Minnesota Auto Insurance Coverage & Costs

Let’s start with some good news here and tell you that premiums are lower than most parts of the country. Minnesota car insurance requirements are different from most others. Drivers are required No-Fault coverage, which refers to Personal Injury Protection (PIP) you would see in other states but it is much higher than most at $40,000. It also has the minimum liability requirements as usual.

Another interesting point to know about requirements in the North Star State is that you automatically get up to $35,000 coverage for damages to rental cars, under the property damage liability portion, without a deductible. This is part of a basic policy. State requires rental firms to point this out to you so that you don’t buy any more coverage if you don’t need it.

Minnesota Auto Liability Laws

Here are minimum auto insurance requirements in a nutshell.

Minimum Liability Limits

It is probably best if you read the full explanation on the brochure on the official website.

You would think that you would need to spend a lot more here but the figures don’t support this thinking. This goes to show that you don’t necessarily need to give up protection to reduce prices. Automobile insurance rates are on the cheaper end of the spectrum. Also, Uninsured Drivers (12%) figures are lower than the country average.

Motorists shouldn’t hesitate to look for a decent level of protection just because they are worried about costs. In any case, you should at least get a few quotes to see. Even though the minimum requirements are pretty bulked up you can still get cheap car insurance in Minnesota that proves our point.

Minnesota in PicturesYou may need an independent broker to explain it all to you especially if you have just moved in. When you are arranging your first policy a little help from someone in the know would ensure you don’t make mistakes. In addition, you may get all your questions answered. Of course there are many other sources and many people are comfortable about finding out the information required on their own. You can start with having a look around this site for helpful articles.

You will probably want to add coverage for your own vehicle on top of the above basic provisions and perhaps you would want to bulk them up too. You should first figure out how much automobile insurance you need and look for affordable quotes to get it at the best price possible. Always take personal circumstances into account to determine the levels. For example, a rich person may want to buy large liability coverage to protect his assets. Or a motorist with a rich heart may want it large because he/she wants to compensate for injuries and losses of innocent road users properly if he/she ever causes them damages.

Your personal choices affect vehicle insurance premium and coverage. You can tailor policies for your needs. However, it is advisable to stick to package policies as closely as possible if you want to keep it affordable. The more you change it and add extra the higher the costs will be. The solution is to find an already marketed policy that satisfies needs closely. Then, you can make one or two small changes to it. Keep this in mind when you are arranging policies.

Minnesota Auto Insurance Costs

The Land of 10,000 Lakes’ most notable feature appears to be the number of lakes. There is no surprise there as the clues were in the name. Otherwise, MN likes to keep near the averages. It is a large one in the Midwestern United States but it is not as densely populated as many others. Its residents appear to be doing well financially in comparison to the rest of the nation. These factors, along with regulations, affect prices.

The average cost of vehicle insurance in Minnesota is $745 and it is almost $100 cheaper than the US average. You can also get affordable full coverage quotes as the estimated costs are $1,257, again below the US figure. The former figure represents a real premium for a typical policy that is based on the median spending. The latter figure is based on full coverage quotes received for a good driver with no ticket or claim.

What you may be paying at the moment may be slightly different than those figures. It is totally normal considering individual circumstances and details. You can reduce costs considerably even if you manage to get only a few of the discounts mentioned on this site. If you keep reading a bit you will see that more than half of the discounts offered are for things like home ownership, good credit score, quick payment, living in a nice zip code and having a private parking space. In other words, you don’t need to be hugely disappointed that you just had an accident or traffic ticket because you can still do your best to keep the rates low.

Secondly, you can try to reduce the premium even further by shopping for the best quotes. This is the simplest and fastest way of saving money, especially with the help of the Internet. There are many comparison websites just like this one to help you find the best deals. Anyone can benefit from this simple trick regardless of driving experience, age, gender or location.

The Lowest Priced Car Insurers in Minnesota

One thing policyholders need to remember is that Carriers change their rates pretty fast. For example, Travelers was the cheapest last year but it isn’t even in the top 20 this year. These are the most competitive companies in MN for now but you should always get a few more quotes from different carriers and compare them. This is the only way of making sure that premiums remain constantly competitive.

  1. Farm Bureau Mutual, $689
  2. State Farm, $753
  3. West Bend Mutual, $791

These companies are consistently providing low prices in most cities. The rates are slightly more expensive in large cities like Saint Paul and Minneapolis but it isn’t large enough to raise concern. Actually, city costs are low in comparison considering nearly 60% of the state population lives in the Minneapolis–Saint Paul metropolitan area (known as the “Twin Cities”). Usually, rates are much higher in metro areas across the country for obvious reasons like higher accidents and vehicular crimes.