Iowa car insurance costs an average annual premium of $324 for liability and $1,725 for full coverage – this is lower than the national average; however it’s important to remember that your individual situation and driving history will have a huge effect on your premium rate. Comparing rates can save hundreds each year; Bankrate’s auto insurance comparison engine can help you locate the best policy available near you while local insurers such as Shelter, Auto-Owners Insurance or Farm Bureau Mutual may have lower premium rates than national insurers.
Age, gender and marital status are three primary rating factors that will have the biggest effect on car insurance rates. Insurers use these indicators of risk as indicators of likelihood that an accident or claim will happen and use this data to calculate premiums accordingly. Typically, younger drivers face higher premiums than their elders, with teens being subjected to even more stringent rates because they lack experience as safe drivers; hence it’s wise to compare rates from various age groups before selecting an insurer.
Other rating factors to consider are your credit score, vehicle and amount of coverage selected. Iowa requires drivers to carry liability coverage; it’s wise to add collision and comprehensive to protect yourself from costly repairs while covering expenses such as medical bills or loss of income due to an injury or damage claim on your policy. Likewise, vehicle value plays a factor, as high-end cars usually need more insurance.
As another way of lowering premiums, maintaining a clean driving history can also help. Car insurers consider your driving history when calculating car insurance rates; having one with no violations could bring your premium down by up to 50% when compared with bad drivers.
Your insurance provider will consider both the type and likelihood of theft when considering which vehicle you wish to insure. In general, vehicles with more horsepower and larger engines tend to attract higher rates than smaller cars – while luxury models often command even higher premiums than their non-luxury counterparts.
MoneyGeek can help shed light on how car insurance rates are determined in Iowa by analyzing top car insurers and their rates for various driver profiles. You can use our car insurance calculator to see how costs might change according to individual rating factors.
State Farm currently offers the lowest car insurance premiums in Iowa at an annual average rate of $780; Grinnell comes in second with an annual average premium costing an average of $1,696. MoneyGeek has conducted extensive analysis on how rating factors such as these affect premium costs so you can make an informed decision for your situation.