Car Insurance in Minnesota (MN)
The average car insurance premium in Minnesota is $1,550 per year ($129/month), making it the #33 most expensive state for car insurance. This is $350 (18%) below the national average of $1,900. No-fault state. PIP required. Minneapolis-St. Paul metro is pricier. Severe winter weather increases claims. Within Minnesota, rates range from $1,350/yr in Duluth to $1,900/yr in Minneapolis.
Car Insurance Rates by City in Minnesota
The table below shows average car insurance premiums for 5 major cities in Minnesota, sorted by cost from highest to lowest. Urban areas typically have higher rates than the state average due to increased traffic congestion, higher theft rates, and more frequent accidents.
| City | Avg. Annual | Avg. Monthly | vs. State Avg | vs. National Avg |
|---|---|---|---|---|
| Minneapolis Highest | $1,900 | $158 | +$350 | Same |
| St. Paul | $1,850 | $154 | +$300 | -$50 |
| Bloomington | $1,650 | $138 | +$100 | -$250 |
| Rochester | $1,400 | $117 | -$150 | -$500 |
| Duluth Lowest | $1,350 | $113 | -$200 | -$550 |
How Minnesota Compares to Other States
Below is a comparison of Minnesota with five states that have similar average car insurance premiums. This helps illustrate where Minnesota stands relative to comparable states.
| State | Avg. Annual | Monthly | Min Coverage | Full Coverage |
|---|---|---|---|---|
| Minnesota (MN) | $1,550 | $129 | $775 | $2,015 |
| North Carolina (NC) | $1,550 | $129 | $775 | $2,015 |
| Utah (UT) | $1,550 | $129 | $775 | $2,015 |
| Montana (MT) | $1,500 | $125 | $750 | $1,950 |
| Nebraska (NE) | $1,500 | $125 | $750 | $1,950 |
| Virginia (VA) | $1,500 | $125 | $750 | $1,950 |
Frequently Asked Questions About Car Insurance in Minnesota
How much is car insurance in Minnesota?
The average car insurance premium in Minnesota is $1,550 per year, or about $129 per month. This is $350 below the national average of $1,900/year. Minimum coverage averages $775/year, while full coverage averages $2,015/year. Your actual rate will depend on your driving record, age, vehicle, and coverage level.
Is Minnesota a no-fault or at-fault insurance state?
Minnesota is a no-fault insurance state. This means that after an accident, each driver's own insurance pays for their medical expenses regardless of who was at fault, through mandatory Personal Injury Protection (PIP) coverage. No-fault states generally have higher premiums because PIP adds to the cost of coverage. Minnesota's average of $1,550/year reflects this added cost.
What is the cheapest car insurance in Minnesota?
The cheapest option in Minnesota is minimum liability coverage, which averages $775 per year ($65/month). However, minimum coverage only pays for damage you cause to others and does not cover your own vehicle. To get the cheapest rates, maintain a clean driving record, increase your deductible, ask about discounts (bundling, good student, safe driver), and compare quotes from at least 3-5 insurers. Among major cities, Duluth has the lowest average at $1,350/year.
Which city in Minnesota has the highest car insurance rates?
Minneapolis has the highest average car insurance premium in Minnesota at $1,900 per year ($158/month). This is $350 more than the state average. Urban areas like Minneapolis typically have higher rates due to increased traffic congestion, higher crime rates, and more frequent accidents.
How can I lower my car insurance rate in Minnesota?
To lower your car insurance in Minnesota: (1) Compare quotes from at least 3-5 insurance companies, as rates vary significantly between insurers. (2) Increase your deductible from $500 to $1,000 or higher to lower your premium. (3) Ask about discounts -- bundling home and auto, good student, safe driver, low mileage, and military discounts can save 5-25% each. (4) Maintain a clean driving record, as accidents and tickets can increase rates 20-50%. (5) Improve your credit score, as most states allow credit-based insurance scoring. (6) Consider usage-based insurance programs that track your driving habits for additional savings.
Find Your Car Insurance Rate
Use our car insurance rate lookup tool to find average rates for your specific city in Minnesota, or browse all 50 states to compare car insurance costs across the country. Remember that individual rates vary based on driving record, age, vehicle, and coverage level -- these are state-level averages for general comparison.