Reviews.com compared the largest insurance companies by market share in Tennessee to help you find the best car insurance companies for your policy. Tennessee drivers still tend to pay less than the national average, but premiums rose sharply across 2023–2025 as repair, medical, and claim costs climbed (see the Bureau of Labor Statistics’ motor vehicle insurance CPI). Current statewide benchmarks put typical full coverage roughly in the mid–$1,500s to mid–$1,700s per year and minimum coverage roughly in the low–$400s to low–$500s, based on recent analyses from Bankrate, NerdWallet, and ValuePenguin. The best car insurance in Tennessee goes beyond price to include strong service, helpful perks, and the right coverage options and digital tools; our research can make your shopping easier.

The 4 Best Auto Insurance Companies in Tennessee

To find the best car insurance companies in Tennessee, we reviewed current 2025 statewide pricing benchmarks from Bankrate, NerdWallet, and ValuePenguin; evaluated each company’s coverages and discounts, as well as their digital tools and third-party scores; and considered J.D. Power’s 2024 U.S. Auto Insurance Study. Based on our research, these four companies are among the best in the state.

• Geico: Best for Low Average Prices
• USAA: Best for Military-Centric Options
• Erie: Best for Customer Satisfaction
• State Farm: Best for Local Agencies

Compare the Best Car Insurance Companies in Tennessee

Our picks for the best auto insurance companies in Tennessee are based on our research method. The best company for you will depend on your unique situation and needs, and in today’s high-price environment, it’s wise to compare fresh quotes and consider telematics/usage-based programs that may lower your premium (J.D. Power 2024).

Information current as of 2025. Average premiums have increased since earlier datasets; see the BLS CPI release and 2025 Tennessee benchmarks from Bankrate, NerdWallet, and ValuePenguin.

*Legacy premium figures in embedded tables reflect earlier Bankrate data and may be lower than current 2025 averages; see Bankrate’s Tennessee car insurance page for the latest methodology and estimates.

**J.D. Power 2024 U.S. Auto Insurance Study rating for the Southeast region (includes Tennessee). Based on a 1,000-point scale. USAA is not officially ranked due to eligibility restrictions.

* Legacy premium figures in embedded tables reflect earlier Bankrate data and may be lower than current 2025 averages; see Bankrate’s Tennessee car insurance page for the latest methodology and estimates.

**J.D. Power 2024 U.S. Auto Insurance Study rating for the Southeast region (includes Tennessee). Based on a 1,000-point scale. USAA is not officially ranked due to eligibility restrictions.

The Average Cost of Car Insurance in Tennessee

Tennessee drivers enjoy relatively affordable car insurance compared with the U.S. average, but prices are higher than a few years ago. Recent 2025 benchmarks place minimum coverage around $400–$520 per year and full coverage around $1,550–$1,750 per year, depending on profile and source (Bankrate; NerdWallet; ValuePenguin). Rates climbed sharply in 2023–2025 amid higher repair and medical costs, reflected in the BLS motor vehicle insurance CPI. The cost of car insurance varies by company and by person. Location plays a role, as those who live in areas with inclement weather or higher claim frequency may pay higher rates. Factors such as driving history, credit score, age, vehicle, and coverage choices also influence your price. Getting several car insurance quotes and comparing them is a good strategy to find the right fit for your needs.

Top 3 Cheapest Car Insurance Companies in Tennessee

*Figures below reflect earlier snapshots and methodologies and may be lower than current 2025 averages. For up-to-date benchmarks, see Bankrate, NerdWallet, and ValuePenguin.

Top 3 Most Expensive Car Insurance Companies in Tennessee

*Figures below reflect earlier snapshots and methodologies and may be lower than current 2025 averages. For up-to-date benchmarks, see Bankrate, NerdWallet, and ValuePenguin.

Top 3 Cheapest Cities for Car Insurance in Tennessee

*City-level averages vary by ZIP code and have risen since 2021. For current city comparisons and statewide context, see ValuePenguin and Bankrate.

Top 3 Most Expensive Cities for Car Insurance in Tennessee

*City-level averages vary by ZIP code and have risen since 2021. For current city comparisons and statewide context, see ValuePenguin and Bankrate.

Key Things to Know About Car Insurance in Tennessee

Tennessee has the third-highest estimated number of uninsured motorists in the country at about 23% (latest IRC estimate summarized by III), well above the 2022 U.S. average of 14.0% (Insurance Research Council). This means that, although not required by the state, adding uninsured motorist coverage could be a good idea—and by default, Tennessee policies include UM unless rejected in writing (Tenn. Code § 56-7-1201). Tennessee also uses an electronic insurance verification program that can suspend a vehicle’s registration for noncompliance (TN Dept. of Revenue). Additionally, drivers should always familiarize themselves with their state’s unique car insurance laws before getting on the road. The laws vary from state to state. 

Tennessee Car Insurance Requirements

Tennessee requires that all drivers purchase an insurance policy with at least the state’s minimum required coverage types and levels. By statute, the minimum liability limits are 25/50/15 (Tenn. Code § 55-12-102). To drive legally, your policy must have at least:

• $25,000 bodily injury liability per person
• $50,000 bodily injury liability per accident
• $15,000 property damage liability per accident

While Tennessee doesn’t require that drivers carry uninsured motorist coverage, it could be a good idea, given the high estimated percentage of uninsured drivers in the state. You may also need to purchase comprehensive and collision coverage if you have a loan or lease on your car. Tennessee verifies coverage electronically and can suspend a vehicle registration for noncompliance (Financial Responsibility Verification Program), and insurers must include UM unless you reject it in writing (Tenn. Code § 56-7-1201).

Car Insurance Coverage Options

If you’re looking to build a more robust policy, consider these optional coverages, and ask about telematics/usage-based programs that may unlock discounts in today’s high-rate environment (J.D. Power 2024; NAIC):

• Uninsured and underinsured motorist: As mentioned above, these coverage options may be a good consideration in Tennessee. These coverages pay for your damages if you are hit by an uninsured motorist or by a motorist who doesn’t have enough coverage to pay for your expenses, respectively.
• Gap insurance: Gap insurance is designed to pay for the difference between the actual cash value of your vehicle if it is totaled or stolen and the balance on your loan.
• Rideshare coverage: Rideshare drivers — those who drive for Uber, Lyft, or other such services — may need this endorsement to provide coverage while they are on the app and looking for a passenger but before a passenger gets in the vehicle (at which point, the rideshare company’s coverage kicks in).
• Roadside assistance: Most insurance companies offer this optional coverage, which can help pay for the cost of a tow, tire change, jump start, or other roadside services.

Frequently Asked Questions

Methodology

Reviews.com reviews products, services, and companies based on five criteria to help readers understand how companies compare based on similar metrics. For the best car insurance companies, our editorial team compared affordability, customer support, coverage options, customer satisfaction scores, and online resources from each company to determine top providers. 

As for average pricing, we referenced 2025 statewide Tennessee benchmarks from Bankrate, NerdWallet, and ValuePenguin. Each source models a slightly different driver profile and coverage set; figures are directional and not quotes.

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $50,000 property damage liability per accident
• $100,000 uninsured motorist bodily injury per person
• $300,000 uninsured motorist bodily injury per accident
• $500 collision deductible
• $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers typically use a mid-size sedan, commute five days a week, and drive about 12,000 miles annually. 

These are sample rates and should only be used for comparative purposes.

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