The Best Month to Buy Car Insurance Is …

Anna Williams

when buy car insuranceFor many of us, December can be a budget-busting month.

But it turns out, purchasing at least one thing in December can actually save you money, a new study finds.

Researchers at analyzed car insurance premiums throughout the year, and found that December is actually the most affordable month to purchase coverage, on average. In fact, price swings throughout the year are pretty dramatic: Rates can vary by as much as 48% between the cheapest and the most expensive month, which was March.

And while car insurance rates largely depend on factors like the driver’s age, the make of the car and the history of claims, it turns out that price swings also varied dramatically depending on the driver’s state: While December was, on average, the lowest-cost month across the country, it was also the most expensive in 11 states.

Researchers said that they weren’t able to pinpoint an exact pattern or factor to explain the variability. ”Rates are constantly changing, much more so than the average consumer would realize,” Laura Adams, a senior analyst at, told One factor, however, could be that rate increases due to adjustments for inflation often take place in January.

The bottom line? It’s always important to shop around and use timing to your advantage to help cut costs. For more insight on which months offer the best deals on what purchases, check our guide to What to Buy When.

  • MaxHedrm

    So, this is a worthless article. December is the best month to buy, unless you are in one of 11 unnamed states where it’s the worst. Seriously?

  • Jacqui

    Seriously!! I was waiting for a link or something to the study so I can see which 11 states it’s the worst in or something!

  • Car Insurance

    The cheapest time to buy a car insurance is December because, the national median cost of a new full-coverage auto policy for a 35-year-old single male with a $500 deductible (and a clean driving record) costs 8 percent less than it does in March, the most expensive month.