Most drivers who are 18 years old have had two years of driving under their belt, and that experience is starting to pay off in lower car insurance rates. The average car insurance rate for an 18 year old on their own policy is $5,565 a year for full coverage – $464 a month.
That rate is $3,883 higher than the national average of $1,682 for drivers age 40 and older. however, the rate for 18-year-olds is significantly lower than the cost for 16-year-olds ($7,625 per year and $635 per month) and 17-year-old drivers ($6,272 per year and $523 per month).
As drivers become more experienced and improve their performance behind the wheel, auto insurance rates are likely to drop, says Carole Walker, executive director of the Rocky Mountain Insurance Information Association.
“While teen drivers will pay more for car insurance, even with a clean driving record, avoiding accidents and citations will help keep their insurance premiums lower,” he says.
In fact, the risk of car accidents is higher among teens ages 16 to 19 than any other age group, according to the Centers for Disease Control & prevention. and per mile traveled, teen drivers ages 16 to 19 are nearly three times more likely to be in a fatal crash than drivers age 20 and older.
read more to find out how much auto insurance costs for 18 year olds.
car insurance for teenagers: how much does insurance cost for 18 year olds?
The amount you pay to insure your teen driver will vary based on factors such as
- your insurance company
- whether the teen has their own policy or is added to yours
- state of residence
- type of car driven
- coverage limits
- Good Student Discount: Savings of up to 16% may be available to drivers who maintain a 3.0 or “b” average in the classroom, but the average is 7%.
- Out-of-Home Student Discount: College students living away from home may qualify for this discount.
- centers for disease control & prevention. “Teen Drivers: Get the Facts.” accessed June 2022.
- governors road safety association. “Teen and Novice Drivers”. accessed June 2022.
- insurance institute for highway safety, highway loss data institute. “teenagers.” accessed June 2022.
To give you an idea of what you should pay for coverage, check out the average annual rates by state in the charts below.
how much does car insurance cost for an 18 year old woman in each state?
The national average cost of insurance for an 18-year-old woman with her own policy is $4,918.18-year-old teen drivers pay $647 less than men their age. Below, you’ll see the average insurance costs by state for an 18-year-old woman compared to the price of a policy for parents and an 18-year-old girl.
car insurance cost in all states for an 18 year old male
18-year-old men pay, on average, $5,565 a year for their own full-coverage insurance policy, which is $647 more than their female counterparts. Compare the rates for an 18-year-old man on his own policy with those of being added to one of his parents’ policies.
car insurance for 18 year olds is expensive
Young driver auto insurance is much cheaper when parents add the teen to their existing policy. As young drivers become more experienced, their rates should go down. You’ll see in the chart below how much it costs to add a teen driver to a parent policy and how much you save.
Check out our detailed guide for parents on the best and cheapest way to insure teen drivers
what are the cheapest car insurance companies for 18 year olds?
Below, you’ll see how the top companies’ rates compare when you add an 18-year-old teen driver to your coverage.
how much does insurance cost for 18 year old women with parents?
In this scenario, the Island, North Carolina Farm Bureau, New Jersey Manufacturers, the United States, and nationwide were the cheapest insurance companies we surveyed to add a woman.
how much does insurance cost for 18 year old men with parents?
island, north carolina farm bureau, new jersey, united states and nationwide manufacturers were the cheapest to add 18 year old male motorists.
how much does insurance cost for 18 year old women?
if your teen is buying their own policy, island makers, north carolina farm bureau, erie insurance, usa. uu. and new jersey had the lowest female rates for full coverage.
how much does insurance cost for 18 year old men?
for male drivers, 18+ on their own, island, north carolina farm bureau, usaa, new jersey manufacturers, and erie are among the national companies with the cheapest auto insurance rates.
how do you get cheaper insurance for 18 year olds?
Instead of skimping on coverage, a better idea is to maximize discounts and shop regularly for the best insurance coverage. driving without accidents or fines, comparing prices and maximizing discounts will help you find the cheapest car insurance rates for teenagers.
“Many large auto insurance companies offer discounts to good students. students are eligible for discounts if they have excellent academic performance, such as a high GPA or high SAT or ACT test scores,” says associate professor ting liu of stony brook university’s college of arts and sciences. /p>
“some companies offer multiple discounts on policies. For example, if a student needs rental insurance and auto insurance, it’s a good idea to buy both policies from the same company and apply for a multiple policy discount.”
car insurance discounts for 18 year olds
Here are some typical car insurance discounts for teens:
look for car insurance for 18 year olds
Adding a teen to an insurance policy or for teens to get their own auto insurance is expensive. the best way to minimize pain is to shop around. compare car insurance quotes from various insurance companies. Each insurer uses its own method to calculate what it pays, so the prices of the same policy vary.
there is good news. car insurance gets cheaper as you get older. Average car insurance rates by age show that premiums start to decline significantly when drivers turn 26. carinsurance.com has car insurance guides for 16, 17 and 19 year olds that break down teen car insurance rates.
resources & methodology
carinsurance.com commissioned Quadrant Information Services in 2022 for field rates for auto coverage data by zip code for drivers ages 16 and 40.
– michelle megna contributed to this story.