How to find the cheapest car insurance quotes in Memphis

Home to Elvis, the birthplace of the blues, and source of some serious barbecue greatness, Memphis is a southern gem. But life in Memphis isn’t without challenges—including the high, high price of car insurance. 

On average, Memphis drivers pay $100 per month, or about $1,200 per year, for state minimum liability coverage. For full coverage, Memphis residents can pay an average of $262 per month or $3,144 per year. That’s roughly 69% higher than both the Tennessee average and the national average for auto insurance. 

In other words: In Memphis, it pays to shop around for auto insurance. Working with a broker like Jerry can simplify the shopping process. The table below shows real rates that Memphis drivers found with Jerry in the past month.

Best car insurance companies in Memphis

To help drivers find the best insurance company for their needs, Jerry conducted a nationwide insurance shopping study focused on all areas of customer satisfaction, from ease of purchase to costs, claims handling, and service experience. 

We ran the numbers—and found seven Memphis insurance companies whose average rates came in under the citywide average for full coverage, with an overall customer satisfaction rating of 4 stars or higher. 

No single insurance company offers the best car insurance rates for every driver in Memphis. 

Insurance companies have changed their rating algorithms and raised premiums across the board in the past few years, leading to a serious shakeup in the Memphis insurance market. GEICO and State Farm, once the leading insurers in Tennessee, are increasingly falling behind smaller carriers in terms of pricing as well as customer service and claims handling.¹²

Best cheap car insurance quotes in Memphis

Finding cheap auto insurance quotes in Memphis means choosing between two basic coverage options: state minimum liability coverage and full coverage. 

At Jerry, our insurance agents typically recommend carrying full coverage along with liability limits above the state’s minimum insurance requirements.

Cheap minimum liability insurance quotes in Memphis

Tennessee law requires all drivers to carry at least the following minimum liability coverage:³

• $25,000 of bodily injury liability per person
• $50,000 of bodily injury liability per accident
• $25,000 of property damage liability per accident

Uninsured/underinsured motorist coverage is offered by insurers in Tennessee but isn’t required by law. If drivers choose to reject coverage, they must do so in writing.

Purchasing liability coverage is the easiest way to reduce monthly insurance payments, but it can leave you susceptible to significant expenses if you’re involved in an at-fault accident that causes injury or property damage.

Do you need more than minimum coverage in Memphis?

Generally, yes: most Memphis drivers need a full coverage car insurance policy with higher liability limits than those set by Tennessee law. 

The reasons: High accident rates and prevalent property crime make car ownership both dangerous and expensive in Memphis. Not carrying full coverage means you’ll be on your own if you need to repair or replace your car after an accident, theft, or act of God. 

The bottom line: Opt for full coverage, raise your liability limits to at least 50k/100k/50k, and consider adding medical payments (MedPay) coverage to your policy. 

Expert Insight

A general rule that I recommend is to carry enough coverage to protect your current and future assets – at least $100,000/$300,000 of liability coverage is recommended, but you may need more coverage depending on your financial situation.

Josh Damico

VP Insurance Operations, 18+ Years Experience in Insurance

Cheap full coverage car insurance quotes in Memphis

Full coverage car insurance generally refers to a policy that includes both comprehensive and collision coverage.

Collision coverage pays to repair or replace your vehicle after an accident with another vehicle or stationary object, while comprehensive coverage applies to damages caused by various other non-collision-related events, like theft, severe weather, or animal damage.

If you lease or finance a car, your lenders will likely require that you keep full coverage on your car for the duration of your loan.

Check out the rates other Memphis drivers have found for full coverage car insurance with Jerry’s help.

Average cost of car insurance in Memphis

Car insurance in Memphis costs $100 per month for minimum coverage and $262 per month for full coverage: roughly 69% more than the state average. 

What makes auto insurance so expensive in Memphis? It comes down to two main factors: bad drivers and high crime rates. 

Bad drivers

Most cities in the U.S. have seen an uptick in dangerous driving since the start of the COVID-19 pandemic in 2020—but in Memphis, bad driving is a more serious problem. 

A 2023 Consumer Affairs study using data from the U.S. Department of Transportation named Memphis as the #1 city for bad drivers, with a fatal accident rate 5.6 times the national average.⁴ And car accidents are on an upswing: from 2019 to 2020 alone, the fatal crash rate in Shelby County shot up by 61%, according to data from the Tennessee Department of Safety & Homeland Security.⁵

Living in Memphis, in other words, carries an unusually high risk of needing to file an auto insurance claim. Insurance companies take this risk into account when writing new policies. 

Crime

Memphis consistently ranks as one of the most dangerous cities in the U.S. But it’s the city’s property crime rate that drivers need to worry about, as it’s one of the primary factors driving the high cost of full coverage car insurance in Memphis. 

Between 2022 and 2023, the Memphis Shelby Crime Commission found that property crime in Shelby County shot up by 26%.⁶ That includes vandalism as well as motor vehicle thefts, which hit a shocking high of 11,267 in 2022, making the Memphis metropolitan area #4 on the National Insurance Crime Bureau’s list of auto theft Hot Spots.⁷

As of November 2023, the city had already broken its previous record with over 14,000 reported auto thefts recorded by the Memphis Police Department.⁸ 

Crime rates are particularly good indicators of drivers’ likelihood of filing comprehensive claims. If your policy includes full coverage, you’ll pay more if you live in Memphis—especially if your ZIP code is associated with a higher number of thefts or other property crimes. 

Car insurance quotes in Memphis by rating factors

Insurance companies in Memphis deciding your auto insurance premium:  

• Your driving record and claims history: Drivers with a track record of accidents or violations generally face higher premiums than those with a clean record.
• Your demographics: Your age, gender, and marital status can all influence the cost of your insurance rates.
• Your location: City dwellers often encounter higher premiums compared to rural residents due to factors like increased crime rates and higher population density.
• Your mileage: High annual mileage can result in higher insurance costs.
• The make/model of your car: Luxury, sport, and high-performance vehicles typically cost more to insure since replacement parts are more expensive.
• Your credit score: Good credit scores are generally associated with lower insurance rates, even for identical coverage.

Cheap car insurance quotes in Memphis after driving violations

Your Tennessee driving record will predictably have a significant influence on your car insurance rate. Racking up too many violations could send your insurance rate skyrocketing, so it pays to practice safe driving by following the rules of the road.

Some common violations that contribute to premium increases include:

• Speeding
• DUIs
• At fault accident
• Reckless driving
• Driving on a suspended license
• Driving without insurance

Cheapest car insurance in Memphis after speeding ticket

A Tennessee speeding ticket usually causes car insurance rates to rise, but the severity will have an impact as well. You’ll likely see a steeper rate increase for driving 25 mph over the speed limit than you would for driving five mph over the speed limit. And if your speeding lands you with a Tennessee reckless driving charge, you’ll likely see an even higher rate. 

Pro tip: Shopping around for car insurance can still help you keep your car insurance costs affordable. Check out rates Tennessee drivers have found with Jerry, even after a speeding ticket.

Cheapest car insurance in Memphis after DUI

Under Tennessee’s DUI laws, driving under the influence is a major offense and can send car insurance premiums through the roof. A DUI flags you as a high-risk driver, which doesn’t bode well for your insurance rates. Insurers see high-risk drivers as more costly, so many won’t insure them—and if they do, you’ll pay for it.

But by gathering quotes from multiple auto insurance companies, you increase the odds of finding an affordable car insurance policy.

Cheapest car insurance in Memphis after an at-fault accident

At-fault accidents can result in steep rate hikes from your car insurance company. Too many at-fault accidents on your record suggest you’re a risky driver, which, to insurers, means a more costly driver. That’s why you’ll see higher insurance rates than drivers with clean driving records.

If you recently had an accident and saw your car insurance rate increase, shopping around for new car insurance quotes might get you a better rate—like it did for these Memphis policyholders:

Cheapest car insurance in Memphis after other driving violations

As you’d probably expect, driving offenses can increase your car insurance rate—but the exact impact will likely depend on how many you have and their severity. Things like reckless driving, driving on a suspended license, and driving without insurance are all violations that can increase car insurance rates in Memphis.

Here’s a look at rates Memphis drivers have found after various types of violations with help from Jerry:

Cheap car insurance quotes in Memphis by age

Age isn’t everything, but it has a significant impact on what you pay for auto insurance coverage.

Young drivers have the highest average car insurance premiums. Luckily, this is only temporary for safe drivers, as you can generally expect your car insurance rates to decrease gradually over time for most of your adult life.

By age 75, you can usually expect car insurance costs to rise again.

Cheapest car insurance in Memphis for young drivers

Teen drivers pay the most for car insurance in Tennessee out of any age group.

Considering that teens are statistically more likely to be involved in accidents, this doesn’t come as too much of a surprise. To help compensate, some young drivers might qualify for good student discounts or defensive driving course discounts.

That increased risk also makes it worthwhile to consider adding full coverage to a young driver’s policy—especially if they’re driving a newer vehicle or higher value.

Cheapest car insurance in Memphis for senior drivers

As drivers reach their mid-70s, they can generally expect their car insurance rates to rise again. Drivers at this age are at an increased risk for accidents—and for severe injuries if an accident happens—which can make care insurance more expensive for seniors.

Fortunately, there are plenty of ways to save, including shopping around for new car insurance quotes. Check out the best rates senior drivers in Memphis have found with Jerry’s help.

Cheap car insurance quotes in Memphis based on insurance history

Like your driving record and claims history, your insurance history is a significant rating factor in the eyes of insurance companies. Specifically, insurers will consider how long you have been insured and whether you’ve experienced any lapses in coverage. 

Drivers who have had recent or past lapses in coverage may face higher auto insurance rates. The good news is, Jerry can help customers find savings on car insurance coverage regardless of their insured status.

Cheap car insurance quotes in Memphis for drivers with poor credit

Drivers with poor credit scores often face higher insurance costs compared to those with healthier credit ratings. Even though credit scores don’t directly affect how well you drive, insurance companies have observed a relationship between low credit and an increased frequency to file claims.

Generally, drivers with great credit scores (over 750) will pay approximately 20% less on car insurance compared to individuals with poorer scores (below 550).

Cheap car insurance quotes in Memphis for popular cars

The kind of car you drive can have a significant impact on auto insurance premiums. The more expensive, large, and rare your vehicle is, the more it will cost to repair—and to insure. 

Vehicles that are popular with Memphis drivers are:

• Ford F-150
• Chevrolet Silverado 1500
• Ram 1500
• Honda Civic
• Nissan Altima
• Nissan Rogue
• Toyota Camry
• Ford Escape

Learn more: How to get car insurance before buying a car

How to lower car insurance costs in Memphis

1. Shop around and compare quotes

Tennessee car insurance companies have raised rates by an average of 32.2% since mid-2022.⁹ As insurers continue to raise rates, comparison shopping is becoming more important than ever. 

Every insurance company uses a different ever-changing set of algorithms to set insurance prices—so the cheapest car insurance company for you could change over time. The best way to find affordable rates for your profile is to work with a licensed broker like Jerry.

2. Hunt for car insurance discounts

Every insurance company offers a set of discounts, but the exact discount offered varies by company. Some common discounts include: 

• Good driver discounts. If you stay accident- and violation-free for a specific number of years (typically three to five), you may qualify for a discounted rate from your insurance company.
• Telematics discounts. Many companies offer easy-to-win discounts to drivers who use telematics to track their driving habits. You might even get a discount just for signing up!
• Good student discounts. Are you a full-time student in either high school or college? Do you have a B average or better? You probably qualify for a discount from your insurance company.
• Bundling discounts. Bundle your home and auto insurance (or auto and renters) with the same company, and you could get a discount on both policies.

3. Increase your deductible for comprehensive and collision coverage

If you’ve got full coverage car insurance, increasing your deductible is an easy way to keep your monthly expenses low without sacrificing coverage.

Learn more: How to choose a car insurance deductible

Sources

1. https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/progressive-passes-geico-for-no-2-spot-in-us-private-auto-insurance-market-74576033 ↩︎
2. https://www.wglt.org/local-news/2023-05-22/how-the-pandemic-set-the-stage-for-rapid-fire-auto-insurance-rate-hikes-at-state-farm ↩︎
3. https://www.tn.gov/revenue/title-and-registration/drive-insured-tennessee/for-drivers/why-you-should-have-auto-insurance.html ↩︎
4. https://www.consumeraffairs.com/automotive/worst-drivers-in-america.html ↩︎
5. https://www.tn.gov/content/dam/tn/safety/documents/crash_stats/2023/CountyCrashRankings2018-2022.pdf ↩︎
6. https://memphiscrime.org/the-stats/ ↩︎
7. https://www.nicb.org/news/news-releases/hot-spots-report-shows-vehicle-theft-rates-spiking-different-regions-us ↩︎
8. https://www.actionnews5.com/2023/11/18/number-stolen-vehicles-memphis-climbing-police-say/ ↩︎
9. https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/us-private-auto-insurance-rates-see-double-digit-jump-in-2023-77178794 ↩︎

MEET OUR EXPERTS

R.E. Fulton

• Licensed Insurance Agent

R.E. Fulton is an expert insurance writer specializing in car ownership topics from car shopping and loan advice to insurance and repair guides. R.E.’s mission is to create unique and accessible content that helps readers to become more successful and independent car owners. R.E. has written and edited over 900 high-performing articles for Jerry, with an average of 1 million+ views. As a senior writer on Jerry’s editorial team, R.E. draws on over 10 years of experience as a professional writer and digital publishing specialist. Prior to joining Jerry’s editorial team in 2021, R.E. worked as a writing coach at Columbia University, the Rochester Institute of Technology (RIT), and the University of Rochester. They serve as a managing editor for peer-reviewed history publication Nursing Clio, where their work has appeared regularly since 2015.

Sarah Gray

Sarah Gray is an insurance writer with nearly a decade of experience in publishing and writing. Sarah specializes in writing articles that educate car owners and buyers on the full scope of car ownership—from shopping for and buying a new car to scrapping one that’s breathed its last and everything in between. Sarah has authored over 1,500 articles for Jerry on topics ranging from first-time buyer programs to how to get a salvage title for a totaled car. Prior to joining Jerry, Sarah was a full-time professor of English literature and composition with multiple academic writing publications.

Josh Damico

As Vice President of Insurance Operations at Jerry, Josh Damico leads teams across product development, operations and carrier relations, integrating Jerry’s smart and fast car insurance customer experience with that of traditional carriers to help customers find savings and coverage. Josh’s nearly 20 years of insurance-industry experience and knowledge generate partnerships with more than 55 name-brand and specialty insurance partners that enable Jerry to serve customers with all types of vehicle and policy needs.

Previously, Josh held executive roles at Geico, where he had vast regional oversight and leadership opportunities. In his most recent role as director of sales, servicing, and underwriting, Josh developed and executed profit and growth strategy for the New England states and New Jersey.

Josh holds a bachelor’s degree in business administration and management from Medaille College.

*Illustration only. For all the pricing information presented in this article (including various tables), please note that not all customers find savings and the information is for illustrative purposes only. Savings depend on type of car, location, policy features, driving history and other factors. Drivers who switch through Jerry save over $70/month on average.