Best Cheap Car Insurance for New Drivers
Car insurance for new drivers can be expensive. Understanding the factors that affect car insurance rates such as your driving record, where you live, and how much you drive can help you find the best car insurance rates for your young driver. If you use comparison shopping, you’ll be able to save money and find the best car insurance for first-time drivers.
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Melanie Musson
Published Insurance Expert
Melanie Musson is the fourth generation in her family to work in the insurance industry. She grew up with insurance talk as part of her everyday conversation and has studied to gain an in-depth knowledge of state-specific insurance laws and dynamics as well as a broad understanding of how insurance fits into every person’s life, from budgets to coverage levels. Through her years working in th...
Published Insurance Expert
UPDATED: Apr 30, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance provider and cannot guarantee quotes from any single provider.
Our car insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different car insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about car insurance. Our goal is to be an objective, third-party resource for everything car insurance-related. We update our site regularly, and all content is reviewed by car insurance experts.
UPDATED: Apr 30, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance provider and cannot guarantee quotes from any single provider.
Our car insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different car insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Major factors can influence your car insurance rates including your driving record, where you live, and how much you drive
- Because young drivers are inexperienced, insurance companies consider them a greater risk
- Comparison shopping, safe drivings habits, and taking advantage of available discounts will help new drivers find the best car insurance rates
While it’s true that insurance for new drivers will cost more than insurance for seasoned ones, there are still ways to save money. We’ll show you more about what factors influence car insurance rates for young drivers and the best ways to get cheaper rates. Read on to find the best cheap car insurance for new drivers.
Best Auto Insurance for New Drivers
Whether you are a brand new driver or if you have waited until later in life to obtain your driver’s license for the first time, new driver insurance may be costly. We’ve compiled a list of the best auto insurance companies for new drivers with discounts to help you keep down costs for car insurance rates.
| Insurance Company | Average Monthly Premium | Discounts |
|---|---|---|
| State Farm | $577 | Good student discount Student away at college discount Defensive driving discount |
| Erie Insurance | $311 | Youthful driver discount Driving training discount Multi-car discount Multi-policy discount |
| Nationwide | $539 | SmartRide Program discount for safe drivers Good student discount Multi-car and multi-policy discount |
| Progressive | $772 | Teen student discount Good student discount Distant student discount Pay in full discount |
At any age, finding strategies to save money is essential. On average, a teen driver can pay anywhere from $300 to over $1,000 per month for auto insurance. Make sure to shop around to get quotes from several different car insurance companies to find the most affordable coverage to fit your needs.
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What factors affect the cost of car insurance?
Three main factors influence the cost of auto insurance rates. These factors include your driving record, where you live, and how much you drive. Here is more info about each of these elements.
Your Driving Record
Insurance companies feel you’re more likely to get into an accident if you’ve had previous traffic violations. As a result, drivers with the best driving histories receive the best auto insurance rates. You are considered a “good driver” and will qualify for the best car insurance rates if you haven’t had any minor traffic violations (like speeding tickets) in the last three years or severe violations in the previous five to seven years.
Where You Live
If you’ve ever requested a car insurance quote, you’ll note that one of the first questions on the form is your address. This is because your location has a significant impact on the cost of auto insurance. Insurance companies consider the frequency of claims, crime rates, road conditions, climate and weather, and other location characteristics when setting auto insurance prices.
How Much You Drive
Auto insurers also consider how you utilize your vehicle when determining your rates. For instance, if you commute to work or school, you will most likely travel during peak traffic hours and your car will be more expensive to insure. Your predicted yearly mileage indicates how much time you spend on the road and, as a result, how likely you are to be involved in an accident.
Why does auto insurance cost more for young drivers?
Insurance companies know that more experienced drivers are less likely to get into an accident on the road. Statistics show that young drivers get into more accidents, so they pay more for insurance. First-time drivers can expect to pay more for car insurance than other drivers.
Here are the major contributing factors for high insurance rates for new drivers:
- Young drivers have an unreliable record.
- Young drivers lack experience.
- Young drivers are more reckless.
- Young drivers engage in more distracted driving.
Young drivers face higher insurance premiums than their older counterparts for the reasons listed above. Still, by comparing policies, you can save money and find the best cheap car insurance for new drivers.
Auto Insurance Rates by Age and Gender
Here’s what you can expect to pay on average for car insurance based on age and gender:
- Married 60-year-old female average rate is $187/month.
- Married 60-year-old male average rate is $192/month.
- Married 35-year-old male average rate is $204/month.
- Married 35-year-old female average rate is $204/month.
- Single 25-year-old female average rate is $225/month.
- Single 25-year-old male average rate is $241/month.
- Single 17-year-old female average rate is $630/month.
- Single 17-year-old male average rate is $752/month.
The average monthly automobile insurance payment in the United States is $86, although it varies depending on your driving record, credit, and other criteria. You can work on improving your driving record, credit reports, and type of car purchased to ensure you get the cheapest car insurance rates for new drivers available.
Enter your ZIP code below to view companies that have cheap auto insurance rates.
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Finding the Best Insurance Rates for New Drivers
For first-time drivers, the cost of auto insurance can be twice or even more than the typical rate. If you need auto insurance for a new driver in your family, you can find the best insurance rates by comparison shopping from top insurance companies in your area.
Frequently Asked Questions
What is the best cheap car insurance for new drivers?
Three main factors influence the cost of auto insurance rates. These factors include your driving record, where you live, and how much you drive. Here are more details about each of these elements.
- Your Driving Record: Insurance companies consider you more likely to get into an accident if you have previous traffic violations. As a result, drivers with the best driving histories receive the best auto insurance rates. You are considered a “good driver” and will qualify for the best car insurance rates if you haven’t had any minor traffic violations (like speeding tickets) in the last three years or severe violations in the previous five to seven years.
- Where You Live: Insurance companies consider your location because it has a significant impact on the cost of auto insurance. The frequency of claims, crime rates, road conditions, climate and weather, and other location characteristics are considered when setting auto insurance prices.
- How Much You Drive: Auto insurers also consider how you utilize your vehicle when determining your rates. If you commute to work or school, you will most likely travel during peak traffic hours, and your car will be more expensive to insure. Your predicted yearly mileage indicates how much time you spend on the road and, as a result, how likely you are to be in an accident.
Why is car insurance more expensive for new drivers?
Car insurance is more expensive for new drivers because they have less driving experience and are therefore considered higher-risk drivers. Insurance companies use various factors to determine risk, such as:
- driving history
- age
- gender
New drivers with no driving history or a limited driving history are considered higher risk and are charged higher premiums.
What are some tips for new drivers to get cheaper car insurance rates?
Some tips for new drivers to get cheaper car insurance rates includes:
- maintaining a clean driving record
- choosing a higher deductible
- driving a car with safety features
- taking a defensive driving course
- being added as a secondary driver to a parent’s policy
Additionally, comparing quotes from different insurance providers can help new drivers find the best rates.
What discounts are available for new drivers?
Here are the four discounts available for new drivers:
- good student discounts
- safe driving discounts
- multi-car discounts
- bundling discounts
These discounts can help new drivers save money on their car insurance premiums.
What is comparison shopping for car insurance?
Comparison shopping for car insurance involves obtaining quotes from multiple insurance providers to compare coverage and rates. This allows consumers to find the best coverage for their needs at the most affordable price. Comparison shopping can be done online or by contacting insurance companies directly.
How often should I shop for car insurance?
It is recommended to shop for car insurance at least once a year, as rates can change and new discounts may become available. Additionally, major life changes such as moving, getting married, or buying a new car may also affect car insurance rates and coverage needs.
Enter your ZIP code below to view companies that have cheap auto insurance rates.
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Melanie Musson
Published Insurance Expert
Melanie Musson is the fourth generation in her family to work in the insurance industry. She grew up with insurance talk as part of her everyday conversation and has studied to gain an in-depth knowledge of state-specific insurance laws and dynamics as well as a broad understanding of how insurance fits into every person’s life, from budgets to coverage levels. Through her years working in th...
Published Insurance Expert
Editorial Guidelines: We are a free online resource for anyone interested in learning more about car insurance. Our goal is to be an objective, third-party resource for everything car insurance-related. We update our site regularly, and all content is reviewed by car insurance experts.