A majority of U.S. drivers say their car insurance rates went up last year, according to new research from Consumer Reports, with some reporting premium increases of more than $200 a year.
Of the 40,566 car owners surveyed by the consumer nonprofit, 60% said they faced a rate hike between 2023 and 2024. Three brands — Erie, NJM and Hanover — were the least likely to be more expensive at renewal time.
Erie Auto Insurance
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Cost
The best way to estimate your costs is to request a quote
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App available
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Policy highlights
Erie Insurance offers auto insurance for many different situations and affordable premiums. Several different coverages allow you to customize your policy.
Hanover Auto Insurance
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Policy highlights
Policies must be purchased through an agent, but they include deductible dividends, transportation expenses, and newer car replacement. The Prestige policy covers high-value vehicles.
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Discounts
Include bundling, good students, taking a defensive driving course, paying in full and having anti-theft devices.
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Availability
Hanover writes auto insurance policies in Arizona, California, Connecticut, Colorado, Georgia, Illinois, Indiana, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Kansas, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Tennessee, Texas, Utah, Virginia, Washington, Wisconsin and Washington, D.C.
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Accident forgiveness
Your first accident in any 36-month period is forgiven.
Just 37% of Erie customers reported a price increase, while 43% of NJM policyholders and 52% of Hanover users saw increases.
On the other end of the spectrum, prices went up for 91% of PEMCO customers and 80% of Cincinnati Insurance customers.
More than half (53%) of PEMCO users reported an increase of $200 or more, the highest percentage of the 29 insurers profiled.
State Farm, the nation’s largest car insurance company, was firmly in the middle, with 62% of policyholders reporting an increase (20% of them by $200 or more).
State Farm Auto Insurance
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Cost
The best way to estimate your costs is to request a quote
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App available
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Policy highlights
State Farm is one of the largest auto insurers in the U.S. based on market share. It has an excellent reputation for customer satisfaction and offers discounts for safe driving and young drivers.
“The dramatic difference in price increases from company to company underscores the need for drivers to compare rates to avoid overpaying,” Martin Lachter, head of research for Consumer Reports, told CNBC Select. “Thirty percent of those surveyed told us that they’ve switched insurers in the past five years.”
According to Lachter, those drivers saw a median annual savings of $461 by changing carriers.
He also noted that insurers that CR customers had previously rated higher for fair pricing, clear terms, agent access and the claims process were less likely to increase rates.
You can read the full story on Consumer Reports.
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Geico auto coverage is available in all 50 states and Washington, D.C., with 16 discounts and add-ons like roadside assistance, rental car reimbursement and mechanical breakdown insurance.
How to save on auto insurance
Comparing rates isn’t the only way to save, however. Many insurers offer discounts or waive fees for paying your premium in full at the start of your six-month or year-long term. Setting up automated payments from your bank account or credit card could save you between 5% and 15%,
In most states, insurers consider your credit history when calculating your premiums. Putting some effort into raising your credit score — such as paying bills in full and on time and checking for errors in your credit report — could also result in significant savings.
Raising your deductible is another way to lower monthly premiums. Increasing your collision and comprehensive deductible from $200 to $500 could lower rates by as much as 30%, according to the Insurance Information Institute. Bumping it all the way up to $1,000 could save you 40% or more.
The key is making sure you can afford the increased out-of-pocket expense.
Car insurance FAQs
What is the average cost of car insurance?
In September 2025, the nationwide average for full coverage was $2,671 a year. For a liability-only policy, it was $806 per year. Where you live, your driving record and even your age can influence the price you pay.
What is the cheapest car insurance company?
How can you save on car insurance?
It’s possible to save on car insurance by raising your credit score, raising your deductible, bundling your insurance policies and keeping a clean driving record.
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Meet our expert
For this story, we interviewed Martin Lachter, a research program leader at Consumer Reports. Lachter has spearheaded member survey analysis at CR since 2014, covering automobiles, small appliances and a range of other topics.
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At CNBC Select, our mission is to deliver high-quality service journalism and comprehensive consumer advice to our readers, enabling them to make informed financial decisions. Every insurance story is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of insurance products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content independently of our commercial team and any outside third parties, and we pride ourselves on maintaining high journalistic standards and ethics.
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Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.
Clinton Mora is a reporter for Trending Insurance News. He has previously worked for the Forbes. As a contributor to Trending Insurance News, Clinton covers emerging a wide range of property and casualty insurance related stories.