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Some of the best car insurance for 18-year-olds is from Erie Insurance with premiums starting at $241 per month or $2,888 per year for comprehensive coverage.
Auto Insurance For Teenagers
Author: Daniel Robinson Written by: Daniel Robinson Author Daniel is a writer on the Guides team and has written for a number of automotive news sites and marketing companies in the US, UK and Australia, specializing in finance and car care. Daniel is an authority on auto insurance, loans, warranty options, auto services and more on the Guide team.
Getting Cheap Car Insurance For New Drivers
Edited by: Rashawn Michner, Edited by: Rashawn Michner Editor-in-Chief Rashawn Michner is a Guide team editor with more than 10 years of personal finance and insurance experience.
Car insurance for 18-year-olds is expensive, whether you add a teen to your policy or buy an individual policy. So the best car insurance for 18 year olds should be as affordable as possible.
The team at Guides has compared rates from dozens of providers to see which offer the cheapest car insurance for teenagers. Our top pick overall is Geico, with comprehensive coverage rates starting at $263 per month or $3,161 per year. We’ll cover our top picks and ways to save here.
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Auto Insurance Guide
The Guide team is committed to providing reliable information to help you make the best possible decision about your vehicle insurance. Because consumers trust us to provide objective and accurate information, we’ve created a comprehensive rating system to generate our rankings of the best auto insurance companies. We’ve collected data on dozens of auto insurance providers to rank companies on a wide range of ranking factors. After 800 hours of research, the end result was an overall rating for each provider, with insurers with the highest scores topping the list.
Based on our rate estimates, full coverage auto insurance costs an average of $4,958 per year or $413 per month for 18-year-olds. Adding an 18-year-old child to your family policy will increase your rates, but save you money overall. Older drivers also receive lower rates than 18-year-old drivers.
The cost of car insurance for 18-year-olds is affected by many factors, including gender, driving history, location and credit score. Differences in premiums by gender are particularly pronounced among teenagers and young adults, with 18-year-old males often paying much higher prices than females of the same age. Some states, however, do not allow auto insurers to use gender as a factor when calculating auto insurance rates.
Car insurance rates are more expensive for teenage drivers because they have less driving experience and are more likely to have car accidents. Even an 18-year-old with a clean driving record will pay much more for auto insurance than drivers in their 30s or 40s.
Cheap Car Insurance For 19 Year Olds
According to the AAA Foundation for Traffic Safety, 18- and 19-year-olds are more than twice as likely to be involved in crashes as 30- to 39-year-old drivers. Below you can see the number of accidents per 100 million miles, broken down by age group.
The average cost of insurance closely follows the accident rate by age. Below you can see that 18-year-olds pay, on average, more than twice as much as a 35-year-old for full coverage car insurance.
The cheapest car insurance for 18-year-olds is Erie Insurance, with average rates of $2,888 per year or $241 per month for full coverage individual policies. USAA offers similar rates at about $2,897 per year or $241 per month.
*Auto insurance estimates are based on coverage policies with $50,000 bodily injury per person, $100,000 bodily injury per accident, $50,000 property damage per accident, and $500 deductible for collision coverage and comprehensive coverage.
Guide To Adding Your Child To Your Car Insurance
Geico, Erie, USAA, and State Farm are affordable options nationwide for children 18 and older, but different providers may be cheaper in your state. Below are our full coverage rate estimates for each state and Washington, DC. has the cheapest providers for 18-year-olds.
Eighteen-year-olds in Hawaii, Ohio, and Iowa pay, on average, the cheapest rates in the nation. The state of Hawaii does not allow age to affect car insurance rates.
On the other hand, average rates for 18-year-olds in Michigan, Connecticut, and Florida can be very expensive for individual auto insurance policies.
Some of the best auto insurance for 18-year-olds comes from Geico, USAA, State Farm, Erie Insurance, and Auto-Owners Insurance. Each score awarded is based on factors such as cost, coverage, reputation, availability and customer experience:
Cheap Car Insurance For Teens And Young Drivers
Geico is our top pick for the best car insurance for kids 18 and under. Considering that Erie is only available in a dozen states and that USAA is only available to military, veterans and their families, Geico is the cheapest company with nationwide availability. Our estimates show that Geico’s average rates are about 36% cheaper than the national average for 18-year-olds. Geico also offers driver education and good student discounts that can lower rates for young drivers.
USAA is another cheaper option for drivers over 18, with average rates 42% lower than the average cost of car insurance for this age group. Your child may qualify for USAA if one of you is in the military or a veteran. If you are a USAA If you are a member, you can also specify eligibility as a parent.
In addition to cheap fares, USAA offers reliable customer service. It has an A+ rating from the Better Business Bureau (BBB) and has received the USA’s J.D. Received the highest score in the Auto Claims Satisfaction Study ℠. Power 2021 with 909 points out of 1,000.
State Farm makes our list of the best auto insurance for 18-year-olds because of its student and teen discounts. For example, the Steer Clear® program is an educational course for young drivers that offers discounts upon completion. And State Farm’s good student discount of up to 25% applies until drivers turn 25. Our estimates show that State Farm’s average rates for 18-year-olds are about 33% cheaper than the national average.
Best Car Insurance For 16 Year Olds: Cheap Quotes And Discounts
Erie Insurance covers 12 states and Washington DC. Offers affordable coverage in Our estimates show that their average fares for 18-year-olds are about 42% cheaper than the national average. Like USAA, Erie offers a J.D. Scored well in Auto Claims Satisfaction Study. Power, earning 901 out of 1,000 points.
Operating in 26 states, Auto-Owner offers a variety of coverage options as well as discounts for teen drivers. The company’s Student Voucher Voucher applies if your 18-year-old child maintains a B average or better and offers up to 20% off. Young drivers can also get a young driver monitoring discount if they use a GPS device while driving. Our rate estimates show that car ownership is on average 41% cheaper than the national average for 18-year-olds.
Teen car insurance is expensive, but not everything is out of your control. There are things you can do to save money, such as adding an 18-year-old driver to your family policy, shopping more often and looking for special discounts.
If you live in the same household, you can add a young driver to your family policy to save hundreds or thousands of dollars a year. This will not work if the car is registered in the name of an 18-year-old, in which case he will need his own policy.
How Much Does Your Car Insurance Increase When You Add A Teenager To Your Policy?
Also, it doesn’t make much sense if the parents have bad driving records or very bad credit scores. An 18-year-old can find cheaper rates on their policy in these cases.
Car insurance discounts can make all the difference in finding good rates for young people. Young drivers may qualify for student discounts and parents can save when their children travel more than 100 miles to school without a car.
If you have other types of insurance, such as renters. Some car insurance companies offer safe driving discounts to people with a short driving history, while others require four or five years of claim-free driving to qualify.
The best car insurance companies for 18-year-olds offer a variety of applicable discounts. Check out the following discounts when comparing car insurance quotes:
Teen Driving Facts And Statistics 2023
Your coverage level and deductibles have a direct impact on your car insurance rates. Consider what level of protection you want in the event of an accident and reduce your coverage to that amount to save money. You can also increase your deductible to take on a little more risk and lower your overall premium. A car insurance policy with minimum coverage will be the cheapest option.
If you’re thinking about buying a family car for your 18-year-old to drive, consider paying cash for an inexpensive used sedan or midsize SUV. Without an auto loan, you don’t need comprehensive or collision coverage on your vehicle.
Bodily injury and property damage coverage are the only ones you should have in your state. Some states require more coverage, but companies can’t sell you less than the reference amount.
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Cheapest Car Insurance For Teens In 2023
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