Tennessee Auto Insurance

Auto insurance in Tennessee

Having auto insurance is mandatory by law, helping vehicle owners stay protected, should an accident occur. Whether the respective vehicle is used for personal or professional purposes, purchasing a valid insurance policy is not optional. Without insurance, vehicle owners are liable for fines of up to $1,000 or might have their driving documents suspended, for up to six months. The suspension can involve either the driver's license or vehicle registration. If you are looking to discover more information on the topic of auto insurance in Tennessee, just keep on reading this article.

What type of auto insurance do you legally need in Tennessee?

According to the Mandatory Liability Insurance Act, all Tennessee residents who operate a moving vehicle must be covered by a valid insurance policy. If the mandatory insurance is not acquired, the respective driving documents will be suspended for several months or more. An online insurance verification system allows the local authorities to instantly verify whether a vehicle is insured or not.

For a resident to operate a vehicle in the state of Tennessee, the respective auto insurance must meet several requirements. These include: bodily injury liability ($50,000 per accident and $25,000 per person), property damage liability ($15,000 per accident), uninsured motorist bodily injury ($50,000 per accident and $25,000 per person), and uninsured motorist property damage ($15,000 per accident). The full coverage insurance is more beneficial than the minimum liability coverage, as you can also add options such as comprehensive and collision insurance. Insurance specialists encourage vehicle owners to choose a higher liability coverage limit than the one imposed by law in Tennessee. In this way, they will benefit from the best possible protection, should the worst-case scenario occur.

The above-mentioned sums are actually the ones insurance providers are able to pay, should you be involved in an accident for which you are at fault. The law requires that all vehicle owners carry a copy of their insurance policy while driving. The same law states that it is illegal to drive without insurance in Tennessee, consequences including legal fines and the suspension of your driving documents (driver's license, vehicle registration). If the infraction is repeated, jail time might be the next consequence.

Average cost of auto insurance in Tennessee

The state minimum auto insurance policy in Tennessee has a value of $373. However, a full coverage insurance policy has an average value of $1,262. Collision and comprehensive coverage might not be included in the general policy, which means you will have to calculate your budget accordingly. Among the factors influencing the overall insurance rates, there are: marital status, gender, age, driving record, location, number of miles driven, the presence of prior insurance, vehicle, etc. The best thing you can do is choose an insurance policy that offers a wide coverage, instead of the most affordable one.

All vehicle owners know that the average cost of car insurance varies from one state to the other. Such variations are normal for both the minimum and full coverage, including when it comes to options such as comprehensive and collision insurance. The factors influencing these values include: road conditions, how many uninsured drivers there are in the city, number of drivers in accordance with the general population, at-fault accidents, accidents caused by weather elements or conditions, etc.

Tennessee has a significantly lower rate for the average car insurance than the national median, which is around $1,770. The states with the most expensive auto insurance policies include: California, Colorado, Florida, Louisiana, Michigan, Nevada, New York, and Pennsylvania. As for the most affordable states, these are: Maine, Nebraska, New Mexico, North Dakota, Oregon, Tennessee, Washington, and Wisconsin. New York has some of the most expensive insurance rates, with $2,996 for the full coverage and $1,339 for the minimum one. Maine, on the other hand, is the most affordable, with $876 for the full coverage and $227 for the minimum version.

Within the state of Tennessee, you might also notice certain differences between the various cities. Chattanooga has some of the most affordable rates to offer, while Memphis stands at the top of the list in terms of costs. The average annual premiums are as follows: Chattanooga - $1,478; Knoxville - $1,486; Clarksville - $1,498; Nashville - $1,546; Memphis - $1,954.

The driver's age represents one of the primary factors influencing the value of auto insurance. Young drivers typically pay more for this type of insurance, as they are perceived as immature and irresponsible by insurance providers. A teenager driver will pay an annual premium of over $7,700, while a middle-aged driver will be prepared for an annual premium that is close to $2,000. Slight differences have been noticed between genders, with the insurance policies for men having more attractive rates. The same thing can be said for married couples, who benefit from better rates than those who are divorced, single, or widowed.

In calculating the value of a potential coverage policy, auto insurance companies will analyze the driver's credit history, among other factors. A driver with exceptional credit will save important sums on his/her insurance premium, as opposed to those with a poor credit history. Significantly higher rates are seen in those with prior driving offenses, such as speeding, DUI/DWI, at-fault accidents, and reckless driving. Last, but not least, the rates vary in accordance with the preferred type of coverage. Drivers might consider adding both comprehensive and collision insurance to the state minimum policy, in order to increase the level of protection they benefit from.

Did not find your city or county on the list? Please use our auto insurance companies search box at the top to locate all the best auto insurance quotes in Tennessee. Find car insurance in Tennessee by city, zip code or county name.

Finding the right auto insurance in Tennessee

If you need help finding the right insurance policy, perhaps you might consider our expert assistance. Thanks to our experience in the field of auto insurance, we are able to match vehicle owners with the best policies for their needs and budget. All you have to do is give us a call and we will be more than happy to offer all the necessary support. Keep in mind that this service is completely free-of-charge, and it can save you from a complicated research process.