What is the Average Cost of Car Insurance in Lexington?

Lexington drivers don’t have to worry about vehicle theft as much as drivers in other cities in Kentucky. In 2018, 1,228 vehicles were stolen from their owners. This put the per capita rate at 237.66 per 100k residents and put Lexington’s rank for vehicle theft at #136 in the US.

Anyone who commutes to work in Lexington faces a mean travel time of about 20.9 minutes. This equals around 210 minutes each week for those who work 5 days a week. In 2-car households it can add up to nearly 7 hours of driving.

All of this can affect the cost of insurance for vehicle owners. Time spent driving increases the risk of accidents and the financial hit from the loss of a vehicle is considerable. When a vehicle is stolen, their insurance companies step in and make the owners “whole” by paying out on their stolen-vehicle claims.

It isn’t only vehicle theft that affects the insurance company and the vehicle owner. If the owner of the car gets into an accident, they are going to need help paying for any needed repairs to the vehicle. If the vehicle owner or anyone who drives the vehicle is at fault in an accident, the owner will soon see a premium increase on their policy.

In locations that have high annual drive times because of long commutes and higher rates of vehicle theft, premiums are consistently higher, whether you’ve experienced accidents or thefts yourself.

Someone with bad credit also still must buy an insurance plan—this is mandatory in all 50 states. Insurance companies do have insurance plans that allow people with bad credit to buy insurance, but they are often significantly higher than regular rates.

What Insurance Coverage is Needed for Drivers in Lexington

You should plan to pay an average annual premium of about $1,483 in Lexington. Depending on your financial circumstances, you may be able to afford a more expensive premium such as a full coverage plan. These types of policies often cover your costs for damage in the event of a collision with an underinsured/uninsured motorist.

Or, if your finances do not allow you to buy everything you want in an insurance plan, you can ask the agent to provide you with just what it legally required in Kentucky.

If your car is newer and you are still making payments to the lender, you’ll be required to carry full coverage. This includes 50/100/50 coverage and a comprehensive/collision coverage plan. Comprehensive covers theft, damage to the windows/windshield, vandalism, fire, explosions, falling tree limbs, rocks that cause damage to the vehicle, storms, earthquakes, lightning, floods, and accidents with animals. Collision covers accidents with other vehicles and both types will cost you more.

If you can only afford minimum coverage, you will pay much less for these policies. You’ll be required to have liability insurance at 25/50/10. This provides $25,000 for single injuries caused by you in an at-fault accident, $50,000 for multiple injuries, and $10,000 to cover any property damage you may cause in an accident.

Most Expensive and Least Expensive Insurance Rates by Zip Code

Cheap Car Insurance in Lexington by Insurer

Drivers who can’t afford an expensive vehicle insurance premium should always look around at their other options for less costly insurance. Companies with offices in every state, as well as insurance companies exclusive to Kentucky offer good rates on minimum coverage all the way up to full coverage. There are plenty of choices available, no matter what you’re looking for.

Use our guide to get a cheap car insurance quote today.

Low Cost Auto Insurance for Bad Credit in Lexington

For drivers with bad credit, insurance companies do offer insurance premiums that fit their budgets. One of the ways they do this is by offering annual premiums that are split into 6 or 12 payments, making it easier for the customer to make each payment. Annual premiums do tend to be higher than those for customers with better credit.

Learn how your credit score determines your car insurance premiums.

Full Coverage Vs. Liability, Which is Best For You?

What is Liability Only Insurance Coverage?

Liability-only coverage means coverage that only pays for the loss others incur if you are at fault in an automobile accident. These are for the medical expenses, other property damage or car repairs that you cause to another or their property in an accident.

One has the option of paying for more than the state minimum requirements outlined above for liability insurance. That is a good idea because you will be personally liable from your own finances and assets if you harm someone else or their property in an accident and your state minimum coverage levels do not fully reimburse the losses of the other party.

What does Full Coverage Insurance Cover?

Full coverage means that you not only have adequate insurance to cover the losses of others if you are at fault in an accident. Full coverage means you have all the liability coverage you need to care for the harm to others if you have an accident and are at fault, and you have coverage for your own losses as well. There are two main kinds of other coverages that drivers purchase in order to repair their vehicles in the event of an accident they cause:

What is Collision Coverage?

Collision insurance covers the cost of repairing your own car if you are in an accident that is your fault. A way to save money on collision insurance is to purchase it with a higher deductible. For example, it will likely be very expensive to have collision coverage on your vehicle with a $500 deductible, but a $1,500 deductible or a $2,000 deductible will save considerable money on your automobile full coverage policy.

What is Comprehensive Coverage?

Comprehensive insurance covers the cost of repairing your vehicle for those things that were not your fault, like extreme weather that damaged your vehicle, or a deer that walked in front of you, theft, or vandalism. Comprehensive insurance tends to be much cheaper than collision. Even those with older vehicles may benefit from carrying comprehensive insurance because it is relatively cheap and will cover things like windshield replacement.

Key Differences Between Full Coverage and Liability Only

The main difference between having liability and full coverage insurance is that liability insurance will only pay for injuries to others and their damages that resulted from an accident where you were at fault, where full coverage will not only pay for the damages and injuries done to others but will also cover your injuries and auto damages that resulted from an accident that you caused as well.

Average Annual Car Insurance Rates in Kentucky by City

Additional cities in Kentucky you can check out.

Bowling Green


Ways to Lower Your Insurance Premiums

The following auto insurance discounts can be used to help lower your premiums in Lexington:

  • Raise your deductible

    If you are willing to pay more money for a deductible, in the event of an accident, then you can lower your insurance rates substantially. You can lower your premium to around 10% just by raising your deductible to around $1,000.

  • Drop Collision Coverage on Old Cars

    Dropping collision coverage on older cars can really help save you a lot, especially for cars that are more than ten years old and only worth four or five thousand dollars. Think about it, if you have an accident while driving an older car, are you really going to pay to repair it or just buy a new car?

  • Check Insurance Rates for Your Car’s Make and Model

    The make and model of your car can make a big difference in how much you pay for auto insurance. Therefore, before purchasing a new car, be sure and check the insurance rates for it as some can be much higher than others.

  • Shop Around to Check Rates from Numerous Insurance Companies

    The chart in this article should be enough proof to know that there can be a big difference in what various insurance companies charge for auto insurance. That is why it is a good idea to check rates from a number of insurance companies before deciding which plan to choose.

  • Drive Fewer Miles

    One of the questions asked when applying for auto insurance rates, is how many miles you drive regularly. This is because the more miles you drive, the more risk you are to the insurance company and the higher your insurance cost will be. Try to drive fewer miles, if possible, to save more money on your premiums.

  • Maintain a Good driving record

    Being a safe driver can not only save your life, but it can also save you a lot of money, too. There is a big difference in how much people with accidents on their record have to pay, and what those without any accidents pay. Therefore, always drive safely.

  • Live in a less populated area

    Your location matters when it comes to auto insurance rates. If you live in a highly populated area, your rates will be higher than if you live in a lower-population area. The Jefferson and New Orleans areas have some of the highest rates in Louisiana, but if you live just 30 minutes outside of the city, you can expect your rates to go down.

Are you looking for car insurance discounts? Learn more here.

Lexington KY Car Insurance Premiums Cost – What Affects Your Rates?

As you can see, car insurance rates are influenced by a complex set of factors, all of them are determined by risk data for each insurance agency. How much each agency charges, though, based upon similar risk data, can vary widely. In the case of younger drivers, they can save literally thousands of dollars each year by shopping around. The insurance agencies will charge drivers different rates for their automobile insurance premiums by their age and marital status, driving record, area they live in, and whether they carry liability-only or full coverage insurance. If the customer opts for collision insurance, the carriers will charge more for a lower deductible.

Since there are so many factors to take into consideration in how much an insurance agency charges you for automobile insurance, it quite literally pays to thoroughly educate yourself about automobile insurance and to shop around for the best quote.

Do you have a bad driving record and need cheap insurance? Check out this guide.

Helpful Lexington, Kentucky Vehicle Resources:

Live Traffic Accidents by City

DMV (Find Locations, Vehicle Registration, Titles and Insurance Info)


Get a quote1.855.283.2631