By Roberto Gomes | Updated October 2026. This guide compares published 2026 rate studies from ValuePenguin and NerdWallet with official information from the California Department of Insurance (CDI), the California DMV and the California codes. Prime Capital Report does not sell insurance and is not a licensed agent. Every price below is an average or median from the source named next to it, so your own quote will be different.
The best car insurance in California for most drivers in 2026 starts with GEICO. It had the lowest statewide full coverage rate in both major studies we checked: $143 a month in ValuePenguin’s data and a $113 median in NerdWallet’s. Mercury, AAA (CSAA in Northern California, Auto Club of Southern California in the south) and Progressive are close behind, and USAA is a strong option for military families. California is not as expensive as many people assume. ValuePenguin’s average is $221 a month for full coverage, which it says is 5% below the national average. California’s rules are also different from most states. Under Proposition 103, your driving record, annual mileage and years of experience must carry the most weight in your price. Good drivers must also get a discount of at least 20%.
Key takeaways
- Average cost: ValuePenguin’s average is $221 a month for full coverage and $75 for minimum coverage. NerdWallet puts the typical full coverage cost at $158 a month, or $1,894 a year, for a good driver.
- Companies to quote first: GEICO ($143 a month in ValuePenguin’s data; $113 median in NerdWallet’s), Mercury ($197; $115), AAA ($176 for AAA NorCal; $127 for Auto Club of SoCal) and Progressive ($179; $136).
- Legal minimum: 30/60/15 liability since Jan. 1, 2025, up from 15/30/5. Under state law, the limits rise again on Jan. 1, 2035, to 50/100/25.
- Prop 103 protects good drivers: State law says a Good Driver Discount policy must cost at least 20% less than the same coverage would otherwise cost.
- City matters: ValuePenguin’s full coverage average is $307 a month in Los Angeles and $251 in San Francisco, but $214 in San Diego and San Jose.
- Help for low incomes: California’s Low Cost Auto Insurance program sells cheaper liability policies to income-eligible good drivers.
How much does car insurance cost in California?
| Measure | California | United States | Source |
|---|---|---|---|
| Full coverage, average per month | $221 | About 5% higher | ValuePenguin, Oct 2026 |
| Minimum coverage, average per month | $75 | About 16% higher | ValuePenguin, Oct 2026 |
| Full coverage, per year (good driver) | $1,894 | n/a | NerdWallet, Oct 2, 2026 |
| Full coverage, per month (good driver) | $158 | n/a | NerdWallet, Oct 2, 2026 |
Sources: ValuePenguin, Best Cheap Car Insurance in California (2026) (accessed Oct. 19, 2026; rate filing data current as of Oct. 5, 2026). NerdWallet, Cheapest Car Insurance in California for 2026 (updated Oct. 2, 2026). “n/a” means the source does not publish that figure in a comparable form.
The two studies use different sample drivers and coverage limits, so their averages differ. Both agree that prices rose sharply after the pandemic. ValuePenguin says California rates rose about 13% in 2023 and over 16% in 2024, after CDI limited increases through 2022. If you’re comparing other states, see our guides to Texas and Louisiana.
Best car insurance companies in California
ValuePenguin: average rates for a 30-year-old driver
ValuePenguin analyzed 419,680 quotes from 10 large California insurers across 1,842 ZIP codes. Its sample driver is a 30-year-old man with good credit and a 2018 Honda Civic EX. Full coverage includes 50/100/50 liability, uninsured motorist coverage at the same limits, and collision and comprehensive with a $500 deductible.
| Company | Full coverage (monthly) | Minimum coverage (monthly) |
|---|---|---|
| GEICO | $143 | $41 |
| AAA NorCal | $176 | $43 |
| Progressive | $179 | $53 |
| Mercury | $197 | $68 |
| USAA* | $159 | $53 |
| California average | $221 | $75 |
Source: ValuePenguin (accessed Oct. 19, 2026; Quadrant Information Services data). *USAA is available only to current and former military members and their families.
NerdWallet: median rates for a 35-year-old driver
NerdWallet analyzed 20 insurers in every California ZIP code. Its sample driver is 35, has good credit and drives a 2023 Toyota Camry LE 12,000 miles a year. Full coverage has higher limits: 100/300/50 liability, 100/300 uninsured motorist coverage and $1,000 deductibles.
| Company | Full coverage (median per month) | Minimum coverage (median per month) |
|---|---|---|
| GEICO | $113 | $24 |
| Mercury | $115 | $37 |
| Auto Club of SoCal | $127 | $34 |
| CSAA | $135 | $34 |
| Progressive | $136 | n/a |
| National General | n/a | $38 |
Source: NerdWallet (updated Oct. 2, 2026; Quadrant data). “n/a” means the company wasn’t among NerdWallet’s five cheapest for that coverage. NerdWallet’s analysis excludes Liberty Mutual.
What about AAA?
California has two separate AAA insurers. According to NerdWallet, the Auto Club of Southern California serves Imperial, Inyo, Kern, Los Angeles, Mono, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo, Santa Barbara, Tulare and Ventura counties. CSAA (AAA NorCal) serves the rest of the state. You can’t choose which one you get, and you must join the club to buy a policy. ValuePenguin says AAA’s prices are slightly better in Northern California.
Customer service and financial strength
ValuePenguin named GEICO the best California insurer overall. It says GEICO earned the third-highest score in California on J.D. Power’s customer satisfaction survey. It also says GEICO General gets 12% fewer complaints than an average company its size in NAIC data. One downside is that GEICO offers fewer add-ons, such as new car replacement. GEICO also closed its physical California offices in 2022, so you buy online or in the app. NerdWallet rates GEICO 5.0 out of 5, Travelers 4.9, Progressive and State Farm 4.8, USAA 4.7 and Farmers 4.6.
| Company | J.D. Power score (as listed by ValuePenguin) | AM Best financial strength |
|---|---|---|
| USAA* | 735 | A++ |
| AAA NorCal / AAA SoCal | 652 | NR |
| State Farm | 650 | A++ |
| GEICO | 645 | A++ |
| Farmers | 622 | A |
Source: ValuePenguin, California (accessed Oct. 19, 2026), citing J.D. Power 2025 studies, AM Best and NAIC data. NR means not rated. *Only military families can join USAA. Check complaints with the NAIC Consumer Insurance Search.
Car insurance rates by California city
| City | Average full coverage (monthly) | Cheapest company | Cheapest rate (monthly) |
|---|---|---|---|
| Glendale | $334 | AAA | $192 |
| Los Angeles | $307 | AAA | $192 |
| Pasadena | $258 | GEICO | $152 |
| Oakland | $252 | GEICO | $158 |
| San Francisco | $251 | GEICO | $144 |
| Long Beach | $245 | GEICO | $161 |
| Sacramento | $241 | GEICO | $145 |
| Anaheim | $234 | GEICO | $154 |
| Bakersfield | $221 | GEICO | $134 |
| Fresno | $219 | GEICO | $138 |
| San Diego | $214 | GEICO | $132 |
| San Jose | $214 | GEICO | $131 |
Source: ValuePenguin (accessed Oct. 19, 2026). Same sample driver and full coverage policy as above.
In ValuePenguin’s data, the same driver pays about 43% more in Los Angeles than in San Diego (our calculation). GEICO has the cheapest full coverage in 90% of California cities and towns, and AAA in 9%, including Los Angeles and Glendale. Beverly Hills is the most expensive at $356 a month, which ValuePenguin links partly to costly cars on the road. Mount Shasta is the cheapest at $166.
NerdWallet’s city medians for a 35-year-old with a clean record also favor GEICO. Its full coverage medians for GEICO are $1,203 a year in San Diego, $1,260 in San Jose, $1,357 in San Francisco, $1,364 in Fresno and $1,440 in Sacramento.
Best car insurance in California by driver profile
Young drivers
GEICO was cheapest for young drivers in both studies. ValuePenguin’s rates for an 18-year-old were $126 a month for minimum coverage and $364 for full coverage. The state teen averages were $188 and $508 (our calculation from GEICO being $144 below average). NerdWallet’s median for a 20-year-old with their own full coverage policy was $194 a month at GEICO. ValuePenguin says a family policy costs an average of 44% less than two separate policies.
Drivers with a ticket, accident or DUI
- Speeding ticket: ValuePenguin found AAA NorCal and GEICO tied at $223 a month. NerdWallet found Mercury cheapest at a $162 median. ValuePenguin says one ticket raises California full coverage about 44%.
- At-fault accident: Progressive was cheapest in ValuePenguin’s data ($293 a month), and CSAA in NerdWallet’s ($170). ValuePenguin says California drivers pay about twice as much after an accident.
- DUI: Mercury was cheapest in both studies: $351 a month in ValuePenguin’s data and a $203 median in NerdWallet’s. ValuePenguin’s state average after a DUI is $620 a month, and you may need an SR-22 filing with the DMV.
If several violations make coverage hard to find, NerdWallet points to the California Automobile Assigned Risk Plan, which connects high-risk drivers with insurers.
Credit and other factors
Neither study publishes a poor-credit ranking for California, unlike their pages for most states. Under Insurance Code Section 1861.02, added by Prop 103, insurers must rank three factors first, in this order: your driving safety record, the miles you drive each year and your years of driving experience. They may use other factors only if the Insurance Commissioner approves them. Using any factor without approval counts as unfair discrimination under the law.
Seniors
NerdWallet found GEICO cheapest for 70-year-olds, at a median of $111 a month for full coverage. Mercury ($112) and Auto Club of SoCal ($114) were almost the same. NerdWallet says California seniors generally pay less than other age groups.
California car insurance requirements
According to the California DMV, every vehicle must carry at least 30/60/15 liability coverage:
- Bodily injury liability: $30,000 for injury or death to one person and $60,000 for more than one person.
- Property damage liability: $15,000.
These limits took effect for policies issued or renewed on or after Jan. 1, 2025, under SB 1107. Before that, the minimum was 15/30/5. California Vehicle Code Section 16056 also says that on Jan. 1, 2035, the limits rise by $20,000, $40,000 and $10,000, to 50/100/25. Even the new minimum is low. NerdWallet notes that $15,000 of property damage coverage is far less than the cost of a new car. The Insurance Research Council estimates that 20.4% of California drivers were uninsured in 2023, according to Triple-I, so uninsured motorist coverage is worth having.
ValuePenguin says driving without proof of insurance can bring a first-offense fine of $100 to $200 plus penalty assessments, which can bring the total to around $400. Your vehicle may also be impounded.
Low Cost Auto Insurance program
CDI says this state program helps income-eligible good drivers buy liability coverage. Its limits are lower than the normal minimum but still meet state law: $10,000 per person and $20,000 per accident for bodily injury, and $3,000 for property damage, according to ValuePenguin. NerdWallet says you need a valid California license and a car worth $25,000 or less. It puts the income limit for a single driver at $39,900, rising with household size. It says policies can cost up to $920 a year depending on where you live. Check current limits and prices at the CLCA hotline, 1-866-602-8861.
Proposition 103 and California’s Good Driver Discount
Proposition 103, passed by voters in 1988, shapes how every auto policy in California is priced. The key consumer rules:
- 20% Good Driver Discount: Insurance Code Section 1861.02 says a Good Driver Discount policy must cost at least 20% less than the rate you would otherwise pay for the same coverage.
- Who qualifies: CDI says a Good Driver has been licensed for at least three consecutive years and has no more than one point on their driving record.
- Insurers can’t refuse you: The law says an insurer “shall not refuse to offer and sell a Good Driver Discount policy” to anyone who qualifies.
- No penalty for being new to insurance: The absence of prior auto coverage, by itself, can’t be used to deny a Good Driver Discount or to set rates.
- Limited cancellations: CDI says that once a policy is issued, it can be canceled or nonrenewed for only three reasons.
In practice, a clean record is worth more in California than almost anywhere. One at-fault accident or a second point can cost you the discount, so drive carefully and contest tickets you believe are wrong.
Are California car insurance rates going up in 2026?
Mostly they are flat. ValuePenguin’s review of California filings, current as of Oct. 5, 2026, found most large insurers had no statewide change in 2026. State Farm was the only major company to cut rates.
| Company | 2026 rate change | 5-year rate change |
|---|---|---|
| State Farm | -6.2% | +42.8% |
| GEICO | 0.0% | +27.9% |
| Progressive | 0.0% | +25.3% |
| Mercury | 0.0% | +38.0% |
| Farmers | 0.0% | +41.7% |
| Allstate | +0.3% | +52.2% |
| Travelers | +3.2% | +49.7% |
| Kemper | +10.5% | +62.1% |
Source: ValuePenguin (data current as of Oct. 5, 2026). Filings may apply only to some drivers, so your renewal may differ.
Car insurance discounts in California
- Good Driver Discount: At least 20% by law if you qualify (see above).
- Ask CDI’s list: CDI tells consumers to ask about multi-car, mature driver and good driver discounts. It also suggests asking about airbags, anti-theft devices and other safety features.
- Affinity group discounts: ValuePenguin lists occupation and group discounts at large insurers. These include Farmers (14% for some professionals), GEICO (11%), Allied and Mercury (10%), AAA (8%) and Progressive (5%). ValuePenguin notes that CDI has proposed rules to limit these discounts.
- EV and homeowner discounts: ValuePenguin says Mercury offers an electric vehicle discount, and GEICO and Progressive offer homeowner discounts.
- Defensive driving for seniors: NerdWallet says some insurers offer a senior discount for an approved course from groups like AAA, AARP or the National Safety Council.
- Bundling: ValuePenguin says most insurers discount policies when you bundle home or renters insurance.
How to save on car insurance in California
- Compare at least three to four quotes with the same coverage. Include GEICO, Mercury, your regional AAA club and Progressive. ValuePenguin found a $144-a-month gap between the cheapest and most expensive companies for full coverage. Our guide on how to compare car insurance quotes walks you through it.
- Protect your Good Driver status. It’s worth at least 20%, so it is often the biggest discount you’ll get.
- Report your real mileage. Annual miles is the second most important rating factor under Prop 103, so a low-mileage driver should make sure the insurer has the right number.
- Wait for the renewal offer after a ticket or crash. ValuePenguin says you won’t pay a higher rate with your current company until renewal. Compare that renewal price with other quotes.
- Keep young drivers on a family policy. ValuePenguin’s 44% savings figure makes this one of the easiest wins.
- Raise deductibles carefully. CDI says higher comprehensive and collision deductibles lower your premium. It also suggests thinking about dropping those coverages on an older car.
- Check the Low Cost Auto program if money is tight. It is better than going uninsured and risking a suspension.
Our methodology
Prime Capital Report doesn’t collect quotes. We compared two dated 2026 rate studies: ValuePenguin (accessed Oct. 19, 2026) and NerdWallet (updated Oct. 2, 2026). Both use Quadrant Information Services data. For laws and programs, we used the California DMV, CDI, California Insurance Code Section 1861.02, Vehicle Code Section 16056 and Triple-I. We never mix studies within one ranking, because each uses a different driver profile. Percentages comparing cities are our own calculations.
Frequently asked questions
What is the best car insurance company in California?
For most drivers, GEICO is the best place to start. It had the lowest statewide full coverage rate in ValuePenguin’s data ($143 a month) and NerdWallet’s October 2026 data ($113 median). ValuePenguin also named it the best overall for rates and service. Mercury, your regional AAA club and Progressive are strong second quotes, and USAA is a strong choice for military families.
How much is car insurance in California per month?
ValuePenguin’s average is $221 a month for full coverage and $75 for minimum coverage. NerdWallet puts the typical full coverage cost for a good driver at $158 a month, or $1,894 a year.
What is the minimum car insurance required in California?
Since Jan. 1, 2025, California requires 30/60/15 liability: $30,000 per person and $60,000 per accident for injuries, and $15,000 for property damage. State law raises the minimum to 50/100/25 on Jan. 1, 2035.
What is the Good Driver Discount in California?
Under Proposition 103, a Good Driver Discount policy must cost at least 20% less than the same coverage would otherwise cost. CDI says you qualify if you’ve been licensed for at least three consecutive years and have no more than one point on your record. Insurers can’t refuse to sell you one if you qualify.
How much is car insurance in Los Angeles?
ValuePenguin’s full coverage average in Los Angeles is $307 a month, with AAA cheapest at $192. That’s about 43% more than San Diego’s $214 average.
Who has the cheapest car insurance in California after a DUI?
Mercury was cheapest in both studies: $351 a month in ValuePenguin’s data and a $203 median in NerdWallet’s.
Is there low-cost car insurance in California?
Yes. California’s Low Cost Auto Insurance program sells liability policies to income-eligible good drivers. NerdWallet says the income limit for a single driver is $39,900, the car must be worth $25,000 or less, and policies can cost up to $920 a year depending on location.
Sources
- ValuePenguin, “Best Cheap Car Insurance in California (2026),” accessed Oct. 19, 2026: https://www.valuepenguin.com/best-cheap-car-insurance-california
- NerdWallet, “Cheapest Car Insurance in California for 2026,” updated Oct. 2, 2026: https://www.nerdwallet.com/insurance/auto/cheap-car-insurance-california
- California DMV, “Auto Insurance Requirements”: https://www.dmv.ca.gov/portal/vehicle-registration/insurance-requirements
- California Department of Insurance, “Automobile Insurance” consumer guide: insurance.ca.gov
- California Insurance Code Section 1861.02 (Proposition 103): leginfo.legislature.ca.gov
- California Vehicle Code Section 16056 (2025), via Justia: law.justia.com
- Insurance Information Institute (Triple-I), “Facts + Statistics: Uninsured motorists” (Insurance Research Council data): https://www.iii.org/fact-statistic/facts-statistics-uninsured-motorists
- NAIC, Consumer Insurance Search: https://content.naic.org/cis_consumer_information.htm
This article is general information, not insurance or legal advice. Prime Capital Report is not an insurer, agent or broker, and the author, Roberto Gomes, is not a licensed insurance agent. Confirm coverage and prices with a licensed provider in California.
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Written by
Roberto Gomes, Founder and Editor
Roberto researches insurance and personal finance in the United States and Canada from insurers' policy documents, regulator data and public rate filings. He is not a licensed agent or adviser. How we research.
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