Car Insurance Costs Are Highest in Maryland and New York, New Report Reveals

Both states will see the average annual cost of full coverage top $4,000 in 2025, Insurify predicts.

Evelyn Pimplaskar
Evelyn PimplaskarEditor-in-Chief, Director of Content
  • 10+ years in insurance and personal finance content

  • 30+ years in media, PR, and content creation

Evelyn leads Insurify’s content team. She’s passionate about creating empowering content to help people transform their financial lives and make sound insurance-buying decisions.

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Chris Schafer
Edited byChris Schafer
Chris Schafer
Chris SchaferDeputy Managing Editor, News and Marketing Content
  • 15+ years in content creation

  • 7+ years in business and financial services content

Chris is a seasoned writer/editor with past experience across myriad industries, including insurance, SAS, finance, Medicare, logistics, marketing/advertising, and many more.

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John Leach
Reviewed byJohn Leach
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John LeachSenior Insurance Copy Editor
  • Licensed property and casualty insurance agent

  • 8+ years editing experience

John leads Insurify’s copy desk, helping ensure the accuracy and readability of Insurify’s content. He’s a licensed agent specializing in home and car insurance topics.

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Car insurance rates have been climbing across the U.S. and increased by 15% in 2024, according to a new report from Insurify. But drivers in Maryland and New York pay the most for full-coverage car insurance.

In 2024, Maryland’s average annual full-coverage premium was $4,060, a 53% increase from 2023. Drivers in the Old Line State face another 5% increase in 2025, Insurify projects. The average full-coverage rate will rise to $4,255 per year, making Maryland the most expensive state for car insurance.

New York is close behind, with a projected 10% increase that would take the Empire State’s annual full-coverage average from $3,804 to $4,183, according to Insurify’s data analysts.

10 most expensive states for car insurance

Drawing on results from its data center of more than 97 million car insurance quotes, Insurify identified the 10 states where car insurance costs are highest. In addition to Maryland and New York, the following states round out the 10 most expensive states for full-coverage car insurance.

State/District
Full-Coverage Average in 2024
Projected Average in 2025
1. Maryland$4,060$4,255
2. New York$3,804$4,183
3. Washington, D.C.$3,399N/A
4. South Carolina$3,393$3,603
5. Florida$3,166$3,484
6. Delaware$3,078$3,308
7. Nevada$2,973$3,214
8. Louisiana$2,820$2,944
9. Colorado (tied)$2,815$2,878
10. Georgia (tied)$2,815$3,052
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

Multiple factors drive rate increases. Climate risk, inflation, and rising vehicle repair costs contributed to rate increases at the national level, according to Insurify. At the state level, vehicle theft rates, rising accident rates, climate risk, and legislative changes influenced car insurance premium hikes.

While the average rate in Maryland rose by a whopping 53% in 2024, it wasn’t the only state with hefty double-digit increases. The percentage increase in Minnesota was higher, coming in at 58% in 2024. Here are the states where car insurance rates increased the fastest last year.

What’s next: Drivers can take steps to reduce car insurance costs

Most drivers purchase more than just liability coverage, according to an Insurance Information Institute (Triple-I) analysis of data from the National Association of Insurance Commissioners. Eighty percent of insured drivers buy comprehensive coverage, and 76% buy collision coverage, the Triple-I reported.

What’s more, nearly 80% of new vehicles and 38% of used vehicles were financed in 2023, according to Experian. Auto lenders and leasing companies generally require drivers to purchase full-coverage car insurance, which is typically more expensive than liability-only coverage because it offers enhanced protection.

Drivers can also take several steps to keep car insurance costs down, according to Insurify, including:

  • Practicing safe driving habits, like following the speed limit and avoiding hard braking

  • Asking for discounts, which can help reduce premiums by 25% or more

  • Bundling auto insurance and another coverage type (like homeowners or renters) with the same insurance company

  • Choosing a higher deductible and setting aside funds to cover it in case of an accident

  • Choosing a car that’s cheaper to insure, either because it’s highly rated for safety, has lower repair costs, or has a lower theft rate

  • Considering pay-per-mile insurance coverage

  • Comparison shopping by getting quotes from multiple insurance companies.

Insurify’s car insurance data is available for download from its Auto Insurance Data Center. Members of the media looking for additional data or insights should email [email protected].

Evelyn Pimplaskar
Evelyn PimplaskarEditor-in-Chief, Director of Content

Evelyn Pimplaskar is Insurify’s director of content. With 30-plus years in content creation – including 10 years specializing in personal finance – Evelyn’s done everything from covering volatile local elections as a beat reporter to building fintech content libraries from the ground up.

Before joining Insurify, she was editor-in-chief at Credible, where she launched and developed the lending marketplace’s media partnership’s content initiative and managed the restructuring of the editorial team to enhance content production efficiency. Formerly, as tax editor for Credit Karma, Evelyn built a library of more than 300 educational articles on federal and state taxes, achieving triple-digit year-over-year growth in e-files from organic search.

Her early career included work as a content marketer, vice president and managing officer of a boutique public relations agency, chief copy editor for 14 weekly Forbes publications, reporting for large and mid-sized daily newspapers, and freelancing for the Associated Press.

Evelyn is passionate about creating personal finance content that distills complex topics into relatable, easy-to-understand stories. She believes great content helps empower readers with the information they need to make important personal finance decisions.

Chris Schafer
Edited byChris SchaferDeputy Managing Editor, News and Marketing Content
Chris Schafer
Chris SchaferDeputy Managing Editor, News and Marketing Content
  • 15+ years in content creation

  • 7+ years in business and financial services content

Chris is a seasoned writer/editor with past experience across myriad industries, including insurance, SAS, finance, Medicare, logistics, marketing/advertising, and many more.

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John Leach
Reviewed byJohn LeachSenior Insurance Copy Editor
Photo of an Insurify author
John LeachSenior Insurance Copy Editor
  • Licensed property and casualty insurance agent

  • 8+ years editing experience

John leads Insurify’s copy desk, helping ensure the accuracy and readability of Insurify’s content. He’s a licensed agent specializing in home and car insurance topics.

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