Best Car Insurance for Drivers With Good Credit [2025]: Higher Score, Lower Rates

In most states, drivers with good credit generally get better auto insurance rates than those with poor or average credit scores. While people with excellent scores tend to get the best rates, having good credit can still help you qualify for better prices and sometimes more discounts.

Some of the companies offering the best car insurance for good credit might surprise you. While well-known carriers like State Farm and USAA make the list and are available in nearly every state, they have some drawbacks, namely slightly higher prices.

Regional carriers Auto-Owners and Erie offer lower pricing to drivers with good credit, as well as policy perks and discounts. Similarly, Mile Auto offers pay-per-mile insurance, but it lacks extensive coverage and discount options and is available in only a limited number of states.

Finding the best car insurance companies requires research, but having good credit and a clean driving record can make it the most effective way to avoid paying more than necessary.

How we evaluate products

FinanceBuzz uses multiple factors when comparing auto insurance companies. These include cost and discounts, customer satisfaction, complaint scores, policy options, and ease of use. We also gather information from sites such as Insurify, J.D. Power, AM Best, the National Association of Insurance Commissioners (NAIC), and the Better Business Bureau (BBB).

Best car insurance for drivers with good credit

Company name	Best for	Average monthly full coverage cost	Average monthly liability-only cost
Auto-Owners	Affordable coverage	$70	$37
Erie	Claims satisfaction	$105	$81
Mile Auto	Pay-per-mile insurance	$87	$55
State Farm	Families	$113	$54
USAA	Military members	$98	$49
Data provided by Insurify

Auto Owners

Auto-Owners is a mutual insurance company that's available in only 26 states. It offers the best pricing for drivers with good credit, with an average monthly cost of $70 for full coverage and just $37 for liability-only coverage. Take a look to see if it's in your area.

It offers standard policies, including accident forgiveness, additional expense policies, and guaranteed asset protection (GAP) coverage for financed or leased cars and rental vehicles. Auto-Owners also offers a road trouble service policy that I like, which combines roadside assistance and locksmith services into one coverage.

It earned a great score of 0.46 from the National Association of Insurance Commissioners (NAIC) in 2024, which means it had fewer than half the expected number of complaints for a company of its size. In J.D. Power's 2024 U.S. Auto Claims Satisfaction Study, it earned a below-average score of 692 out of 1,000. However, the survey average was 697, so Auto-Owners wasn't that far off.

Learn more in our Auto-Owners review.

Erie

Erie Insurance is a regional company available in only 12 states and Washington, D.C., Its average full coverage insurance for drivers with good credit costs $105 per month compared to $81 per month for liability-only coverage.

It earned the highest score of the companies on our list in J.D. Power's 2024 U.S. Auto Claims Satisfaction Study (733 out of 1,000), ranking third overall. It also earned a 0.82 on the 2024 NAIC Complaint Index based on marketwide data, which indicates a smaller-than-expected number of customer complaints.

Although it may be a bit more expensive, Erie offers additional perks that make it worth considering if it's available in your area. Its comprehensive coverage includes locksmith services. You can also add auto glass repair or personal item coverage, among other add-on policies.

Learn more in our Erie review.

Mile Auto

Mile Auto is a pay-per-mile auto insurance company. It determines your monthly cost using a base rate and a small per-mile fee. You send Mile Auto a photo of your odometer every month through the app, and the company calculates your bill based on the image you provide.

However, Mile Auto is best for people who don't want a lot of special policies. It offers liability, collision, and comprehensive coverage. Its rental vehicle reimbursement and roadside assistance are the only add-on options. The average cost for full coverage is $87 per month, while liability-only coverage costs just $55 per month.

Mile Auto is available in only Arizona, Florida, Georgia, Ohio, Oregon, Tennessee, and Texas. It isn't rated by the NAIC, the Better Business Bureau, or AM Best — which is an agency that rates an insurance company's ability to pay claims. However, Mile Auto says AM Best lists its underwriter as "Excellent."

I like that you don't need to install a telematics device in your car. However, some customers on Trustpilot have reported issues uploading photos and receiving accurate bills. Mile Auto has a 2.9-star rating on Trustpilot, with comments indicating additional customer service issues.

State Farm

State Farm's coverage for drivers with good credit averages $113 per month for full coverage and $54 a month for liability-only insurance. While that's the most expensive car insurance on our list, it's still cheaper than many other insurance companies.

You need to work with an agent to obtain a quote and start a policy, which can be inconvenient. However, I like that State Farm is nationally known and available in every state except Massachusetts and Rhode Island. It earned an A++ from AM Best, implying it is financially solid and can pay claims, as well as an above-average claims satisfaction score in J.D. Power's 2024 study (710 out of 1,000).

State Farm generally offers more ways to save money on car insurance than some other insurance carriers. It can be especially beneficial for families with teens, as it provides multiple discounts to lower premiums for new drivers, bundling discounts for multiple vehicles, and discounts for cars equipped with safety features.

Learn more in our State Farm review.

USAA

USAA's car insurance policies are available only to current military members, veterans, certain federal agency employees, and their immediate family members. If you qualify, liability-only coverage for drivers with good credit averages $49 a month, and full coverage averages $98 per month.

Additionally, USAA earned a claims satisfaction score of 726 out of 1,000 in J.D. Power's 2024 survey, one of the highest ratings in the industry. It had a slightly below average complaint rate, earning 0.97 on the NAIC complaint index.

While USAA has standard coverage options, it doesn't have as many specialty policies as some other companies. It offers several discounts, though not as many as some other companies. Its military-specific discounts include savings for garaging your car on base or storing your vehicle during deployment.

Learn more in our USAA review.

How your credit score affects car insurance rates

When you apply for a new policy or request a quote in most states, car insurance companies may use your credit score to assign you a credit-based insurance score. This is the case in most states, but California, Hawaii, Maryland, Michigan, Oregon, Utah, and Massachusetts are among those that don't allow it.

Your credit-based insurance score doesn't impact your actual credit score, but it does help the insurance company determine how much you will likely cost them to insure. Studies have shown that people with good credit scores are less likely to file insurance claims. Individuals with lower credit scores are more likely to file a claim and may also exhibit riskier driving behaviors, which can lead to higher insurance costs.

"Good" credit is between 670 and 739 on the FICO scale, and it will likely earn you a reasonable rate from lenders. Scores of "very good" (740-799) and "excellent" (800+) will likely earn the best rates.

As you can see in the table below, someone with a "poor" credit score will likely pay significantly more for car insurance than someone with a "good" or "excellent" credit rating. While the monthly differences may not seem huge, it can translate to several hundred dollars more paid over the year.

Credit rating	Average monthly full coverage cost	Average monthly liability-only cost
Poor	$232	$127
Average	$199	$109
Good	$185	$101
Excellent	$169	$92
Data provided by Insurify

What else impacts your car insurance premium?

Several non-credit-related factors can affect the cost of car insurance, such as:

• Your age, gender, and marital status
• Where you live
• The number of cars on a policy
• The driving records of everyone on the policy
• The type of vehicle you drive
• Your policy coverages and limits
• Your deductible amount
• How many miles you drive each month
• The discounts you qualify for
• The insurance company you use

While you can't control some of the factors that impact car insurance premiums, one of the best ways to lower your rates is to shop around. Getting multiple quotes allows you to compare companies directly and see the policy options, deductibles, and benefits each company offers.

Consider raising your deductible (as long as you can afford to pay it if you get in an accident) to lower your overall premium. Additionally, take advantage of bundling policies and any other discounts you may qualify for. Keeping your credit score as high as possible and maintaining safe driving habits are also great ways to reduce car insurance costs.

FAQs

Bottom line

Having good credit can be a great way to help you save money on car insurance. As you search for the best car insurance, be sure to get quotes from at least three different companies to find the best price. Read customer service reviews and pay attention to customer satisfaction scores from J.D. Power and the NAIC to find a company that doesn't just cost less, but also takes care of its customers.