Average Cost of Car Insurance in Tennessee for 2026

Tennessee car insurance costs less than in most states. But sometimes drivers pay high premiums due to severe weather risks and the state's high uninsured motorist rate. Your location within Tennessee, age and driving experience affect your rate.

Jump to factors you can control today:

• Cost of Car Insurance in Tennessee by Company
• Cost by Coverage Level

Jump to factors that are fixed (for now):

• Cost by City
• Cost by Age and Gender
• Cost by Driving Record
• Cost by Credit Score
• Cost by Vehicle

Car insurance in Tennessee ranges from $47 per month for minimum coverage to $103 for full coverage. Drivers in Tennessee pay $260 less annually than the national average for full coverage and $156 less for minimum coverage.

Only 14 states have cheaper full coverage than Tennessee, which ranks 15th at $103 per month. Tennessee sits $4 above Massachusetts ($99) and $1 below Alabama ($104), placing it in the more affordable tier nationally. With rates ranging from Vermont's $75 to Florida's $243, Tennessee drivers pay moderate insurance costs.

About 20% of Tennessee drivers carry no insurance. This forces insured drivers to pay higher premiums for uninsured motorist coverage.

Severe weather patterns across Tennessee generate hundreds of millions in annual insurance claims. Tennessee ranks among the top 10 states for tornado and hail damage.

Vehicle theft rates in Tennessee's major metropolitan areas exceed national averages, in Memphis and Nashville, where car thefts jumped 15% in 2023. 

DUI conviction rates are also high compared to neighboring states, creating a larger pool of high-risk drivers who pay higher premiums.

Traffic density in urban corridors like I-40 through Nashville and I-240 around Memphis contributes to higher accident frequencies and more severe collision damage. Rural areas have longer emergency response times, often leading to more expensive total loss claims (see city rates below).

Travelers offers the lowest full coverage rate in Tennessee at $78 per month, making it the most affordable option for drivers in Tennessee. Auto-Owners follows closely at $79 per month, while Farm Bureau rounds out the top three cheapest companies at $85 per month. 

Shopping around can save Tennessee residents up to $26 per month compared to pricier options like Farmers at $104 per month. These rates reflect real savings opportunities since all companies were quoted using identical driver profiles.

Read more: Cheapest and Best Car Insurance Companies in Tennessee

Rates vary so much between companies because each insurer uses its own formula to weigh your driving record, location, age and vehicle. A company with a larger customer base in Tennessee prices driver profiles differently based on its own claims history and data compared to one with fewer local policies. Some carriers prioritize clean-record drivers and price aggressively for low-risk profiles, while others specialize in higher-risk drivers who need coverage after accidents or violations. Your cheapest option depends entirely on your driver profile — comparing quotes directly is the only way to find which insurer offers the best rates for your situation.

Coverage level alone can move your monthly premium by $75 in Tennessee, from $50 for minimum liability to $125 for the highest tier. Minimum liability coverage starts at $50 per month, while adding comprehensive and collision with a $1,000 deductible brings your cost to $61 per month. That extra $11 per month covers damage to your own vehicle from accidents, theft, vandalism and weather.

Lowering your deductible costs more than raising your liability limits in Tennessee. The most expensive coverage tier combines minimum liability with comprehensive and collision at a $0 deductible, reaching $125 per month because eliminating that deductible transfers all repair risk to your insurer.

Drivers in Memphis pay more for car insurance than anywhere else in Tennessee at $142 per month for full coverage, which is 38% above the state average of $103. Car insurance rates span a $59 monthly gap across the state's 10 most populous cities, creating a $708 annual difference between the most and least expensive locations. Johnson City offers the most affordable full coverage rates at $83 per month, while Hendersonville ranks as the second most expensive city at $111 per month. This wide range means Tennessee drivers can save hundreds of dollars annually depending on where they live in Tennessee.

Memphis's high crime rates and dense urban traffic create elevated risks for vehicle theft and accidents, pushing full coverage rates to $142 per month among Tennessee's major cities. Johnson City's smaller size and lower crime environment result in the state's most affordable rates at $83 per month, creating a $59 monthly gap that costs Memphis drivers an extra $708 per year.

Adding a 16-year-old to a family policy in Tennessee costs $5,287 per year for males and $4,790 for females — a $497 difference that reflects how gender affects car insurance rates. Male teen drivers consistently pay higher premiums than their female counterparts due to statistical risk factors insurers use in Tennessee.

A 16-year-old on a family policy pays $5,287 per year compared to $7,728 on their own policy — saving $2,441 by staying on the family plan. Car insurance rates drop steadily as young drivers gain experience through their early 20s and level off around age 25.

Use our free calculator to estimate your Tennessee car insurance cost based on your driver profile.

Full coverage in Tennessee ranges from $106 per month for drivers with clean records to $172 after a DUI conviction. Drivers with spotless records pay $106 per month for comprehensive protection, while a speeding ticket bumps that cost to $133 per month; a 25% increase that costs an extra $319 annually. Violations affect rates for three to five years in Tennessee, though the timeframe varies by violation type.

A DUI conviction adds $66 per month to full coverage premiums, representing a 62% increase that costs drivers an additional $792 per year compared to clean records. Violations raise rates because they show a higher risk to insurers, who respond by adjusting premiums for high-risk drivers accordingly.

Multiple violations narrow your insurer options in Tennessee and can push you into the high-risk category, where fewer carriers will offer coverage and rates climb. Drivers can look for high-risk car insurance in Tennessee to meet their needs.

Tennessee allows insurers to use credit-based scoring; the premium gap between good and poor credit is $187 per month for full coverage. Drivers with excellent credit pay $100 monthly for comprehensive protection, while those with poor credit pay $287 monthly premiums. This 187% increase means bad credit costs Tennessee motorists an extra $2,244 each year.

Improving your credit score is a powerful long-term strategy for reducing insurance premiums over time. Lower-income drivers can benefit from focusing on credit health as part of their overall approach to managing transportation costs.

The cheapest car to insure in Tennessee is the Ford F-150 at $125 per month for full coverage, while a Tesla Model Y costs $200 per month. Before your next purchase, this $75 monthly difference ($900 annually) shows how vehicle choice affects your coverage budget. Full coverage ranges from $125 to $200 per month across different models, with sedans like the Honda Civic falling in the middle at $128 per month. You can learn more about insurance costs by vehicle to compare additional models.

Electric vehicles cost more to insure because their parts and specialized repairs are more expensive than conventional vehicles. The Tesla Model Y's high premium reflects costly components like its battery pack, advanced sensors and proprietary parts that require specialized technicians to repair.

Your city, age, driving record and coverage level each affect what you pay for car insurance in Tennessee, creating cost differences that most Tennessee drivers don't expect. These four factors can shift your annual premium by hundreds of dollars, making it worth understanding how each one affects your rate.

We used this profile to determine auto insurance costs across all available ZIP codes and cities in the state:

• 40 years old
• Clean driving record
• Good credit
• 2012 Toyota Camry LE

Sections on cost by age and driving record use rates for those driver profiles, with all other factors held constant.

Minimum coverage is a state's minimum liability coverage. Full coverage is a policy with 100/300/100 liability limits and a $1,000 deductible for comprehensive and collision coverage.