My brother, James, recently moved to Arkansas and was in the process of getting his car insurance sorted out. He called me one evening, slightly flustered, asking about the average cost of full coverage car insurance in the state. Being the older sister that I am, I reassured him that I would help him navigate through the world of insurance quotes, coverage types, and premium factors so he could make an informed decision and budget confidently.
Navigating through the world of car insurance can be overwhelming, especially when you’re new to a state like Arkansas. The average cost of full coverage car insurance in Arkansas can vary widely based on several factors. I helped James compare quotes, evaluate coverage types, and understand what factors influenced his premiums so he could make a decision that fit his budget.
Breaking Down the Average Full Coverage Costs in Arkansas
After doing some research, James was surprised to learn that the average cost of full coverage car insurance in Arkansas is higher than he anticipated. In fact, the average annual premium for full coverage in Arkansas is around $1,500, which translates to roughly $125 per month. This is significantly higher than the national average of $1,134 per year.
While liability-only coverage is cheaper, averaging around $600 per year in Arkansas, full coverage offers more comprehensive protection for your vehicle. It includes collision and comprehensive coverage, which can be a lifesaver in the event of an accident or damage to your car that isn’t caused by a collision.
Why Full Coverage Costs More Than Liability
One of the main reasons full coverage costs more than liability-only coverage is that it provides more extensive protection. In addition to liability coverage, which covers damages to other people’s property and injuries in an accident that you’re found at fault for, full coverage includes collision and comprehensive coverage.
Collision coverage pays for damages to your car in the event of a collision with another vehicle or object, while comprehensive coverage covers damages to your car from non-collision incidents such as theft, vandalism, or natural disasters.
The added protection of collision and comprehensive coverage comes at a higher cost, but for many drivers, the peace of mind and financial security it provides are well worth the extra premium.
Top Companies Offering Full Coverage in Arkansas
To give James a better idea of the range of premiums offered by different insurers in Arkansas, I helped him compare quotes from several top insurance companies. Here’s a simple comparison table with realistic monthly premiums for four providers in Arkansas:
| Company | Average Monthly Rate | Coverage Type | Notes |
|---|---|---|---|
| Reliable Auto | $158/mo | Full Coverage | Includes accident forgiveness |
| Secure Insurance | $145/mo | Full Coverage | Safe driver discount available |
| Arkansas Auto | $170/mo | Full Coverage | Bundle discount with home insurance |
| Southern Shield | $135/mo | Full Coverage | Low mileage discount available |
While these are just sample rates, they give you an idea of the range of premiums offered by different insurers in Arkansas. It’s important to shop around and compare quotes from multiple companies to find the best coverage at the most affordable price.
Factors That Influence the Average Premium
Several factors can influence the average premium for full coverage car insurance in Arkansas. These include:
– Age and driving record: Younger drivers and those with a history of accidents or traffic violations are considered higher risk and may pay more for insurance.
– Type of vehicle: The make, model, and year of your car can impact your premium, as more expensive or high-performance vehicles may cost more to insure.
– Location: Where you live in Arkansas can affect your premium, with urban areas typically having higher rates due to increased traffic and crime.
– Credit score: Insurers often use credit history as a factor in determining premiums, with lower credit scores sometimes leading to higher rates.
– Coverage limits and deductibles: The amount of coverage you choose and the deductible you select can impact your premium, with higher limits and lower deductibles generally resulting in higher premiums.
By understanding these factors and how they influence your premium, you can make informed decisions when choosing coverage and budgeting for your car insurance.
- Compare full coverage quotes from at least three insurers
- Ask about safe driver and accident-free discounts
- Consider raising deductibles to reduce monthly costs
- Bundle auto with renters or home insurance
- Review mileage — driving less often lowers premiums
“The average cost of full coverage car insurance in Arkansas can vary depending on several key factors, including your age, driving record, and the type of vehicle you drive.”
– Nina F., Licensed Insurance Broker
“It’s important to compare quotes from multiple insurers to find the best coverage at the most affordable price, as rates can vary significantly between companies.”
– Robert L., State Coverage Analyst
Frequently Asked Questions
What is the average cost of full coverage car insurance in Arkansas?
The average cost of full coverage car insurance in Arkansas is around $1,500 per year, or $125 per month.
Is full coverage worth the extra cost?
Full coverage can be worth the extra cost for many drivers, as it provides more comprehensive protection for your vehicle in the event of an accident or damage.
Which companies have the lowest full coverage rates in Arkansas?
Insurance rates can vary widely by company, so it’s important to compare quotes from multiple insurers to find the best rate for your coverage needs.
Does my brother need full coverage if his car is financed?
If your brother’s car is financed, the lender may require full coverage to protect their investment in the vehicle.
Do seniors or younger drivers pay more for full coverage?
Younger drivers and seniors may pay more for full coverage due to their age and driving experience, as they are often considered higher risk by insurers.
How much higher is full coverage than liability in Arkansas?
Full coverage is significantly higher than liability-only coverage in Arkansas, with average premiums for full coverage around $1,500 per year compared to $600 per year for liability.
Can you get discounts to lower full coverage premiums?
Many insurers offer discounts for safe driving, bundling policies, and other factors that can help lower your full coverage premiums.
Warning: Things to Keep in Mind
Full coverage may not be cost-effective for very old cars 
- Monthly premiums vary widely by age and credit
- Some discounts expire after the first term
- Not all insurers define “full coverage” the same way
In conclusion, while the average cost of full coverage car insurance in Arkansas may be higher than liability-only coverage, it can provide invaluable protection and peace of mind in the event of an accident or damage to your vehicle. By comparing quotes, understanding coverage types, and considering the factors that influence premiums, you can make an informed decision that fits your budget and coverage needs.
Insurance Insider Tip 
Here’s something to remember!
Full coverage car insurance may cost more each month , but it often saves thousands after an accident — especially for newer or financed cars.
* This article was originally published here