Cheapest Car Insurance in Tennessee (Best Rates in 2026)
Travelers has the cheapest car insurance in Tennessee, at $140 per month for full coverage. That's $35 per month cheaper than the TN state average.
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Best cheap car insurance in TN
Best and cheapest car insurance in Tennessee
- Cheapest full coverage: Travelers, $140/mo
- Cheapest minimum liability: Auto-Owners and Erie, $43/mo
- Cheapest for young drivers: Erie, $105/mo
- Cheapest after a ticket: Auto-Owners, $148/mo
- Cheapest after an accident: State Farm, $199/mo
- Cheapest for teens after a ticket: Erie, $122/mo
- Cheapest after a DUI: Travelers, $213/mo
- Cheapest for poor credit: Travelers, $245/mo
Monthly rates are based on full coverage car insurance for a 30-year-old man. Some rates use different ages or coverage limits.
Erie is the best choice for most people in Tennessee. It offers a great mix of reliable customer service and cheap rates. Auto-Owners is also a good choice for many people.
While Travelers may offer the cheapest rates for some people, its customer service reviews aren't as good as Erie's or Auto-Owners'. It may be worth paying more for a company with excellent service, especially if you have an accident in the future.
Cheapest car insurance quotes in TN: Travelers
Travelers, Auto-Owners and Erie have the most affordable full coverage insurance in Tennessee.
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- Erie is the best choice for most people because it offers the best mix of affordable rates and excellent customer service. At $149 per month, full coverage from Erie is $26 per month cheaper than the Tennessee average.
- Auto-Owners is also a great option, at $148 per month. Auto-Owners has good customer service and helpful local agents. But it doesn't offer online quotes, so you have to talk to an agent to buy a policy.
- Travelers has the cheapest quotes for most Tennessee drivers, at $140 per month. However, it doesn't have great customer service. It may be worth paying a few extra dollars per month for a company with better reviews, like Erie or Auto-Owners.
Cheapest full coverage insurance in TN
Company | Monthly rate | |
|---|---|---|
| Travelers | $140 |
| Auto-Owners | $148 |
| Erie | $149 |
| Geico | $182 |
| State Farm | $199 |
*USAA is available only to current and former military members and their families.
Data-powered research on Tennessee car insurance
| Data-powered research on TN car insurance |
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Cheap liability car insurance in TN: Auto-Owners and Erie
Auto-Owners and Erie have the cheapest liability-only insurance in Tennessee.
At $43 per month, both companies cost around $15 per month less than the state average.
Best cheap TN liability insurance
Company | Monthly rate |
|---|---|
| Auto-Owners | $43 |
| Erie | $43 |
| Travelers | $45 |
| State Farm | $59 |
| Farmers | $65 |
*USAA is available only to current and former military members and their families.
USAA has even cheaper rates, at just $31 per month. However, only military members, veterans and some of their family members can buy USAA insurance.
Find Cheap Auto Insurance Quotes in Tennessee
Cheapest car insurance in TN for teens: Erie
Erie has the cheapest car insurance quotes in Tennessee for teen drivers.
A liability-only policy from Erie costs $105 per month for an 18-year-old. That's $88 per month less than the Tennessee average for teens.
Erie also has the most affordable full coverage for young drivers, at $357 per month.
USAA has even cheaper car insurance quotes for 18-year-old drivers. However, only active-duty military members, veterans and some of their family members (including their children) can get insurance from USAA.
Cheapest car insurance quotes in TN for teens
Company | Liability only | Full coverage |
|---|---|---|
| Erie | $105 | $357 |
| Travelers | $130 | $393 |
| Geico | $154 | $363 |
| Auto-Owners | $188 | $513 |
| State Farm | $204 | $613 |
*USAA is available only to current and former military members and their families.
In Tennessee, 18-year-olds pay more than three times as much for car insurance as older drivers. That's because teens have less experience behind the wheel and are more likely to cause a crash.
The best way for young drivers in Tennessee to get cheap insurance rates is by sharing a policy with their parents. Good student and driver safety course discounts can also help teens save on car insurance.
Cheap auto insurance in TN after a speeding ticket: Auto-Owners
Auto-Owners has the best rates for most Tennessee drivers with a recent speeding ticket. Full coverage from Auto-Owners costs $148 per month, on average. That's $75 per month cheaper than the Tennessee state average.
Auto-Owners doesn't offer online quotes, so you have to contact an agent to get your rate. If you need to compare quotes and buy a policy quickly, consider Erie instead.
Cheap Tennessee auto insurance rates after a speeding ticket
Company | Monthly rate |
|---|---|
| Auto-Owners | $148 |
| Erie | $161 |
| Travelers | $186 |
| State Farm | $217 |
| Geico | $248 |
*USAA is available only to current and former military members and their families.
Tennessee drivers can expect to pay 27% more for auto insurance after a speeding ticket. That's an average increase of $48 per month for full coverage insurance.
Cheap insurance in TN after an accident: State Farm
State Farm has the best cheap Tennessee car insurance after an accident. A full coverage policy from State Farm costs $199 per month after a crash, which is $59 per month less than the statewide average.
Travelers also offers affordable rates after an accident. However, its poor customer service reviews mean State Farm is usually a better option.
Affordable car insurance in Tennessee after a crash
Company | Monthly rate |
|---|---|
| State Farm | $199 |
| Travelers | $200 |
| Erie | $218 |
| Auto-Owners | $252 |
| Farmers | $254 |
*USAA is available only to current and former military members and their families.
Full coverage quotes in Tennessee go up by 47% after an at-fault accident, on average.
However, your rates shouldn't go up if the accident wasn't your fault. In Tennessee, insurance companies aren't allowed to raise your rates if someone else caused the accident.
Cheapest auto insurance in TN for teens with a ticket or accident: Erie
Erie has the most affordable rates in Tennessee for most young drivers with a speeding ticket or accident on their record.
A minimum liability policy from Erie costs $122 per month for an 18-year-old with one speeding ticket. That's around half the Tennessee average for teens with a ticket.
Erie also has the cheapest quotes for teens after an accident. At $146 per month, liability-only coverage from Erie costs $122 per month less than the state average.
Cheap liability insurance quotes in TN for teens after a ticket or accident
Company | Ticket | Accident |
|---|---|---|
| Erie | $122 | $146 |
| Travelers | $169 | $206 |
| Auto-Owners | $188 | $281 |
| Geico | $191 | $214 |
| State Farm | $226 | $204 |
*USAA is only available to current and former military members and their families.
Young drivers in Tennessee can expect their rates to go up by 24% after one speeding ticket and 39% after an at-fault accident. That's a smaller increase than adult drivers usually see, because teens are considered high-risk drivers, even before a ticket or accident.
Affordable auto insurance in Tennessee after a DUI: Travelers
Travelers has the best rates in Tennessee for most drivers with a DUI. Full coverage from Travelers costs $213 per month after a DUI. That's $82 per month cheaper than the state average, and $62 per month less than the second-cheapest company, Erie.
Cheap TN car insurance quotes after a DUI
Company | Monthly rate |
|---|---|
| Travelers | $213 |
| Erie | $275 |
| Progressive | $283 |
| Geico | $292 |
| Farmers | $298 |
*USAA is available only to current and former military members and their families.
Driving under the influence in Tennessee will raise your rates by an average of 68%.
In addition, drivers with a DUI may need to get SR-22 insurance in Tennessee. An SR-22 filing can cost an extra $15 to $50.
Cheap Tennessee insurance for drivers with poor credit: Travelers
Travelers has the most affordable full coverage insurance for Tennessee drivers with poor credit, at $245 per month. That's $127 per month cheaper than the state average.
USAA is also a great deal if you have poor credit. But you can get a policy only if you have military ties.
Affordable car insurance in TN if you have poor credit
Company | Monthly rate |
|---|---|
| Travelers | $245 |
| Farmers | $292 |
| Geico | $293 |
| Erie | $343 |
| Progressive | $343 |
*USAA is available only to current and former military members and their families.
Drivers with poor credit pay twice as much for car insurance in Tennessee as those with good credit. That's because insurance companies believe people with low credit scores tend to file more claims.
Best car insurance in TN
Erie has the best auto insurance in Tennessee for most drivers.
Erie has excellent customer service reviews and is typically one of the cheapest options in Tennessee.
USAA has the top customer service scores in the state. However, you can get USAA car insurance only as an active-duty military member, a veteran or their family member.
Top insurance companies in Tennessee
Company |
Editor's rating
|
J.D. Power
|
AM Best
|
|---|---|---|---|
| USAA* | 735 | A++ | |
| Erie | 703 | A | |
| State Farm | 650 | A++ | |
| Auto-Owners | 638 | A+ | |
| Farmers | 622 | A |
Average car insurance cost in Tennessee by city
Memphis, the second-largest city in Tennessee, has the most expensive car insurance in the state.
Full coverage car insurance in Memphis, TN, costs an average of $264 per month. This is partially because Memphis has significantly more car thefts than other cities in Tennessee.
Central, a small community outside Johnson City, has the cheapest rates in the state, at $152 per month.
Tennessee auto insurance rates by city
City | Monthly rate | % from average |
|---|---|---|
| Adams | $186 | 6% |
| Adamsville | $200 | 14% |
| Afton | $164 | -7% |
| Alamo | $196 | 11% |
| Alcoa | $170 | -3% |
Where you live can impact your car insurance rates as much as your driving habits. Full coverage rates in Tennessee vary by about $112 per month between the most and least expensive cities.
Large cities with more traffic and higher crime rates, like Memphis and Nashville, typically have more expensive car insurance rates. That's because higher accident and auto theft rates tend to lead to more claims.
What is the Tennessee state minimum auto insurance?
In Tennessee, you must have a minimum amount of liability insurance, which is often written as 25/50/25.
- Bodily injury liability: $25,000 per person and $50,000 per accident
- Property damage liability: $25,000 per accident
In Tennessee, the Department of Revenue periodically checks to make sure your car insurance policy is still active. It does this using an electronic insurance verification system.
That means you'll get in trouble if you have a lapse in coverage, even if you don't get pulled over or have an accident.
What's the best car insurance coverage for Tennessee drivers?
Most drivers should get full coverage auto insurance rather than the minimum limits.
Full coverage car insurance includes comprehensive and collision coverages in addition to liability coverage.
- Comprehensive coverage pays for damage to your car caused by events outside of your control, such as theft and weather.
- Collision coverage pays for damage to your car after an accident, regardless of whose fault it is.
If you have a car loan or lease, your lender typically requires you to have full coverage. You should also consider full coverage insurance if your car is worth more than $5,000 or is newer than 8 years old.
Minimum liability policies are the cheapest option in Tennessee.
That's because they offer the least coverage you can legally have. Cheap rates might make liability-only auto insurance seem like the best option if you're on a budget. But if you're in an accident, you could end up paying more in the long run.
A minimum coverage policy only pays for the other driver's injuries and property damage. It doesn't protect your car or pay for injuries to you and your passengers.
Frequently asked questions
Who has the cheapest car insurance rates in Tennessee?
In 2026, Travelers is the cheapest insurance company in Tennessee, with full coverage rates averaging $140 per month. Auto-Owners and Erie have the cheapest liability-only coverage, at $43 per month.
How much is car insurance in Tennessee?
The average cost of auto insurance in Tennessee is $176 per month for a full coverage policy. That's $18 per month cheaper than the U.S. average. Minimum liability coverage costs an average of $58 per month.
How much is car insurance in Knoxville, TN?
The average cost of full coverage car insurance in Knoxville is $179 per month. That's just 2% more than the state average.
Methodology
To find the best cheap insurance in Tennessee, ValuePenguin collected thousands of rates from ZIP codes across TN for the largest insurance companies in the state. Rates are for a 30-year-old man with a 2018 Honda Civic EX and good credit.
Rates for a full coverage policy have higher liability limits than the state requirement, along with collision and comprehensive coverage.
- Bodily injury liability: $50,000 per person and $100,000 per accident
- Property damage liability: $50,000 per accident
- Uninsured and underinsured motorist bodily injury: $50,000 per person and $100,000 per accident
- Comprehensive and collision: $500 deductible
ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates came from insurance company filings. Use them for comparative purposes only. Your own quotes may differ.
Senior Writer
Lindsay Bishop is a Senior Writer at ValuePenguin, where she educates readers about home, auto, renters, flood and motorcycle insurance.
Lindsay began her career in the insurance and financial industry in 2010. She was a licensed auto, home, life and health insurance agent and held Series 6 and 63 financial licenses.
After a hiatus from the financial sector, Lindsay returned to the industry as a content writer for ValuePenguin in 2021. She enjoys having the opportunity to help readers make smart decisions about their insurance so they can be prepared for anything life throws their way.
When Lindsay isn't writing about insurance, you can find her spending time with family, enjoying the outdoors on Sunday long runs or riding her Peloton.
How insurance helped Lindsay
As a homeowner for 15 years located in South Carolina, Lindsay has plenty of experience navigating the coastal insurance market and managing the claims process. That includes successfully negotiating a full roof replacement claim.
Expertise
- Home insurance
- Car insurance
- Flood insurance
- Renters insurance
- Motorcycle insurance
Referenced by
- CNBC
- Yahoo Finance
- Miami Herald
Education
- BS/BA Economics, University of Nevada Las Vegas
Editorial Note: The content of this article is based on the author's opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.
