It can be challenging to find reasonable car insurance rates for young drivers. flush in your early 20s, car indemnity can be expensive, specially on an person design. Drivers in this age crop have more know behind the wheel than they did when they first got their license as a adolescent, but in the indemnity ship’s company ‘s eyes, 20-year-olds are distillery inexperienced drivers. however, there are strategies to help you save money on car policy. Loading …

How Much Does Car Insurance Cost for a 20-Year-Old?

Drivers who are 20 years old will pay less than 16-year-old drivers and students equitable starting college, but they calm pay more than the national average for about every other age group. If you can, consider keeping your 20-year-old on your class car indemnity policy. The average cost of an person policy for a 20-year-old is $ 2,465. however, companies vary in what they offer and what they charge, so finding the best car policy caller for your needs is authoritative .tip icon average ANNUAL CAR INSURANCE PREMIUM FOR A 20-YEAR-OLD A 20-year-old on an individual policy could pay $2,465, on average.

Cheapest Car Insurance Companies for 20-Year-Old Drivers

insurance companies use your driving record as the biggest determinant of your car policy rates. They besides consider how much you drive your cable car, your old age and where you live when they figure out how a lot to charge. Young males often pay more than females because new males are more likely to engage in hazardous demeanor behind the wheel and have a higher incidence of accidents. The best cheap companies for brand-new drivers may vary depending on where you live, so be surely to shop around. Some states prohibit indemnity companies from considering sex :

  • Hawaii
  • Massachusetts
  • Montana
  • North Carolina
  • Pennsylvania
  • California

If you live in any other state of matter, rates are probably to be higher for a 20-year-old male over a female of the same age. Rates can besides vary quite a bit from company to company. While the average cost of a policy for a 20-year-old driver is $ 2,528, rates range from a low of $ 2,180 with Allstate to a gamey of $ 3,038 with Nationwide.

Cheapest Companies for a 20-Year-Old’s Individual Policy

coil for moreswipe icon

  • company annual premium
  • 1. Allstate $ 2,180
  • 2. GEICO $ 2,192
  • 3. state grow $ 2,218
  • 4. progressive $ 3,014
  • 5. nationally $ 3,038

Loading …

Car Choice Matters When Insuring a Young Driver

Younger drivers frequently consider the coolness factor of a car and how much fun it is to drive when choosing a vehicle. They may be beyond driving their parents ‘ hand-me-down vehicles and eyeing something sleek and fast like a Ford Mustang or Chevy Camaro. however, driving a sports car is going to increase rates over driving a more hardheaded vehicle. therefore, 20-year-olds and their parents should think about things like base hit ratings and affordability. several cars that fit the charge of safety and affordability to consider are :

  • Toyota Camry
  • Toyota Rav-4
  • Buick LaCrosse
  • Chevy Traverse
  • Kia Soul

These cars are more low-cost to insure and have good safety ratings, making them a good choice for a 20-year-old driver.

Strategies to Save Money on Car Insurance for a 20-Year-Old

Adding your 20-year-old driver to the syndicate policy is the easiest way to save on car indemnity, and it offers the most significant savings. Adding a 20-year-old to your policy will increase the premiums if they aren ’ triiodothyronine already on your policy, but it ’ s still cheaper than getting an individual policy.

Compare Quotes for the Best Policy

Another manner to save money is to compare car insurance rates. Depending on what area of the area you live in, different companies may have the cheapest rates. Don ’ triiodothyronine be afraid to switch companies if it means significant savings. indemnity companies are counting on the fact that once you sign a policy with them, you ’ re less likely to shop around. The Insurance Information Institute ( III ) suggests getting quotes from at least three companies. MoneyGeek ’ s comprehensive study on policy rates revealed that getting a policy with the lowest-quoted company for a 20-year-old would save an median of 28 % as compared to using the company with the highest quote.

Ensure a Clean Driving Record

Your 20-year-old driver likely has some experience immediately, but a fairly drive record is silent imperative to get the best rates on car policy. If you live in California, the cost of your adolescent getting barely one speeding ticket will raise your rates by $ 1,242 a class. And if your adolescent gets catch driving under the influence, your policy rates could double overnight. As a rear, you should model good driving behavior. Don ’ t glance at your phone, don ’ t speed and don ’ thyroxine toast and drive. Impress upon your 20-year-old how much money they can save and how many injuries they can prevent by driving safely.

Find Companies That Offer Teen Discounts

If your 20-year-old is a well student, look into good student discounts. For exemplar, Geico offers a 15 % discount for full-time students with at least a b-complex vitamin average. Look into defensive driving naturally discounts as well, although not every company offers a discount for these courses. State Farm recommends you contact your agent for a list of qualifying courses, so it pays to check before you sign up. On the other hand, even if your company doesn ’ thymine offer a discount, a defensive repel course is always a good idea. It will teach condom drive skills and pay off for years down the road.

Lower the Coverage Amount

All states ( except for New Hampshire ) have minimum liability requirements for car indemnity. These are the denude minimum, so you ‘ll credibly want more coverage than good these amounts. If you own cars that are lone worth a few thousand dollars, you could go with merely liability-only car indemnity, forgoing collision and comprehensive insurance. You ’ ll have to pay for repairs and damage to your car out-of-pocket, though. You ’ ll besides have to pay for any injuries you sustain, and those costs can cursorily skyrocket. besides consider increasing the deductible, as this will besides save some money. Just make sure you have the measure of the deductible handy in lawsuit you get into an accident.

Choose a Sedan Over a Sports Car

The type of car your 20-year-old drives will besides affect indemnity rates. Some cars are expensive to insure because they are expensive to repair, and some are more expensive because they lend themselves to risky drive. The MoneyGeek team found that driving a flashy sports car increased premiums anywhere from hundreds to thousands of dollars in every state.

Why Is Car Insurance So Expensive for a 20-Year-Old?

car indemnity is expensive for a 20-year-old driver because, while they do have some feel under their belts, they ’ re silent fairly fresh at driving. A 20-year-old is just a few months removed from their adolescent years, and although adolescent drivers make up fair 14 % of the population, they ’ re creditworthy for 30 % of the costs of fomite injuries. When your 20-year-old reaches 25 or so, cable car policy premiums become more fair.

Traffic Statistics for 20-Year-Old Drivers

Drivers ages 20–24 suffer 2.15 fateful crashes for every 100 million miles drive, and there are 572 total crashes in this senesce group, according to police-reported crashes from 2014 to 2015. This is about a third base less than the full crashes of teenagers.

Accidents per 100 Million Miles Driven
Driver Age fatal Crashes wound Crashes All Crashes
16–17 3.75 361 1,432
18–19 2.47 197 730
20–24 2.15 157 572

While there are fewer deaths per caput for teens and young adults, these long time groups are still at a higher risk for accidents because there are more deaths per head per annual miles drive. Drivers ages 20–24 suffer more deaths per 100,000 drivers than about any early age group. Drivers ages 20–24 drive quite a bit, but they are however relatively inexperienced, leading to more crashes. They are still more likely to underestimate dangerous situations and have precisely enough experience to make them cocksure. however, they are about half as probably to suffer a fatal car crash than 19-year-olds .Driver Deaths per Capita per Annual Miles Driven Loading …


MoneyGeek collected data for drivers in this old age group and analyzed the costs of car policy. A meaning measure of data in its methodology came from state departments of indemnity and Quadrant Information Services. Individual quotes can vary, and every driver is singular, so you might get different rates.

Read More on Auto Insurance

About the writerexpert-profileexpert-profile Gail Kellner is a professional fiscal writer who specializes in biography insurance, car indemnity and personal finance. She earned her Bachelor ‘s degree in Psychology from western Connecticut State University and her Master ‘s of skill from Indiana State University. She loves combining her cognition of psychology with her fiscal expertness therefore people can make better fiscal decisions .

Leave a Reply

Your email address will not be published. Required fields are marked *