Cheapest and Best Car Insurance in Chattanooga, TN (2024)

In Chattanooga, Tennessee, the cheapest minimum and full coverage is provided by Auto-Owners, with State Farm offering economical rates for families with teenagers. For the top customer service, Cincinnati Insurance stands out, whereas Auto-Owners presents the best value, meeting pricing and service quality. Your ideal insurer is contingent on your coverage needs and preferences.

Auto-Owners offers the cheapest minimum coverage car insurance in Chattanooga.

• Auto-Owners Insurance Co: $283 per year
• Tennessee Farm Bureau: $307 per year

With Allstate offering the most expensive minimum coverage policy in the city at $648 annually, it's evident that prices vary considerably. The difference of $365 between the cheapest and most expensive illustrates the importance of comparing rates when shopping for car insurance.

Across all cities in Tennessee, including Chattanooga, car insurance coverage minimums are set by state law:

• $25,000 bodily injury per person
  
• $50,000 bodily injury per accident
  
• $25,000 property damage liability per accident
  

If you hold a minimum coverage policy that pays $25,000 for bodily injury per person, but the injuries tally up to $40,000, you pay the $15,000 excess out of pocket.

Auto-Owners offers the cheapest full coverage car insurance in Chattanooga.

• Auto-Owners Insurance Co: $711 per year
• Travelers: $798 per year

Progressive charges the most for full coverage policies in Chattanooga at $1,511 annually, highlighting a $800 difference compared with Auto-Owners. This comparison underscores the importance of shopping around. Full coverage is typically costlier than minimum coverage due to the comprehensive protection it offers.

A full coverage policy option in Chattanooga boosts liability coverage significantly beyond the basic requirements. This enhanced policy provides $100,000 for bodily injury per individual, $300,000 for bodily injury per incident and $100,000 for property damage per incident. This is also known as a 100/300/100 policy.

Full coverage also includes:

• Collision Insurance: This protects against the costs incurred to your automobile as a result of impacts with other vehicles or objects like a tree or light pole. It also covers rollover accidents and pothole damage.
• Comprehensive Insurance: This addresses damages to your car caused by a variety of non-collision events, such as theft or natural disasters. It also covers being struck by an animal like a deer.

For owners of brand-new vehicles, securing full coverage insurance is essential to protect your auto investment. For people leasing or taking out a car loan, you are typically required to carry full coverage insurance. But owners of older vehicles might reconsider the need for full coverage due to the potential hundreds of dollars in extra annual costs.

Deciding evaluating the amount of car insurance necessary for your situation involves weighing the more comprehensive protection against the likelihood of increased premiums, bearing in mind the risks presented by insufficient coverage.

Erie offers the most affordable rates for drivers in Chattanooga with a full coverage policy, regardless of their driving record. This is evident across various offenses:

• Speeding ticket: Erie ($868 per year)
• At-fault accident: Tennessee Farm Bureau ($885 per year)
• DUI: Farmers ($1,185 per year)

The most expensive premiums for these offenses are offered by different companies, with Chubb placing the highest rate after a DUI at $4,957 per year. The difference in annual rates with Tennessee Farm Bureau after a speeding ticket and the cheapest after a DUI is $522, illustrating how the severity of the traffic violation can significantly influence car insurance rates.

In Chattanooga, the gravity of a driving offense directly influences car insurance rates, with more severe incidents leading to higher premiums. For example, drivers with a DUI can expect to pay an average annual rate of $2,683, while those with a speeding ticket are looking at about $1,730 — a difference of $953 per year. This stark contrast underscores the necessity for individuals with driving offenses to meticulously compare insurance rates, ensuring they secure the most financially advantageous policy.

Nationwide offers the [cheapest full coverage car insurance for teens]((https://www.moneygeek.com/insurance/auto/cheap-car-insurance-for-teens/) in Chattanooga. Here are the two most affordable options:

• Nationwide: $1,358 per year for female teens and $1,537 per year for male teens
• State Farm: $1,646 per year for female teens and $2,097 per year for male teens

Progressive has the most expensive policy for a family with a teen driver in Chattanooga —$1,662 higher for girls than Nationwide. Parents of teen drivers, who are considered higher risk, can benefit from comparing rates to find the best deal.

In Chattanooga, teens looking for car insurance should consider a family policy over an individual policy to save money. On average, an individual teen policy costs around $5,086 annually, while being added to a family policy averages to about $2,244 per year. The $2,842 difference is due to insurers viewing teens as high-risk drivers likely to make claims. Teens may also may find approval for individual policies challenging without an established credit history or driving record.

Auto-Owners is the cheapest option in Chattanooga for those with military backgrounds needing full coverage car insurance. Here are the two cheapest providers:

• Auto-Owners: $711 per year
• USAA: $728 per year

Not only is USAA one of the most affordable options but it also specializes in serving the unique needs of active duty military personnel. Its tailored services to military members make it a valuable choice for those who qualify, despite a slightly higher premium.

Finding the most cost-effective car insurance in Chattanooga requires comparing rates, which can be painstaking — often taking upwards of 15 minutes per company. But MoneyGeek's car insurance calculator streamlines this task, enabling instant savings by concentrating on key elements influencing premiums. Input your age, driving history, credit score and coverage preferences, along with other pertinent details, to promptly receive a tailored rate estimate.

Selecting the best auto insurance depends on individual priorities such as service quality, cost, coverage options and other factors. MoneyGeek's unique scoring systems evaluate these categories to identify top performers in Chattanooga:

• Best overall: Auto-Owners (MoneyGeek score 80 out of 100)
• Best for service: Cincinnati Insurance (MoneyGeek score 80 out of 100)
• Best cheap: Auto-Owners (MoneyGeek score 85 out of 100)

With Auto-Owners providing both the best overall and most affordable options, it stands out as the leading choice for value, service excellence and budget-friendliness in Chattanooga. Cincinnati Insurance, with its high score for service, is optimal for those prioritizing a top-tier customer experience.

Auto-Owners offers the best option for car insurance in Chattanooga:

• Auto-Owners: MoneyGeek score of 80 out of 100 ($711 per year)
• Erie: MoneyGeek score of 77 out of 100 ($830 per year)

Auto-Owners distinguishes itself primarily with top-notch ratings in customer satisfaction and affordability. These factors are instrumental in its ranking, reflecting a balance between quality service and economical pricing for consumers.

Cincinnati Insurance is the best option in Chattanooga for car insurance based on customer service. This is without considering rates and purely focuses on general satisfaction, claims handlin and coverages.

• Cincinnati Insurance: MoneyGeek score of 80 out of 100 ($1,046 per year)
• Chubb: MoneyGeek score of 79 out of 100 ($1,231 per year)

Cincinnati Insurance distinguishes itself with its blend of high satisfaction and claims handling scores, backed by solid coverage offerings.

Auto-Owners is the best option for cheap car insurance in Chattanooga. This finding is particularly significant because the MoneyGeek score emphasizes affordability while not neglecting the important factors of claims handling and customer satisfaction.

• Auto-Owners: MoneyGeek score of 85 out of 100 ($283 per year)
• Westfield: MoneyGeek score of 77 out of 100 ($411 per year)

Auto-Owners stands out predominantly due to its balance of cost-effectiveness and quality service. With the highest affordability score combined with strong scores in satisfaction and claims handling, it is the go-to carrier for minimum coverage policies in Chattanooga.

Drivers in Chattanooga, Tennessee, may find that their average car insurance cost is around $1,057 annually, which is lower compared with the state average. In context, the average car insurance cost in Tennessee is $1,109, indicating that Chattanooga drivers benefit from a slightly more affordable rate. But Tennessee's average remains lower than the national average car insurance cost of $1,720, a difference of $610.

Location affects insurance costs because it reflects variables such as accident rates, thefts and the cost of living in the area. For example, Memphis emerges as the most expensive in Tennessee with an average premium of $1,105, which surpasses the state average by $206. Knoxville is the least expensive with a premium of $838, a full $62 less than the state's average. These differences highlight how location significantly impacts car insurance rates, and they suggest that in non-city areas with lower traffic density, rates may be even more favorable.