friends and family for recommendations, and avoid signing up with a company with multiple complaints and low ratings.
• Check financial stability: Before starting with a new insurance company, check its ability to pay claims on a website like Standard & Poor’s or AM Best. It’s also wise to check with the Tennessee Department of Commerce & Insurance or the National Association of Insurance Commissioners (NAIC) to confirm a company is currently licensed to do business in Tennessee.

How much does car insurance cost in Tennessee?

The average cost of car insurance in Tennessee is $1,205 for full coverage and $425 for minimum liability insurance. Drivers in Memphis pay an average of $1,813 a year, compared to a national average of $1,582. Drivers in Gatlinburg pay the least for full coverage insurance, an annual total of $1,296.

Tennessee car insurance rates by city

The population of where you live is one of the factors that can impact your car insurance costs. Nashville drivers pay an annual average of $1,454 for car insurance, but drivers in Gatlinburg only spend an average of $1,296. The difference might seem odd until considering both cities’ populations.

Nashville has a population of 678,851. Comparatively, Gatlinburg has a much smaller population of around 4,000. The population reduces potential insurance claims and the amount residents pay for car insurance.

City	Avg. annual full-coverage premium
Memphis	$1,813/year
Nashville	$1,454/year
Franklin	$1,453/year
Clarksville	$1,380/year
Knoxville	$1,315/year
Gatlinburg	$1,296/year

Methodology

FAQs about car insurance costs in Tennessee