Most of Pennsylvania enjoys relatively cheap state car insurance rates, but Philadelphia is another story, with rates many times higher. You can see below how every city, town and hamlet in Pennsylvania compares, along with the potential savings for choosing the cheapest carrier in that ZIP code. Learn how to buy the best car insurance policy for your particular situation, what the average car insurance rates are for your neighborhood and how car insurance laws in Pennsylvania work.
The average car insurance rate in Pennsylvania is $1,522. Your location is one of the major factors car insurance companies consider when setting your rate. Additionally, your age, your driving record, your credit history, the model of car you have, the severity and frequency of claims in your neighborhood are all accounted for when insurance companies decide price your policy. But every company uses its own method for assessing risk. That’s why the cost for the same policy can vary significantly among insurance companies – and why you should compare rates. For example, drivers in Philadelphia ZIP code 19132 can save $5,078 by shopping around. That’s the difference between the highest rate among six carriers surveyed ($6,451) and the lowest ($1,373).
State law requires the following coverages: | |
Minimum bodily injury liability | $15,000/$30,000 |
Minimum property damage liability | $5,000 |
First party benefits (medical) | $5,000 |
Pennsylvania mandates purchase of first party benefits medical coverage. This pays medical expenses for you and anyone on your policy up to its limits, even if the accident was your fault.
Pennsylvania's minimum liability insurance requirements are extremely low compared with those in other states. For example, its mandatory $5,000 liability for property damage would not repair or replace many of the cars you are most likely to hit. And even a minor injury can rack up $15,000 in medical expenses.
Once bills hit those low limits, you are legally responsible for the balance. We suggest anyone with a home or savings to protect consider raising liability coverage limits.
You’ll pay more for more coverage, but as you’ll see in the chart below, additional protection typically won’t break the bank. Powering up your policy to full coverage with a $500 deductible costs, on average, $1,042 more, or $87 a month.
Coverage limits | Average annual rate |
Liability Only – state minimum | $480 |
Liability Only - 50/100/50 BI/PD | $526 |
Full Coverage - 100/300/100 BI/PD $500 Comp/Collision deductible | $1,522 |
*The table shows the average annual rate of nearly every ZIP code in Pennsylvania from up to six major insurance companies. Rates are for a male driver, age 40, with a clean record and good credit for a 2016 Honda Accord. Data was provided for CarInsurance.com by Quadrant Information Services.
When deciding how much car insurance to buy, you need to assess your particular situation. To drive legally, you must buy at least the minimum liability insurance required by your state. If you didn’t borrow money from a lender to buy your car and you don’t have a lot of money or assets to protect, that might be a wise choice. If, however, you don’t own your car outright, you will be required to get comprehensive and collision coverage. Additionally, if you have a home and savings to protect, it’s wise to buy more coverage.
Use our How Much Car Insurance Do You Need? tool to get a recommendation.
The more money and assets you have, the more likely it is that you may be sued following a car accident. Unless you are determined to pay the lowest car insurance rate possible, we recommend you buy higher than minimum liability coverage. If your net worth is:
If you're leasing or financing your car, you automatically need coverage of 100/300/100 or higher.
Collision coverage pays for damage to your car after an accident that you cause. Comprehensive insurance pays to replace stolen cars and for damages from vandalism, flooding, hail, fire and animal strikes. These coverages are optional. Collision for Pennsylvania drivers costs, on average, $301 a year; comprehensive costs $132, according to the Insurance Information Institute. If your car is:
If you buy comp and collision, check our guide to choosing a deductible amount.
Uninsured motorist coverage and underinsured motorist coverage pays for damages if you’re hit by a driver with no insurance or a driver with coverage that’s insufficient to pay for your repairs and medical expenses. These should match the liability limits you choose.
Pennsylvania requires that insurance companies offer you uninsured and underinsured motorist coverage, but you may decline it. In the Philadelphia area, where the rate of uninsured motorists is high, you should consider keeping it.
Medical payments coverage can help pay for the medical or funeral expenses of covered drivers and passengers after an accident, regardless of fault, up to $25,000. In most states, including Pennsylvania, it's an optional addition to your car insurance policy. Pennsylvania requires $5,000 of firt-party medical benefits coverage, so you don’t need MedPay, though it can supplement your minimum coverage. MedPay does the following:
If you and your passengers:
If you got a loan to pay for your car and have an accident, gap insurance pays the difference between the cash value of your car and the current outstanding balance on your loan or lease.
Below you'll see average annual rates for Pennsylvania, ranked cheapest to most expensive, for three coverage levels:
Company | State minimum average annual rate |
Nationwide | $266 |
Geico | $288 |
State Farm | $364 |
Allstate | $676 |
Progressive | $806 |
Company | 50/100/50 |
Nationwide | $288 |
Geico | $302 |
State Farm | $444 |
Allstate | $679 |
Progressive | $916 |
Company | 100/300/100 |
Geico | $703 |
Nationwide | $711 |
State Farm | $1,284 |
Allstate | $1,729 |
Progressive | $3,183 |
Scores are based on Insure.com’s “Best Insurance Companies” customer review survey of 3,700 customers. Companies not in the top 10 of market share do not qualify. All scores are out of 100.
Best customer service:
Best claims service:
Best value for the price:
Rank | Company Name | Direct premiums written | Market share % | Overall Customer Review Ranking |
1 | State Farm Insurance Group | 1,577,153 | 20.11% | 90.4 |
2 | Erie Insurance Group | 1,044,586 | 13.32% | 85.4 |
3 | Allstate Insurance Group | 941,294 | 12.01% | 87 |
4 | Nationwide Group | 774,044 | 9.87% | 89 |
5 | Progressive | 697,760 | 8.9% | 89.6 |
6 | Geico | 548,793 | 7% | 88.1 |
7 | Liberty Mutual Insurance Companies | 433,450 | 5.53% | 86.4 |
8 | Travelers Group | 280,281 | 3.57% | 91.2 |
9 | USAA Group | 246,536 | 3.14% | 97.2 |
10 | Farmers Insurance Group | 166,060 | 2.12% | 81.1 |
Source: A.M. Best market share rankings are based on direct premiums written in 2015.
Customer review rankings based on Insure.com's 2016 "Best Insurance Companies" survey of 3,700 customers. Scores are out of 100.
Find out what the most expensive and the cheapest car insurance rates are by ZIP code, as well as how they compare statewide.
Pennsylvania removes three points from your motor vehicle record when 12 months pass without a violation. If you hit six points on your record, you are required to take a written examination of your knowledge about safety and regulations. Two points are deducted from your total if you pass. Your driver's license is suspended at 11 points.
You'll have to produce proof of current insurance in Pennsylvania:
In addition, your insurance company will report a cancellation or nonrenewal to the state.
If your Pennsylvania auto insurance policy lapses, your vehicle registration will be suspended for three months. If the Pennsylvania Department of Transportation (PennDOT) determines that you drove your vehicle without insurance, your driver's license will also be suspended for three months. To serve the suspension your registration plate, sticker, card and driver's license need to be surrendered to PennDOT. The one exception to this is if the lapse was for less than 31 days and you can prove that the vehicle wasn't operated during this time.