Who Has the Cheapest Car Insurance Rates in Minneapolis?

Minneapolis drivers have many factors to contend with. Not only do they have to work through traffic snarls, but they also have weather issues for up to half the year. The ice and snow might be largely taken care of by city services, but even they can fall behind or be caught unaware by a sudden snowstorm. Though Minneapolis’ car theft rate and the average commute time aren’t terribly dramatic, these and other factors are all a part of how an insurance company sets its rates.

The Minneapolis – St. Paul – Bloomington – metro area ranks #130 nationwide for auto theft. In 2018, The region experienced 8,734 thefts, yielding an overall theft rate of 240.66 per 100k local residents. Drivers need to be aware of this and know that a liability policy won’t cover any damages that result from theft. They also need to take note that how much they drive impacts their rates.

In Minneapolis, the average commute to work is 22.3 minutes. That doesn’t sound like a long commute, but it adds up, especially when there are two workers in a household. On average, Minneapolis households spend an average of 446 minutes every week simply traveling to and from work. When you add in estimates for other errands and activities, households may spend upwards of 600 minutes or more per week behind the wheel. Every minute represents an added level of risk that insurers charge for.

This page is designed to inform Minneapolis drivers, so they can make the best choices for auto insurance.

What are the Insurance Requirements in Minneapolis?

Minneapolis doesn’t stop just because of winter’s cold and snow or even summer’s heat and humidity. This city in the Upper Midwest has traffic all night and day, every day. With more drivers on the road, there is more risk for every driver. While everyone does try to maintain safe driving habits, accidents still occur. That is why Minnesota law requires that all in-state drivers carry a minimum level of automobile insurance.

These minimum policies are called liability packages because they only cover a driver’s liability in an accident. A driver with liability-only coverage will only be able to repair damage that is caused to another vehicle if they are found at fault in an accident. Their car will not be covered by insurance and any repairs must come out of their own pocket. However, a comprehensive or collision policy will help repair the car no matter who or what causes the damage. Liability car insurance is thus not highly recommended for those who can afford more coverage.

Minimum insurance in Minnesota is 30/60/10. This will provide $30,000 for injuries sustained by a single party and $60,000 for crashes resulting in multiple injuries. The $10,000 provide coverage for any property damage caused by an accident, whether that’s to another vehicle, a building, or any other property.

Most Expensive and Least Expensive Insurance Rates by Zip Code

Cheap Car Insurance in Minneapolis by Insurer

When Minneapolis drivers shop around for automobile insurance, they should consult the chart below. Here is a list of the top insurers and their average rates for drivers in Minneapolis, MN. While low rates are very important, drivers should also consider the overall service that the low rate buys. There may end up being more value in a more expensive policy and you can also ask about discounts in the form of bundles or options for students and more.

Use our pro guide to find the best cheap car insurance quotes.

Low Cost Auto Insurance for Bad Credit in Minneapolis

Bad credit impacts many parts of our lives, and automobile insurance is no exception. Insurers in Minneapolis calibrate their rates partially based on a driver’s credit rating. While there are some states where this is not allowed, Minnesota is not one of them. Drivers with poor credit are often asked to pay more even if they have a clean driving record. Minnesota Farm Mutual Auto tends to offer the most relieve to those with problem credit, but Geico is not far behind.

Find out how your car insurance rates are impacted with bad credit.

What is the Difference Between Full Coverage and Liability?

Liability Only Insurance Coverage

Liability-only coverage is the cheapest option for automobile insurance. This coverage level only covers vehicles that are not at fault in an accident. Thus, if you carry liability-only coverage and cause an accident, the other driver will be covered by your policy. Any damage done to your car must be covered out of pocket, if at all.

What Full Coverage Covers

Liability-only insurance is the least amount of insurance that one can purchase. This satisfies your legal requirement to drive and register your vehicle in {location-state}. For many people, this is not sufficient coverage because it does not cover their losses if they are at fault and do damage to their own vehicle or if they sustain damages in a hit-and-run or from an uninsured driver.

Collision covers when one is at fault and their own vehicle is damaged. If you have a car that is worth more than a few thousand dollars, it is often a wise investment to buy collision insurance each year. However, collision insurance coverage is pricey and will increase your insurance cost per year quite drastically.

Comprehensive covers those oddball things that happen that you cannot control, like damaged windshields and collision with animals on the road. It also covers your loss when someone purposely damages your vehicle in an act of vandalism. In addition, comprehensive covers theft of your vehicle, fire and weather, or acts of nature. An example of the latter would be if your car was crushed under a tree that fell in a wind storm.

Key Differences Between Full Coverage and Liability Only

The difference between full and liability coverage is quite dramatic. With liability, insurers gamble that they will only have to pay for one car in an accident. With a comprehensive or full coverage policy, insurance companies know that they are taking on more liability exposure and so their rates reflect the increased risk. In the case of a comprehensive policy, they might even have to cover claims for damages that don’t arise from a traffic incident.

Average Annual Car Insurance Rates in Minnesota by City

Additional cities in Minnesota you can check out.




Take Advantage of These Car Insurance Discounts

There are many ways that you can save on auto insurance in Minneapolis:

  • Don’t Speed

    If you are caught speeding, your license will accrue points. With each additional point, your insurance company considers you more of a liability and so will charge you more for insurance. Stick to local in-town limits and use your cruise control on the highway to avoid excessive speed.

  • Shop Around

    Different insurers charge different premiums for virtually the same policies. Since the essential service is often identical from company to company, you are sure to save money by comparing rates from multiple companies.

  • Avoid Accidents

    When you are at fault in an accident, law enforcement will add points to your license. Further, the other party is likely to file a claim against your policy. When insurers pay out on claims, they typically raise the premiums for those policy holders.

  • Bundled Insurance Packages

    If you have renter’s insurance or are a homeowner, you may be able to add your automobile to the policy. This also goes for other vehicles or even health insurance. Insurance companies love to bundle policies and offer incentives for customers to do so. You will only have one premium payment to make, which makes things easy, and you’ll save money, as well.

  • Insure Multiple Cars

    If you own multiple cars, your per-car rates are bound to be lower if you put them all on the same policy. You can also include a car owned by your spouse or domestic partner. You could also add your partner to health insurance or cover their recreational vehicles under your policy.

Get the best discounts for car insurance using our expert guide.

Factors That Affect Your Car Insurance Premiums

There are quite a few factors included in determining your cost for auto insurance such as:

  • Your location
  • Age
  • Number of violations you had in the past
  • Gender
  • Whether you are married or single
  • Your credit score
  • The plan you are seeking
  • The deductible
  • Daily miles you drive
  • The make, model, and year of the vehicle to be insured
  • Whether you live alone or with others
  • Your occupation

Learn how a bad driving record can affect your car insurance rates.

Helpful Minneapolis, Minnesota Vehicle Resources:

Live Traffic Accidents by City
Department of Transportation Traffic

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


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