Best Automobile Insurance

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Massachusetts residents can rest easy knowing they have the most affordable car insurance in the United States for the second year in a row.  Unfortunately for Louisiana residents, they have the least affordable car insurance for the second year in a row.  InsWeb’s 2011 Car Insurance Affordability Index ranked the 50 states from most to least affordable.  It’s a study performed yearly by InsWeb and the results have been detailed in a company press release.

The states are ranked on an affordability factor.  It is not simply how expensive car insurance rates are that is taken into effect for the rankings.  They also look at the median income of residents in the state.  The median car insurance rate is divided by the median household income to determine each state’s affordability factor.  Many studies compare the car insurance rates and rank the most expensive to the least, but InsWeb’s study helps us understand how much of our budget is going towards car insurance.  Finding cheap car insurance relative to your income is easiest in Massachusetts and most difficult in Louisiana.

After Massachusetts, the remaining top ten states for most affordable car insurance in order are Hawaii, Minnesota, North Carolina, Utah, Wisconsin, Iowa, Idaho, Ohio, and Vermont.  Companies like Allmerica car insurance offer rates that are low in comparison to median salaries in these areas for many different reasons.  The ten states with the worst affordability factors following Louisiana in the 51st spot are Washington D.C., West Virginia, Oklahoma, Mississippi, Kentucky, Rhode Island, Arizona, New York, and Florida.