What's the cheapest insurance for 19 year old?
Cheap car insurance for 19-year-olds on their own policy
At what age is car insurance the cheapest? If you keep a clean driving record, your insurance costs should continue to fall throughout your 30s, 40s, and 50s. But you won't benefit from the cheapest premiums until you're in your late 60s.
According to our research the cheapest auto insurance provider for students is USAA, but that's only if the student is part of a military family. If they don't qualify for USAA coverage, the cheapest insurance company is Geico, which, based on 2022 data, charges an average of $3,161 per year for 18 year-olds.
Young drivers ages 16 to 24 tend to have the most expensive car insurance. Drivers in this age group are often inexperienced and are more likely to get into car accidents and file insurance claims. As a result, car insurance companies often charge higher premiums to young drivers.
19-year-old New York drivers can find the cheapest rates via Progressive at average rates of $265 per month or $3,181 per year. *USAA auto insurance is only available to military members, veterans and their families. Note: Costs were taken from 2022 information.
Insurance companies view young motorists as high-risk drivers due to their lack of driving experience. As a result, they pay significantly higher annual premiums than older drivers with more experience on the road.
The lack of experience and driving history plays a major role in determining insurance rates. Young drivers are seen as more prone to accidents due to inexperience, making them riskier clients for insurers.
The top 10 cheapest car insurance companies are Nationwide, Geico, State Farm, Travelers, Progressive, AAA, Allstate, Chubb, Farmers and USAA.
Geico is cheap because it offers a wide range of discounts that apply to a variety of situations. Geico also covers millions of drivers across the country, so it spreads out financial risk, which helps it offer cheap car insurance quotes.
| Car Insurance Company | Motor OD Claim Settlement Ratio FY23 | Network Garages |
|---|---|---|
| Digit Car Insurance | 96.00% | Repair anywhere |
| Bajaj Allianz Car Insurance | 98.50% | 4,000+ |
| Kotak Mahindra Car Insurance | 98.00% | 2,327+ |
| Zuno Car Insurance | 98.00% | 1,500+ |
Is it cheaper to be on your parents car insurance?
Generally, it is cheaper for younger drivers, particularly those under 25, to stay on their parents' car insurance policy. The average cost of car insurance for teen drivers is significantly higher than the average for American drivers as a whole. By staying on a parents' plan, young drivers can enjoy lower rates.
In general, car insurance companies charge male drivers more for coverage because they're more likely to get into accidents. But while most states allow insurers to consider gender when setting rates, your age, location, insurance provider and driving record usually make a bigger difference.
A 20-year-old driver generally pays less for auto insurance than they did as a teen, but rates won't drop into the more affordable range for a few more years. That's because 20-year-olds are still more likely to be in fatal car accidents than drivers age 25 and older.
If you're a young adult, you might assume that you don't need life insurance. However, securing a life insurance policy during your younger years can be a smart move and provide peace of mind that your loved ones are financially protected if the unimaginable happens.
- For male 17-year-old drivers: Nationwide, $231 per month, around $2,768 per year.
- For female 17-year-old drivers: GEICO, $189 per month, around $2,263 per year.
Progressive has the best minimum- and full-coverage quotes for 18-year-old drivers in New York. At $168 per month, a minimum-coverage policy for a young driver from Progressive is 38% cheaper than the state average. Full-coverage car insurance from Progressive costs $281 per month, which is 46% cheaper than average.
On average, drivers with poor credit pay 118 percent more for full coverage car insurance than those with excellent credit. California, Hawaii, Massachusetts and Michigan prohibit or limit the use of credit as a rating factor in determining auto insurance rates.
Your car insurance may be expensive because of your driving history, location, vehicle or credit history. Recent insurance claims and violations can increase your rates for three to five years.
While your auto insurance rates may drop at age 25, they will go down the most when you turn 19 (a 16% savings) and when you turn 21 (a 17% drop). The reason car insurance is expensive for drivers under age 25 is because younger drivers are statistically more likely to get into an accident than older drivers.
According to Lynch, a child living at home or going away to college or graduate school will be allowed to remain on their parents auto policy with no additional fees until age 24, unless he or she has purchased a separate insurance policy.
Why is AAA insurance so expensive?
AAA is so expensive because car insurance is expensive in general, due to rising costs for insurers. But at $529 per year, the average AAA car insurance policy is actually cheaper than coverage from most competitors. In fact, AAA is one of the cheapest car insurance companies nationally.
New drivers are more expensive to insure due to their lack of a driving record. Younger drivers are more likely to be in an accident, which also raises car insurance rates.
Both Geico and Progressive offer cheap car insurance to drivers across the country. Geico's rates are typically lower overall, but Progressive tends to offer better prices to high-risk drivers. High-risk drivers are those with a recent DUI, at-fault accident or speeding ticket on their driving record.
USAA, Nationwide, Travelers, Erie, Geico and Progressive are the cheapest car insurance companies nationwide, according to our analysis.
| Car Insurance Provider | National Market Share | Overall Rating Out of 10.0* |
|---|---|---|
| 1. State Farm | 16.84% | 9.4 |
| 2. Geico | 14.05% | 9.1 |
| 3. Progressive | 13.76% | 9 |
| 4. Allstate | 10.69% | 8.8 |
