Cheap Car Insurance Companies In Vermont

The average semiannual cost of car insurance in the state of Vermont is $605.33. An insured premiums are influenced by more variables than purely their place of residence. Car insurance underwriters calculate auto insurance rates after assessing a range of criteria such as the policyholder’s age, driving record, marital status, and credit rating. We examined typical car insurance costs in Vermont across each of the predominant rating factors. We aim to provide consumers insight to identify a car insurance policy that meets their needs and budget.

*Data Methodology – Updated 3/3/2024

The Vermont car insurance rates are based on a 35-year-old male with the most popular car (Honda Accord) living in VT. The Quote is for full coverage with comprehensive at $500 deductible and collision at $500 deductible.

Vermont Minimum Liability Coverage

The state of Vermont requires all drivers to carry minimum auto insurance liability coverage. The minimum liability coverage amounts for Vermont are:

• $25,000 for bodily injury or death per person in an accident.
• $50,000 for bodily injury or death for all people in an accident.
• $10,000 for damage to the property of others in an accident.

These limits refer to the maximum amounts the insurance company will pay for claims due to injuries, deaths, or property damage caused by the insured driver. The $25,000 limit is the most the insurance company will pay per injured person, while the $50,000 limit is the maximum amount that will be paid for all persons injured in a single accident, regardless of how many people were injured. The $10,000 property damage limit is the most the insurance company will pay for damage to another person’s vehicle or property in a single accident.

Penalties for Driving Without Insurance in Vermont

Driving without car insurance in Vermont carries stiff penalties, so it pays to make sure you have a valid insurance policy at all times. Vermont requires all drivers to have a minimum of $25,000 of liability coverage per person, up to $50,000 per accident, and $10,000 of property damage coverage.

If you are caught driving without insurance in Vermont, you will face both fines and license suspensions. First, you will be fined between $250 and $500 for a first offense. The fine increases to between $500 and $750 for a second offense within three years and up to $1,000 for a third or subsequent offense within three years.

In addition to the fines, Vermont will suspend your driver’s license. For a first offense, your license will be suspended for six months. The suspension increases to one year for a second offense within three years and 18 months for a third or subsequent offense within three years. You must also show proof of insurance and pay a reinstatement fee before your license will be reinstated after a suspension.

Even if you are just driving a friend’s car or borrowing your parents’ vehicle, you need to make sure there is valid insurance on the vehicle. If you are caught driving an uninsured vehicle in Vermont, you will face the same penalties as if you were driving your own uninsured vehicle.

Auto Insurance Rates in Vermont

Vermont has some of the lowest auto insurance rates in the country thanks to smart policies and a safe driving environment. While every state has its own set of regulations and insurance requirements, Vermont has taken steps to keep costs reasonable for its residents.

First, Vermont requires lower minimum liability coverage compared to most other states. The minimums in Vermont are $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $10,000 for property damage. These minimums are on the lower end, helping to reduce base premium costs.

Second, Vermont has a no-fault insurance system for auto accidents. This means insurance companies pay for injuries to their own policyholders regardless of fault. While this can increase some costs, it reduces litigation over who was at fault for an accident. Less litigation means lower legal fees and claim processing costs.

Third, Vermont has relatively low traffic congestion and driving speeds tend to be lower due to many rural roads. All else being equal, areas with less traffic and lower speeds see fewer accidents and claims against insurance policies. This improves the loss ratio for insurers, allowing them to offer more competitive rates.

Low Cost Car Insurance Programs and Discounts in Vermont

Vermont drivers can save money on car insurance through various low cost insurance programs and discounts offered by insurance companies in the state. Here are some options:

Good Student Discount: Many insurance companies offer discounts for students with a B average or higher. Students can typically save 5% to 15% on their premiums. Students should ask their insurance company if they qualify.

Multi-Car Discount: If you insure more than one vehicle with the same company, you may qualify for a multi-car discount of around 10% to 15%. Bundling policies for multiple vehicles can save you money each month.

Defensive Driving Course: Completing an approved defensive driving or accident prevention course could earn you a discount of around 5% to 10% off your premium. Check with your insurance company for approved courses.

Anti-Theft Devices: Having an anti-theft device like an alarm, immobilizer or tracking device installed in your vehicle may qualify you for a discount of around 5% to 8%. Check with your insurance company what devices qualify.

Low Mileage Discount: If you drive your car infrequently, under around 5,000 to 7,000 miles per year, you may qualify for a low mileage discount of 5% to 10%. Provide your estimated annual mileage to your insurance agent.

Vermont Car Insurance Statistics

Vermont has some interesting statistics when it comes to car insurance. Vermont has the lowest car insurance rates in the United States, with an average annual premium of $901. This is over $500 less than the national average of $1,470.

There are a few reasons why car insurance is so affordable in Vermont. First, Vermont has a lower population density compared to most other states, meaning fewer cars on the road and less traffic. This translates to fewer car accidents and insurance claims.

Secondly, Vermont has a high percentage of rural roads with lower speed limits, which also contributes to fewer accidents. According to the Insurance Institute for Highway Safety, Vermont has one of the lowest fatality rates from car crashes in the country.

Another factor is that Vermont requires less comprehensive coverage in auto insurance policies compared to many other states. Vermont only requires bodily injury, property damage, and uninsured motorist coverage. Many states mandate additional coverages like personal injury protection and collision coverage.

Finally, Vermont has a relatively low rate of auto theft. The state ranked 48th in the country for auto theft rates in 2019 according to the FBI. This means insurance companies have fewer theft-related claims to pay out.

The 10 Largest Vermont Car Insurance Companies

Vermont drivers have many insurance options available to them. Here are the 10 largest car insurance companies in Vermont based on the amount of premiums written in the state:

1. Progressive – Progressive offers a wide range of coverage options and discount opportunities that make it a popular choice for Vermont drivers.
2. Liberty Mutual – Liberty Mutual is known for providing reliable coverage at competitive rates. Their personalized service is a draw for many customers.
3. State Farm – State Farm has been serving Vermont drivers for over 90 years. They offer many discounts and unique programs for their customers.
4. GEICO – GEICO is known for their affordable rates and 24/7 customer service. They provide coverage for most types of vehicles.
5. Allstate – Allstate has been helping drivers in Vermont since the 1930s. They work hard to provide value and protection for their policyholders.
6. USAA – USAA provides insurance for active military, veterans, and their families. They are known for excellent customer service.
7. MetLife Auto & Home – MetLife offers auto insurance to Vermont drivers through many independent insurance agencies in the state.
8. The Hartford – The Hartford has been insuring Vermont drivers for decades. They provide a wide range of auto insurance options.
9. MAPFRE Insurance – MAPFRE Insurance is a well-established insurance provider in Vermont, offering competitive rates and coverage options.
10. Travelers – Travelers provides personal and commercial auto insurance to Vermont drivers. They have been in business since 1853.