When drivers turn 25, they move out of the highest-risk age category, resulting in a substantial decrease in car insurance rates. A 25-year-old with a clean driving record and no traffic tickets typically pays $2,229 more than for a full coverage policy than they did at age 20.
The average annual cost of a full coverage car insurance policy for a 25-year-old is $2,259 a year or $188 per month – $282 more than the insurance cost for a 24-year-old driver.
In Montana, the yearly cost for the same coverage is $2,560 for 25-year-olds.
Keep reading to learn more about car insurance for 25-year-olds in Montana.
How much is car insurance in Montana per month for a 25-year-old?
How much you pay for car insurance as a 25-year-old in Montana will vary depending on where you live, coverage levels, credit score, driving record and the deductible you select.
The table below shows how much car insurance costs for a 25-year-old per month and per year, on average, in Montana.
| 25-year-old policy | Average annual rates | Average monthly rates |
|---|---|---|
| State Minimum Liability Only | $393 | $33 |
| 50/100/50 Liability Only | $581 | $48 |
| 100/300/100 Liability with $500 Comp/Coll Deductible | $2,560 | $213 |
Cheapest car insurance for 25-year-olds in Montana
In Montana, a 25-year-old driver generally pays $2,560 per year for full coverage car insurance. Montana law prohibits insurance companies from using gender as a factor to calculate car insurance premiums. The table below shows the average full coverage rates from major insurance companies in California for 25-year-old drivers.
| Company | Average annual rates |
|---|---|
| Nationwide | $1,704 |
| State Farm | $2,023 |
| GEICO | $2,577 |
| Progressive | $3,016 |
| Farmers | $3,044 |
| Allstate | $3,240 |
| Kemper | $3,711 |
| USAA* | $1,169 |
How do rates for 25-year-olds compare to rates for other ages in Montana?
Car insurance premiums are typically highest during your teenage years and gradually decrease every year until you reach age 65, after which rates begin to increase again. See the chart below to understand how rates vary from your teens to age 70 in Montana.
| Age | Average annual rates | Average monthly rates |
|---|---|---|
| 16 | $8,466 | $706 |
| 20 | $4,789 | $399 |
| 25 | $2,560 | $213 |
| 40 | $2,193 | $183 |
| 65 | $2,019 | $168 |
| 70 | $2,080 | $173 |
Check out our detailed guide on the average car insurance rates by age
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What’s the best car insurance for 25-year-old drivers in Montana?
At age 25, young adults will be starting to build financial assets so they can afford more than basic liability car insurance, which pays for others’ injuries and damage you cause to their property in an accident. Typically, the state-minimum coverage isn’t enough – medical costs can quickly escalate if significant injuries occur in an accident.
As young adults gain more disposable income, they should consider comprehensive and collision coverage – a must if you’re financing a vehicle. If you have a higher deductible, you can lower your rate, but you’ll be responsible for the deductible if you make a claim.
Ultimately, the best car insurance for 25-year-olds is the policy that meets their individual needs. The Best Insurance Companies survey found that American Family is the best insurance company for young drivers and teens. Review a company’s National Association of Insurance Commissioners’ (NAIC) score, which ranks a company by the number of customer complaints it receives, its J.D. Power auto claims satisfaction score and AM Best data, which measures financial strength.
Car insurance discounts for 25-year-olds in Montana
Kevin Lynch, an assistant professor of insurance at The American College of Financial Services in Bryn Mawr, Penn., says the three biggest favors young adults can do for themselves in terms of getting the lowest insurance rates are to stay accident-free, maintain a clean driving record and a good credit score.
“They’re the essentials of getting affordable insurance,” he says. “After that, you can look at a variety of other things such as affiliated discounts, bundling insurance policies and perhaps an in-car monitoring device.”
Other car insurance discounts that might be available:
- Good driver/safe driver: Up to 30%
- Multi-policy discounts: Up to 13%
- Lower annual mileage/driving less: Up to 9%
- Usage-based discount programs/telematics: Up to 10%
- Paperless discount/autopay: Up to 4%
- Loyalty discount: Up to 11%
- Anti-theft devices: Up to 2%
Besides discounts, consider the type of car you purchase. A safe and reliable car will be cheaper to insure than a sports or luxury vehicle.
Compare rates on car models like the top teen and young adult-ready cars that cost less than $15,000 with high safety ratings.
Guide: How to lower car insurance costs
Final thoughts on car insurance for 25-year-olds in Montana
As you gain more driving experience, your auto insurance rates will decrease. The even better news is that your rates will keep decreasing as you age. It’s crucial to compare quotes from multiple insurers in Montana to find the best rate and coverage options tailored to your needs.
Resources & Methodology
Sources
- Insurance Institute for Highway Safety, Highway Loss Data Institute. “Fatality Facts 2020, Males and Females.” Accessed March 2025.
- National Association of Insurance Commissioners. “NAIC Score” Accessed March 2025.
- J.D. Power. “2022 U.S. Auto Claims Satisfaction Study” Accessed March 2025.
- AM Best. “AM Best Ratings” Accessed March 2025.
Methodology
CarInsurance.com gathered auto insurance rates from Quadrant Information Services for 25-year-old male and female drivers across various coverage levels: state minimum, 50/100/50 liability, and 100/300/100 full coverage with a $500 deductible.
The rates were obtained using a sample profile of a 25-year-old individual driving a Honda Accord LX with no history of traffic violations and a good insurance score. To evaluate the rates, we compared 53,409,632 insurance quotes from 170 regional and national insurance companies, encompassing 34,588 ZIP codes across the United States.
Note: USAA is only available to military community members and their families.
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