For years, drivers across the Bluegrass State have known the importance of smart financial planning, especially when it comes to everyday expenses. Car insurance is often a significant part of that budget, and finding ways to save on coverage is always a priority for Kentuckians.
That’s why any positive shift in the auto insurance market is welcome news– such as State Farm’s upcoming rate increase.
What’s Happening?
State Farm was recently approved to decrease its auto insurance premiums in Kentucky. This adjustment, which amounts to a 6.3% reduction, is expected to bring welcome relief to many policyholders, especially as household budgets continue to be a top concern.
Since State Farm is Kentucky’s #1 biggest auto insurance provider, this change will have wide-reaching impacts. It’s expected to impact an estimated 868,219 policyholders, with the average policy seeing a $76 decrease in premiums. This rate decrease will impact renewal business starting July 23, 2025.
Shop now and save!
What This Means for Kentucky Drivers
Any time an insurance carrier adjusts its rates, it’s an opportunity for consumers to reevaluate their coverage and ensure they are getting the best possible deal. While this reduction from State Farm is beneficial, it’s also a reminder that the insurance landscape is constantly changing. Understanding these shifts can empower you to make informed decisions about your auto insurance policy.
For those currently insured with State Farm, this upcoming rate decrease means you could see a lower premium when your policy renews on or after July 23, 2025. However, there are proactive steps you can take to potentially maximize your savings, both with State Farm and other carriers offering cheap car insurance in Kentucky.
How to Find Cheap Car Insurance in Kentucky
Even with a rate decrease from a major insurer, taking control of your auto insurance costs is always a smart move. Here are some effective strategies to help you save:
1. Requote Your Policy before July 23, 2025
If you’re a State Farm policyholder in Kentucky, consider contacting your insurer to requote your policy before the new rates are fully implemented on July 23, 2025. While the official decrease begins impacting renewals on that date, sometimes getting a fresh quote can lock in the new, lower rate sooner or ensure you’re benefiting fully from the adjustment. It’s worth a quick call or online check to see what your updated premium looks like.
2. Shop Around with Other Carriers
This cannot be stressed enough: the most effective way to find cheap car insurance is to shop around. Even if your current insurer is lowering rates, another company might offer an even better deal for your specific circumstances.
The auto insurance market in Kentucky is competitive, with various carriers vying for your business. Each insurer uses its own unique formula to calculate premiums, considering factors like your driving history, vehicle type, location, and even credit score. What might be expensive with one company could be significantly more affordable with another.
Tools like Auto Quote Tracker are designed precisely for this purpose. They help you monitor rate changes and identify when it might be time to compare quotes from multiple providers. By regularly checking the market, you ensure you’re not missing out on potential savings that could amount to hundreds of dollars annually.
3. Review and Adjust Your Coverages
Your insurance policy isn’t static; neither are your life circumstances. Taking the time to review your current coverages can reveal opportunities to save.
Deductibles: Increasing your deductible (the amount you pay out of pocket before your insurance kicks in) on comprehensive and collision coverage can lower your premium. Just make sure you can comfortably afford the higher deductible if you need to file a claim.
Coverage Levels: Do you still need the same level of coverage? As your car ages, you might consider dropping collision and comprehensive if the cost of the coverage outweighs the car’s value. Minimum liability requirements in Kentucky are $25,000 bodily injury per person, $50,000 bodily injury per accident, $25,000 property damage per accident, and $10,000 for personal injury protection (PIP). While these are the legal minimums, many drivers opt for higher coverage for better financial protection. Ensure your coverage aligns with your current needs and financial situation.
Discounts: Are you taking advantage of all available discounts? Insurers often offer discounts for things like safe driving, good student grades, multiple policies, anti-theft devices, low mileage, or even paying your premium in full. Check with your insurer to ensure you’re receiving every discount you qualify for.
Making the Most of a Rate Change
Start tracking your policy for free with Auto Quote Tracker, and we’ll send rate change alerts directly to your inbox.