Cheapest Car Insurance, Nebraska 2025: Find Affordable Coverage

Every driver in Nebraska could benefit from affordable car insurance coverage. But sometimes, it can get expensive, especially if you have a traffic violation on your record or a teen who has just received their driving license.

This guide provides a breakdown of the best Nebraska auto insurance options available to help you get budget-friendly coverage in the Cornhusker State. We will also provide insights into why auto insurance rates differ, and what you can do to lower your costs.

Average Cost of Car Insurance in Nebraska

According to Bankrate, the average cost of car insurance in Nebraska is $524 for minimum coverage and $2,393 for full coverage. This is below the national average rates partly because Nebraska has large rural areas with fewer accident claims.

However, it is important to note that your exact car insurance cost may differ because of individual factors such as driving history and age. This is why you should compare car insurance quotes with us to find the cheapest quality coverage.

Source: Cheapest car insurance in Nebraska for 2025 (Bankrate)

Factors Affecting Car Insurance Rates in Nebraska

Here are some common factors that influence Nebraska car insurance premiums:

• Driving Habits: Good drivers with clean records benefit from lower premiums, while those with accidents or tickets pay more.
• Credit History: Insurers in Nebraska use credit scores to determine risk. Drivers with good credit pay lower premiums, while those with poor credit pay higher premiums.
• Age and Driving Experience: Younger, less experienced drivers usually pay higher rates, while older drivers pay lower rates.
• Vehicle Type: Cars with safety features and lower repair costs may qualify for Nebraska car insurance discounts. On the other hand, luxury cars with high maintenance and repair costs are more expensive to insure.
• Location: Urban areas often have higher rates due to higher accident risk, while rural areas have lower rates due to low traffic density. Also, parts of Nebraska that receive severe weather may have higher car insurance rates.

Cheap Auto Insurance in Nebraska: Top Companies

Many insurers offer affordable coverage in the state. The following companies are the cheapest:

1. American National

American National provides reliable auto insurance with different coverage options to suit many drivers. They offer the lowest premiums in the state, according to US News, with an average annual rate of $777. American National also offers discounts for bundling home and auto policies, and for safe driving.

2. FMNE Insurance

FMNE Insurance is another popular choice in Nebraska, offering competitive rates for drivers in the state. They focus on personalized insurance plans, allowing drivers to choose from different coverage options. FMNE also offers discounts for drivers with multiple policies or a clean driving record. Their average annual rate in the state is $1,285.

3. Auto-Owners

Auto-Owners Insurance has a strong reputation for affordable pricing and good customer service. They offer various discounts, including safe-driving and safety-feature discounts. Drivers who choose Auto Owners can get an average rate of $1,383 per year.

4. Progressive

Progressive offers affordable rates and discounts. They are a good choice for Nebraska drivers with unique needs, such as those with high mileage or specific coverage preferences. Progressive also has a 'Name Your Price' tool that lets drivers find policies that fit their budgets. The company has an annual average rate of $1,491.

5. USAA

USAA provides some of the best rates, but only for military personnel and their family members. Their excellent customer service and easy claims process make them a top choice for military communities in Nebraska who want affordable auto insurance. USAA's average annual rate is $1,532.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Cheapest Auto Insurance, Nebraska by Driver Age

Car insurance in Nebraska costs differently depending on your age. As is in many states, younger drivers pay more because they have limited driving experience. On the other hand, older drivers pay less because insurers view them as more financially stable and experienced.

However, all drivers can find the cheapest rates by comparing car insurance quotes from different providers. Here's a closer look at the various driver categories by age:

Teens (17-Year-Olds)

Teen drivers in Nebraska pay the highest premiums out of any age group because they have limited driving experience, which often leads to higher accident rates.

According to US News, teen drivers in Nebraska pay over $6,000 per year for car insurance on average. The cheapest company for teenage drivers is American National, which offers $1,905 for females and $2,203 for males. FMNE Insurance and Auto-Owners also offer affordable rates for this category.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Young Adults (25-Year-Olds)

Young adults get more affordable Nebraska car insurance than teens because they have more driving experience. Good drivers with good credit scores in this category often qualify for the lowest rates. As a young adult in the state, you can find the most affordable car insurance coverage with American National: $929 for female drivers and $990 for male drivers.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Adults (40-Year-Olds)

Drivers in this category receive low rates because they have a lot of experience and are considered more financially stable, therefore, less likely to file a claim. American National is the cheapest insurer for adults in their 40s, with rates of $722 for females and $760 for males.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Seniors (60-Year-Olds)

Senior drivers also pay low car insurance rates, with the cheapest company being American National. They offer average annual rates of $630 for females and $632 for males in this category. FMNE Insurance is the second-cheapest option for seniors.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Cheap Auto Insurance, Nebraska, by Driving History

Your driving history can affect your car insurance premiums. Some Nebraska insurers offer affordable rates even for drivers with spotty records. Here's a look at how your driving history can affect the cost of car insurance in Nebraska, and which companies have the best rates.

With a Speeding Ticket

Getting a speeding ticket in Nebraska can increase your auto insurance premiums. American National offers competitive rates to drivers with speeding tickets. Their annual premium for these drivers is $883.

With an Accident Caused

An at-fault accident will increase your car insurance rates. But several insurers offer affordable premiums. The cheapest car insurance for drivers with an accident on their record in Nebraska is American National at $998 per year.

With a DUI

A DUI is the most serious of the three violations. Your car insurance premiums can increase by as much as 100%. The cheapest rate for drivers with a DUI is $1,095 from American National.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Cheap Car Insurance, Nebraska, For Poor Credit

Having poor credit can result in higher auto insurance premiums, as insurers view drivers with poor credit as higher-risk. However, there are still affordable coverage options. FMNE Insurance offers the most affordable rates for drivers with poor credit at $1,958 per year. Other affordable companies include Progressive and IMT Insurance.

Source: Cheapest Car Insurance in Nebraska for 2025 (US News)

Cheapest Car Insurance in Nebraska by City

Car insurance rates can also be different depending on where you live. Several factors contribute to this variation, including population density and the frequency of accidents. Also, some parts of Nebraska receive severe weather such as hail and flooding, which can increase premiums. The cheapest cities in Nebraska for car insurance are:

Source: Cheapest Car Insurance in Nebraska for 2025 (Bankrate)

Tips for Finding the Cheapest Nebraska Car Insurance

Consider these tips to help reduce your car insurance premium in Nebraska:

1. Shop Around: Compare car insurance quotes from multiple insurers to find the best rate.
2. Look for Discounts: Many companies offer discounts for safe drivers or for being a good student. Ask your provider what applies to you.
3. Increase Your Deductible: Raising your deductible can lower your premium, though it means higher out-of-pocket costs in an accident.
4. Work on Your Credit Score: A better credit score can lower your insurance rates.
5. Review Coverage Needs: Make sure you’re only paying for the coverage you need, especially if you have an older vehicle.

State Minimum Car Insurance Requirements

Like all states, the Nebraska Department of Motor Vehicles requires all drivers to carry minimum liability insurance. The minimum required coverage in the state is as follows:

• $25,000 for bodily injury per person
• $50,000 for bodily injury per accident
• $25,000 for property damage per accident
• $25,000 per person/$50,000 per accident of uninsured/underinsured motorist bodily injury coverage

The minimum coverage car insurance in Nebraska offers protection to:

• Bodily Injury Liability Coverage: Helps pay for the medical expenses of the other driver if they are injured in an accident you cause. It may also pay your legal fees if you’re sued.
• Property Damage Liability Coverage: Helps repair or replace property you damage in an accident, such as cars or fences. It can also help cover associated legal expenses.
• Uninsured/Underinsured Motorist Bodily Injury Coverage: Pays your medical bills if you’re injured in an accident caused by someone who doesn’t have car insurance (uninsured motorist coverage) or doesn’t have enough liability insurance to pay your expenses (underinsured motorist coverage). It can also cover hit-and-run accidents.

While these are the minimum coverage levels, they may not be enough to cover you in serious accidents. It is why some drivers get higher limits. Before choosing minimum coverage limits, consider your financial situation and your assets.

You can also get more coverage, which is optional in the state but offers protection. Some additional coverages to consider in Nebraska include:

Comprehensive Coverage

This insurance helps pay for your car repairs or replacement if it sustains damage from a non-collision incident, such as a falling branch. Your lender or lessor may require you to have comprehensive coverage.

Collision Coverage

Collision protects your car if you're in an accident with another motor vehicle or object. If you have a loan or lease, your lender or lessor may require you to have this coverage.

Rental Car Reimbursement

This coverage helps pay for a rental car if your insured vehicle is totaled or damaged. It can also cover theft. The insurance usually has a set daily limit.

Medical Payments Coverage

Medpay helps cover your and your passengers' medical bills after an accident, regardless of fault.

Is Full Coverage Worth It in Nebraska?

Full coverage is more extensive, including liability, collision, and comprehensive coverage, which protects you and your vehicle. While it costs more than minimum coverage, full coverage may be worth it if you have a newer car or are financing it. Nebraska’s severe weather can also make full coverage more beneficial.

FAQs

What is the Average Cost of Car Insurance in Nebraska?

The average cost of car insurance in Nebraska is $524 for minimum coverage and $2,393 for full coverage.

What is the Cheapest Car Insurance for Young Drivers in Nebraska?

According to US News, American National offers the cheapest rates for teenagers and young adults. Other affordable companies include FMNE Insurance and Auto-Owners.

How Can I Lower My Car Insurance in Nebraska?

To find cheap car insurance in Nebraska, you should take advantage of available discounts, compare car insurance quotes from multiple companies, improve your credit score, maintain a clean driving record, and raise your deductibles if you can afford it.