Find the Cheapest Auto Insurance

Compare Quotes From Top Insurers:

Everyone who owns and operates a car in the State of Minnesota needs to carry with them an auto insurance policy. Without this, they cannot legally drive their motor vehicles. When you don’t comply with the Minnesota car insurance laws, not only will you end up facing serious violations and penalties, but also potentially pay for thousands and thousands more when you get involved in an accident.

Contents

Average cost of car insurance in Minnesota

The National Association of Insurance Commissioners (NAIC) claim that the average person pays roughly $744.51 for car insurance in Minnesota each year.

They broke this figure down to:

$441.79 is the average annual liability insurance expenditure.

$210.01 is the average annual collision insurance expenditure.

$171.80 is the average annual comprehensive insurance expenditure.

Young Drivers in Minnesota

Our case study revealed that a young driver in the North Star State can expect the following yearly insurance premium averages of:

  • $1227.2 for state minimum coverage1,
  • $1971.6 for basic full coverage2 and
  • $2691.2 for premium full coverage3.

Insurance companies use various factors to determine premiums. The bigger the city, the better the premiums. Our methodology4, found that motorists under this specific category living in Rochester City, with an estimated population of 112,225 (2015, latest data5), can pay as low as $40 a month.

Female Drivers in Minnesota

Women can expect the following affordable premium averages:

  • $769.2 for state minimum coverage,
  • $18118.6 for basic full coverage and
  • $1593.6 for premium full coverage.

Female drivers always have had lower premiums than young drivers, and the findings of our study backs this up. Road traffic accidents may have had something to do with lack of experience, and a lot of them involved men. These make them higher-risk motorists compared to women. However, costs will still depend on individual factors such as driving record and history.

Senior Drivers in Minnesota

Our study revealed that senior drivers in MN pay the following averages:

  • $670.4 for state minimum coverage,
  • $1062.4 for basic full coverage and
  • $1431.6 for premium full coverage.

Age is one of the biggest influencers of car insurance premiums. Because of the possibility that older adults have slower reaction times, they are at a higher risk of getting into or causing an accident on the road. This is why most of the time, seniors can expect an increase in their premium averages.

Minimum car insurance requirements

In Minnesota, you can only legally drive your automobile when you have proper insurance coverage. There are three must-have coverage types in the state, and these include no-fault insurance, liability insurance, and uninsured motorist insurance.

There are only twelve states in the country that enforces the no-fault car insurance regulations, and Minnesota is one of them. Also commonly referred to as “Personal Injury Protection” (PIP) coverage, it pays for medical or hospital bills while also covering loss of income in the event you find yourself involved in a road traffic accident. To remain in compliance with MN laws, you need to purchase the minimum limit of $20,000 for medical coverage and $20,000 for loss of income.

The second required coverage for all the state’s car owners and operators is liability insurance. In the event that you caused an accident and it resulted in other people getting hurt and their property sustaining damages, this portion of your policy will help you pay for them. The minimum requirements are as follows: $30,000 for injuries/person; $60,000 for all injuries/accident; and $10,000 for property damage.

Lastly is the uninsured/underinsured motorist coverage, which, as the term already implies, provides financial aid in the event the accident you got into was with another person without or lacking in insurance coverage. Make sure you meet the limitations for this, which include $25,000 for injuries/person and $50,000 for total injuries/accident.

Auto insurance companies also deliver several other coverage types, including collision insurance, comprehensive insurance, rental car, and roadside assistance.

Violations and penalties 

When found in violation of the Minnesota car insurance laws, you can expect to pay expensive fines.

For first and second time offenders, you would have to pay a penalty ranging anywhere from $200 to $1,000. You may also have to face jail time of up to three months, registration suspension of up to a year (unless you show proof of insurance), community service, and vehicle impoundment.

For third and subsequent offenses, the fines go up from the $200 – $1,000 range the heftier $200 – $3,000 range. The other penalties for those who violate the MN auto insurance regulations for three (or more times) within a 10 year period are the same as for the first and second time offenders.

Driving safety in Minnesota

According to the Centers for Disease Control and Prevention (CDC), 94% of Minnesota drivers and front-seat passengers wear seatbelts, as opposed to the national average of only 86%.

The National Highway Safety Administration, on the other hand, detailed driving fatality-related facts for 2015, stating that 411 cases occurred in the state that year. 115 of them (28%) were related to alcohol impaired driving.

The CDC gave MN a total vehicle occupant death rate of 5.1 per 100,000 residents.

Final thoughts

Don’t think that you have to purchase Minnesota car insurance just because the laws say you should. Consider it as an integral part of your driving life, as it protects you and the other people you share the roads with. To learn more about car insurance, read this article: Car Insurance: The Facts.

0
licensed drivers in Minnesota, 2014
0
privately insured vehicles in Minnesota

Source: StatistaInsurance Information Institute

1State minimum coverage includes the minimum liability insurance limits required in your state but excludes the following:
  • No Collision and Comprehensive Coverage
  • No Towing Coverage
  • No Rental Car Coverage
  • No Full Glass Coverage
2Basic full coverage includes:
  • $50,000 Bodily Injury Liability Per Person/$100,000 Per Accident
  • $25,000 Property Damage Liability
  • $50,000 Uninsured Motorist Bodily Injury Coverage Per Person/$100,000 Per Accident
  • $25,000 Uninsured Motorist Property Damage Coverage
  • $750 Deductible Collision And Comprehensive Coverage
  • $50 Towing Coverage
  • No Rental Reimbursement Coverage
  • No Full Glass Coverage
3Premium full coverage includes:
  • $250,000 Bodily Injury Liability Per Person / $500,000 Per Accident
  • $100,000 Property Damage Liability
  • $250,000 Uninsured Motorist Bodily Injury Coverage Per Person / $500,000 Per Accident
  • $100,000 Uninsured Motorist Property Damage Coverage
  • $250 Deductible Comprehensive Coverage And No Deductible Collision Coverage
  • $75 Towing Coverage
  • $30/day Rental Reimbursement, Max Of $900
  • Full Glass Coverage
4Methodology: To achieve accurate results we obtained estimates for 10 cities in the state: 5 of the largest cities and 5 randomly picked smaller cities. For each city, we collected premiums for 3 levels of coverage: state minimum coverage, basic full coverage and premium full coverage. We used 3 different driver profiles for the case studies. For the young driver profile we used a 20-year-old single male or female with 1 year driving experience. Second, the profile fit that of a 35-year-old married female with 12 years of driving experience. The last profile we used in our studies is a male senior driver who was 68-year-old with 45 years of driving experience. The vehicle we used for all three driver profiles was a 2012 Honda Accord EX.
5Latest data: The U.S. census is conducted every 10 years as per requirement of the United States Constitution. The 23rd edition and the latest data is the 2010 United States Census. Source: https://en.wikipedia.org/wiki/2010_United_States_Census
CreativeMinds WordPress Plugin CM Footnotes