Best Car Insurance in Utah: Top 6 in 2023

When it comes to driving, everyone has their own unique style. This means that when it comes time to compare car insurance providers, your priorities will likely differ from those of other clients. This might make it challenging to discover the best Utah car insurance provider, as it’s difficult to determine whether or not a given insurer will meet your needs without doing some preliminary research. In this article, we will discuss the best car insurance in Utah, the cheapest insurance, and how much car insurance in Utah costs.

What Is Car Insurance in Utah?

Car insurance in Utah is mandatory for all drivers and follows a no-fault system. Utah drivers must carry liability insurance with minimum coverage limits. The state’s minimum requirements include $25,000 for bodily injury or death per person, $65,000 for total bodily injury or death per accident, and $15,000 for property damage per accident. This coverage is essential to pay for injuries and property damage caused to others in an accident where you are at fault. 

Furthermore, Utah’s no-fault system means that your own insurance provider will cover your injuries and damages, regardless of who is at fault in an accident. Drivers can choose to purchase additional coverage beyond the state’s minimum requirements for better protection. Failure to maintain proper insurance can result in fines, license suspensions, and other penalties, so it’s crucial for Utah drivers to comply with the state’s insurance regulations.

What Type of Insurance is Mandatory in Utah?

In Utah, the mandatory type of insurance for drivers is liability insurance. Liability insurance covers the costs of injuries and property damage you may cause to others in an accident where you are at fault. Utah’s minimum liability insurance requirements include:

• $25,000 for bodily injury or death per person in an accident.
• $65,000 for total bodily injury or death per accident.
• $15,000 for property damage per accident.

These minimum coverage limits are required by law to ensure that drivers can financially cover the damages they might cause to others on the road. It’s essential for all Utah drivers to have liability insurance to comply with state regulations.

How to Find the Best Car Insurance in Utah

The ideal car insurance in Utah for you will vary depending on your individual requirements and budget. Think about these methods to help you zero in on the most suitable insurance provider and policy for your needs. 

#1. Consider Minimum Insurance Requirements in Utah

Utah law mandates that drivers carry liability insurance in an amount at least equal to the state’s minimum. Because of its status as a “no-fault” insurance state, Utah mandates that its residents have personal injury protection (PIP) insurance that will pay for certain medical expenses in the event of an accident. 

To better protect yourself financially in the event of an accident, several insurance experts advise buying additional coverage above and beyond what is legally necessary. 

#2. Think About What the Lender Needs

Leasing and financing institutions typically stipulate that policyholders have comprehensive coverage for their vehicles. Comprehensive and collision coverage, in addition to the mandatory minimums of liability and PIP, are included. Gap insurance, which covers the difference if a car is totaled and the loan balance is higher than its current value, may be required by the lending institution.

#3. Think About What You Need Specifically

Last but not least, your specific requirements and rating elements will determine the best auto insurance policy for you. A high-risk driver’s insurance requirements will differ significantly from those of a safe driver. You may want to look into a company that provides a student discount if you need to add a teen driver to your policy.

How Much Is Car Insurance in Utah?

In Utah, a minimal car insurance policy costs an average of $539 per year and a comprehensive policy costs an average of $1,510 per year. When compared to the national averages for full coverage ($2,014) and minimal coverage ($622), this average pricing is significantly lower. It’s possible that Utah’s average rates are lower than those of other states because of the state’s relatively low population density. This could lead to fewer drivers on the road and fewer accidents. 

When compared to other states, Utah drivers also enjoy lower annual rates. While drivers in Arizona pay an average of $587 for minimal coverage and $1,810 for full coverage, those in Nevada spend an average of $973 for minimum coverage and $2,779 for full coverage. 

Car Insurance Discounts in Utah

You may obtain the best possible car insurance rates for your needs by taking advantage of the many discounts available from different providers. Some of the most common auto insurance discounts are as follows:

#1. Rate Reductions for Insurance Based on Use

Telematics insurance systems are available from many insurance companies. These programs keep tabs on your driving patterns and reward you for being a safe driver. When you sign up for this type of program, some service providers even offer you a discount. If your driving record indicates that you are a safe driver, your insurance company may offer you a rate reduction when you renew your coverage.

#2. Car Bundle Savings

Higher premiums for teen drivers and other high-risk household drivers can be mitigated by purchasing a policy that covers multiple cars or the entire family.

#3. Savings from Bundling

Bundling your auto insurance with your house, renter’s, or life policy is a common practice among insurance providers and can result in significant savings.

Best Car Insurance in Utah

Here is a brief overview of the best car insurance in Utah:

#1. Bear River Mutual

Bear River Mutual has been there for Utah residents since 1909. Once a little operation in northern Utah dedicated to assisting local farmers in securing cheap car insurance, the company is now the oldest and largest personal lines property and casualty insurer in Utah. Since its founding in 1995, Bear River Mutual has called Murray, Utah, its home base.

Bear River Mutual has thrived for over a century thanks to its commitment to the Utah market and its independent agents, its rigorous underwriting criteria, and its emphasis on high-level service and shared values with its policyholders. These distinguishing features have helped Bear River Mutual build a devoted customer base that spans several generations.

#2. The General

Nashville, Tennessee, is home to The General, an authorized auto insurance firm. It is a division of PGC Holdings Corp. (PGC) and is well-known for providing affordable auto insurance to high-risk customers. Additional essentials of The General Insurance are as follows:

• Editors at WalletHub gave it 2.3 out of 5 stars.
• The typical user rating is 4.1 stars out of 5.
• A+ Rating: BBB
• Provides a variety of insurance options, including those for cars, homes, and lives.

Drivers with a record of traffic violations or accidents, drivers who have not maintained continuous insurance coverage, and drivers with less-than-perfect credit histories are all good candidates for the company’s auto insurance coverage.

#3. Geico

Geico offers a wide variety of savings opportunities for motorists looking for affordable coverage. It offers discounts for things like having several vehicles, being affiliated with certain organizations (like a company or a school), and more, in addition to their already affordable average premiums. You may do everything from getting a quotation to making policy changes to requesting roadside assistance or filing a claim using the carrier’s comprehensive mobile app or website gateway. Unfortunately for people who like face-to-face interactions, Geico is largely a phone and internet insurance provider.

Utah drivers who are on the lookout for cheap car insurance may also want to request a quote from this provider. Those who prefer virtual policy management with powerful digital tools may also find this interesting. 

#4. Progressive

If you’re a driver seeking cheap insurance rates in Utah, you may want to consider Progressive. To help customers obtain affordable coverage, Progressive provides a number of discount options, including the Snapshot telematics program and the Name Your Price tool. However, in the 2022 J.D. Power U.S. Auto Insurance Study, Progressive scored near the bottom. In addition, their customer complaint index for private passenger coverage from the National Association of Insurance Commissioners (NAIC) is only slightly over the median. Customer reviews can give prospective Progressive policyholders an idea of what it’s like to be a customer of the company.

In addition, the Name Your Price calculator guides you through the process of selecting a policy bundle, making it easier to locate an affordable insurance plan that meets your needs. Because of this, some people may consider Progressive a good option for their first car insurance policy in Utah. 

#5. Auto-Owners

Auto-Owners Insurance provides services in 26 states, including Utah. Due in large part to its extensive array of endorsement options, this regional insurer made our list of the top Utah auto insurance providers. Auto owners provide coverage endorsements that you won’t find with other insurers, in addition to the more usual coverage add-ons like gap insurance. Diminished value and increased fees for rental and housing, if you become stuck due to a covered claim, are examples of these. You may want to ask family and friends who have insurance with auto owners about their experience with the firm because J.D. Power did not include the Southwest region in the 2022 Auto Insurance Study.

Auto-Owners could be an excellent option for drivers who have specific coverage requirements and have no plans to move outside of the company’s current service area of 26 states. 

#6. State Farm

State Farm is the largest car insurance company in the United States, and for good reason. They offer competitive rates, comprehensive coverage, a variety of discounts, and safe-driving incentives. Popular usage-based programs like Drive Safe and Save and Steer Clear for minors are just two examples of initiatives in Utah aimed at lowering the cost of driving. We did some research on car insurance rates in Utah, and our findings suggest that State Farm is not the least cheap option.

State Farm may be a good option if you value having face-to-face access to a policy review representative. Drivers interested in telematics programs have a choice between two packages tailored to their age range, so this may also be appealing to them.

Why Is Utah Insurance So Expensive?

Utah is a no-fault state with higher-than-average traffic fatalities, which drives up the cost of car insurance there. The typical yearly cost for full-coverage auto insurance in Utah is $4,594, while the average annual premium for liability-only insurance is $1,677. The annual cost of full-coverage car insurance in Utah is approximately $2,000, while the cost of basic coverage is approximately $700.    

Car insurance rates are rising at an alarming rate, both in Utah and across the country. Insurers raise rates to cover the rising expense of providing coverage. All policyholders are responsible for the rising cost of insurance. That’s why it’s common for premium increases at policy renewal time even if other criteria, like your driving record or address, have changed.

Even if your personal information stays the same, your Utah car insurance costs are likely to increase for one of several different reasons every year.

Top Reasons Car Insurance Is Expensive in Utah

Here are the top reasons why car insurance in Utah is expensive:

• More and more Utah residents are getting behind the wheel. Consequently, there has been an increase in mishaps, claims, and settlements. In Utah, for instance, there were roughly 256 fatal accidents in 2020, up from 222 in 2014.
• The cost of fixing a car is rising. The increased complexity and sophistication of modern automobiles make them more expensive to service. As an illustration, 2018 research by the National Association of Insurance Commissioners indicated that the typical cost of repairing a vehicle was about 8% higher than in 2014. 
• Most Utah drivers are uninsured. The rising cost of car insurance has led more and more people to take the risk of driving uninsured. Seven percent of Utah drivers were uninsured in 2019. Higher costs are charged to customers as a result of uninsured drivers. 
• The cost of medical care is rising in Utah. Medical expense claims are the most costly for auto insurers to pay out, and they’re just getting more expensive. In Utah, healthcare costs rise by 7.2% annually on average. 
• The weather in Utah has become increasingly severe. Droughts and wildfires are on the rise as extreme weather patterns strike Utah. As a result of extreme weather, insurance companies have to pay out more claims, many of which are more costly and difficult to estimate. That’s why rate hikes are necessary to maintain competitiveness.
• The area and the routines of the drivers. Larger cities charge more for insurance than smaller ones because of the higher risk of accidents, property crime, and overall claims. Magna, Kearns, and West Valley City, Utah, have the highest insurance premiums in the state. Long commutes or frequent driving in high-risk locations might increase your premiums, so plan accordingly.  

Who is Cheaper, Geico, or Progressive?

Cheap car insurance is available from both Geico and Progressive, two of the biggest names in the industry. While Geico normally has lower rates overall, high-risk drivers may find better deals with Progressive. Those who have received a DUI caused an accident, or received a speeding citation within the past several years are considered high-risk drivers.

Of course, prices are different for each driver because of a variety of criteria, such as:

• Age
• Driving history
• Marital status
• State
• City
• Vehicle
• Policy limits
• Credit score (in some states)

Getting auto insurance quotes from both companies is the only way to determine which one will be more cost-effective for you. Whether or not you qualify for discounts will determine which insurance company offers the best rate.

Is Car Insurance Cheaper in Texas or Utah?

The cost of car insurance can vary significantly based on several factors, including your location, driving history, type of vehicle, and coverage requirements. Both Texas and Utah had diverse insurance markets, so the rates could differ based on individual circumstances.

In general, densely populated urban areas tend to have higher insurance premiums due to increased traffic congestion and higher rates of accidents. Therefore, cities in Texas, such as Houston and Dallas, might have higher average premiums compared to less populated areas in Utah.

Additionally, state-specific regulations and average income levels also influence insurance costs. Texas is a larger state with a mix of urban and rural areas, while Utah has a lower population density overall.

To get the most accurate and current information on insurance rates, it’s essential to obtain quotes from insurance providers based on your specific location, driving record, and coverage needs. Shopping around and comparing quotes from multiple insurers in both Texas and Utah will help you determine which state offers more affordable car insurance for your situation.

Cheapest Car Insurance in Utah

The good news for Utah drivers looking for cheaper premiums is that the state has an average annual premium of $1,386, which is 9% lower than the national average and should be a decent starting point for comparison shopping.

The even better news is that your prices could be significantly lower than that, depending on the company and coverage that you choose. According to the data provided by The Zebra, Nationwide is the cheapest provider of car insurance in Utah, with monthly premiums averaging $90 and annual premiums of $1080. Second place went to GEICO at $94 a month, and third place went to Progressive at $104 per month.

Of course, the amount you pay in premiums depends on more than just the insurance provider you select. When it comes to comprehensive insurance (including liability and collision), some businesses fare better than others. The aforementioned three providers continue to offer the cheapest comprehensive car insurance in Utah, but other providers, such as State Farm and USAA, also have reasonable rates.

The bad news is that if your credit is less than perfect, these rates will almost surely increase. Insurance firms in Utah use credit scores as an indicator of risk, so those with lower scores will pay more. A credit score of 579 or lower will result in an average monthly premium of $237. The monthly payment reduces to $188 if your credit is fair, and it drops to roughly $155 if your credit is good.

Is Buying Car Insurance in Utah Worth It?: Bottom Line

Yes, car insurance is worth buying in Utah, as it is mandatory in the state. Utah law requires all drivers to carry liability insurance with minimum coverage limits to pay for injuries and property damage in case of an accident. Having car insurance provides financial protection and legal compliance. Additionally, insurance can cover your own vehicle repair or replacement costs in case of accidents, theft, or natural disasters, saving you from significant financial burdens. Also, insurance can offer additional benefits such as medical payments coverage, comprehensive coverage, and uninsured or underinsured motorist coverage, providing you with more comprehensive protection. Therefore, investing in car insurance in Utah is not only worth it but also essential for your financial security and peace of mind.

Frequently Asked Questions

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Reference

• marketwatch.com
• usnews.com
• nerdwallet.com
• forbes.com
• insurance.com
• wallethub.com