Insurance coverage for young drivers is higher than for older, more experienced drivers, as there is a risk that insurance companies will see an inexperienced person behind the wheel. The amounts look different depending on the driver’s age, gender, and place of residence. So how much does car insurance cost a 19-year-old? The average 19-year-old will pay about $ 6,021 as an annual bonus. But when buying car insurance, a lot must be considered.
Average insurance rates for young drivers?
According to ValuePenguin, the estimated insurance cost for a 19-year-old in the United States is $ 6,021 for a single policy. It turns out it’s about $ 500 a month. Prices change dramatically as new drivers age, and after the driver turns 25, they begin to level off. This is due to the risk associated with younger drivers and insurance companies who want to be prepared for all accidents, even if they are just wing members.
Here’s the average number of annual premiums by age according to ValuePenguin:
- 18 years old: 7179 USD
- 19 years old: 6021 USD
- 20 years old: 5333 USD
- 21 years old: 4453 USD
- 22 years old: 4128 USD
- 23 years old: 3840 USD
- 24 years old: 3597 USD
- 25 years old: 3207 USD
Keep in mind that these figures refer to individual policies, and do not take on any significant legal issues or major accidents. Notice the difference of almost $ 1,000 between the ages of 18 and 19. This shows the largest difference in statistical risk during only one year of driving as a young person.
How does gender factor work?
Bonuses are generally higher for male drivers than for women, especially in their earlier years of driving. Typically, a 19-year-old man pays an average of $ 6,311 per year of coverage, while women of the same age pay an average of $ 5,732. This difference can reach up to 11 percent more drivers of men of a certain age. However, some countries have in fact prohibited insurance companies from using gender as a determining factor in insurance premiums.
The following countries do not allow differences in car insurance premiums based solely on sex:
- In California
- In Massachusetts
- Michigan (select areas only)
- North Carolina
What do the numbers look like in family policy?
The above figures all refer to cases where a new driver carries out his own individual insurance policy, which is not even possible for 16 and 17-year-old drivers. How, then, do these numbers compare to a family simply adding a new manager to their existing policies?
According to TheZebra, these are the average increases in family plans with the addition of a new driver at each age:
- 16 years old: 2617 USD
- 17 years old: 2485 USD
- 18 years old: 2315 USD
- 19 years old: 2037 USD
- 20 years old: $ 1906
- 21 years old: 1720 USD
- 22 years old: 1643 USD
- 23 years old: 1571 USD
- 24 years old: 1528 USD
- 25 years old: 1452 USD
The same pattern seen above is still that the difference in costs from year to year is becoming more inconspicuous as the driver ages. According to the NASDAQ, drivers can stay with their family car insurance policies while they live at home. Other types of insurance require people to get individual policies or create their own family policy as soon as they reach the age of 26.
Can new drivers find cheaper insurance?
These averages do not have to be what you pay for car insurance, whether you are a 19-year-old looking for an individual policy or a family member who adds a new driver to family policy. The best way to find better prices is shopping. Each insurance company uses a combination of factors to determine its premiums, so two different 19-year-olds can find different premiums in the same company.
Here are some different strategies for paying less for new driver car insurance:
- Add a family plan
- To shop
- Keep good driving records
- Find a telematics plan
- Build good credit
- Take advantage of discounts
Add a family plan
An easy way to save money by insuring a new driver is to keep that driver in the family plan for as long as possible. As shown above, adding a new driver to an existing plan is much cheaper than getting their individual plan. If the driver wants or has to pay for his insurance, he can simply pay the difference.
Insurance rates are constantly changing, so you should always be prepared to shop, especially if you think you are paying too much or if you have been practicing safe driving and good credit for some time. There are many online resources for insurance pricing, such as CarInsurance.com. If you are buying a new car, be prepared for insurance questions from the dealership.
Keep a good track record
CarInsurance.com says maintaining a good driving record is a great way to reduce premiums. Quotes and car accidents in which you find yourself at fault will always increase your insurance premiums. Some quotes increase your bonuses even more sharply because of their dangerous nature, such as DUI and street racing.
Find a telematics plan
Telematics in your car uses a device that monitors driving habits. If a new driver is a careful, good driver, this type of plan can help them save money.
Build good credit
Another factor in determining insurance premiums for all age groups is credit history. Opening responsible lines of credit and making payments on time can help young drivers get good credit, which will help secure insurance rates and many other financial needs.
Take advantage of discounts
Several discounts are available for new drivers, including:
- Good student discount: Students with an average grade of 3.0 (GPA) or higher can sometimes qualify for discounts if they can prove it.
- Protective driver discount: This discount is offered by certain insurance companies to drivers who study in a professional driving class and pass an exam.
- Student Discount from Home: Some college students who go to school 100 miles or more away from home may be eligible for this discount.