Louisiana was the second most expensive state for full coverage motorbike insurance in the United States, with an average annual rate of 966 U.S. dollars, coming behind Arazonia, which had an average full coverage rate of 1,035 U.S. dollars. Virginia had the highest average annual minimum coverage rate at 327 U.S. dollars, making it seven U.S. dollars more expensive than California.

The frequency of private passenger comprehensive auto insurance claims for physical damage in the United States rose to 4.06 per 100 car years in 2023, compared to 2.9 in 2020. This was the highest frequency recorded over the past 15 years.

Consumers in the United States increased their spending on auto insurance by roughly 75 percent between 2013 and 2023. In 2023, the average expenditure on vehicle insurance in the U.S. amounted to 1,775 U.S. dollars per consumer unit, up from 1,013 U.S. dollars 10 years earlier.

Dataset

This dataset was created by Bunty Shah

Contents

The United States Motor Insurance Market is Segmented by Coverage Type (Liability, Collision, Comprehensive, Personal Injury Protection (PIP) and More), Vehicle Type (Passenger Cars, Light Commercial Vehicles, Motorcycles, and More), Policy Type (Commercial, Personal), Distribution Channel (Agency, Direct, Bancassurance, and More), and Region. The Market Forecasts are Provided in Terms of Value (USD).

The Automobile Insurance industry provides individuals and businesses with various lines of insurance needed to operate an automobile legally and invests a portion of underwritten premiums in financial instruments. The industry has experienced rising premium prices as operators have contended with higher claims volumes because of renewed traffic activity and higher costs to repair or replace a vehicle. Despite premium growth during most of the period, dropping consumer confidence and investment income in 2020 due to government lockdowns and the low interest rate environment pressured insurance providers. Overall, revenue has been falling at a CAGR of 0.5% to $364.9 billion over the past five years, including an expected jump of 0.8% in 2024. While industry product segments typically do not fluctuate as a share of revenue on a year-to-year basis, individual lines of insurance can outpace the larger market. For example, plans for commercial entities outpaced personal auto policies as commercial automotive usage increased in the latter part of the period. Yearly fluctuations in each line of auto insurance's portion of industry premiums are expected to continue as “pay as you drive” pricing schemes, which provide quotes based on consumer-specific driving habits, grow in popularity. The industry is expected to continue experiencing a hardening price cycle over the next five years as profit is expected to remain high. During a hardening price cycle, insurers focus on shoring up their financial positions and increasing premium rates. High interest rates and an improving economic landscape are expected to benefit investment conditions for auto insurers. Overall, revenue is forecast to grow at a CAGR of 1.2% to $387.5 billion over the five years to 2029.

An expanding commercial auto insurance market has been instrumental to the growth of the commercial auto insurance industry's revenue over the past five years. Insurers directly underwrite commercial liability, collision and comprehensive insurance policies, covering medical and property damage expenses resulting from business clients' vehicle accidents. A steady increase in e-commerce and transportation network company demand and a growing economy and vehicle fleet bolstered industry revenue. In 2020, because of the pandemic, expanded e-commerce and shipping activity increased demand for commercial auto insurance and thereby maintained premium rates, limiting the volatility the industry experienced that year. Overall, over the past five years, revenue has grown at a CAGR of 3.9% to $71.6 billion, including an expected 0.8% increase in 2024. Over the next five years, the economic expansion following the pandemic is expected to continue, in addition to a rise in premium rates and continued high levels of e-commerce, shipping and transportation network company activity are all expected to continue bolstering revenue. Also, insurers are expected to be better able to price the new risks associated with commercial auto insurance, helping to boost profitability. Due to increased levels of natural disasters and weather-related events, demand for collision and comprehensive insurance is expected to increase. Insurers who are most successful in pricing these policies and accessing the reinsurance market to safeguard their balance sheets from extraordinary risk will likely be the most successful going forward. Additionally, insurers who make the best and most extensive use of novel data collection, pricing and predictive modeling techniques enabled by the pervasive spread of smartphones and machine learning will retain a competitive advantage. Overall, revenue is forecast to grow at a CAGR of 1.9% to $78.6 billion over the five years to 2029.

Louisiana had the most expensive annual car insurance premiums at ***** U.S. dollars for full coverage. Alaska ranked in first place, having the highest annual cost for minimum car insurance coverage at *** U.S. dollars.Why it varies state by state The huge variance in premiums between states is due to the difference in state laws, the percentage of uninsured drivers in the state, the frequency of natural disasters, and claim rates. For instance, Michigan has a no-fault car insurance system, which means that claims are more common. This drives up the cost of insurance for all drivers because insurers need to pay out more money in claims. Male drivers also pay more There is also a difference between premiums among different age groups. In 2025, 25-year-old male drivers paid more per month than 25-year-old female drivers did. This is due to the higher incidence of accidents among young male drivers. This means that young drivers in states that already have higher premiums must pay a lot for car insurance.

Graph and download economic data for Life Insurance Companies; Total Financial Assets, Level (BOGZ1FL544090005A) from 1945 to 2024 about life, insurance, assets, and USA.

Total Vehicle Sales in the United States decreased to 15.30 Million in June from 15.70 Million in May of 2025. This dataset provides the latest reported value for - United States Total Vehicle Sales - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Number of Businesses statistics on the Property, Casualty and Direct Insurance industry in the US

Graph and download economic data for Property-Casualty Insurance Companies; Total Miscellaneous Assets, Level (BOGZ1FL513090005Q) from Q4 1945 to Q1 2025 about property-casualty, miscellaneous, insurance, assets, and USA.

Forecast: Total Gross Insurance Premiums in the US 2024 - 2028 Discover more data with ReportLinker!

Graph and download economic data for Life Insurance Companies, Separate Accounts; Total Assets (Balance Sheet with Adjusted Market Values), Level (BOGZ1FL544090083Q) from Q4 1945 to Q1 2025 about separations, life, market value, balance sheet, adjusted, insurance, assets, and USA.

Losses caused by lightning in the United States were the cause behind a total of ****** insurance claims paid by homeowner insurance companies in 2023. In 2008, lightning caused around ******* homeowner insurance claims in the same country.

Graph and download economic data for Property-Casualty Insurance Companies; Total Miscellaneous Liabilities, Level (BOGZ1FL513190005A) from 1945 to 2024 about property-casualty, miscellaneous, insurance, liabilities, and USA.

Graph and download economic data for Expenditures: Vehicle Insurance by Income Before Taxes: Total Complete Income Reporters (CXU500110LB02A2M) from 1984 to 2003 about insurance, tax, vehicles, expenditures, income, and USA.

Forecast: Total Insurance Expenditure in the US 2024 - 2028 Discover more data with ReportLinker!

Graph and download economic data for Insurance Companies; Total Liabilities, Transactions (BOGZ1FU524190005A) from 1946 to 2024 about transactions, insurance, liabilities, and USA.

Graph and download economic data for Insurance Companies; Total Liabilities and Equity, Transactions (BOGZ1FU524194005Q) from Q4 1946 to Q1 2025 about companies, equity, transactions, insurance, liabilities, and USA.