18-year-olds with full coverage on their own insurance policies will typically pay almost $5,190 a year, on average. A driver age 30 pays more than $3,430 more than the national average ($1,758).
It’s expensive to insure a newly licensed driver. Natural, they lack experience and are prone to accidents. That’s why insurers refuse to cover them. They charge teenagers higher rates as a result.
What Does Car Insurance Cost an 18-Year-Old?
A full coverage policy for teen drivers age 18 will cost about $430 a month on average. In most states, it costs about $160 per month to buy just enough car insurance to be legally able to drive.
For different levels of coverage, below are the monthly costs:
- 158 dollars is the state’s minimum policy
- Comprehensive and collision coverage at 100/300/100: $432
How much does car insurance for a female aged 18 cost
Average car insurance cost for 18 year old female is $4,772. There’s a comprehensive and collision policy for her that includes 100/300/100 liability limits. 18-year-old female drivers pay $830 less than males.
On the following page you will see the average insurance costs by state for a woman of 18 years old, as well as how those compare to a parent’s policy with the teen driver included. Your costs will be much lower when you add a teen. As a result, teens get fewer discounts than their parents when they get their own policy.
Is Full Coverage Required for an 18-Year-Old?
Teen drivers are not required to have full coverage by law. If you are leasing or financing the vehicle, however, your lender will require you to have comprehensive and collision coverage.
If you cause an accident, you only need liability insurance in order to drive legally. You are not covered by it if you own the car. The car your teen drives should however be fully covered by your policy since teens are more prone to accidents than experienced drivers.
Car insurance does not cover drivers. In other words, the teen’s insurance policy will cover accidents and damage caused by the car the teen is driving.
According to Gusner, a full coverage policy should include:
- One hundred thousand dollars for injury liability to pay medical bills for those injured in an accident you caused
- three hundred thousand dollars for all injuries in one accident you caused
- To repair a car you hit, for example, you may be responsible for $100,000 in property damage
- You can obtain collision insurance regardless of fault in an accident to cover vehicle damage
- Complete coverage, including hail damage, fire damage, vandalism, animal damage, and theft coverage
To protect your teen from injury while he or she is driving the car, you really should spend the extra money. A bare-bones policy may not cover even minor accidents, which may force you to pay out of pocket.
The cost of upgrading your 18-year-old daughter from state minimum to full coverage is about $1,672, but for peace of mind that’s just $139 a month. A parent with a son age 18 can add full coverage to their policy for $1,884 instead of state minimum, or $157 a month.
Do you Need to Add Your Teen to Your Policy?
Under most state laws, teens are considered adults. It is not necessary to add them to your policy. However, you might not want to do that.
It’s usually a good idea to add a teen to the family policy when teens want to head their own way. A teen’s own policy is usually more expensive than a separate policy for the teen.
This is due to the higher risk teens pose. Separate policies are likely to be more expensive than policies added to the same family policy.
As a result, CarInsurance.com consumer analyst Penny Gusner says an 18-year-old will not receive the same discount as a parent. Several discounts may be offered to parents with multiple vehicles, multiple policies, and loyalty. However, even if these benefits are offered, adding an 18-year-old driver to a parent’s policy will most likely lead to premium increases.
Comparing prices will help you get the best deal. The way each car insurance company calculates your premium is different. In other words, insurance companies can offer significantly different quotes for the same policy. It is impossible to discover how much money you can save if you don’t shop around.