Kentucky Car Insurance Rates

It is one of the cheapest states to live in America. Residing in a more affordable region has the effect of increasing standard of living in comparison to another area with the same take home income but pricier goods and services. Uninsured drivers rates are pretty high at 18% compared to 14% national average.

Kentucky auto insurance rates are lower but close to the US figures. It is a worry to see such a high ratio when there seems to be no apparent reason for it. When this is the case, perhaps motorists aren’t sure why they should buy vehicle insurance and aren’t made aware of benefits. Usually a little education works wonders and may be more effective than hefty penalties.

This Southeastern state’s borders follow the Ohio River in the north and the Appalachian Mountains in the east. It is known for its tobacco, bourbon and horses and has rich soil that is good for producing grains, grazing cattle and dairy products. It is one of the smaller states but still 4.4 million people call it home. It has the longest navigable waterways in the US, except Alaska and two of the largest man-made lakes.

Kentucky Automobile Insurance Laws

Kentucky Presented in PicturesBasic liability requirements are as follows;

  • $25,000 for bodily injury or death per person.
  • $50,000 total for bodily injury or death per accident.
  • $10,000 for property damage.

Or a policy with a $60,000 single limit is acceptable.

Kentucky is a “choice no-fault” state where you can buy or decline minimum Personal Injury Protection of $10,000 on top of the above minimum auto liability coverage. If you accept it you guarantee that your carrier, no matter who was at fault, will pay your medical bills. But this choice limits the ability to make injury claims or sue at-fault drivers, unless medical expenses exceed $1,000 monetary threshold or you suffer permanent injury or a family member dies.

When you reject PIP, the restrictions on suing for damages are lifted. If all drivers on a policy reject PIP coverage, the authorities here require the purchase of Guest PIP coverage that provides basic benefits to passengers and pedestrians.

Uninsured Motorist coverage must be included in a basic liability policy, unless it is declined in writing.

Penalties for getting caught without car insurance coverage are a fine up to $1,000 and/or jail sentence up to 90 days for the first offence. Subsequent violations can result in up to $2,500 fine and/or 180 in jail. Vehicle registration will be suspended until proof is provided. These tough penalties appear not to be effective to reduce the numbers.

You can read more on the official website. They allow complaints about carriers to be lodged online. You can also check broker license details on the site, if you need one.

There are plenty of other resources on the Internet. For example, you can use comparison websites to find great prices. They are becoming widespread in several key areas like flights and accommodation and they can be a great tool to speed the search. You can also find answers to specific questions, learn about a particular topic or look into discounts. We have a few articles answering questions or dealing with various related topics and you can also get a few quotes directly from the carriers on our panel.

Auto Insurance Prices in Kentucky

Auto theft and accidents are below national averages. It isn’t densely populated or urbanized in comparison to many others. These are positive factors that keep car insurance rates low. On the other hand, lack of enthusiasm in purchasing policies is a big factor in increasing them. If 18% of drivers aren’t contributing, the remaining 82% will have to pay enough premiums to cover all of the claims.

Average cost of vehicle insurance in Kentucky is $773. This is the premium expenditure per vehicle and slightly lower than the US number of $841. Full coverage quotes follow the same pattern as the estimated cost is $1,295 and comes very slightly under the national average of $1,325.

The gap between the average premium spending and full coverage cost suggest that the latter isn’t as popular as the rest of the country. It follows the usual pattern seen in other states with lower than average household income. Their residents appear to prefer liability only automobile insurance policies or some combinations of it but fall short of full coverage. This is probably due to owning typical cars that aren’t expensive enough to lose sleep over and the fact that household budgets are tighter.

Cheapest Auto Insurers in The Bluegrass State

The difference between the least and most expensive quotes can be so wide that you would pay 3 years worth of premium in 1 year if you end up with the most expensive one. This would be a real shame when rates are lower than many others in the country. This goes to show that living in a cheap car insurance zip code doesn’t guarantee you will automatically enjoy them. You will still need to make sure that you get all the discounts you deserve and find the best value policy in your area.

  1. Kentucky Farm Bureau, $817
  2. Cincinnati, $980
  3. Grange Mutual, $1,009

These are the most competitive companies in this region. They can save you a lot of money but you should remember that they might not be the cheapest for your circumstances. That is why you should check prices with others as well. The best, easiest and probably the only way of making sure that you pay a fair premium is to compare quotes online. If you aren’t prepared to spend an hour or so to find the most affordable policy you may be running the risk of spending several hundred dollars a year more.

When it comes to KY cities you can forget about the general perception that rates are expensive in the cities and cheaper in the rural areas. Eastern Coal Country is rural in comparison to the Bluegrass Region and along the Ohio River and yet you can pay as much as 50% more than the state average if you live in cities like Salyersville and Paintsville.

You would expect the rates to be one of the highest in the largest city Louisville with a population of over 600,000. However, Louisville drivers actually spend slightly less than the average auto insurance rates in the state. This may be due to high competition in the city with widespread agent presence. Lexington, the second largest city with a population of over 300,000, is doing even better. Lexington prices are about 20% lower in comparison.

It may be surprising but it is nice because there are more people living in these zip codes. This goes to show that you should never let the assumptions cloud your judgement and just test them by getting a few quotes, which is simple enough.