The average annual cost of auto insurance for 17-year-olds is $5,864, or $489 per month. Even if a 17-year-old's insurance is less expensive than a 16-year-old just starting out on the road, it is still more expensive than what most drivers pay for coverage.
The nationwide carrier with the most affordable rates for 17-year-old drivers is State Farm, while COUNTRY Financial offers the most affordable rates locally. Both firms provide 17-year-olds with automobile insurance thousands of dollars less expensive per year than the national average.
How much does a 17-year-monthly old's auto insurance cost?
A 17-year-monthly old's automobile insurance premium typically costs $489. We discovered that 17-year-old drivers spend $4,212 more annually than adult drivers due to their lack of driving experience in comparison to older drivers (ages 30, 35, and 45 years old).
17-year-olds can still find affordable auto insurance. According to our research, COUNTRY Financial offers 17-year-old drivers the most affordable average auto insurance prices. State Farm has the most affordable rates for 17-year-olds among the big auto insurance providers because COUNTRY doesn't operate everywhere.
Compared to other ages, how much does vehicle insurance for 17-year-olds cost?
Since they are the most recent drivers on the road, 16-year-old drivers really have the most expensive auto insurance, despite the fact that 17-year-olds often pay the highest rates. We discovered that 17-year-old drivers pay 13% less for insurance than those who are only one year younger.
The cost of a driver's auto insurance decreases as they get older and have more driving experience. Because of this, the average cost of motor insurance for 18-year-olds is 16% lower than for 17-year-olds. When a driver reaches the age of 25, average expenditures are 67% lower than they are for 17-year-olds.
Why is insurance for a 17-year-old so expensive?
Due to their inexperience behind the wheel, insurance for 17-year-olds (and other young drivers) is more expensive. A 17-year-old has just one or fewer years of driving experience compared to someone who has held their licence for close to ten years or more.
That’s why teenagers are more prone to get into accidents and make expensive claims than older drivers. Fortunately, your rates will decrease as you accumulate more driving experience. Before you turn 25, your cost of coverage could significantly decrease each year (as long as you keep your driving record clean).
Cost of family auto insurance for drivers under the age of 17
For a 17-year-old driver, joining their family's insurance plan is far less expensive than purchasing their own protection. We discovered that adding a young driver to an existing auto insurance policy costs $187 less per month than getting them their own coverage.
A 17-year-old who is added to their parents' or guardians' policy will pay, on average, $302 per month ($3,625 annually) for auto insurance.
How to lower the cost of auto insurance for drivers under the age of 17
Although the cost of auto insurance for 17-year-olds is greater than the national average, there are still ways for young drivers to cut costs. If you are paying too much for your current policy or if your quotes for coverage are too high, you should:
Join a new policy or continue on the one you have: If you can, continue on your current policy for as long as possible because it is less expensive to add a young driver to a family policy.
Look for discounts: Many businesses provide specials that might assist drivers under the age of 17 cut their premiums. Taking a driving safety course, enrolling in a supervised driving programme created especially for minors, and maintaining a strong GPA can all help you save money.
Change to usage-based or per-mile insurance if possible: Usage-based programmes are typically offered by providers. Typically, this entails a period of closely monitored driving, during which an app records your speed, braking, and other driving behaviours. Your rate may then be drastically lowered (as long as you drove safely).
The easiest approach to ensure you're receiving the greatest deal is to shop around when your policy is about to expire and compare quotes from the leading insurance providers in your region. By doing this, you can be certain that you are receiving the best deal possible, given your driving history, age, and location.
How to Reduce the Cost of Teen Driver Insurance
The Zebra advises parents with one or more teenagers covered by their policies to shop around every six to twelve months to discover the best deals on car insurance. Maintaining a clean driving record will help you maintain cheap premiums. Avoid negligent collisions, reckless driving infractions, distracted driving, and other risky behaviours that could lead to claims and increase your rate.
Additionally, limiting the coverage for your juvenile driver might lower premium costs. A policy for a new model car is substantially more expensive than one for an older model.
It usually makes sense to forego collision and comprehensive coverage in favour of the state's minimum liability coverage if you insure a car valued less than $4,000. The average cost of a liability-only coverage in the country is $672 annually for a high-deductible policy and up to $1427 for a lower-deductible option.
Encourage your child to study hard so that they can receive the good-student discount. For high school and college students who maintain a grade point average of at least 3.0 and present transcripts as specified in the policy documents every six to twelve months, most firms offer this incentive.
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