Hollay Ghadery Last Updated On: July 17, 2023

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How to Find the Cheapest Car Insurance in Arizona?

Arizona is a great place to be from Peoria to Prescott, Tempe to Tucson, and everywhere in between. But no matter where you live, you need to have car insurance. Not only is it required by law in Arizona, but an automobile policy helps to protect your vehicle and your wallet.

While some aspects of a car insurance policy stay the same no matter where your vehicle is registered, each state does have its own conditions.

If you call the Copper State home, you will want to know the unique rules and regulations surrounding your automobile insurance. Keep reading for everything that an Arizonian needs to know about their car insurance, from cost to coverage, and more.

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Minimum Car Insurance in Arizona

It is illegal to drive without insurance. Period. It doesn’t matter what state you are in; you need insurance. The amount of insurance coverage that you need, however, does depend on the state where your vehicle is registered. In Arizona, the law requires you to purchase coverage before registering your vehicle. You must have liability coverage that extends to both:

Bodily Injury: Covers others who experience bodily harm as a result of an at-fault accident (note that this does not include yourself).
Property Damage: Covers damages to other people’s property as a result of an at-fault accident.

Not only do you need to have certain coverage types in place, but the state also requires your coverage to meet minimum thresholds:

$30,000 per person per bodily injury
$60,000 as maximum total per incident
$25,000 for property damage

Keep in mind that these are just the bare minimums, and it’s always a good idea to get as much coverage as you can afford to, just in case. Arizona is a driving state after all, meaning there are plenty of cars on the road and having to pay out of pocket for vehicle damage it’s no one’s idea of a good time.

Additional Arizona Car Insurance Requirements

While the liability coverage that we just described is all that the state of Arizona legally requires you to carry, we highly recommend purchasing more coverage. Why? Liability coverage only extends to damages caused to other parties, not to yourself or your vehicle. If you only have liability coverage, you could be left vulnerable in accidents, theft, or other incidents. These additional coverages are in place to protect you in a variety of different situations. You may wish to purchase:

Collision Coverage: Covers the cost of repairs after a collision.
Comprehensive Coverage: Covers non-collision related damages to your car such as:
- Fire
- Theft
- Vandalism
- Glass breakage
- Contact with animals
Gap Insurance: For those whose vehicle is loaned or leased, this coverage pays the difference between the cash value of a new vehicle and the loaned or leased amount if a vehicle is totaled in an accident or stolen.
Uninsured/Underinsured Motorist: This coverage kicks in when another party is at fault for an accident, but they do not have sufficient coverage to cover all your damages. It can include:
- Bodily injury
- Property damage (but this is not necessary if you already have collision coverage)
Medical Benefits: Can cover medical or funeral expenses incurred due to an accident, regardless of who is at fault.

Insurance companies have a lot more to offer than just the legal minimum when it comes to your vehicle. Your Arizona car insurance policy can protect you in more ways than one. The more coverage you have in place, the more protected you’ll be if something happens.

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What Is Full Coverage Insurance in Arizona?

The term “full coverage” is often thrown around in discussions about car insurance. It’s one of those insurance jargon terms that people like to use without explanation. But we will help clear up any confusion: all that this term refers to is a specific kind of automobile insurance policy. A “full coverage car insurance policy” includes:

Liability coverage
Comprehensive coverage
Collision coverage

The amount of each type of coverage you carry does not matter (so long as the legal minimum is met). What matters is that you have (at least some amount of) all three. Typically, if your vehicle is loaned or leased, you are required to carry a full coverage car insurance policy.

What New Drivers in Arizona Should Know

Another aspect of car insurance that varies from state to state is the laws surrounding young drivers.

In Arizona, there are three stages to becoming a fully licensed driver:

At the age of 15, an individual can apply for a learner’s permit.
After one year with a learner’s permit, the driver can apply for a level two permit.
After six months with a level two permit, they can apply for a level three permit (which is a full license).

Word to the wise: young drivers will want to follow the rules of the road in order to keep the cost of their insurance down, because car insurance for new or young drivers can be 3-4 times more expensive than insurance for older drivers. Otherwise, you might have trouble affording ASU tuition if you rack up the tickets!

Are you closer to retirement than you are to first-time driver age? Lucky you. As you get ready for the golden handshake, here are some other financial steps you can take to blissfully drive off into the sunset.

How much is Car Insurance in Arizona?

Now that we’ve got a good grasp of the logistics of car insurance and regulations in Arizona, we’re ready to talk money. Here are the highlights:

In Arizona, the average price of a full coverage policy is $1,743 annually.
For an Arizona minimum coverage policy, the average price drops to $579 annually.
The price of car insurance in Arizona is consistent with the national average.

The good news? Getting car insurance isn’t any more expensive than outside of the Grand Canyon State. But since everyone loves to save money, we’ve got tips to save on car insurance next.

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Factors That Affect Car Insurance Rates in Arizona

While the numbers above are a good baseline for what you can expect to pay in Arizona, they might not reflect what your insurance policy will ultimately cost. Every policy is different, as is every driver. The cost of your car insurance will vary depending on a number of factors, including:

Age
Driving history
Occupation
Type of vehicle you drive
Mileage
Number of drivers on policy

Luckily, you do have control over some of these in order to reduce your car insurance costs. Keep reading for that information.

Locations in Arizona with Higher Insurance Rates

Where you live plays a big role in determining the cost of your auto insurance policy. This is because premiums depend on the risk that your insurer takes on by insuring you. Different locations have different road conditions, population densities, crime statistics, and more, which affects how risky you are to insure. The three Arizona cities that have the highest insurance rates in the state are:

Phoenix
Scottsdale
Tempe

It’s no coincidence that these are some of the most populous cities in the state. If you’re considering moving to any of these cities, we recommend you take the higher cost of auto insurance into account. Otherwise, be extra cautious with your vehicle in these busy cities in order to help keep your claims history squeaky clean.

How to get Discounts on Car Insurance in AZ

The moment you’ve been waiting for: here’s how to find savings on your auto insurance. Luckily, there are a variety of discounts offered by insurance companies to help Arizonians save money on car insurance.

You could be eligible for the following discounts:

Bundling (aka loyalty discount)
Veterans
Alumni
Safe driver
Clean driving record
Good student
Distant student
Drivers training program
Electing to receive documents online instead of via U.S. post

If you think that you may qualify for a discount on your car insurance, be sure to ask for it. There’s no harm in asking, and if it saves you a few extra bucks a month, that’s more towards your coffee budget. Win-win!

Aside from discounts, you can also save money on your auto insurance by shopping around before committing. Every insurance provider calculates quotes differently, so be sure to compare multiple quotes to ensure you’re getting the best rate possible.

Or, give yourself a break and let ConsumerCoverage do the work. You get access to great quotes fast, because who enjoys thinking about insurance more than they have to?

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Find Affordable Car Insurance in Arizona

Every individual’s situation is unique. There’s no one-size-fits-all policy, so the best car insurance policy for you might not be the best for someone else.

Maybe you’ve got some teenagers in the family and are looking for an affordable insurance policy that puts your mind (somewhat) at ease while your kids are on the road.

Or perhaps you just bought yourself a new classic car, and are in need of a specialty car insurance policy with a high maximum just in case (god forbid) something were to damage your baby.

No matter the situation you find yourself in, ConsumerCoverage has your back. Contact us today for access to free quotes on Arizona car insurance, so you can hit the road without looking back.