Find Car Insurance in Phoenix, Arizona

What You Should Know About Car Insurance in Phoenix, AZ

Phoenix is the capital of Arizona and the county seat of Maricopa County. Its nearly 518 square miles make it Arizona’s largest city as well as one of the largest cities (by area) in the United States. The Hohokam Indians — the area’s inhabitants until about AD 1400 — established about 135 miles of irrigation canals.

In 1867, Jack Swilling moved to the area and, drawing on inspiration from those canals, formed the Swilling Irrigation Canal Company. These channels provided farmers with water to grow wheat, barley, and corn. Later settlers considered various names for the city before deciding on Phoenix as a nod to the mythical bird said to have risen from the ashes. The United States Postal Service established the first Phoenix post office in 1868.

With an average home cost of just over $400,000, Phoenix has a reputation for being an affordable place to live. The city, which includes a large number of golf courses and, on average, about 9 inches of rain a year, is popular with those who like to practice their short game. If strolling in the gardens is more your thing, you can take in over 50,000 desert plant displays on 140 acres at the Desert Botanical Garden.

The South Mountain Park and Preserve provides over 16,000 acres with trails for hiking, biking, and horseback riding. You can take in American Indian art at the Heard Museum. The city is also famous for its various sports teams, including the Arizona Cardinals (NFL), the Arizona Diamondbacks (MLB), and the Phoenix Suns (NBA).

Phoenix is a popular destination with tourists, with sometimes as many as 47 million people visiting in one year. These visitors, along with the city’s over 1.5 million residents, mean the streets see a lot of traffic. You can ensure you are protected on your way by having the best car insurance in Arizona. Expert agents are ready to help you compare plans to find you high-quality coverage at competitive rates.

How Much Does Car Insurance Cost in Phoenix, Arizona?

Arizona residents who drive pay an average of $587 a year for minimum liability and $1,810 for full coverage auto insurance premiums. The national averages are $622 for liability and $2,014 for full coverage. This comparison shows Arizona drivers pay, on average, a little less than drivers in other states.

What Does Full Coverage vs. Minimum Liability Mean?

The minimum liability coverage protects you from having to pay out a bundle if you cause an accident. It covers the other party’s vehicle and injury (or death) damages, along with pain and suffering and lost wages.

But liability insurance provides zero coverage for your own damage. For that, you will need full coverage, which includes:

• Collision coverage, which covers your vehicle in an accident with a vehicle or other property.
• Comprehensive coverage, which includes vehicle loss protection from theft, fire, windstorms, falling objects, and vandalism.

Adding medical payments coverage is an important consideration, especially as medical costs continue to rise — this add-on insurance provides protection for you and your passengers. Your agent can answer all your questions and help you find the best coverage that fits all your requirements.

Affordable Car Insurance Rates Comparison by Cities in Arizona

If you live in the Garfield neighborhood, you may pay a different price for insurance than someone who lives in the Arcadia neighborhood. Insurers review, among other factors, the number of cars on the road and car accident statistics in each location. The same is true of insurance cost differences from city to city.

In the chart below, you can see how Phoenix compares to some other Arizona cities:

City	Full Coverage Insurance	Liability Insurance Coverage
Phoenix	$176	$56
Tucson	$140	$43
Mesa	$156	$50
Scottsdale	$148	$48
Tempe	$145	$47

How Bundling Your Car and Homeowners Insurance Can Save You Money in Phoenix

Just like at the supermarket, buying in bulk can save you money. In the insurance world, this is called bundling, and it can save you from 5% to 25% off your bill. So if you need a new homeowners insurance policy along with your auto coverage, bundling them — or buying both from one company — can save you money.

Insurers offer this discount as a way of thanking you for your business. Managing just one set of paperwork and one bill is an added benefit to simplify your life. Plus, your InsureOne agent will do all the work for you to find you the best of various kinds of coverage, including auto, homeowners, renters, landlord, RV, and motorcycle plans.

What Types of Car Insurance Discounts Are Available in Phoenix?

In addition to bundling, there are a number of other ways to save on your policy — your agent can review your specific details and let you know if you are eligible. Some of the available discounts are:

• Clean driving history
• Green/hybrid vehicle
• Pay in full up front
• Electronic billing
• Good student
• Safe driver training

Notable Car Insurance Laws in Phoenix

Arizona requires you, as a Phoenix resident who drives, to purchase auto insurance to prove you can cover damage if you cause an accident (this is also referred to as showing financial responsibility). Arizona law requires insurers to offer uninsured/underinsured motorist coverage, which covers bodily injury protection for you and your passengers if you are hit by an uninsured or underinsured motorist. If you decline this coverage, you must do so in writing.

What Are the Mandatory Car Insurance Requirements in Phoenix?

Arizona requires the following limits for the minimum car insurance coverage:

• $25,000 bodily injury liability for one person
• $50,000 bodily injury liability per accident
• $15,000 property damage liability

Keep in mind this coverage is low, especially if you are involved in a serious accident with an expensive vehicle. You may want to consider purchasing more than the minimum unless you have money in the bank to cover accident expenses.

Additionally, your own vehicle damage is excluded from liability coverage. If your car is paid off and you lack the money to buy a new one, having collision and comprehensive insurance can provide you with the necessary protection to get you back on the road.

If you are still making payments, your lender will likely require gap insurance to protect their loan. Your agent can answer all your questions about what type of coverage suits your unique situation.

What Is the Penalty for Driving Without Insurance in Phoenix?

Why is auto insurance important? One reason is that it is illegal in Arizona to drive without it. Another reason is the list of consequences you may face if a police officer catches you driving without it, including:

• Ticketed and fined (up to $1,000)
• Suspension of drivers license
• Suspension of vehicle registration
• Vehicle impoundment
• Potential lawsuit if you cause an accident
• Higher insurance rates when you do buy

That monthly payment of about $49 a month for the minimum liability insurance can save you money and big headaches in the long run.

What Factors Go into My Car Insurance Cost in Phoenix?

Insurers review factors about you to determine your insurance cost, including:

• Credit history
• Driving history
• Your age
• Vehicle age, make, and model
• Number of miles you drive

Typical Driving Conditions in Phoenix

Interstate-10 crosses Interstate-17 right in the middle of Phoenix. And just like rush hour in other cities, peak weekday traffic hours in Phoenix occur from 6 a.m. to 9 a.m. and 3 p.m. to 6 p.m. Phoenix freeways contain about 175 miles of HOV lanes for use only by carpool drivers during restricted hours (Monday through Friday from 6 a.m. to 9 a.m. and from 3 p.m. to 7 p.m.) — anyone can use these lanes during non-restricted hours.

Elevated temperatures in this desert atmosphere stirs up the occasional sandstorm that can interfere with visibility and lead to impatient drivers. Just like anywhere else, paying attention to the road is key. But sometimes accidents cannot be avoided. You can protect yourself by having a personalized insurance plan ready to cover any damage from one of these unexpected road disasters.

How Many Car Accidents Happen in Phoenix Per Year?

The National Highway Traffic Safety Administration reported 1,195 fatal accidents in Arizona in 2023. In the chart below, you can see a comparison of Phoenix’s fatal car accident rates to some other Arizona cities:

City	Annual Average Number of Fatal Car Crashes
Phoenix	299
Tucson	138
Mesa	63
Scottsdale	23
Tempe	33

How Many Uninsured/Underinsured Motorists Are in Phoenix?

Arizona statistics provided by the Insurance Information Institute for 2023 show 10.6% of the state’s drivers lack insurance, which is about 11 out of 100 drivers. Medical bills, pain and suffering, and lost wages you suffer when an uninsured driver or a hit-and-run driver crashes into you can add up fast, which proves the importance of uninsured/underinsured motorist coverage. Your agent can provide you with the details of this add-on coverage.