Reviews.com compared the largest insurance companies by market share in Tennessee to help you find the best car insurance companies for your policy. The state’s drivers already enjoy below-average insurance rates, but the best car insurance in Tennessee goes beyond low prices and includes good service, helpful perks, and a variety of coverage options. Our research might make your insurance shopping journey easier.
The 4 Best Auto Insurance Companies in Tennessee
To find the best car insurance companies in Tennessee, we first reviewed 2021 premium data from Bankrate.com. Next, we analyzed each company’s coverages and discounts, as well as their digital tools and third-party scores. 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.
| AVERAGE ANNUAL MINIMUM COVERAGE PREMIUM | AVERAGE ANNUAL FULL COVERAGE PREMIUM | AM BEST AM Best rates insurance providers creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim. | J.D. POWER** J.D. Power scores are based on surveys for customer satisfaction and product quality. | ||
|---|---|---|---|---|---|
| Pin Geico | $220 | $992 | A++ | 843 | |
| Pin USAA | $310 | $1,116 | A++ | 890 | |
| Pin Erie | $343 | $1,629 | A+ | 874 | |
| Pin State Farm | $328 | $1,154 | A++ | 859 |
Information accurate as of April 2022
*2021 premium data provided by Bankrate.com
**J.D. Power 2021 Auto Insurance Satisfaction Study rating for the Southeast region. Based on a 1,000-point scale. USAA is not officially ranked due to eligibility restrictions.
Best for Low Average Prices
WHY WE CHOSE IT
Why we chose it
Pros
- Low annual premiums
- Long list of discounts
- Superior AM Best financial strength rating
Cons
- Few options for policy customization
- Lower-than-average J.D. Power score
- Higher-than-average overall NAIC complaint index
OTHER POLICIES OFFERED
- Home
- Renters
- Motorcycle/ATV
- Boat
STANDOUT DISCOUNTS AVAILABLE
- Emergency deployment
- Membership and employee
- New vehicle
Best for Military-Centric Options
WHY WE CHOSE IT
Why we chose it
Pros
- High J.D. Power customer satisfaction scores
- Superior financial strength
- Military-specific coverage options
Cons
- Limited eligibility
- Few physical offices available
- Fewer endorsements than some competitors
OTHER POLICIES OFFERED
- Antique and classic car
- Aviation
- Home
- Umbrella
STANDOUT DISCOUNTS AVAILABLE
- SafePilot
- Military installation
- Loyalty
- Clean driving record
Best for Customer Satisfaction
WHY WE CHOSE IT
Why we chose it
Pros
- High J.D. Power customer satisfaction score
- Numerous coverage options
- Several discounts
Cons
- Highest average premium on our list
- Financial strength is lower than some competitors
- Not available in all states
OTHER POLICIES OFFERED
- Home
- Mobile home
- Flood
- Life
STANDOUT DISCOUNTS AVAILABLE
- Youthful driver
- College student
- Safe driving
- Annual payment plan
Best for Local Agencies
WHY WE CHOSE IT
Why we chose it
Pros
- Local agencies available
- Superior AM Best financial strength rating
- Higher-than-average J.D. Power customer satisfaction score
Cons
- Accident forgiveness cannot be purchased, only earned
- No gap coverage
- Higher-than-average overall NAIC complaint index
OTHER POLICIES OFFERED
- Home
- Condo
- Farm and ranch
- Business
STANDOUT DISCOUNTS AVAILABLE
- Steer Clear
- Drive Safe & Save
- Vehicle safety features
- Accident free
* 2021 premium data provided by Bankrate.com.
**J.D. Power 2021 Auto Insurance Satisfaction Study rating for the Southeast region. 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. Minimum coverage costs an average of $371 per year, while full coverage averages $1,338 per year, according to 2021 data from Bankrate.com. The cost of car insurance can vary from one company to another and from one person to the next. Location plays a role, as those who live in areas with inclement weather or notoriously dangerous drivers may pay higher rates. Factors such as driving history, credit score, and age can also help determine your rates — the cleaner your driving record and higher your credit, the cheaper the car insurance you may get. 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
| Company | Average Annual Full Coverage Premium* |
| Grange | $966 |
| Geico | $992 |
| Travelers | $1,052 |
*Data from Bankrate.com
Top 3 Most Expensive Car Insurance Companies in Tennessee
| Company | Average Annual Full Coverage Premium* |
| Chubb | $1,808 |
| Allstate | $1,777 |
| Safe Auto | $1,672 |
*Data from Bankrate.com
Top 3 Cheapest Cities for Car Insurance in Tennessee
| City | Average Annual Full Coverage Premium* |
| Bristol | $1,121 |
| Walnut Hill | $1,121 |
| Piney Flats | $1,123 |
*Data from Bankrate.com
Top 3 Most Expensive Cities for Car Insurance in Tennessee
| City | Average Annual Full Coverage Premium* |
| Memphis | $1,689 |
| Cordova | $1,564 |
| Bartlett | $1,552 |
*Data from Bankrate.com
Key Things to Know About Car Insurance in Tennessee
Tennessee has the third-highest estimated number of uninsured motorists in the country at 23.7%, according to the Insurance Information Institute. This means that, although not required by the state, adding uninsured motorist coverage could be a good idea. 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. 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.
Car Insurance Coverage Options
If you’re looking to build a more robust policy, consider these optional coverages:
- 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 used Bankrate.com’s data of car insurance in Tennessee, based on the profiles of a 40-year male and female. For full coverage, the details used were the following:
- $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 own a 2019 Toyota Camry, commute five days a week, and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.
About the Authors
Cate Deventer is a writer and licensed insurance agent. She has a Bachelor’s degree in theatre and is currently pursuing a degree in English with a concentration in professional and technical writing from Indiana University East. Her work has been featured on Reviews.com and Bankrate.com, and she’s passionate about helping people take charge of their finances. In her free time, she likes to read thrillers and sci-fi novels, garden, and toss tennis balls for her dog.
