The Denver metropolitan area has the sixth least expensive car insurance in the nation, according to a report released Thursday by The group is one of the most visited insurance comparison sites online, providing resources and guidance for consumers on the best ways to save, shop, and choose the right insurance policy.

Nationally, the average annual cost of car insurance nationwide was $797 in 2011 — the most recent data available. Denver insurance costs 12 percent less than the national average, with an average cost just above $700. asked outside experts to examine the data and try to determine what caused wide variations in the 25 largest U.S. metro areas. A correlation was found between insurance rates and population density — and thus traffic density. Thus, cities like Los Angeles and New York have the highest insurance rates. New York ranked second among the 25 cities with premiums that averaged 36 percent above the average. Los Angeles ranked fourth with premiums 25 percent above average.

But state regulations also influence prices. Premiums for drivers in metro Detroit-Ann Arbor, Mich., are 165 percent above the average premium. In Michigan, drivers are covered by no-fault insurance rules. No-fault means insurers compensate their own policy holders, regardless of who’s at fault in the accident.

The cheapest car insurance in the 25 metro areas studied was found in Charlotte, N.C.-Concord, S.C, where premiums were 43 percent below average , followed by Cleveland, Pittsburgh, St. Louis and Chicago.

Leave a Reply

Your email address will not be published. Required fields are marked *