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average car insurance rates by age

Average Car Insurance Rates by Age (2020)

  • Teen and elderly drivers pay the most for car insurance.
  • Discounts are available to offset costs for high-risk drivers.
  • We recommend USAA or GEICO for low-cost, high-quality insurance.

Affiliate disclosure: Automoblog and its partners may be compensated when you purchase the products below.

Buying a car insurance policy can be a confusing process, especially because there are so many factors that affect your premium. Whether you’re 25 or 85, looking at average car insurance rates by age can give you helpful insight into how much you should be paying for coverage.

In this article, we’ll breakdown what an insurance will cost based on your age bracket, as well as discount eligibility for different age groups. We’ve done a deep dive into the car insurance industry and found the best auto insurance companies based on affordability, coverage options, and more. For a free quote from one of our top-recommended providers, fill out the zip code form below. 

Average Car Insurance Rates By Age

Below, we’ve compiled a list of average car insurance rates by age using data from The Zebra’s 2019 State of Auto Insurance report. The premiums listed reflect the coverage costs for a male driving a 2014 mid-size vehicle with a good driving history and 50/100/50 liability limits with a $500 deductible for comprehensive and collision coverage.

Age Bracket Average Car Insurance Rates by Age
16-19 $5,217
20-29 $1,979
30-39 $1,449
40-49 $1,396
50-59 $1,296
60-69 $1,325
70-79 $1,556
80-85 $1,847

According to our research on average car insurance rates by age, the best age to get car insurance is between 30 and 60 years old. At this point, insurance companies no longer see you as a “high-risk” driver. Calculating risk is how car insurers set insurance premiums. The more likely you are to get into an accident and need to use your insurance, the more you’ll pay in premiums.

Young drivers and elderly drivers are considered the highest-risk age brackets. Because teens are new to driving, their lack of experience often leads to more accidents. In 2017 alone, teen drivers accounted for 8% of all fatal car accidents, despite accounting for only 6% of the U.S. population, according to the CDC. On the other end of the spectrum, the CDC reports elderly drivers (ages 65+) tallied 7,700 fatal motor vehicle deaths. 

What Other Factors Affect Your Insurance Rate?

Aside from age, your gender, location, car type, driving history, and credit score affect your insurance rate. Let’s break down why those factors affect risk and, in turn, affect your insurance premium.

  • Driving history: If you’ve been in quite a few accidents, an insurance provider will use this data to predict your future driving habits.
  • Gender: While this factor is up for debate, some states charge different rates for men and women. Often, women will end up paying more for their insurance premiums.
  • Car type: Safer vehicles assure providers that you’re less likely to be seriously injured in an accident. This also comes into play for drivers interested in mechanical breakdown insurance.
  • Credit score: While this data isn’t used as often, some insurance companies might use your credit score to predict risk, as drivers with lower credit scores may be more likely to file claims. 
  • Location: Denser, more populated locations lead to increases in traffic, which poses more risk for drivers. If you drive in a location like New York City or Los Angeles, you’ll pay more than a driver in a rural town.

There are other elements to consider when assessing your insurance cost, like marital status and your occupation, but the factors we listed above are the most impactful.

What Discounts Are Available?

If you’re in a higher-risk driving age bracket, you might be curious about your eligibility for discounts. Below, see how much you could save on average with several age-dependent discounts from our top-recommended insurers.

Insurance Company Discounts for New/
Teen Drivers
Discounts for
Students
Discounts for
Customer Loyalty
Discounts for
Good Driving
USAA Varies Varies Varies Varies
GEICO Varies 15% Varies 26%
State Farm 15% 25% 17-20% Varies
Progressive Varies Varies Varies $145 on average
AAA 20% 10% 5% 20%

Customer loyalty and good driving discounts aren’t directly tied to your age, but they require a certain number of years of loyalty or accident avoidance, so you’re more likely to be eligible as you age. Most insurance companies have a list of these and other discounts readily available on their websites. 

Our Top Recommendations for Car Insurance

Considering an auto insurance provider’s average car insurance rates by age is important, but make sure to evaluate any potential insurer based on coverage, customer service, and cost-effectiveness as well. We’ve reviewed every major auto insurance company, focusing on these factors. Based on this research, we’ve found USAA and GEICO to offer the best insurance on the market. 

Read more about these companies below, or compare rates now by filling out this form:

GEICO: Best Overall

Available in all 50 states, GEICO auto insurance scored highly across the board in our industry review. We especially liked its wide range of discounts offered to customers. The insurer has one of the best-rated mobile apps currency available, on which drivers can file claims, access insurance cards, review and adjust policies, and more. This gives GEICO customers a more streamlined insurance experience.

USAA: Best for Military Families

Although it’s restricted to military members and their families, USAA car insurance also performed well across all categories in our insurer review. It boasts a great reputation, including an A++ rating from AM Best, and offers many discounts to make your insurance policy more affordable. USAA doesn’t have any physical branch locations, but customers have reported mostly positive customer service experiences nonetheless. 

FAQ: Average Car Insurance Rates by Age

At what age is car insurance the cheapest?

According to a 2019 insurance study, you’ll be eligible for the cheapest car insurance in your 50s. This age group has average annual premiums of $1,296.

What is the best age to get car insurance?

The best age to get car insurance is between your late 20s and late 50s. During this period, you no pose the least risk to car insurers because you have more experience on the road and aren’t in a vulnerable position because of your age.

What is the average cost of car insurance for a 25-year-old?

The average cost of car insurance for a 25-year-old is around $1,600, according to a 2019 insurance study.

How much would car insurance cost for a 22-year-old?

Car insurance cost for a 22-year-old costs around $2,100 annually. At this age, you’re still considered a higher risk, but you have more experience than a 16-year-old driving for the first time.

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