Best cheap car insurance in Los Angeles

Bankrate’s editorial team compared over a dozen local auto insurance companies to determine the best low-cost car insurance in Los Angeles. They analyzed rates, customer reviews and financial standings, as well as other factors. Bankrate’s 2021 study on annual premiums found that the average cost of car insurance in Los Angeles was $1,061 for minimum coverage and $2,838 to cover full coverage. Our findings show that Progressive and Geico are the two best low-cost car insurance companies in L.A.

Los Angeles is home to nearly 4 million residents, with an average of two vehicles per household. High insurance rates and frequent gridlock are a result of the many cars driving on the streets. Despite Los Angeles’ high average car insurance rates, insurance is mandatory for all drivers in California. There are many benefits to this cost, including financial protection in the event of an accident. In 2019, alone, there were 54,000 motor vehicle collisions in the city.

Los Angeles’s best car insurance companies

Although average car insurance rates in Los Angeles is high, it doesn’t always have to be costly. Quadrant Information Services partnered with us to gather the current average rates from several providers in the city. This helped us narrow down the most affordable options. We used the 2021 J.D. to evaluate each provider on their policy options and discount availability, as well as customer satisfaction. Power Auto Insurance Study.

Each of these insurance companies not only rank above the average in customer satisfaction but they also quote rates that are at least $100 lower than the city average. These five insurance providers are some of the most reputable in Los Angeles.

Geico

Geico has been building trust in the insurance sector since 1936. It has always been known for its affordable rates and reliable coverage. The 2021 J.D. reflects this sentiment. The Power overall customer satisfaction score was 828 out 1000 points, which is above the average score in California. The company is the lowest-priced provider on our list and could be a good option for drivers who are looking for dependable, basic coverage from a national insurer.

Progressive

Progressive offers the lowest average Los Angeles driver quote, and it also has a variety of digital tools that can help drivers save even more. Its Name Your Price tool, for example, allows drivers to identify the best coverage options within their budget.

Auto Club of Southern California Insurance Group

The Auto Club of Southern California Insurance Group is better known as AAA. It offers affordable coverage and benefits. There are many discounts available. For example, you can save up to 15% on bundling your home and auto or more than 19% on bundling your home, auto and life policies. Professional and alumni associations, as well as those who are members of qualifying car clubs, can also enjoy savings. There are many dividend savings opportunities for Los Angeles drivers, California. However, exact amounts cannot be guaranteed.

State Farm

Out of all other companies, State Farm is likely the most popular for car insurance in Los Angeles due to holding the highest percentage of the state’s market share. Based on our research, it also has the lowest car insurance rates in Los Angeles. Its total coverage rates are less than $160 than the average city rate, while its minimum coverage rates average $276 less than that of the average city. There are many discounts available to make even more savings. These include loyalty programs, safe drivers, and safe vehicles. State Farm’s excellent J.D. State Farm’s high J.D. ranking shows that it is able to quickly resolve claims and satisfy customers.

Wawanesa

Wawanesa is the highest rated provider in California and may be the best choice for Los Angeles drivers who are looking for basic coverage from a reliable name. You can also choose to add important extras such as rental expense coverage or manufacturer parts replacement coverage. There are many discounts available to policyholders, including multi-car, multipolicy, good driver, and other common discounts. Wawanesa also offers a discount for drivers 55 and older who have completed a California-approved defensive driver course. This is a rare savings opportunity.

Los Angeles has the lowest car insurance

The average annual cost of car insurance in Los Angeles is $2,838 for full coverage, considerably more than California’s average annual rate of $2,065 for the same amount of coverage. Compared to the national average cost of full coverage car insurance of $1,674 per year, drivers in the City of Angels pay an average of more than $1,100 more for coverage. However, Los Angeles’ highly congested roads and high percentage of uninsured motorists help account for the higher rate.

However, most drivers want to save as much money as possible. There are many options available for cheap and good car insurance that you should consider. Geico and Progressive have the lowest average rates of all the providers that make up the city’s largest market share.

Mercury Insurance, Progressive Insurance and Geico are some of the cheapest car insurers. They also provide SR-22s to high-risk drivers. We believe that Geico is slightly better than Mercury and Progressive because it offers more discounts. Geico offers 16 discounts, while Progressive has 13 and Mercury has eight. AAA offers the lowest rates of all the insurance companies in the L.A. region.

Los Angeles insurance requirements

Like most states, California has laws surrounding set minimum requirements for car insurance. Los Angeles drivers must have the following minimum liability insurance:

  • $15,000 per person in bodily injury liability
  • $30,000 per accident in bodily injury liability
  • $5,000 per accident property damage liability

Even though minimum car insurance rates in Los Angeles are higher than the national average for California, their liability limits are very low, and you will likely have significant out-of-pocket expenses after an accident. While you can’t guarantee complete coverage for an accident, buying comprehensive and collision coverage with higher liability limits could save you a lot of money.

Full coverage also provides financial assistance for you if your vehicle is damaged in a non-collision-related event, such as fire or theft. Lenders often require that you purchase full coverage in order to lease or finance your vehicle.

Los Angeles car insurance discounts

It is important to search for the best car insurance providers that offer the lowest rates. Los Angeles insurance companies offer the following discounts:

  • Multi-car: Angelenos who own multiple vehicles could benefit from special savings when they insure them all with the same company.
  • Los Angeles has many top universities and colleges. Students enrolled in a parent’s policy can save a lot of money by getting discounts for them and student discounts.
  • Paperless discount: This is the easiest way to get a discount. Many providers make it easy to manage your policy online and can offer savings.
  • Bundling Discount: No matter if you own or rent your home, bundling condo, homeowners, or renters insurance with your auto insurance at the same company can often help you save money on your insurance.

Bundling discounts are the best, especially when you bundle home and auto. It is also worth considering the convenience of working with one insurer. There are many savings to be made, and most insurance companies offer multiple savings options. Talk to an agent to learn about all the discounts that are available.

Questions frequently asked

Which is the best auto insurance company?

Los Angeles has many top-quality car insurance companies that you should consider. To find the best car insurance company for your needs, consider getting a few car insurance quotes to compare pricing and coverage before you decide. It is worth looking at how others in your area rate their experiences with insurers. Each state and each city are unique. Knowing how a provider performs in your area could help you decide if they are the right fit for you.

Are you required to have car insurance documents?

You must have proof of your vehicle’s current insurance coverage at all times. If you are stopped by police or in an accident, this is a must. Electronic proof of insurance is now more common in many states. You may not need to have any physical documentation in your car. You could instead use your electronic proof of insurance card, which is provided by your insurer via its mobile app.

Although electronic cards are convenient, it is worth having physical documentation in case of an emergency. You might lose service or run out of battery, for example. Insurance experts recommend that you check your local laws in order to ensure that you have proof of insurance.

What happens if I can’t afford California liability insurance?

California law requires that auto insurance be purchased for anyone who owns or parks any vehicle. However, drivers of certain income levels can apply for the California Low-cost Automobile Insurance Program if they cannot afford traditional car insurance.