Updated: January 2022
As anyone who’s gotten car insurance while under 26 can tell you, rates for young drivers are higher than the average. This hike in rates is due to the simple fact that most insurance companies regard young drivers as high-risk drivers, or as drivers that are more likely to cause accidents or get tickets while driving. While this is an unfortunate truth about getting insurance as a young driver, there are still methods you can use to potentially snag lower rates. Here are some of our top recommendations:
The first method for getting lower rates on car insurance is to take advantage of as many discounts as possible. Whether you’re a young adult or a teenager, there are certain discounts that are directly aimed at your age group. Keep the following in mind while shopping for insurance:
With higher rates to contend with, drivers under 26 have it hard when it comes to insurance. Things become even more expensive as these drivers get off their parents’ insurance policies to purchase their own coverage -- rates are usually higher for first-time buyers, regardless of age. Still, there are discounts available that can make insurance a lot more doable:
As any parent of a teenager can tell you, insurance costs for teens are no joke -- but it doesn’t have to be that way. By taking advantage of discounts, you stand to save significantly on your teen’s insurance policy:
Besides the teen and student-specific discounts we’ve described, there are a host of other discounts you can also look out for while shopping, from safe vehicle discounts to bill autopay discounts. For more information, check out our guide to discounts.
Once you’ve exhausted the discounts you’re eligible for, it’s time to consider your policy itself. Perhaps you live in a household with multiple vehicles, one of which is a pricey sports car, and you need to add your teen driver to your policy. In most cases, your teen will be insured to drive all the cars listed on your policy -- including the sports car, which will undoubtedly increase the cost of your teen’s insurance. Though not always an option, check in with your carrier and see if you can possibly exclude that particular vehicle from your teen’s insurance, and thus keep rates more reasonable.
Another potential avenue towards saving is by having your teen or young adult driver simply purchase their own policy as soon as possible (not all carriers allow drivers under 18 to purchase their own policy). While this will likely cost more initially, it can mean savings in the long run -- the longer a driver has their own insurance, the less they pay over time.
Getting reasonable rates on car insurance is particularly difficult for drivers under 26, but that doesn’t mean it’s impossible. By utilizing the tips we’ve offered here and by taking the time to shop carefully for your next policy, you can find a carrier that offers great coverage without breaking the bank.
Drivers under 26 can save up to $744*/year by using our site to shop car insurance. Fill in your zip code and save today!