Cheap Car Insurance Quotes Young Drivers

By |

Cheap Car Insurance Quotes Young Drivers

Cheap Car Insurance Quotes Young Drivers

Tips for Securing Cheap Car Insurance Quotes for Young Drivers:

Insurers offer quotes based con various factors including the drivers age, driving record, type of vehicle, location or state and more. For young drivers, finding cheap insurance can be  a bit challenging, but some insurance companies specializes in providing competitive rates for this demographic. This quotes aim  tor offer coverage at a lower cost compared to standard rates, making it more accessible.

If you have recently transitioned from being covered under your parents’ car insurance policy to having your own, you might find yourself in for a surprise. Young drivers encounter some of the steepest car insurance rates, and those with their own policies face higher premiums compared to being included on their parents’ insurance.

However, shopping different options can assist you in discovering the most affordable insurer for your situation. Reviewing average rates below can provide insight into whether you are receiving a competitive rate for your coverage and whether switching carriers could result in savings on your premium.

Read: Cheap Car Insurance Quotes PA

Which Companies Offers Insurance For Young Drivers

There are a lot of companies which provide affordable insurance rates for young drivers in their various states. Below are a few of the most popular companies known for providing cheap car insurance quotes  for young drivers:

  • Erie
  • USAA
  • American Family
  • Nationwide
  • Auto-Owners
  • Geico
  • Travelers
  • Progressive
  • State Farm
  • Allstate
  • Farmers

Who Offers The Cheapest Car Insurance Quotes For Young Drivers

The most economical car insurance providers for teenagers and young drivers aged 16 to 19 who are purchasing their own policies include:

  • USAA – $4,350 a year
  • Auto-Owners – $4,621 a year
  • Geico – $4,761 a year
  • Erie – $5,277 a year
  • American Family – $5,346 a year

Based on our assessment of car insurance expenses, USAA offers the most budget-friendly average annual rates for young adult drivers. For 25-year-old female drivers, the sample rate stands at $1,219 per year, while for 25-year-old male drivers, it’s $1,280 per year.

Since USAA’s car insurance policies cater exclusively to the military community, the subsequent most economical insurer in our analysis is Geico. Their sample rate is $1,346 per year for female drivers and $1,357 for males.

Cheap Car Insurance Quotes For Young Drivers Under 20 Years

When approaching the age of 20, certain young drivers might seek out their own car insurance coverage. Here are the most affordable providers for 20-year-old drivers, as outlined by research. For context, the national average premium for 20-year-old drivers stands at $5,443 per year for full coverage.

NJM:

  • Average monthly full coverage premium: $210
  • Average annual full coverage premium: $2,516
  • Annual full coverage compared to the national 20-year-old average: -$2,927

Erie:

  • Average monthly full coverage premium: $244
  • Average annual full coverage premium: $2,930
  • Annual full coverage compared to the national 20-year-old average: -$2,513

Auto-Owners:

  • Average monthly full coverage premium: $276
  • Average annual full coverage premium: $3,306
  • Annual full coverage compared to the national 20-year-old average: -$2,137

USAA:

  • Average monthly full coverage premium: $278
  • Average annual full coverage premium: $3,335
  • Annual full coverage compared to the national 20-year-old average: -$2,108

Geico:

  • Average monthly full coverage premium: $296
  • Average annual full coverage premium: $3,551
  • Annual full coverage compared to the national 20-year-old average: -$1,892

Cheap Car Insurance Quotes For Young Drivers Of 22 Years

Below are some car insurance companies providing some of the most affordable average rates for 22-year-olds. Studies reveal that the national average full coverage premium for drivers of this age is $4,010 annually:

NJM:

  • Average monthly full coverage premium: $170
  • Average annual full coverage premium: $2,039
  • Annual full coverage compared to the national 22-year-old average: -$1,971

American Family:

  • Average monthly full coverage premium: $202
  • Average annual full coverage premium: $2,422
  • Annual full coverage compared to the national 22-year-old average: -$1,588

Erie:

  • Average monthly full coverage premium: $212
  • Average annual full coverage premium: $2,549
  • Annual full coverage compared to the national 22-year-old average: -$1,461

Geico:

  • Average monthly full coverage premium: $214
  • Average annual full coverage premium: $2,569
  • Annual full coverage compared to the national 22-year-old average: -$1,441

USAA:

  • Average monthly full coverage premium: $214
  • Average annual full coverage premium: $2,574
  • Annual full coverage compared to the national 22-year-old average: -$1,436

How Are Car Insurance Rates Determined For Young Drivers

There are several variables, such as the type of vehicle, age, gender, and location, can influence the car insurance premiums for young drivers including the following:

Vehicle Make and Model:

  • The make and model of your vehicle can have a substantial impact on your car insurance premiums since it correlates directly with the potential cost of your claim. Usually, luxury vehicles command higher insurance rates due to their elevated costs and expensive repair fees.
  • Conversely, cars equipped with specific safety features may lower your insurance expenses, as these features reduce the risk of accidents.

Age:

  • Age plays a critical role in shaping car insurance premiums. Although young drivers usually encounter lower rates compared to teenagers, who belong to the highest risk category, they still generally pay more than older, more seasoned drivers.
  • Inexperience on the road is associated with an increased risk of accidents, leading to higher premiums. As drivers mature and accumulate more experience, premiums generally decline, provided they maintain a clean driving record.

Gender:

  • Based on our data analysis, males generally incur higher car insurance costs compared to females. The National Highway Traffic Safety Administration (NHTSA) reports that men are responsible for a greater number of accidents annually, particularly young adult males who experience more crash fatalities than any other demographic.
  • Contributing factors such as a higher prevalence of speeding and reckless driving contribute to this trend, resulting in higher insurance premiums for men on average.

Location:

  • Certain areas are more susceptible to natural disasters such as hurricanes or floods, high crime rates, or heavy traffic, which can lead to higher insurance premiums. Moreover, state-specific car insurance laws and regulations can also impact the cost of your coverage.

Driving Habits:

  • The amount of time spent behind the wheel directly affects your likelihood of being in an accident. For example, if you’re a daily commuter driving several hours each day, your risk of being involved in a traffic incident is higher compared to someone who drives less frequently.
  • Conversely, if you’re a student residing at school without access to a vehicle, you may qualify for a discount from your insurer due to your reduced driving time, which decreases your accident risk.
  • Car insurance companies assess these factors (among others) differently, resulting in varying premium quotes across insurers and individuals. It’s advisable to compare quotes from multiple companies before making a decision.

How To Find Cheap Car Insurance Quotes For Young Drivers

Young drivers often contend with elevated average car insurance rates, yet they can potentially reduce costs by enhancing their other personal rating factors and seeking out discounts and incentives tailored for their demographic. The following strategies may aid in saving:

Assess Your Annual Mileage:

  • If you primarily work from home or frequently utilize public transportation, it is beneficial to evaluate your yearly driving habits. Depending on your annual mileage, it is worth exploring whether any low mileage car insurance options align with your lifestyle.

Utilize a Telematics Program:

  • Telematics programs monitor real-time driving behavior and offer car insurance discounts in return. If you consider yourself a safe driver and if this option is available through your carrier and in your state, it could be worth exploring.

Also Read: Online Truck Insurance Quote

Avoid tickets and accidents:

  • Car insurance companies see speeding tickets and accidents as an indicator or risky driving behavior and usually raise rates as a result. Maintaining a clean driving record may help you save on your premium.

Comparison Shop:

  • Insurance carriers utilize proprietary rating algorithms, meaning you might encounter significantly lower rates with one carrier compared to another. Most insurance experts advise obtaining quotes from at least three different providers to identify where you could secure the most affordable price.

Are There Insurance Discount For Young Drivers

A lot car insurance companies offer at least a handful of discounts, including ones geared towards young drivers. Below are some of the best car insurance discounts commonly available for young drivers:

Good student discount:

  • Young drivers that are still in college and maintain high grades may be able to qualify for this discount.

Safe driving course discount:

  • By completing an approved safe driving course, young drivers may be able to apply this discount to their car insurance policy for additional savings.

Affiliation discounts:

  • Young adults who are in the military or part of a certain profession, organization or alumni group may be able to earn a special discount from certain car insurance companies.

Securing economical car insurance as a young driver may pose a challenge, but it is certainly achievable. By employing the strategies and advice highlighted earlier, including comparing quotes, investigating discounts, and factoring in elements such as mileage and telematics programs, young drivers can move closer to obtaining budget-friendly insurance quotes. Visit the official Website of your preffered insurance company for more details.

Other Posts:

Leave a Reply

Your email address will not be published. Required fields are marked *