Georgia Drivers in Majority-Black ZIP Codes Charged More for Car Insurance, Bombshell New Study Reveals

A recent study by LendingTree has unveiled significant disparities in car insurance premiums for Georgia residents living in majority-Black ZIP codes.

According to the findings, drivers in areas where Black residents make up at least 50% of the population pay an average of 11.1% more annually for car insurance compared to the state average. The disparity soars to 25.1% in areas where Black residents comprise 70% or more of the population.

Among insurers, Farm Bureau was found to have the smallest disparity while Geico insurance premiums were as much as 63.3% higher in predominantly Black areas compared to areas with mostly white residents.

Even when comparing equivalent drivers, predominantly Black areas see average premiums of $4,423—32.4% higher than the $3,342 average in predominantly white areas. Critics point to insurers' use of ZIP codes, credit scores, and other socioeconomic factors—rather than driving history—as contributors to this inequity.

"There are socioeconomic factors that have nothing to do with your driving history, such as your credit score, whether or not you own a home, and your marital status," former Georgia Insurance Commissioner candidate Raphael Baker told Alive 11. "It disproportionately affects Black people."

During his campaign, Baker advocated for reforms similar to those in California and Massachusetts, where ZIP codes and credit scores are excluded from rate calculations.

Atlanta resident Bridget Cunningham expressed frustration over her $200 monthly premium despite a clean driving record, especially as her friends in wealthier, predominantly white neighborhoods pay significantly less.

"I'm very surprised, I don't have any tickets, no DUIs...nothing!" Cunningham told Alive 11. My record is clean. My insurance shouldn't be that much."

Advocates urge drivers to shop around for better rates, bundle policies, and seek discounts.