15 states where car insurance rates will drop in the first half of 2020

Kentucky drivers will see the most widespread and noticeable changes to car insurance premiums, with over 1.5 million drivers seeing falling rates, at an average of a 5% drop.
Over one million drivers in both Louisiana and Kansas will have lower rates in 2020. Michigan, Arkansas, and Mississippi drivers will also see their premiums decrease.
See Business Insider's picks for the best affordable car insurance companies

Car insurance costs are on the rise in many states in the US.

But, car insurance premiums are actually falling for many more Americans than they are rising. About 7.7 million American drivers are projected to see a decrease in the first half of 2020, while about 5.6 million Americans can expect to see their rates increase.

Every insurance company in each state files a request for rate changes when increasing or decreasing rates, and all changes are subject to approval by the Department of Insurance. Even after filing and approval, changes are possible. This data looks only at changes to premiums that have already been approved. For more on the methodology, scroll to the end of this article.

If you're living in one of these 15 states (listed below from least to most policyholders affected) and your rate doesn't go down, it might be worth shopping around to see if there's a better rate available.

15. South Carolina

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Car insurance rates are rather volatile in the Palmetto State in 2020 while over 68,000 customers will see a small decrease, over 1 million South Carolina residents will see their rates go up this year.

Number of policyholders affected: 68,668

Average rate decrease: .1%

14. Pennsylvania

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About 76,000 customers in Pennsylvania will see some slight decreases to their car insurance bill in early 2020.

Number of policyholders affected: 76,538

Average rate decrease: .59%

13. Indiana

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Much like South Carolina drivers, Indiana residents are also seeing big changes in rates. While about half a million policyholders are seeing increases, 90,000 will see their rates decrease.

Number of policyholders affected: 90,875

Average rate decrease: 2.97%

12. North Dakota

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North Dakota drivers will see their rates drop by an average of a quarter of a percent.

Number of policyholders affected: 117,657

Average rate decrease: .25%

11. New York

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While many New York drivers are also seeing increases, over 170,000 drivers will see their rates drop in 2020.

Number of policyholders affected: 170,619

Average rate decrease: 4.1%

10. Delaware

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About 20% of Delaware residents will see their premiums drop in 2020.

Number of policyholders affected: 194,048

Average rate decrease: 1.16%

9. Texas

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Almost 200,000 Texans will see their rates drop slightly in 2020.

Number of policyholders affected: 197,019

Average rate decrease: 1.43%

8. Georgia

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About 390,000 Georgia drivers will see their rates go down in 2020.

Number of policyholders affected: 389,230

Average rate decrease: .15%

7. Nevada

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Nevada drivers could see some slight decreases to their car insurance bills.

Number of policyholders affected: 395,588

Average rate decrease: .65%

6. Mississippi

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About 18% of Mississippi drivers can look forward to a drop in their car insurance premiums this year.

Number of policyholders affected: 534,909

Average rate decrease: 2.87%

5. Arkansas

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About 20% of Arkansas' 3 million residents will see a small drop in their car insurance premiums early this year.

Number of policyholders affected: 605,440

Average rate decrease: 2.46%

4. Michigan

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Michigan is one of the most expensive states in the US for car insurance. Luckily, over 900,000 policyholders will see a small break this year.

Number of policyholders affected: 922,225

Average rate decrease: 1.89%

3. Kansas

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Over 1 million Kansas drivers will see their auto insurance premiums lower in early 2020.

Number of policyholders affected: 1,033,162

Average rate decrease: 1.9%

2. Louisiana

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About a quarter of Louisiana residents will see a drop in their car insurance rates.

Number of policyholders affected: 1,040,853

Average rate decrease: 1.63%

1. Kentucky

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Over 1.5 million Kentuckians will see their car insurance premiums fall an average of about 5%.

Number of policyholders affected: 1,591,830

Average rate decrease: 5.08%

How did we get this ranking?

Insurance companies are required to notify and get approval from state regulators before making any increases or decreases in rates. Business Insider gathered data from these notices through S&P Global Marketing Intelligence and the National Association of Insurance Commissioners. Over 1,100 rate change filings were made across the US for 2020. This data includes both auto only policies, and policies with homeowners insurance bundled.

These 15 states were ranked by totaling all the policyholders affected by rate changes filed to take effect in 2020. The percent change is calculated as the average of all proposed changes in the state.

These rates could change with time, and there could be more to come. The data only considers the requests already submitted, which will take effect in the first half of 2020.

Remember that auto insurance rates vary by person, and every company evaluates its risk and pricing differently on a per-person basis.

15 states where car insurance rates will drop in the first half of 2020

15. South Carolina

14. Pennsylvania

13. Indiana

12. North Dakota

11. New York

10. Delaware

9. Texas

8. Georgia

7. Nevada

6. Mississippi

5. Arkansas

4. Michigan

3. Kansas

2. Louisiana

1. Kentucky

How did we get this ranking?

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