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Many people may rely on family and friends to let them know how much auto insurance should cost. However, when those confidants live in other states, the information they provide may be completely irrelevant to auto insurance costs in that driver’s state. To avoid such problems, drivers should be aware of how and why premium costs may vary state-to-state and how they could benefit if they compare car insurance rates by state.

Average auto insurance rates vary by state

It is a well-known fact that average auto insurance rates are not the same in every state. Without a resource to compare car insurance rates by state, some drivers – particularly those who have recently moved – may have inaccurate expectations for how much their car insurance should cost

According to a number of industry studies, auto insurance costs vary widely from state to state. Recent reports have found that Washington, D.C. and Louisiana have some of the highest expenses in the country, while those in Iowa and the Dakotas generally have lower auto insurance premiums.

Different states have different minimum auto insurance requirements

An additional reason to compare car insurance rates by state is in order to receive information relevant to a specific state’s auto insurance requirements. Knowing up-to-date state limits will be factored in is another advantage of comparing quotes online.

Numerous states have recently changed their rules on minimum auto insurance coverage rates. Wisconsin, for example, has changed its minimum auto liability coverage requirements a number of times in recent years, and other states have also made major changes.

An authoritative source that can compare car insurance rates by state while taking recent changes into consideration may be helpful to drivers who haven’t been following recent insurance news.

Some states have discounts other states may not

Finally, some states have mandated that auto insurers provide certain specific discounts to drivers within that state, which other local governments haven’t.

For example, certain automotive safety features provide discounts for drivers mainly in certain locales. Anti-lock brakes are one of these features, as states such as New York and New Jersey have legally mandated that auto insurance agencies there provide a discount to drivers with those features.

With all these advantages, drivers who compare auto insurance rates by state may have a better perspective on what their insurance policy may cost them.