Age is one of the primary factors insurance companies consider when coming up with a car policy quote. To an car policy ship’s company, a driver ‘s historic period measures their drive experience and accident risk .
When a driver has more years behind the wheel, they ‘re less probable to get into an accident and submit a claim for reimbursement. That means they ‘ll cost less to insure and will get cheaper quotes .

Average car insurance by age

We took a count at quotes across more than 20 companies and found that the youngest and oldest drivers pay significantly more than middle-aged drivers .
hera are the average costs of car policy by age :

This graph plots auto insurance costs by age for 16- to 70-year-old drivers.
This graph plots auto insurance costs by age for 16- to 70-year-old drivers.

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presently insured ? Quotes for teenagers are three times as expensive as quotes for drivers in their mid-30s and closely four times the rate for drivers in their mid-50s. once young drivers gain more experience and hit age 25, their car insurance costs drop about 30 %. Costs continue to by and large decline with each birthday. once drivers reach long time 50, they ‘ll see their best rates. Around age 60, however, car indemnity costs begin to increase and compare to what drivers see in their 40s .

How gender affects car insurance rates

Gender besides plays a significant role in car insurance costs. Over a life, men will pay around 12% more than women, though the price difference varies by age .
Until the age of 21, for exemplar, men paid an average of 20% more than women in the four cities we sampled. This break reverses after historic period 30, when our sample female driver paid about 2 % more than our sample male driver .
You can see how age and sex affect car policy premiums in the board below :

Why do younger and older drivers pay more for car insurance?

Young drivers pay more because statistics show that teenagers are inexperienced, making them more likely to get into car accidents compared to early age groups .
According to the Insurance Institute for Highway Safety :

  • Drivers aged 16 to 19 are three times more likely to be in a car accident.
  • In 2015, drivers between the ages of 15 and 20 accounted for 10% of all fatal accidents despite only accounting for 7% of all licensed drivers.

therefore, since your insurance company thinks you ‘re more probably to crash when you ‘re young, your rates will be expensive. feel drivers in their mid-30s to late-50s have greater driving skills and road maturity, which typically means lower accident rates .
once drivers enter their 60s, however, the drift begins to slowly reverse as age and slower reflexes begin to impact driving. Insurers typically start to charge seniors the most significantly once they enter their 70s. An 80-year-old driver ends up paying a bit more than a 25-year-old .

How to save money on car insurance as a younger or older driver

The most effective direction for youthful and aged drivers to save money on car policy is by shopping approximately, applying for discounts and joining person else ‘s policy .
Shopping around Shopping about is the most effective way to save money when it comes to policy costs. In our analyze on best car indemnity for teens, we found that certain companies are well at pricing young drivers .

  • Erie is the most affordable insurer for young drivers.
  • Geico tended to be more expensive for younger drivers than State Farm, though it is often the opposite for drivers over 25.

We would recommend you get quotes from at least three companies. Most large insurers let you start a quote on-line, making it easier to compare prices .
Discounts Discounts are an easy way for younger and aged drivers to save money on their premiums .
Maintaining good grades ( for young drivers distillery in school ), and taking defensive-driving courses can save drivers up to 10 % on their car insurance costs .
For senior discounts, companies like Allstate offer a “ 55 and Retired ” discount where safe, retire drivers over the age of 55 will automatically qualify for a 10 % discount. Some companies besides allow drivers over the age of 55 to take defensive-driving courses to qualify for discounts .
Joining your parents’ policy We found it costs about 50 % less to join your parents ‘ car policy than to start your own .
That ‘s because your parents are taking on function of your risk as a youthful driver, so the insurance companies are more comfortable giving a lower price .
Be wary, however, that your parents ‘ rate will increase significantly. If they ‘re placid volition to add you, it ‘s a surefire manner to get a lower rate.

Methodology and sources

To find the rates for each senesce group, we checked out two sample drivers :

  • A male and female
  • Our sample drivers had a 2015 Toyota Camry
  • They each drove 12,000 miles per year
  • The drivers had 25/50/25 liability insurance with collision and comprehensive coverage

We got quotes for each long time group for both drivers in three cities located in New York, California and Michigan .
Statistics on adolescent accidents came from Insurance Institute for Highway Safety

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