Auto insurance rates in 2025 continue to show wide disparities by state, with national trends reflecting both ongoing cost pressures and a slowdown in rate increases compared to recent years.

•  $2,101 per year ($175 per month) for full coverage.

• Expected rate increase for 2025: 7.5% on average, a notable slowdown from 16.5% in 2024 and 12% in 2023.

• Drivers in most states will see higher premiums, but the rate of increase is moderating.

•  consistently rank among the highest, with average monthly premiums exceeding $250.

• Vermont, New Hampshire, and Idaho have the lowest rates, with average monthly premiums near or below $110.

•  New Jersey (+17.2%), Washington (+17.2%), California (+16.2%).

•  The only state expecting a rate drop in 2025 (down 0.1%).

•  Saw a 20% decrease in rates between 2022 and 2025.

•  Experienced a 29% rate hike over the same period.

• Eight states, including North Carolina, saw double-digit increases in 2025, with NC seeing a 25% jump despite its traditionally low rates.

•  Typically have higher minimum coverage requirements, dense urban populations, higher accident rates, and more uninsured drivers.

•  Benefit from lower population density, less traffic, fewer claims, and lower repair costs.

•  Largest rate hike among major insurers in 2025 at 16%.

•  Smaller average increases, with USAA at 2.6%.

Auto insurance rates in 2025 are highest in Florida, Louisiana, New York, Nevada, and Colorado, and lowest in Vermont, Idaho, and Maine. Most states are seeing moderate increases, but some face double-digit hikes, while North Carolina stands out for a rare decrease. State-specific factors—like coverage requirements, urbanization, and claim rates—continue to drive these disparities.