Updated on 06.20.16

Car Insurance in Mississippi

Kevin Oliver

I found $391 in savings in just 20 minutes.

Just living in Mississippi means you’re probably paying around $1,734 every year for your car insurance. That’s not a bad deal — it’s actually pretty average, compared to the rest of the nation. However, I did a bit of digging and discovered that most residents are probably paying far more than they have to. In just 20 minutes of scouring the web and making some phone calls, I found almost $400 worth of savings, which deeply undercut the statewide average.

When shopping for your own policy, it’s key to remember that every little factor imaginable has an effect on the way a quote is calculated. Everything from your zip code, to your age, to your credit score can seriously alter the quote you receive. That’s why I couldn’t ever hope to recommend which company is going to be the cheapest for you and your lifestyle. The only way to determine what your best car insurance options are is to get the quotes yourself.

Thankfully, it doesn’t take much work at all to find yourself on a pile of savings. Cheap car insurance quotes are easy to get and don’t affect your credit at all. My advice is to start with companies that offer online tools to get a feel for the process, then move on to phone calls — maybe you could even schedule a meeting with an agent to ask more questions and get a more personalized quote. All in all, you should expect to spend no more than an hour in total. And when you think about the potential savings, it’s not a hard commitment to make.

Get Quotes Now

Enter your zip code to compare rates from some of my top recommendations.

Our Top 5 Picks for the Best Car Insurance in Mississippi

I ventured out to find the most economic minimum coverage the state had to offer. These are the companies that I investigated — each one meets all my criteria for customer service and financial stability, and I’d recommend them to anyone in Mississippi as well.

What are my criteria, you ask? I only chose companies that had an “average” (or higher) JD Power rating in the Southeast Region, as well as a favorable rating from A.M. Best. In case you didn’t know, JD Power conducts incredibly thorough customer service satisfaction surveys while A.M. Best takes a look at insurance companies’ financial viability to help you find the company that will have your back if the unthinkable should happen.

Insurer My quote
Geico $988
Nationwide $1,008
State Farm $1,128
Allstate $1,230
Progressive $1,379

Cheaper doesn’t always mean better, but Geico’s huge savings of $988 (nearly $400 under the state average) make them a little irresistable from a consumer standpoint. In general, my recommendation is to stick with a most affordable, yet reliable company available like Geico is this instance and put your saved money into better coverage. However, it’s worth noting that some of my more expensive options, like Allstate and Progressive, might have turned out to be more competitive if I had originally been searching for more than the state-mandate coverage levels.

Even If You’re Happy, It’s Best to Shop for a New Policy Every Couple of Years

Insurance companies don’t just consider your risk as a driver when they calculate your premium; they also consider how sensitive you are to price change — a tactic called price optimization. According to a study by Earnix, 45 percent of heavyweight insurance companies like Allstate and Progressive analyze a a lot of your personal data (like credit scores, web shopping habits, and social media activity) in order to predict how sensitive you will be to price change. If they feel like you’re a lazy customer, they’ll often take advantage of you with incremental price increases.

Obviously, this isn’t the way anyone wants to be treated. Your rate should reflect how you are as a person; not someone a big data-driven algorithm expects you to be.

Don’t fret just yet, though. There is one way you can prevent being taken advantage of: shopping for new insurance policies. Providers know when you shop around, and the more you do, the riskier it will be for them to hike your rates up. Plus, you’re inevitably going to learn a lot about the competition and learn whether your current rate is truly competitive or not. It’s a win-win, really.

Mississippi’s Minimum Coverage

The Bare Minimum

The quotes I got were for the most basic level of coverage required in the purchase of insurance in Mississippi according to the DMV; $25,000 for bodily injury per person, $50,000 for total bodily injury for all involved, and $25,000 for property damage, or a 25/50/25 plan.

Just in case you’re looking for a workaround, Mississippi does offer some ways to meet the state require financial responsibility without purchasing insurance. The driver has to meet/have one of the following requirements:

  • Post a bond for the minimum coverage amounts
  • Make a cash or security deposit equal to the minimum coverage amounts

The Best Car Insurance is Not Just Cheap Car Insurance

Speaking from experience, I know both the trials of filing a claim and the importance of paying for adequate coverage. In 2015, I totaled my car and walked away with a couple of scratches, one heck of a story, and fortunately, a feeling of comfort in my coverage.

Unfortunately, it’s likely that you will have to file a claim in your lifetime as well. Statistics show that the common driver averages an accident every 17.9 years. What’s even more frightening is that the average cost of injury inducing, but nonfatal accident is a stupefying $74,900, and unless you’re much wealthier than I am (in which case I say congratulations), you would probably rather not pay that out of pocket. 

In most cases, upgrading to a 50/100/50 plan isn’t as daunting of a leap as you might expect. For example, my quote for a 25/50/25 plan with Geico was $988. To up my coverage to 50/100/50 the cost went up to $1018, only $30 more annually. This is a drop in the bucket compared to shelling out of pocket in the event of an accident, which can average from $50,000 to $80,000. In my mind, it’s worth the peace of mind to have a level of coverage you can trust should the unexpected happen.

Get Quotes Now

Enter your zip code to compare rates from some of my top recommendations.

Beat the Average Premium: 9 Ways to Snag Cheap Car Insurance Rates

There are tons of factors that affect your insurance premiums, for better or worse. Your geography plays the biggest role in the cost of your premium and your annual rates. This chart is a rundown of the average monthly premiums in three of Mississippi’s biggest cities, just in case you’re curious if your fellow Mississippian is getting a better deal.

Nine ways to save on your car insurance

FAQs

Why are Mississippi’s so High?

Mississippi has a long standing issues with drivers ignoring the state’s laws. In fact, according the Insurance Research Council, Mississippi ranks number one for uninsured motorists with 28% having no liability insurance. Mississippi’s Insurance Commissioner Mike Chaney said “We need to either enforce the law or change the law and do something different.”

What to Expect
Average Monthly Premiums
United States $139
Mississippi $144
Jackson $145
Gulfport $145
Biloxi $144
Source Quadrant

The culprit for the high premiums lies in a loophole in that lets ticketed drivers purchase insurance after the fact and avoid paying all but $100 of the fine. Reportedly, thousands of Mississippians take advantage of this loophole and only purchase a policy for a month before dropping it. It’s because of these uninsured drivers that those who do pay for insurance in the state pay an extra $11 billion annually.

One factor that could be keeping skyrocketing prices slightly in check is the low cost of labor in vehicle repairs. CarMD has found that Mississippi on average pays 16% below the national average for car repairs, a key factor that has an effect on the price of insurance. It’s possible that the low cost of repairs is the one thing keeping Mississippi’s premium prices from inflating even more.

What if I’m not a full-time resident?

The purchase insurance in the state of Mississippi, you must either be a resident of the state or prove that your vehicle is principally parked there. The only other exemption to the rule is anyone with active military status.

The Bottom Line

If you’re looking for a policy, I strongly encourage you to take the time to compare all of the options in the area. It can definitely pay off. The effort is minimal, and if you end up like me, you might be able to find almost $400 in savings.

Get Quotes Now

Enter your zip code to compare rates from some of my top recommendations.

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