There are so many things to love about living in Minnesota: one being that the cost of living is lower than average. Unfortunately, car insurance isn’t one of the most affordable categories.
Because it’s a no-fault state, Minnesota’s car insurance rates are higher than in neighboring areas. But if you’re having a hard time finding a policy you can afford, we can help! Keep reading for our best tips — or, if you’re short on time, start comparing affordable car insurance quotes to find the best deal for you.
Minnesota Car Insurance Requirements
Minnesota requires you to carry a lot of car insurance compared to other states. Their state minimum coverage to drive legally is 30/60/10 insurance, which means:
- $30,000 per person and $60,000 per accident in bodily injury liability: Bodily injury liability can pay for other people’s medical bills and lost wages when they’re injured in an accident you’re legally liable for.
- $10,000 in property damage liability: Property damage liability pays for damage to other people’s property (such as their cars) in an accident you’re liable for.
You’re also required to carry:
- $30,000 per person and $60,000 per accident in uninsured/underinsured motorist bodily injury liability: This coverage can protect you if a driver with insufficient insurance or no insurance injures you in a collision.
- $40,000 per person, per accident, in personal injury protection (PIP): PIP pays for medical expenses, lost wages and other necessary expenses after an accident, no matter who was at fault.
Minnesota Car Insurance Penalties
Driving without insurance in Minnesota can lead to a number of serious and costly penalties including:
- Fines ranging from $200-$3,000
- Driver’s license and registration suspension for 30 days – 1 year
- $30 license reinstatement fee
- Requirement to carry a SR-22 certificate
- Community service in lieu of paying a fine
With these potential penalties, it’s never a good idea to drive without insurance in Minnesota. The best option is to find the most affordable auto insurance policy that will meet Minnesota state standards.
Cheapest Car Insurance for Teen Drivers in Minnesota
Teen drivers in Minnesota get the short end of the stick (and the high insurance premium) because they don’t have a lot of driving experience under their belt. Thankfully there is one auto insurance company that offers affordable premiums for Minnesota drivers.
Liberty Mutual charges an average rate of $184/mo for a liability only policy.
Cheapest Car Insurance for Young Drivers in Minnesota
Drivers over 25 can rejoice because auto insurance rates drop due to age, but until then they’re still stuck paying more for auto insurance. Even with the higher than average premiums, working with the right insurance company can help you save.
Here are 2 of the cheapest car insurance companies for young drivers 18-24 years old in Minnesota.
| Insurance Company | Monthly Premium |
|---|---|
| Liberty Mutual | $147 |
| Esurance | $179 |
Liberty Mutual offers the lowest rate at $147/mo followed by Esurance charging about $30 more at $179/mo.
Cheapest Car Insurance for Retired Drivers in Minnesota
After you hit 25 years old, insurance rates remain relatively low until you reach your 65th birthday. That’s when you might see them start to creep up again. This is because retired drivers are identified as riskier by insurance companies. But, that doesn’t mean you can’t find a policy that fits your budget.
Liberty Mutual offers the most affordable auto insurance premium for retired drivers in Minnesota at $73/mo.
Just because there’s only one company on our list, it doesn’t mean you can’t find other options on your own. Be sure to compare quotes from different insurance companies to ensure you get the most affordable rates available.
Cheapest Car Insurance for Married Drivers in Minnesota
Once you’re married, you’ll likely say hello to lower auto insurance premiums. Here are 2 companies offering the cheapest car insurance for married drivers in Minnesota.
| Insurance Company | Monthly Premium |
|---|---|
| Liberty Mutual | $87 |
| Esurance | $121 |
Liberty Mutual takes the top spot as the most affordable auto insurance provider for married drivers averaging $87/mo. Rates then increase by a little over $30 with Esurance to $121/mo.
Cheapest Car Insurance for Single Drivers in Minnesota
If you’re single it doesn’t mean you have to be stuck with unreasonably high auto insurance premiums. There are several companies in Minnesota offering affordable auto insurance for single drivers. Here are 6 insurance providers to consider.
| Insurance Company | Monthly Premium |
|---|---|
| Safeco | $89 |
| Liberty Mutual | $93 |
| Travelers | $115 |
| The General | $122 |
| Esurance | $137 |
| Nationwide | $139 |
For single drivers in Minnesota, Safeco offers the most affordable insurance rates with an average monthly premium of $89 for a liability policy. Next on the list is Liberty Mutual offering coverage at a slightly higher rate of $93/mo. Then premiums bypass the $100 mark with Travelers ($115/mo), The General ($122/mo) and Esurance ($137/mo). Nationwide is the final affordable option on our list with rates averaging $139/mo.
As you can see, rates tend to be slightly higher for single drivers in Minnesota compared to married drivers, so be sure to check for available discounts that can help you pay even less each month.
Cheapest Car Insurance for Men vs. Women in Minnesota
In Minnesota women pay slightly more for auto insurance than men on average. Men pay an average rate of $104/mo, while women pay just $1 more at $105/mo. You’ll find that as you age, the difference in rates due to age decreases.
Top 5 Cheapest Companies for Men in Minnesota
| Insurance Company | Monthly Premium |
|---|---|
| Safeco | $85 |
| Liberty Mutual | $87 |
| Esurance | $131 |
Top 5 Cheapest Companies for Women in Minnesota
| Insurance Company | Monthly Premium |
|---|---|
| Safeco | $90 |
| Liberty Mutual | $96 |
| The General | $113 |
| Esurance | $138 |
When comparing the insurance premiums for men and women, the most affordable rate is $5 less for men than for women. Safeco offers an average premium of $85/mo for men, while it’s slightly higher at $90/mo for women. The most expensive option is also a bit less for men with Esurance at $131/mo and $138/mo for men.
Cheapest Car Insurance for Minnesota Drivers with Spotty Records
If you have a history of tickets or accidents on your record, prepare to see how they impact your auto insurance rate, but keep in mind all insurance companies weigh them differently when calculating your premium.
Cheap Car Insurance for Drivers with a Ticket on their Record
| Insurance Company | Monthly Premium |
|---|---|
| Liberty Mutual | $90 |
| Esurance | $160 |
Cheap Car Insurance for Drivers with Multiple Tickets on their Record
| Insurance Company | Monthly Premium |
|---|---|
| Liberty Mutual | $105 |
| The General | $119 |
When you have one ticket on your record, you’ll pay less for auto insurance than if you have multiple tickets. This is shown with Liberty Mutual charging an average of $90/mo if you have one ticket, while they charge $105/mo if you have multiple tickets.
With this in mind, it’s essential that you compare auto insurance rates to find the cheapest option based on all the factors insurance companies consider such as your driving history, vehicle and address to name a few.
Cheap Car Insurance for Drivers with an Accident on their Record
| Insurance Company | Monthly Premium |
|---|---|
| Liberty Mutual | $116 |
| Esurance | $169 |
Having just one accident on your record can increase your auto insurance rate more than if you have multiple tickets. Liberty Mutual charges an average rate of $116/mo for liability coverage if you have an accident followed by a steep increase in premiums with Esurance averaging $169/mo.
Ultimately, if you have a history of accidents or tickets, you want to compare auto insurance rates since some companies are more forgiving than others. Also, to make your rates more affordable look for other ways to save such as asking about discounts with your insurance company and practicing safe driving habits in general until your record clears up.
Cheapest Minnesota State Minimum Coverage
If you’re looking for enough auto insurance coverage to drive legally in Minnesota, state minimum coverage is what you want. It can save you big time each month compared to securing full coverage insurance and these 4 companies offer the lowest premiums in the state.
| Insurance Company | Monthly Premium |
|---|---|
| Safeco | $73 |
| Liberty Mutual | $81 |
| The General | $100 |
| Esurance | $120 |
You can secure state minimum coverage in Minnesota for just $73/mo with Safeco. Liberty Mutual offers a similar rate of $81/mo followed by The General ($100/mo) and Esurance ($120/mo).
Cheapest Full Coverage Car Insurance in Minnesota
If you’re looking for a bit more coverage than state minimum insurance, you want to go with a full coverage policy. Full coverage insurance is often a requirement when you have a lease or financing on your vehicle in order for the bank to protect their investment.
When you choose a full coverage policy, expect to pay more out of pocket for the additional coverage, but it’s well worth it. In order to keep your premiums low, check out these 2 insurance companies offering the cheapest full coverage car insurance in Minnesota.
| Insurance Company | Monthly Premium |
| Liberty Mutual | $132 |
| Esurance | $179 |
Liberty Mutual once again offers the most affordable auto insurance rates at $132/mo for a full coverage insurance policy. Another option is Esurance, which is certainly higher at $179/mo. As you can see, rates vary significantly even amongst the most affordable insurance companies, so be sure to compare your rates to get the cheapest premium available for your coverage needs.
The Best Rated Car Insurance Companies in Minnesota
Looking for not just the cheapest auto insurance in Minnesota, but the best? Well then look no further. These 5 companies are ranked the top companies in Minnesota based on their coverage, discounts, customer satisfaction, average rates and more.
Farmers – 848 points
State Farm – 847 points
Geico – 845 points
Progressive – 837 points
All State – 826 points
Minnesota Car Insurance Discounts
Want to lower your auto insurance rates? Look for a discount with your insurance company. You can save up to 40% on your premium depending on which discount you qualify for. Here are some common discounts that are available.
- Multi-Car Discount: Having multiple cars on your policy can save you up to 25% with a multi-car discount.
- Multi-Policy Discount: If you also need insurance for your home (whether you rent or own) bundling it with your auto insurance can help you save up to 25% on your premium.
- Pay in Full Discount: Paying your auto insurance premium up front can secure you a pay in full discount.
- Vehicle Safety Discount: When you have up to date safety features such as anti-lock brakes and electronic stability control, you can save a bit on your auto insurance rate.
- Good Driving Discount: If you can demonstrate safe driving habits to your insurance company, get ready to save up to 40% with a good driving discount. Most companies will require you to use a telematics tracking system on your vehicle or mobile device to track your driving behavior and it’s well worth the effort!
- Safe Driving Course Discount: Complete a state approved safe driving or defensive driving course and save 10% or more on your insurance premiums.
Recent Minnesota Car Insurance Rate Trends
Auto insurance rates in Minnesota have steadily decreased over the last 5 years.
| 2017 | $181 |
| 2018 | $138 |
| 2019 | $122 |
| 2020 | $106 |
| 2021 | $109 |
In 2017, the average monthly premium was $181/mo. The following year in 2018, there was a steep decline to $138/mo. In 2019, they dropped again slightly to $122/mo. Rates decreased again in 2020 to $106/mo before slightly increasing to $109/mo in 2022.
Based on the trends, rates could increase again in 2022 or drop slightly, we’ll have to wait and see.
Compare Car Insurance Rates by Minnesota Cities
The area you live in is one of the main factors that determine how much or how little you pay for car insurance. If your area has a high auto theft rate, you may pay more. If there is very little traffic on your way to work, you may end up paying less. To help you see how rates vary from city to city, check out our rate comparison table below.
| City | Average Monthly Car Insurance Premium |
| Duluth | $73 |
| Minneapolis | $108 |
| Rochester | $75 |
| St. Cloud | $102 |
| St. Paul | $111 |
Click on the name of each city in the table above to find detailed breakdowns on all the factors that go into calculating your monthly premium. Here, you’ll find all the information you need on how things like driving record, age, gender, vehicle make and model, and more will affect how much you pay for car insurance in each locality.
And if you want to jump right in and see how much you’ll pay, simply enter your ZIP code below and find your best rate in minutes!
Minnesota Vehicle Registration Fees and Other Costs
If you’re in the market for a new or used car, you’ll need to budget for more than just the vehicle’s sticker price. You’ll be on the hook for basic DMV fees like title, license plate, and registration fees no matter where and how you purchase your new car, truck or SUV, as well as buying a new car insurance policy for your car. But some buyers will find themselves with additional fees such as sales tax, documentation fees, personal property tax, emissions and inspection fees, hybrid and electric vehicle fees, lien recording fees and a slew of other costs.
Check out Compare.com’s comprehensive vehicle costs breakdown to make sure you account for all the added fees you might be on the hook for when buying a car in Minnesota.
Minnesota Auto Insurance FAQs
What car insurance is required in Minnesota?
In order to drive legally in Minnesota, you need 30/60/10 insurance. That means
- $30,000 per person and $60,000 per accident in bodily injury liability
- $10,000 in property damage liability
- $30,000 per person and $60,000 per accident in uninsured/underinsured motorist bodily injury liability
- $40,000 per person, per accident in personal injury protection (PIP)
How much is car insurance in Minnesota?
The average cost of car insurance in Minnesota is $107/mo.
What happens if you drive without car insurance in Minnesota?
The penalties for driving without car insurance in Minnesota can be steep including:
- Fines ranging from $200-$3,000
- Driving license, registration and license suspension for 30 days – 1 year
- Community service in lieu of paying a fine and limited jail time
- $30 reinstatement fee
- Requirement to carry a SR-22 certificate
Does Minnesota require full coverage insurance?
No, Minnesota doesn’t require that you maintain full coverage insurance. You just need 30/60/10 insurance to drive legally in the state.
Can you get car insurance without a license in Minnesota?
It’s not easy to get car insurance without a license in Minnesota, but it is possible. It’s tricky, but the best way to secure insurance is to use the license information for the person who will be the primary driver of your vehicle and explain your circumstances to the insurance company in advance.
Methodology
All data referenced in this article comes from a combination of proprietary data — which is aggregated from millions of real customer quotes through Compare.com — and additional data gathered in collaboration with Quadrant.
