2022 Auto Insurance Trends Report

Who’s Paying More for Coverage

Chase Gardner
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Chase Gardner
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Written by
Chase Gardner
Data Journalist
Chase Gardner is a data journalist at Insurify. He informs readers on major developments in the auto and home industries through research into driver behavior, homeownership tendencies, cost of living trends, and more. He received a bachelor’s degree with concentrations in Environmental & Urban Studies and Statistics from the University of Chicago. Chase’s work has been cited in MSN, Yahoo News, The Street, and dozens of local news outlets across the country.
Tanveen Vohra
Edited by
Tanveen Vohra
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Edited by
Tanveen Vohra
Editorial Manager
Tanveen Vohra is an editorial manager at Insurify specializing in writing about property and casualty insurance. Through her work, Tanveen helps consumers better understand the components of their insurance policies so they can make smarter purchase decisions.Tanveen's work has been cited by CNBC , Fox Business, Business Insider, Fortune, and Market Watch, among others.
Andrew Huang
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Andrew Huang
Headshot of Andrew Huang, Directory of Analytics at Insurify
Reviewed by
Andrew Huang
Director of Analytics
Andrew leads data analysis at insurify.com, and he has formerly led data analysis projects at kayak.com and realtor.com. Andrew strives to help people save money on their insurance, and in his free time he loves finding great deals on travel flights. Insurify's network bidding algorithms and Kayak's flight trends are personal favorite projects.
Betsy Stella
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Betsy Stella
Headshot of Betsy Stella, VP of Insurance Partnerships at Insurify
Fact checked by
Betsy Stella
VP of Insurance Partnerships
Betsy Stella is the vice president of insurance partnerships at Insurify. Before coming to Insurify, she spent more than 20 years in distribution, operations, and sales at Farmers Insurance. She leverages her extensive industry experience to provide general audiences with clear, accurate, and up-to-date information on all aspects of the insurance shopping process.

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Inflation, interest rate increases, and soaring gas prices all hurt the wallets of American drivers in 2022. Prices for new and used cars rose more than 10% in August, compared to the year before.[1][2] Sept. 21, 2022, also saw the fifth-straight increase to the federal funds rate, bringing it above 3%, the highest it’s been since 2008. At the start of 2022, the average interest rate on a 60-month new car loan was 3.85%, but with the recent federal rate increase, car loan interest rates could rise closer to 5.75%.[3]

Insurify’s 2022 Auto Insurance Trends Report: Who’s Paying More for Coverage is the first part of a two-part report that comprehensively covers 2022’s unique car insurance landscape. To identify the most relevant trends of the past year, we reviewed more than 40 million quotes served to consumers who used Insurify to comparison-shop for auto insurance in 2022. Insurify’s first report details who is paying more for car insurance in 2022, surveys drivers on how they’re managing rising vehicle costs, and provides drivers with expert advice on how they can save.

Where are drivers paying more for car insurance?

The cost of insurance is not uniform across the nation. Factors such as weather patterns, crime rates, population density, and state-specific coverage requirements contribute to regional variations in car insurance rates.

Michigan drivers spend a whopping $2,510 per year on car insurance, more than drivers in any other state. In fact, they pay $1,748 more per year than drivers in Hawaii, the cheapest state for car insurance.

10 states with the most expensive auto insurance 2022

Map of the U.S. showing the 10 most expensive states for car insurance in 2022.Average yearly insurance premium

Married drivers and homeowners pay less for auto insurance

Bar chart showing the average cost of car insurance for drivers based on marital and homeowner status in 2022.
Average yearly insurance premium

Which drivers pay more for car insurance?

One of the unsung perks of marriage is actually cheaper car insurance. On average, married drivers see 5% lower rates across the board than unmarried drivers.

Though it is not typically a rating factor, homeownership status can also affect what a driver pays for auto insurance. Unmarried homeowners pay about 17% less for car insurance than unmarried drivers who rent their homes. Many homeowners have lower rates in part because they can take advantage of policy-bundling discounts.

Which driving habits increase insurance costs?

Having just one traffic violation on your record can increase your insurance premium by an average of 34%.

Vehicle owners with a citation-free record within the past three to seven years pay an average premium of $1,574 per year, while drivers with a history of traffic incidents spend an average of $2,116 annually.
Drivers with a DUI on record pay nearly twice as much — $1,559 per year more, on average — for car insurance as drivers with a clean record.

A DUI could double your car insurance rate

Bar chart showing the average cost of car insurance for drivers with varying traffic citations on record in 2022.Average yearly insurance premium

How are drivers trying to save on vehicle costs?

In the current economic climate, 65% of drivers are considering driving less in order to save on vehicle ownership costs, according to an Insurify survey of more than 1,200 drivers conducted in July 2022.

Additionally, 10% of drivers are considering dropping their insurance coverage altogether, despite the serious legal and financial risks of driving without insurance.

Insurify survey: Drivers consider driving less and completely dropping insurance

65% of drivers are considering driving less
65%
of drivers are considering driving less
30% of drivers are thinking about purchasing a hybrid or electric vehicle
30%
of drivers are thinking about purchasing a hybrid or electric vehicle
30% of drivers are thinking of switching to a different insurance provider
30%
of drivers are thinking of switching to a different insurance provider
16% of drivers are considering moving to a different location with better public transportation and walkability
16%
of drivers are considering moving to a different location with better public transportation and walkability
10% of drivers are considering dropping their insurance coverage altogether*
10%
of drivers are considering dropping their insurance coverage altogether*

About

Insurify is America’s top-rated destination for the largest selection of accurate insurance quotes and expert advice, and it operates as a licensed insurance agent appointed in all 50 states. Featuring direct integrations with all top insurance companies, Insurify offers a personalized, real-time comparison and buying experience for auto, home, and life insurance policies.

More than 11 million policyholders have used Insurify since 2017. Insurify’s insurance experts and data scientists are also valued source of consumer education, delivering data-driven insights and fresh perspectives on statistics and general trends throughout the insurance industry.

Methodology

To create Insurify’s 2022 Auto Insurance Trends Report, the research team at Insurify examined more than 40 million rates from car insurance applications in its proprietary database over the past year.

Insurify driver applications originate from all 50 states and Washington, D.C., and include information on the car owner’s vehicle, their driving history dating back seven years, and their demographic information.

The premiums recorded on Insurify’s comparison platform are quoted via integrations with insurance companies. Average premium costs by location, driving history, or demographic subset reflect all premiums that insurance companies quoted to drivers within that subset.

The data on drivers’ experiences and consumer behavior comes from an Insurify survey of 1,200 participants in July 2022.

All statistics and percentages in this report are based on Insurify customer data and surveys unless otherwise stated.

Data attribution

The insights, statistics, data visualizations, and more from this report are free to use; we simply ask that you attribute any full or partial use to Insurify with a link to this page.

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