We know which states have the worst drivers due to a recent study. But which states are the least insured? We did some digging, and here’s what we found.
How We Got The Data
Health insurance information came to us courtesy of the United States Census Bureau, and data on auto insurance (or the lack thereof ) came courtesy of the Insurance Research Council. But homeowner’s insurance? That was a little tricky.
It turns out that there’s no law that requires a homeowner to have homeowner’s insurance. True, if you have a mortgage, and many do, you also need to insure your home, but that’s not actually a law: your bank requires it to protect their investment.
If you own your home free and clear, nobody in the government cares if you’re insured or not; it’s your property. So there’s not really a way to track which homes are insured and which aren’t.
But we do know that 59% of all homes are underinsured, and we combined that statistic with the home ownership rate from the Census to find approximately how many homes are underinsured per state.
Keep in mind that it’s only an approximate number; states may vary widely, especially states like Florida, which try to insure as many homes against hurricane damage as possible.
So which states are most underinsured?
The Least Insured States
You’d think a state famous for its car companies would be a well-insured one, but apparently not: Michigan came in seventh for uninsured drivers, and sixth for underinsured homes. But on the bright side, it squeaks into the top 20 for residents with health insurance, coming in a full point above the national average. So at least if you get in a wreck with an uninsured driver, you know your medical bills will be paid, unlike…
Alabama came in sixth for uninsured drivers, and ninth for underinsured home, so you Crimson Tide fans can at least take pride that you’re not in the top five for any specific category, unlike the rest of our runners-up. Although you’re still in the top 20 for residents with no health insurance, so we’re not sure there’s too much to be proud about. But at least you’re better off than…
The good news for the Sooner State is that it’s out of the top five in one of our more heavily-weighted categories: it came in ninth for the most residents without health insurance. Unfortunately it is in the top five for most uninsured drivers, but it’s still not as bad as…
Of all our runners-up, Florida almost came the closest to taking the crown: it not only is in the top 10 for our two most heavily-weighted categories, health and car insurance, it’s in the top five for both. Florida is fifth in uninsured drivers, and, most joltingly, it comes in second for residents without health insurance. Its saving grace is the fact that, as problematic as it is, Florida runs a state homeowners and property insurance agency that is the insurer of last resort and keeps them from being number two. It’s only beat out by…
2. New Mexico
New Mexico manages not to be in the top five in our most heavily-weighted categories. No, instead it’s in the top three: second in the most uninsured drivers, and third for the least number of residents with health insurance. Fortunately, its home insurance problems are fairly middling for the country, which saves it from being the Least Insured State.
No, that honor goes to…
The Least Insured State: Mississippi
The Hospitality State came in the absolute worst in our survey. Mississippi came in third for the most underinsured homes, with 44.1% of homes needing more insurance. But the figure that really caught our attention, and puts it firmly in number one, is its ranking of uninsured drivers: number one with a bullet at 28%, more than twice the national average of 13.5%.
For a state that prides itself on being welcoming, Mississippi sure isn’t friendly when it comes to driving: Mississippi is a tort state, which means that if you want compensation for your injuries, you’ll have to take that uninsured driver to court yourself and figure out who’s at fault.
The Most Insured State: Massachusetts
Thank the state health plan for this one: Massachusetts came in number one for most residents with health insurance, number two for most insured drivers, and number 10 for least underinsured homes. In fact, it was the only state in the nation to make the top 10 in all three lists, making it far and away the best insured state in these United States. Although if half the jokes about Massachusetts drivers are true, they probably need all the insurance they can get.
The Complete List
Insurance: It’s Not All the Same
Just because a state is good in one or two areas doesn’t mean it’s great across the board.
For example, Maine has the most insured drivers and comes in sixth for residents with the most health insurance, but the state also comes in as the seventh worst for underinsured homes. Vermont was the same way: fifth in insured drivers, fifth in health insurance … and eighth worst for homeowners.
Part of this is a quirk in our model: as we mentioned, our homeowners statistics are only approximations. Still, it’s an important lesson to take away.
Live in a state that made the bottom six? Just want your state to stay out of the bottom six? That’s where InsuranceProviders.com comes in: we’ll find the quotes you need to get the best possible coverage at the best possible price. So, take some pride and show up your neighboring states, and let us help you do it with the best look at insurance.
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