The Cost to Ride
Owning a car can be costly—especially in the current economic climate. Monthly loan payments and annual insurance premiums are significant investments for something that’s a necessity for most people. With other factors like gas and maintenance, what does the actual yearly cost of car ownership look like? We compiled and analyzed data from a variety of sources to find out.
A Pricey Investment
Let’s start by taking a look at the costs of ownership nationwide. In which states is owning a car the most and least affordable?
Overall, the national average cost of owning a car was $6,153 per year. Nevada was the most expensive state for car ownership, with an average annual cost of $8,064. Florida was the second most expensive at $7,728, and Rhode Island was third at $7,695.
On the flip side, New Hampshire had the lowest annual car ownership cost at $4,597, followed by North Carolina ($4,757) and Alabama ($4,879).
To gain more insight into the differences in car ownership costs among states, use the interactive table below to review the data for all 50 states across our four ranking categories: insurance premiums, gas, maintenance, and vehicle taxes.
The Wheel Cost
Unavoidable factors like rising gas prices add to the annual cost of car ownership. Coupled with rising state taxes and the maintenance of more expensive electric parts, car owners can quickly feel the stress on their bank accounts. Which states are feeling the biggest strain on their budgets?
California, Washington, and Hawaii clinched the top three spots for the highest average gas costs; Californians shelled out a staggering $2,444 annually. Residents in these states might want to consider switching to an electric truck or car to help offset this expense. The least expensive states for fueling up were Mississippi, Alabama, and Louisiana, with average annual costs between $1,591 and $1,641.
Moving on to insurance rates, Florida, Louisiana, and Kentucky had the highest premiums at around $3,300 to $3,600 per year. Meanwhile, Maine, Idaho, and Vermont had significantly lower premiums—around $1,300 annually.
From oil changes to balancing your tires, vehicles need regular maintenance to run their best. California, New Hampshire, and Washington were the most expensive states for car maintenance, while average car maintenance costs in Alabama, Nebraska, Georgia, and Mississippi were the most affordable.
State vehicle taxes also differed greatly between states. Nevada, Kansas, Illinois, and California had the highest rates, ranging from 7.25% to 8.25% and resulting in tax costs of up to $2,163. In stark contrast, Alaska, Delaware, Montana, New Hampshire, and Oregon had zero vehicle tax.
Cross-Country Breakdown
The final part of our study is a state-by-state breakdown of car ownership costs. See where your state lands and how it compares to the national average.
National Averages
- Insurance, gas, and maintenance: $4,832
- Average cost of car insurance: $2,187
- Vehicle tax rate: 5.04%
- Cost of a regular gallon of gas: $3.76
Alabama
- Insurance, gas, and maintenance: $4,354
- Average cost of car insurance: $2,269
- Vehicle tax rate: 2.00%
- Cost of a regular gallon of gas: $3.35
Alaska
- Insurance, gas, and maintenance: $5,314
- Average cost of car insurance: $1,955
- Vehicle tax rate: 0%
- Cost of a regular gallon of gas: $4.34
Arizona
- Insurance, gas, and maintenance: $5,293
- Average cost of car insurance: $2,155
- Vehicle tax rate: 5.60%
- Cost of a regular gallon of gas: $3.83
Arkansas
- Insurance, gas, and maintenance: $4,295
- Average cost of car insurance: $2,160
- Vehicle tax rate: 6.50%
- Cost of a regular gallon of gas: $3.41
California
- Insurance, gas, and maintenance: $5,379
- Average cost of car insurance: $1,659
- Vehicle tax rate: 7.25%
- Cost of a regular gallon of gas: $5.00
Colorado
- Insurance, gas, and maintenance: $5,367
- Average cost of car insurance: $2,698
- Vehicle tax rate: 2.90%
- Cost of a regular gallon of gas: $3.95
Connecticut
- Insurance, gas, and maintenance: $5,709
- Average cost of car insurance: $2,604
- Vehicle tax rate: 6.35%
- Cost of a regular gallon of gas: $3.76
Delaware
- Insurance, gas, and maintenance: $5,142
- Average cost of car insurance: $2,601
- Vehicle tax rate: 0.00%
- Cost of a regular gallon of gas: $3.64
Florida
- Insurance, gas, and maintenance: $6,155
- Average cost of car insurance: $3,605
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.66
Georgia
- Insurance, gas, and maintenance: $4,713
- Average cost of car insurance: $2,509
- Vehicle tax rate: 6.60%
- Cost of a regular gallon of gas: $3.56
Hawaii
- Insurance, gas, and maintenance: $5,165
- Average cost of car insurance: $1,631
- Vehicle tax rate: 4.00%
- Cost of a regular gallon of gas: $4.70
Idaho
- Insurance, gas, and maintenance: $4,023
- Average cost of car insurance: $1,349
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.91
Illinois
- Insurance, gas, and maintenance: $4,174
- Average cost of car insurance: $1,747
- Vehicle tax rate: 7.25%
- Cost of a regular gallon of gas: $3.99
Indiana
- Insurance, gas, and maintenance: $3,708
- Average cost of car insurance: $1,433
- Vehicle tax rate: 7.00%
- Cost of a regular gallon of gas: $3.69
Iowa
- Insurance, gas, and maintenance: $3,831
- Average cost of car insurance: $1,596
- Vehicle tax rate: 5.00%
- Cost of a regular gallon of gas: $3.61
Kansas
- Insurance, gas, and maintenance: $4,488
- Average cost of car insurance: $2,290
- Vehicle tax rate: 7.50%
- Cost of a regular gallon of gas: $3.53
Kentucky
- Insurance, gas, and maintenance: $5,809
- Average cost of car insurance: $3,357
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.46
Louisiana
- Insurance, gas, and maintenance: $5,504
- Average cost of car insurance: $3,399
- Vehicle tax rate: 4.45%
- Cost of a regular gallon of gas: $3.36
Maine
- Insurance, gas, and maintenance: $4,426
- Average cost of car insurance: $1,323
- Vehicle tax rate: 5.50%
- Cost of a regular gallon of gas: $3.76
Maryland
- Insurance, gas, and maintenance: $6,100
- Average cost of car insurance: $2,998
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.76
Massachusetts
- Insurance, gas, and maintenance: $4,448
- Average cost of car insurance: $1,394
- Vehicle tax rate: 6.25%
- Cost of a regular gallon of gas: $3.68
Michigan
- Insurance, gas, and maintenance: $5,493
- Average cost of car insurance: $3,229
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.67
Minnesota
- Insurance, gas, and maintenance: $4,481
- Average cost of car insurance: $1,931
- Vehicle tax rate: 6.50%
- Cost of a regular gallon of gas: $3.65
Mississippi
- Insurance, gas, and maintenance: $4,005
- Average cost of car insurance: $1,950
- Vehicle tax rate: 5.00%
- Cost of a regular gallon of gas: $3.25
Missouri
- Insurance, gas, and maintenance: $4,877
- Average cost of car insurance: $2,706
- Vehicle tax rate: 4.23%
- Cost of a regular gallon of gas: $3.47
Montana
- Insurance, gas, and maintenance: $5,440
- Average cost of car insurance: $2,831
- Vehicle tax rate: 0.00%
- Cost of a regular gallon of gas: $3.87
Nebraska
- Insurance, gas, and maintenance: $3,955
- Average cost of car insurance: $1,788
- Vehicle tax rate: 5.50%
- Cost of a regular gallon of gas: $3.52
Nevada
- Insurance, gas, and maintenance: $5,901
- Average cost of car insurance: $3,058
- Vehicle tax rate: 8.25%
- Cost of a regular gallon of gas: $4.28
New Hampshire
- Insurance, gas, and maintenance: $4,597
- Average cost of car insurance: $1,557
- Vehicle tax rate: 0.00%
- Cost of a regular gallon of gas: $3.62
New Jersey
- Insurance, gas, and maintenance: $5,376
- Average cost of car insurance: $2,809
- Vehicle tax rate: 6.63%
- Cost of a regular gallon of gas: $3.71
New Mexico
- Insurance, gas, and maintenance: $4,680
- Average cost of car insurance: $2,127
- Vehicle tax rate: 4.00%
- Cost of a regular gallon of gas: $3.70
New York
- Insurance, gas, and maintenance: $5,716
- Average cost of car insurance: $2,600
- Vehicle tax rate: 4.00%
- Cost of a regular gallon of gas: $3.82
North Carolina
- Insurance, gas, and maintenance: $3,971
- Average cost of car insurance: $1,487
- Vehicle tax rate: 3.00%
- Cost of a regular gallon of gas: $3.53
North Dakota
- Insurance, gas, and maintenance: $4,413
- Average cost of car insurance: $1,869
- Vehicle tax rate: 5.00%
- Cost of a regular gallon of gas: $3.64
Ohio
- Insurance, gas, and maintenance: $3,889
- Average cost of car insurance: $1,423
- Vehicle tax rate: 5.75%
- Cost of a regular gallon of gas: $3.49
Oklahoma
- Insurance, gas, and maintenance: $4,598
- Average cost of car insurance: $2,438
- Vehicle tax rate: 3.25%
- Cost of a regular gallon of gas: $3.47
Oregon
- Insurance, gas, and maintenance: $5,331
- Average cost of car insurance: $1,888
- Vehicle tax rate: 0.00%
- Cost of a regular gallon of gas: $4.61
Pennsylvania
- Insurance, gas, and maintenance: $4,913
- Average cost of car insurance: $2,266
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.86
Rhode Island
- Insurance, gas, and maintenance: $5,860
- Average cost of car insurance: $3,300
- Vehicle tax rate: 7.00%
- Cost of a regular gallon of gas: $3.67
South Carolina
- Insurance, gas, and maintenance: $5,192
- Average cost of car insurance: $2,715
- Vehicle tax rate: 5.00%
- Cost of a regular gallon of gas: $3.51
South Dakota
- Insurance, gas, and maintenance: $4,148
- Average cost of car insurance: $1,593
- Vehicle tax rate: 4.00%
- Cost of a regular gallon of gas: $3.69
Tennessee
- Insurance, gas, and maintenance: $4,130
- Average cost of car insurance: $1,997
- Vehicle tax rate: 7.00%
- Cost of a regular gallon of gas: $3.39
Texas
- Insurance, gas, and maintenance: $4,842
- Average cost of car insurance: $2,398
- Vehicle tax rate: 6.25%
- Cost of a regular gallon of gas: $3.44
Utah
- Insurance, gas, and maintenance: $4,927
- Average cost of car insurance: $2,240
- Vehicle tax rate: 6.85%
- Cost of a regular gallon of gas: $3.94
Vermont
- Insurance, gas, and maintenance: $4,456
- Average cost of car insurance: $1,376
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.74
Virginia
- Insurance, gas, and maintenance: $4,442
- Average cost of car insurance: $1,922
- Vehicle tax rate: 4.15%
- Cost of a regular gallon of gas: $3.60
Washington
- Insurance, gas, and maintenance: $6,303
- Average cost of car insurance: $1,759
- Vehicle tax rate: 6.50%
- Cost of a regular gallon of gas: $4.95
West Virginia
- Insurance, gas, and maintenance: $4,262
- Average cost of car insurance: $2,075
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.52
Wisconsin
- Insurance, gas, and maintenance: $4,187
- Average cost of car insurance: $1,683
- Vehicle tax rate: 5.00%
- Cost of a regular gallon of gas: $3.57
Wyoming
- Insurance, gas, and maintenance: $4,139
- Average cost of car insurance: $1,553
- Vehicle tax rate: 6.00%
- Cost of a regular gallon of gas: $3.76
Owning a car in the U.S. can cost thousands of dollars each year. We determined the national average for annual insurance, gas, and maintenance costs to be $4,832. Several states cost less than the national average, but Iowa and Ohio were the lowest—around $3,800 each. The costliest states for annual insurance, gas, and maintenance turned out to be Washington ($6,303), Florida ($6,155), and Maryland ($6,100).
The Final Price
The data doesn’t lie—owning a car is expensive. Monthly payments, taxes, gas, maintenance, and insurance premiums make owning a car seriously pricey. Some states are more expensive than others, but you should factor car ownership into your cost of living to ensure you can afford the financial responsibility, no matter where you live.
Methodology
To determine the meta-ranking score for each state, we used the following metrics, weights, and data sources:
About American Trucks
At American Trucks, we are more than just an online marketplace for truck enthusiasts—we’re a thriving community dedicated to empowering truck owners with the tools and resources they need to elevate their driving experience. As the ultimate destination for all things truck-related, we offer high-quality truck parts, accessories, and expert advice.
Fair Use Statement
If you’re interested in sharing information about the annual costs of car ownership across the country, you’re welcome to share the findings of this article for noncommercial purposes. We just ask that you include a link back to this page, allowing your readers to access the full scope of our research.
