Car prices are surging in the United States. Rising demand, in conjunction with a limited supply of new vehicles on dealer lots, has led to a 45% increase in the consumer price index for used vehicles since June 2020. Perhaps now more than ever, car buyers should bear in mind that the cost of vehicle ownership goes well beyond sticker price.

These costs are not uniform across the country, however, and in some states, motorists can expect to spend thousands more per year than in others.

Between insurance, fuel, and maintenance and repairs, the typical motorist in Connecticut can expect to spend about $2,914 per year on vehicle ownership – the 14th highest annual cost estimate among states. Nationwide, the average cost is about $2,807.

One of the largest drivers of vehicle ownership expenses is insurance, and just as the overall cost of ownership in Connecticut is higher than the national average, so too are insurance costs. The average annual insurance payment for a single, 40-year old male with a clean record and good credit in the state is $1,580, compared to the national average of $1,428.

Estimated annual driving costs at the state level were calculated based on the average cost of insurance, gasoline, and repair when the check engine light comes on. Data on the average cost of repair, including parts and labor, came from automobile software developer CarMD. Data on the average annual insurance costs by state came from car review website insure.com and are based on full coverage for a single, 40 year-old male with a clean record and good credit and are for the 2021 model-year versions of the 20 best-selling vehicles in the U.S. Data on average gasoline expenditure per driver was calculated using total vehicle miles traveled by state in 2019 from the Federal Highway Administration; the total number of licensed drivers; the average price of a regular gallon of gasoline by state as of July 20, 2021 from AAA; and the average fuel economy for all U.S. vehicles in 2019 from the Environmental Protection Agency.

Due to incomplete data, Alaska was excluded from analysis.

RankStateAvg. annual cost of car ownership ($)Avg. gas price as of June 20, 2021 ($ per gal.)Avg. annual insurance costs ($)Annual fuel expenditure per licensed driver ($)
1Louisiana4,1232.822,839892
2Wyoming3,9843.451,7681,833
3California3,7984.321,9661,418
4Michigan3,4713.272,1121,008
5Florida3,3692.992,082894
6Missouri3,3692.841,8951,098
7Texas3,1932.841,7101,089
8Georgia3,1612.981,7051,046
9Colorado3,1393.531,5741,164
10Montana3,1263.201,6271,110
11Utah3,0973.791,2501,447
12South Dakota3,0353.091,5751,083
13Rhode Island3,0293.041,801840
14Connecticut2,9143.161,580932
15New Mexico2,8963.091,3911,125
16Mississippi2,8812.781,3781,107
17Maryland2,8533.041,4101,044
18Nevada2,8463.891,3801,070
19Minnesota2,8273.001,4071,049
20Arkansas2,8222.861,462978
21West Virginia2,8123.051,2991,136
22Oklahoma2,7662.871,393994
23North Dakota2,7653.081,2341,174
24South Carolina2,7432.921,409941
25Kentucky2,7162.931,3211,006
26Washington2,7093.841,2981,018
27Nebraska2,7093.001,383962
28Oregon2,6933.701,2291,070
29Kansas2,6862.941,454860
30New Jersey2,6823.181,319960
31Delaware2,6793.001,443846
32Alabama2,6492.841,358893
33Massachusetts2,6443.031,314950
34North Carolina2,6052.901,326876
35Tennessee2,5852.881,206980
36Arizona2,5753.131,417772
37Hawaii2,5474.081,254890
38Illinois2,5323.401,205955
39Virginia2,4922.981,0331,056
40Idaho2,4533.679851,081
41Iowa2,3862.991,032997
42Indiana2,3703.141,189823
43New York2,2703.201,163731
44Wisconsin2,2533.02938965
45Pennsylvania2,2483.261,028841
46Ohio2,2293.10992888
47Vermont2,1333.071,151640
48New Hampshire1,9972.99885747
49Maine1,9603.12858745