The average cost of car insurance in Arizona is $118 per month for full coverage and $47 per month for minimum coverage, according to Bankrate’s 2021 study of quoted annual premiums. However, car insurance rates in Arizona can vary significantly based on location and other factors.
Drivers in some cities, such as Casa Grande and Maricopa, enjoy lower than average premiums compared to more expensive areas like Phoenix. According to The Zebra’s 2021 State of Auto Insurance Report, the average monthly premium for full coverage in Casa Grande is $104, while Maricopa comes in at $109 per month. In contrast, Phoenix drivers pay an average of $140 monthly.
These price differences are due to factors like population density, accident frequency, and vehicle theft rates. More rural areas like Casa Grande and Maricopa tend to have fewer accidents and auto thefts per capita than big cities, resulting in lower premiums overall. Of course, individual rates still vary based on each driver’s unique profile.
Factors That Impact Arizona Car Insurance Rates
Several key factors influence how much you’ll pay for auto insurance in Arizona each month:
- Driving record – Drivers with a clean record and no accidents or violations typically pay the lowest premiums. At-fault accidents, speeding tickets, and DUIs can increase rates substantially.
- Age and experience – Younger, less experienced drivers tend to pay more for car insurance. Rates generally decrease as drivers gain experience and maintain a clean driving record.
- Vehicle type – The make, model, and age of the vehicle you drive impacts insurance costs. Expensive, high-performance, or commonly stolen vehicles cost more to insure.
- Coverage limits – Choosing higher liability limits and lower deductibles provides more protection but also results in higher monthly premiums. Minimum coverage policies are cheaper but provide less coverage.
- Credit score – In Arizona, insurers can use credit-based insurance scores to help determine rates. Drivers with good credit often pay less for coverage.
- Location – Where you live in Arizona matters due to different accident rates, vehicle theft statistics, and population density. Urban drivers tend to pay more than those in rural areas.
Car Insurance Requirements in Arizona
To legally drive in Arizona, you must carry a minimum amount of car insurance. Arizona mandates that drivers have at least:
- $25,000 bodily injury liability coverage per person
- $50,000 bodily injury liability coverage per accident
- $15,000 property damage liability coverage per accident
While this is the minimum required by law, most drivers opt for higher limits for better protection in case of a serious accident. Collision and comprehensive coverage are also recommended, though not legally mandated, to protect your own vehicle from damage.
Driving without insurance in Arizona can result in fines, license suspension, and having to file an SR-22 certificate of financial responsibility, so it’s important to maintain at least the minimum coverage at all times. However, to have sufficient protection, consider increasing liability limits and adding additional coverage based on your individual needs and assets.