What is the Average Cost of Car Insurance in Charlotte?

Charlotte is a bustling city with nearly 900,000 citizens. It’s one of the nation’s major banking centers and it is one of the largest cities in North Carolina, and still growing. Since Charlotte is so busy, insurers tend to raise premiums for drivers who live there. Other factors matter, too, such as car theft, average commute time, each driver’s driving record, as well as credit ratings.

Charlotte does fairly well when it comes to car theft. This busy car-centric city is ranked 152nd in the nation for stolen automobiles. In 2018, the city tallied just over 5,800 thefts. When adjusted for population, this gives the Queen City a theft rate of 227.7 per 100k residents. The city also does surprisingly well with regards to commute times.

Drivers in Charlotte only drive an average time of 23.8 minutes to work daily. This translates to 476 total commuting minutes per week for each two-car household. However, when we draw the lens back to encompass the entire Charlotte-Concord-Gastonia area, the average one-way commute rises to 25.4 minutes, or 508 total minutes for households in the greater metro Charlotte area.

Since the banking industry is such a huge part of Charlotte’s economic life, one might expect that the city’s citizens have relatively good credit. Regardless, the state of North Carolina does allow insurers to factor credit into how they calculate auto policy premiums. This means that, while the average person with excellent credit pays rates of $901, those with poor credit pay and average $1,221 for car insurance. North Carolina is more equitable in this regard than some other states, as a driver with excellent credit and a DWI on their record will pay $3,115, on average, to cover their car.

What Insurance Coverage is Needed for Drivers in Charlotte

Charlotte drivers are not strangers to heavy traffic and long commutes. Driving is a large part of life in Charlotte and thus so is car insurance. North Carolina state law requires that every vehicle on the road carry an insurance policy. The law sets a minimum level of coverage that is satisfied by a liability policy from a reputable carrier. The state Insurance Board regulates insurers and thus drivers can be confident that their liability policy covers their legal coverage requirement.

However, though a liability policy meets the standard for legal driving, it is not always the ideal for drivers. That’s because a liability policy is very limited. These policies only cover damage a driver does to another, when that driver is at fault. Any damage to the policy holder’s automobile is not covered unless they are on the receiving end of an accident. Drivers are also not covered from other damages such as when a tree limb crashes through their windshield or when the automobile incurs damages due to theft. It is therefore recommended that drivers carry a collision or comprehensive policy so that any damage is covered.

Most Expensive and Least Expensive Insurance Rates by Zip Code

Cheap Car Insurance in Charlotte by Insurer

North Carolina drivers all need to save money on their car insurance. Please review the following chart to compare car insurance rates in Charlotte. Progressive and Government Employees Insurance Co. (GEICO) lead the pack but you may also want to consider what the others may offer in terms of packaged insurance policies and overall service.

Compare the top auto insurance companies quotes by state.

Low Cost Auto Insurance for Bad Credit in Charlotte

Drivers in Charlotte, NC are subject to higher automobile insurance rates if they have poor credit. GEICO and Progressive are the most able to help drivers in the area who have poor credit and potentially help them free up the finances to settle outstanding debts.

Are you looking for cheap insurance with bad credit? Check out this guide.

Differences Between the Two Main Coverages

Liability Only Insurance Coverage

Liability-only coverage means that you are only paying to cover the cost of damage that you do to other people and their property in the event you are at fault in an accident. It covers the costs of medical bills for people you injure or repair costs for property you damage.

It is a good idea to carry more liability insurance than these minimum amounts required by the state of North Carolina because you will be personally financially liable if you are in an accident and cause more damage to people or property than the state’s minimum required coverage levels.

Full Coverage Auto Insurance

Full coverage insurance not only covers the cost of the people and things you might harm when you are in an accident that is your fault. It also covers the cost of any repairs that your property or vehicle might need if you are in an accident that is your fault.

There are two main types of coverage beyond liability coverage:

Collision – This type of insurance covers the cost of repairs to your vehicle or your property that you might damage in an accident in which you are at fault.

Comprehensive – This type of insurance covers the repair costs for your vehicle when one of those unusual things happen that are outside of your control, like weather-related damage to your vehicle, theft, vandalism, and deer stepping in front of your vehicle as you drive.

What You Need to Know About the Differences Between the Car Insurance Types

So, liability-only insurance coverage will pay for what you did to the neighbor’s bumper when you backed into it while rushing to work. It will pay for the hospital visit by a bicyclist you hit who has a broken leg. Liability-only only insurance will pay for the utility panel you hit at the RV resort when you had trouble backing in.

Collision will pay for any damage you did to your own vehicle when you backed into that utility panel at the RV resort. Comprehensive will pay for the damage your vehicle suffered when a tree fell on it in intense rains that weakened the soil.

The difference between liability and full coverage insurance policies is that liability only covers other people and their vehicle if an accident should occur where you are at fault, but, with a full coverage insurance plan, you and your vehicle would also be covered along with other’s and their vehicle as well.

Another difference between the two is that a deductible is associated with full-coverage insurance, but not with liability. There is also a difference in price, where full coverage will cost more than liability insurance.

Average Annual Car Insurance Rates in North Carolina by City

Additional cities in North Carolina you can check out.



Ways to Lower Your Insurance Premiums

There are many car insurance discounts and ways to save on your policy in Charlotte:

  • 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.

Learn more about driver discounts for car insurance rates here.

These are the Common Reasons for Insurance Rates in Charlotte NC

Your car insurance rate in Charlotte NC is based upon many factors. You will be charged more or less on your policy based upon your age, marital status, and your number of moving violations and accidents. You will also be charged by the carrier based upon the type of vehicle you drive, whether it is paid for or not, and whether you decide that it is cost effective and prudent to have collision insurance or not. Also, insurance agency rates are highly variable, based upon the company and what area of the country you live in. Those in rural areas often pay less, while people in large, metropolitan cities often pay more. Armed with knowledge and by shopping around, you overcome some of these factors and save substantial money each year on auto insurance.

If you have a bad driving record and need cheap insurance, compare rates here.

Helpful Charlotte, North Carolina Vehicle Resources:

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