Commercial auto insurance in the Southeast ranges from roughly $140–$190 per month in North Carolina to $500–$650 per month in Florida for a light-duty contractor vehicle with full coverage, a gap of about 3.5 times between the cheapest and costliest of the seven states we serve. Bridgeway Insurance’s new Commercial Auto Cost Pressure Index scores Florida at 100.0 and Louisiana at 73.8, while North Carolina scores 9.2. Every state’s legal minimum covers only a sliver of what a serious accident can cost.
Published October 2026 by Bridgeway Insurance, 122 Court St, Bay St Louis, MS 39520. Download the free PDF report (no email required).
Executive Summary
This report compares commercial auto costs and legal minimums across Mississippi, Alabama, Louisiana, Florida, Tennessee, North Carolina and Georgia. It combines two independent 2026 rate studies with each state’s minimum liability requirements, and turns them into one original, reproducible score.
- Florida is the outlier. Its full-coverage midpoint is $575 per month, and its minimum-coverage average of $2,763 per year is 41% above the $1,959 national figure.
- Louisiana is a clear second. Full coverage midpoints at $525 per month, and minimum coverage runs $2,153 per year.
- Alabama is the lowest-cost minimum-coverage state at $1,614 per year, but its 25/50/25 limits are modest.
- Minimums are thin everywhere. The highest combined per-accident minimum (North Carolina, $150,000) equals 20% of the federal $750,000 trucking minimum.
- Industry losses keep pressure on rates. Commercial auto has posted underwriting losses for 14 consecutive years through 2024, per AM Best data reported by Actuary.info.
Methodology and Data Sources
We used three inputs, all published and checkable. First, ConstructionCoverage.com’s 2026 state cost benchmarks (updated September 22, 2026), which give monthly premium ranges for a light-duty contractor vehicle with liability, comprehensive and collision coverage. Second, MoneyGeek’s 2026 commercial auto report (updated September 9, 2026), which models minimum-coverage premiums from five major providers. Third, CarInsurance.com’s state minimum liability requirements.
Importantly, both cost sources are modeled estimates, not filed rates or actual quotes, and they use different vehicle profiles. We therefore treat them as directional benchmarks. Your own premium will differ.
The Bridgeway Commercial Auto Cost Pressure Index
The index scores each state from 0 to 100 relative to the other six. Each component is min-max normalized across the seven states, so the highest state scores 100 on that component and the lowest scores 0.
- 50% Full-coverage cost: the midpoint of the monthly full-coverage range.
- 30% Minimum-coverage cost: MoneyGeek’s modeled annual minimum-coverage average.
- 20% Limit shortfall: one minus the state’s combined per-accident minimum (bodily injury per accident plus property damage) divided by $750,000, the federal minimum for larger for-hire property carriers.
A higher score means more cost pressure on a business owner. Because the index is relative, it ranks the seven states against each other and is not a national ranking. Cite it as the “Bridgeway Commercial Auto Cost Pressure Index, October 2026.”
State-by-State Cost Data
| State | Full Coverage, Monthly Range | Full Coverage Midpoint | Min. Coverage, Monthly | Min. Coverage, Annual | vs. $1,959 National |
|---|---|---|---|---|---|
| Mississippi | $345–$400 | $372 | $155 | $1,856 | -5% |
| Alabama | $255–$305 | $280 | $135 | $1,614 | -18% |
| Louisiana | $475–$575 | $525 | $179 | $2,153 | +10% |
| Florida | $500–$650 | $575 | $230 | $2,763 | +41% |
| Tennessee | $235–$285 | $260 | $145 | $1,739 | -11% |
| North Carolina | $140–$190 | $165 | $164 | $1,965 | +0% |
| Georgia | $355–$410 | $382 | $156 | $1,866 | -5% |
Sources: ConstructionCoverage.com (full coverage, light-duty contractor vehicle); MoneyGeek (minimum coverage, national average $1,959 per year). Estimates only.
Bridgeway Index Results
| Rank | State | Index Score | Pressure Tier |
|---|---|---|---|
| 1 | Florida | 100.0 | Severe |
| 2 | Louisiana | 73.8 | High |
| 3 | Georgia | 45.6 | Moderate |
| 4 | Mississippi | 44.1 | Moderate |
| 5 | Tennessee | 29.0 | Moderate |
| 6 | Alabama | 26.5 | Moderate |
| 7 | North Carolina | 9.2 | Lower |
Tiers: 75 and above is Severe, 50–74 High, 25–49 Moderate, below 25 Lower. Component detail follows.
| State | Full-Coverage Score (50%) | Min-Coverage Score (30%) | Limit-Shortfall Score (20%) | Index |
|---|---|---|---|---|
| Florida | 100 | 100 | 100 | 100.0 |
| Louisiana | 88 | 47 | 79 | 73.8 |
| Georgia | 53 | 22 | 62 | 45.6 |
| Mississippi | 51 | 21 | 62 | 44.1 |
| Tennessee | 23 | 11 | 71 | 29.0 |
| Alabama | 28 | 0 | 62 | 26.5 |
| North Carolina | 0 | 31 | 0 | 9.2 |
Key Findings and Analysis
Florida and Louisiana Sit in a Class of Their Own
Florida and Louisiana are the only two states with full-coverage midpoints above $500 per month. Notably, both also have the lowest state minimum limits in the group (Florida 10/20/10, Louisiana 15/30/25), so higher prices do not buy higher legal protection. Louisiana’s personal auto claims litigation rate is more than twice the national average, according to a July 2026 Insurance Business report on Triple-I data. If you operate there, read our guides to commercial auto insurance in Florida and commercial auto insurance in Louisiana, and our Louisiana commercial auto quotes guide.
Georgia and Mississippi Are Close Twins
Georgia scores 45.6 and Mississippi 44.1. Their full-coverage midpoints ($382.50 and $372.50) and minimum limits (25/50/25) are nearly identical. See commercial auto insurance in Georgia and commercial auto insurance in Mississippi, plus our Mississippi commercial auto cost breakdown.
North Carolina: Cheapest, With the Highest Floor
North Carolina has the lowest cost scores and the strongest minimum limits (50/100/50), plus required uninsured and underinsured coverage. That combination makes it the lowest-pressure state here. Still, $150,000 per accident falls far short of a serious multi-vehicle claim. Review commercial auto insurance in North Carolina.
Alabama and Tennessee Offer the Middle Ground
Alabama ($1,614 per year at minimum coverage) and Tennessee ($1,739) are the two cheapest minimum-coverage states in the group. Tennessee’s $15,000 property damage minimum is the second lowest in the group. Compare commercial auto insurance in Alabama and commercial auto insurance in Tennessee.
Why Commercial Auto Rates Keep Climbing
Insurers Are Losing Money on the Line
One industry analysis reports that commercial auto posted a $4.9 billion underwriting loss in 2024, its 14th consecutive losing year, with a liability combined ratio of 113.0 (Actuary.info, citing AM Best). A combined ratio above 100 means claims and expenses exceed premium. Carriers respond with rate increases, tighter underwriting, and higher deductibles.
Legal Reform Is Starting to Help, Slowly
Georgia enacted SB 68 and SB 69 in 2025, and early results include reported auto premium cuts of 5% to 10% from major carriers (Georgia Public Policy Foundation). Louisiana moved to modified comparative fault in May 2025, and private passenger auto premiums there fell 5.8% in 2025. However, these gains are documented for personal auto. Commercial fleets may see smaller or later relief, so do not budget for cuts.
The Limit Gap: What Minimums Really Cover
| State | Bodily Injury (Person / Accident) | Property Damage | Combined Per-Accident Minimum | % of $750,000 Federal Minimum |
|---|---|---|---|---|
| Mississippi | $25,000 / $50,000 | $25,000 | $75,000 | 10% |
| Alabama | $25,000 / $50,000 | $25,000 | $75,000 | 10% |
| Louisiana | $15,000 / $30,000 | $25,000 | $55,000 | 7% |
| Florida | $10,000 / $20,000 | $10,000 | $30,000 | 4% |
| Tennessee | $25,000 / $50,000 | $15,000 | $65,000 | 9% |
| North Carolina | $50,000 / $100,000 | $50,000 | $150,000 | 20% |
| Georgia | $25,000 / $50,000 | $25,000 | $75,000 | 10% |
The federal minimum for many for-hire carriers of non-hazardous property over 10,001 pounds is $750,000 under 49 CFR Part 387. Florida also requires $10,000 in personal injury protection. Always confirm current rules with your state regulator: Mississippi Insurance Department, Florida Office of Insurance Regulation, Louisiana Department of Insurance, Georgia Office of Commissioner of Insurance, and North Carolina Department of Insurance.
What This Means by Industry
MoneyGeek’s national data shows how much your trade matters: transportation and logistics averages $4,188 per year at minimum coverage, construction and contracting $2,317, and consulting just $1,244. Vehicle type matters too, from $1,326 for a sedan to $2,228 for a pickup and $2,272 for a van. If you run trucks, start with our guides on lowering trucking insurance costs, owner-operator trucking insurance and commercial truck insurance.
Action Plan for Southeast Business Owners
- Audit your limits. Compare your policy to the table above and our commercial auto policy review checklist.
- Price higher limits plus an umbrella. See umbrella insurance and general liability.
- Bundle your lines. Pair auto with workers’ compensation and review the Southeast Small Business Insurance Benchmark Report.
- Clean up driver records and document safety practices. Underwriters reward telematics and driver screening.
- Get multiple quotes. Our guide to comparing quotes shows how.
Related Bridgeway research: 2026 Southeast Insurance Cost Index, SR-22 Filing Statistics Report, and the Flood Coverage Gap Analysis. Explore our state hubs: Mississippi business insurance, Alabama business insurance, Louisiana business insurance, Florida business insurance, Tennessee business insurance, North Carolina business insurance and Georgia business insurance. Our commercial auto insurance coverage page explains what a policy includes.
Frequently Asked Questions About Commercial Auto Insurance in the Southeast
How much does commercial auto insurance cost in the Southeast in 2026?
For a light-duty contractor vehicle with full coverage, 2026 estimates range from about $140–$190 per month in North Carolina to $500–$650 per month in Florida. On minimum coverage, modeled annual averages run from $1,614 in Alabama to $2,763 in Florida, against a $1,959 national average (MoneyGeek, September 2026). Your own quote depends on vehicle type, radius, driver records, and industry.
Which Southeast state has the most expensive commercial auto insurance?
Florida. It ranks first on the Bridgeway Commercial Auto Cost Pressure Index at 100.0, and Louisiana is second at 73.8. Florida’s full-coverage midpoint of $575 per month is about 3.5 times North Carolina’s $165 midpoint.
Which Southeast state has the cheapest commercial auto insurance?
North Carolina ranks lowest on the index at 9.2, with a full-coverage midpoint near $165 per month. Alabama and Tennessee follow. Cheap is relative, though, because North Carolina also carries the highest state minimum limits of the seven.
What are the minimum commercial auto liability limits in each state?
Mississippi, Alabama and Georgia require 25/50/25. Louisiana requires 15/30/25, Tennessee 25/50/15, Florida 10/20/10 plus $10,000 PIP, and North Carolina 50/100/50 with matching uninsured and underinsured motorist coverage (CarInsurance.com). Interstate vehicles over 10,001 pounds can fall under the federal $750,000 minimum.
Coverage Limits, Costs, and Reform Questions
Are state minimum limits enough for a business vehicle?
Rarely. Even North Carolina’s 50/100/50 minimum covers only 20% of the federal $750,000 trucking minimum, and Florida’s minimum covers 4%. One serious injury claim can exceed these limits, which leaves the business owner personally exposed. Many contractors add higher limits or an umbrella policy.
Why is commercial auto insurance so expensive right now?
The line has lost money for years. One industry analysis, citing AM Best, reports a 14th straight underwriting loss in 2024 and a liability combined ratio of 113.0, meaning insurers paid roughly $1.13 for every premium dollar. Litigation costs, nuclear verdicts, and repair-cost inflation all feed rate increases.
Will tort reform lower commercial auto rates in Georgia and Louisiana?
It may help, but the evidence so far is on personal auto. Georgia’s 2025 reforms (SB 68 and SB 69) are credited with cuts of roughly 5% to 10% from major personal auto carriers, and Louisiana’s 2025 reforms coincided with a 5.8% drop in private passenger premiums. Commercial lines respond more slowly, and claims filed under the old rules are still in the system.
Get Your Commercial Auto Quote
Bridgeway Insurance compares commercial auto options across Mississippi, Alabama, Louisiana, Florida, Tennessee, North Carolina and Georgia. Specifically, we shop multiple carriers so you see real prices, not modeled averages.
Talk to a Licensed Agent
Request a free quote or call (877) 418-2484. Email [email protected]. Visit us at 122 Court St, Bay St Louis, MS 39520.
Disclaimer: Figures are modeled estimates from third-party studies and are not quotes. Rates vary by carrier, driver, vehicle and use. This report is informational and not legal or financial advice.
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