With age comes wisdom, and lower car insurance rates, up to a point. This bears out when you look at average car insurance rates by age.
Car insurance for people under 25 years of age is typically quite high. Teens and young drivers are inexperienced behind the wheel and statistics show they, as a class in whole, are more likely to be in accident than other age groups, which makes them a high risk to auto insurance providers. High risk equals high rates.
As you'll see in the "Average car insurance rates by age" charts below, in general, rates are cheapest for drivers in their 40s, 50s and 60s, and then increase again a bit at age 70. CarInsurance.com analyzed rates for 10 ZIP codes in each state for by age for three coverage levels. Here you see average car insurance rates by age for the following coverage sets:
- State minimum -- what you need to drive a car legally in your state
- Liability car insurance -- $50,000 limit to cover bodily injury you cause to others in an accident, up to $100,000 per accident, with $50,000 to pay for damage you cause to another car or property
- Full coverage -- liability with a $100,000 limit to cover bodily injury you cause to others in an accident, up to $300,000 per accident, with $100,000 to pay for damage you cause to another car or property, plus comprehensive and collision insurance, with a $500 deductible.
*CarInsurance.com commissioned Quadrant Information Services to run auto insurance rates for a 2017 Honda Accord LX for 10 ZIP codes in each state using six large carriers -- Allstate, Farmers, GEICO, Nationwide, Progressive and State Farm. (In cases where one of the insurers doesn't return a rate, another major carrier in that state is substituted.)
To see average car insurance rates for teens, see the following articles, that feature rates by age, state and gender:
Age is just one factor that car insurance companies assess when deciding how much you pay. Other factors that affect car insurance rates include:
- where you live
- what model car you drive
- marital status
- your driving record
- your credit history
- your annual mileage
Each of these rating factors, among others, along with type of coverage you choose and with what limits, influences the rate you'll pay for your car insurance policy.
And don't forget that what car insurance company you choose makes a difference in the car insurance rates you'll be offered. That's because insurance companies assess risk differently, and each use their own formulas to calculate the price you pay. So the price for a policy will vary signigicantly among insurance companies.
Whatever age and whether male or female, you can save hundreds, if not thousands, of dollars depending upon the insurer you chose. For this reason, it’s a must to compare car insurance companies and find the one that offers the best rates for your particular set of rating factors.