What car insurance costs in Louisiana

Louisiana's premium, coverage by coverage

The National Association of Insurance Commissioners (NAIC) totals the premiums insurers charge in each state. In 2023, its latest state-level year, the average Louisiana expenditure came to $1,749 per insured car, 12% above the $1,558 of 2022. Expenditure includes cars carrying liability only; the combined premium for a car with liability, collision and comprehensive was $1,979.

The gap shows up everywhere. Liability, the coverage every Louisiana owner must buy, averages $1,052, about 43% above the U.S. figure. Comprehensive is about 45% higher and collision about 25% higher. The NAIC tables don't explain the difference, so we won't guess at it here; what they do show is that a Louisiana driver has more money at stake when picking an insurer. Your own price also depends on where you park; see how location sets a price.

Louisiana's legal minimum, and the no pay, no play rule

Louisiana requires liability coverage on every car you own, at limits of at least $15,000 for one injured person, $30,000 for all injuries in one accident and $25,000 for property damage (La. R.S. 32:900). The per-person injury limit is lower than in most states, and a serious injury can use it up quickly.

• Uninsured motorist coverage is included automatically, at the same limits as your bodily injury liability, unless the named insured rejects it, picks lower limits or chooses economic-only coverage on a form prescribed by the insurance commissioner (La. R.S. 22:1295).
• Economic-only UM costs less because it pays for actual injury costs but not pain and suffering.
• No pay, no play: a driver without insurance can't collect the first $15,000 of injury damages or the first $25,000 of property damage, whoever caused the crash, according to the Louisiana Department of Insurance (LDI).
• Collision and comprehensive are not part of the legal minimum, but lenders may require them on a financed car.

The Insurance Research Council estimates that 11.7% of Louisiana drivers were uninsured in 2023, below the 15.4% national rate. Before trimming uninsured motorist limits to save money, see how limits and deductibles change what you are protected against.

How Louisiana regulates car insurance prices

The LDI's rate and rule filing handbook (June 2025 edition) describes Louisiana as a file-and-use state: insurers file their rates with the department, and a filing is deemed approved unless the commissioner objects within the period the law sets. Each company still builds its own rates.

The LDI's consumer guide says race and religion may not be used to set rates, while credit information, gender and marital status may affect a premium, along with age, location, vehicle, coverage, deductibles, driving record and mileage. R.S. 22:1504 sets limits: an insurer can't deny, cancel or nonrenew a policy, or set your renewal rate, solely on credit information, and you can ask to be re-underwritten on current credit at your annual renewal. For how credit enters the price, read our page on credit-based insurance scores.

If insurers won't write your policy

The LDI calls the Louisiana Automobile Insurance Plan the insurer of last resort for Louisiana drivers. It serves eligible drivers who can't find coverage in the voluntary market, and only agents with a Louisiana auto insurance license can write business through it, so ask your agent. Our guide to assigned-risk plans explains how to move back to the regular market later.

Ways to lower a Louisiana premium

1. 1 Apply for the military discount if you serve. Active-duty members, reservists and Louisiana National Guard members stationed or based in Louisiana can get 25% off the liability portion of the premium. Send the state application form and proof of service to your insurer.
2. 2 Compare several insurers. With averages this high, the spread between companies matters. Request quotes on matching coverage and compare them line by line.
3. 3 Ask about voluntary discounts. The LDI lists multi-car, bundling, telematics, good-student, senior, defensive driving, teen driver education and safety-device discounts that insurers may offer; eligibility and amounts vary.
4. 4 Check complaint records and complain if needed. The LDI's online complaint index compares companies' complaint histories, and its consumer line is 800-259-5300. Complaints can be filed online.

Questions drivers ask