How to Get Auto Insurance for a First-Time Driver
Comparing rates will help drivers find the cheapest rate possible when shopping for auto insurance for first-time drivers.
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Jimmy McMillan
Licensed Insurance Agent
Jimmy McMillan is an entrepreneur and the founder of HeartLifeInsurance.com, an independent insurance brokerage. His company specializes in insurance for people with heart problems. He knows personally how difficult it is to secure health and life insurance after a heart attack. Jimmy is a licensed insurance agent from coast to coast who has been featured on ValientCEO and the podcast Modern Li...
Licensed Insurance Agent
UPDATED: Mar 7, 2024
It’s all about veterans. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help veterans make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with one auto insurance company and cannot guarantee quotes from any single company. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different 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 veterans interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance-related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Mar 7, 2024
It’s all about veterans. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help veterans make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with one auto insurance company and cannot guarantee quotes from any single company. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different 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
- New drivers are not just teens but also drivers without a driving record and people who have immigrated to the U.S.
- Age and driving experience are two of the main factors when underwriters calculate insurance risk
- Cheap insurance for first-time drivers is available, but it’s important to compare as many companies as possible
Auto insurance for first-time drivers is notoriously expensive, and this is because underwriters don’t have much history to go on to assess your risk, making it harder to find the best military auto insurance for newer drivers. Insurance rates do tend to drop for those over the age of 25.
However, those aged 25 and over might still pay higher-than-normal insurance rates if they’re new to driving. This is also because the underwriter doesn’t have access to any driving history when calculating first-time driver insurance costs.
But that doesn’t mean your insurance needs to be unaffordable. Read on to learn how to find new driver insurance that is affordable, comprehensive, and meets your needs.
How to Get Auto Insurance for a First-Time Driver
If you have never had auto insurance before, there are a few things to know when shopping for your auto insurance policy. You will need a valid driver’s license to get auto insurance, and the insurance company will also ask for details about the car you are insuring, such as its make and model. You will also need to provide details on your driving record and personal information, such as your address.
Insurance companies will ask these questions to assess what rates to charge you, as location, driving records, cars, and more all have an impact on risk. Once you’ve gone through the application process and been approved, you can purchase your policy and will be insured.
When looking at coverages, you will have to carry what your state requires, such as liability insurance, but you have the option to choose among add-on coverages. Collision and comprehensive insurance are two coverages that most first-time drivers should add to their auto insurance policies for a full coverage auto insurance policy.
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Compare Auto Insurance Companies for a First-Time Driver
Some auto insurance companies are more affordable than others for new drivers, whether shopping for
auto insurance for young first-time drivers or older drivers that lack driving experience. Comparing rates and customer service reviews at different companies will help you narrow down your options to find which offers the best cheap auto insurance for first-time drivers.
Some companies that will be cheaper for new drivers are USAA and Geico. You can read our USAA auto insurance review for more information about this military and veteran-only company or read our USAA vs. Geico auto insurance review to see how the two companies compare.
How much is auto insurance for a first-time driver?
Auto insurance for new drivers can get pricey because the underwriter has to base the premium on the perceived risk of the policyholder.
- Younger drivers are involved in more accidents. Likely the result of inexperience, those between the ages of 16 and 19 are three times more likely to be in a fatal accident than those aged 20 and over, making auto insurance for new teenage drivers expensive.
- Distractions and risky driving practices. Young drivers are far more likely to drive at night or become distracted by items such as the radio or mobile devices.
Because auto insurance for learner drivers and auto insurance for teenage drivers is so high, take a look at the average rates below to see which companies offer some of the cheapest rates for new drivers.
Average Monthly Full Coverage Auto Insurance Rates for Teen Drivers| Insurance Company | 16-Year-Old Male With a Clean Record | 16-Year-Old Female With a Clean Record | 18-Year-Old Male with a Clean Record | 18-Year-Old Female with a Clean Record |
|---|---|---|---|---|
| Allstate | $638 | $608 | $519 | $448 |
| American Family | $480 | $390 | $390 | $288 |
| Farmers | $742 | $778 | $603 | $573 |
| Geico | $312 | $298 | $254 | $220 |
| Liberty Mutual | $778 | $716 | $633 | $528 |
| Nationwide | $476 | $411 | $387 | $303 |
| Progressive | $814 | $801 | $662 | $591 |
| State Farm | $349 | $311 | $284 | $229 |
| Travelers | $897 | $709 | $729 | $523 |
| Average | $610 | $558 | $496 | $411 |
Read more: Cheapest Auto Insurance
As mentioned before, Geico, State Farm, and USAA are worth looking into for new drivers. If your rates are still high at these companies, we go over how to save in the next section.
How can first-time drivers save money on auto insurance?
Whether a first-time young driver or a first-time older driver, it’s important to keep to the rules of the road and avoid unnecessary incidents. This will go a long way in bringing down insurance costs. Safe drivers are less risky to insure and will have cheaper rates.
You can also keep a simpler auto insurance policy by not carrying optional coverages like roadside assistance, as this will reduce your costs. Having a higher auto insurance deductible on your policy will also lower rates, as you agree to pay more toward repairs after an accident in return for lower rates in the present.
Finally, obtaining auto insurance quotes from different companies as a first-time driver will also ensure you get the best rate possible. We recommend starting with quotes from some of the more popular companies with good customer service ratings before moving on to lesser-known companies.
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How to Shop for Auto Insurance
One of the tips for getting auto insurance for a first-time driver is to compare quotes. When comparing quotes and buying a policy as a first-time driver, you can get quotes individually or use a quote comparison site, which is usually the quickest option. If you are getting quotes one by one from insurance companies’ websites, make sure you choose the same coverages and input the same information so your quotes are an accurate comparison.
When choosing the right type of auto insurance for your car, bear in mind you’ll need your state-required coverages. If you have a lease or loan on your car, then you’ll also need collision and comprehensive insurance. You should then consider what other protection you want on your car from the optional coverages and if you have the budget to add anything else.
The Final Word on First-Time Driver Auto Insurance Coverage
Auto insurance for new drivers starts off at a higher rate until drivers are able to build up a driving record and gain experience. In time and with a clean driving record, these rates can drop.
To find cheap rates as a first-time driver, take a look at our free quote comparison tool that will help you compare rates from insurance companies in your area.
Frequently Asked Questions
Should you get full coverage for your first car?
Yes, most drivers should get full coverage on their cars, which consists of state-mandated coverage in addition to collision and comprehensive coverage. The exception will be if your first car is older, as the cost of collision and comprehensive insurance may soon equal the value of your car.
What is the youngest age you can get auto insurance?
You can get auto insurance as soon as you have a driver’s permit or license, which is usually at age 16.
Are older or new cars cheaper to insure?
Usually, new cars are more expensive to insure because they have higher monetary values than older cars.
Will credit score affect auto insurance rates?
Yes, in states where insurance companies are allowed to use credit scores as an insurance rate factor, a bad credit score will affect your auto insurance rates.
Do you have to live with your parents to be on their auto insurance policy?
Yes, you have to live with your parents if you want to be on their auto insurance policy.
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Jimmy McMillan
Licensed Insurance Agent
Jimmy McMillan is an entrepreneur and the founder of HeartLifeInsurance.com, an independent insurance brokerage. His company specializes in insurance for people with heart problems. He knows personally how difficult it is to secure health and life insurance after a heart attack. Jimmy is a licensed insurance agent from coast to coast who has been featured on ValientCEO and the podcast Modern Li...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for veterans interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance-related. We update our site regularly, and all content is reviewed by auto insurance experts.