How much does car insurance cost for a 22-year-old?
How much does car insurance cost for a 22-year-old? The average car insurance costs for a 22-year-old is $217/mo or $2,596 annually. The average monthly car insurance rates for a 22-year-old are affected by the state you live in, the coverage level you require, your income level, and sometimes even your gender. 22-year-olds can save on car insurance by staying on a parent’s policy, applying for discounts, driving safely, and comparison shopping.
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UPDATED: Oct 14, 2020
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The average American driver pays $84 per month or $1,009 annually for car insurance. But how much does car insurance cost for a 22-year-old? While rates for 22-year-old drivers are lower than what teen drivers pay, drivers under the age of 25 still lack driving experience and pay much higher monthly premiums than older drivers on the road.
Car insurance companies are very mindful of the extended length of time it takes to become a skillful driver. Therefore, drivers who are part of high-risk driver groups receive higher insurance rates. Are all car insurance companies the same when it comes to pricing for 22-year-olds? No, every company uses a unique formula when calculating rates.
What’s a typical car insurance quote for a 22-year-old? Depending on the state you live in, your driving record, the level of coverage you required, and what kind of car you drive, your rates might be around $217 per month or $2,596 per year. Even your gender can impact what you’ll pay for car insurance as a 22-year-old.
Read through our guide for 22-year old drivers to learn how you can reduce your car insurance totals. Insurance prices and regulations are different in every state, causing a wide range of insurance costs. From choosing the right level of coverage to knowing about low-income insurance options to considering staying on your parent’s policy, there are plenty of ways 22-year-olds can save on car insurance rates.
Before learning more about how much car insurance costs for a 22-year-old, start comparing car insurance rates and get car insurance quotes right now by entering your five-digit ZIP code into our FREE quote tool above.
Car Insurance Rates for a 22-Year-Old
The average American pays $84 per month or $1,009 annually for car insurance. But how much is car insurance for a 22-year-old? Your average rates are closer to $217 per month or $2,596 per year.
Statistically, younger drivers cause the most accidents even though they drive less than other age groups. However, data reported by the Insurance Institute for Highway Safety proves that drivers under the age of 20 have crash rates that are four times higher than drivers over the age of 20.
You may be wondering, then, why insurance rates for 22-year-old drivers are still so high? Especially if the data shows they are a more responsible group of drivers than their younger counterparts.
When determining how much a basic or full coverage insurance policy will cost a 22-year-old, there are many factors insurance companies consider besides age. The state you live in, your driving history, the type of car you drive, and in some cases even your gender has an impact on your rates.
Take a look at the following table, which compares the average car insurance rates for 22-year-old males versus the average car insurance rates for 22-year-old females.
Company 22-Year-Old Female 22-Year-Old Male
USAA $112.00 $125.00
GEICO $165.00 $167.00
Progressive $196.00 $202.00
State Farm $227.00 $259.00
Allstate $236.00 $223.00
Liberty Mutual $300.00 $384.00
According to the data, the average monthly car insurance for 22-year-old male costs $226, and the average monthly car insurance for 22-year-old female costs $206.
As you can see, USAA car insurance offers the lowest rates but only active or retired military personnel and their families are eligible to use services from this company. GEICO and Progressive also offer competitive rates for 22-year-old drivers.
Fortunately, there are ways to lower your car insurance rates if you are 22 years old. If you are still in college, you can apply for good student discounts. You might also consider taking a driver’s education course in exchange for a car insurance discount.
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Car Insurance Rates for 22-Year-Old Drivers by State
Remember, the state you live in will drastically impact your average car insurance rates, regardless of your age. Car insurance will cost more in states with higher auto theft rates, more traffic congestion, and higher accident rates. Rural states with lower population densities tend to have better average car insurance costs.
Take a look at the table below, which shows the average annual rates for car insurance by state in order from the least expensive, to the most expensive.
|State||Average Annual Car Insurance Rates|
|District of Columbia||$1,330|
This data includes rates that drivers of all ages pay in each of the states. People living in Idaho, Maine, Virginia, pay much less for car insurance than folks living in Louisiana, Michigan, or Florida.
To get a better idea of what a 22-year-old might pay, in the next few sections we’ll explore rates by age in specific low-cost, mid-cost, and high-cost states.
Car Insurance Costs for 22-Year-Old Drivers in Low-Cost States
Let’s explore what a 22-year-old driver will likely pay in a state where car insurance rates are lower than average. We will use Idaho for our example, which ranks 48 in a nationwide survey of the most expensive car insurance prices.
Take a look at the following table, which provides details about two hypothetical drivers, Justin and Jessica, both age 22 and living in Boise, Idaho.
|City, state||Boise, Idaho||Boise, Idaho|
|Car make and model||2005 Ford Taurus||2020 Ford Fiesta|
|Car insurance policy limits||BIL: $25,000/$50,000|
UM/UIM bodily injury: $25,000/$50,000
UM/UIM property damage: $15,000
UM/UIM bodily injury: $50,000/$100,000
UM/UIM property damage: $25,000
Towing allowance: $50.00
|Average monthly car insurance rate||$63||$133|
Notice that even though he’s male, Justin’s average rate is lower than Jessica’s. This is because he is trying to purchase a very basic insurance policy that only has the state’s minimum car insurance requirements.
Jessica purchased higher liability limits than Justin, and also bought GAP insurance because she’s financing her new Ford Fiesta. Her GAP coverage only added around $8 to $15 to her annual rates and will cover the difference between what is left on her auto loan and the actual cash value of her car should it get totaled in an accident.
Justin only carries liability coverage. If Justin were found to be at-fault in a car accident, he would not receive any payments for his own bodily injury or damage to his own vehicle.
His uninsured/underinsured motorist protection only kicks in if he was involved in an accident with a driver who had no insurance or not enough insurance to meet Idaho’s legal requirements.
Take a look at the table below to see what specific insurance companies in Boise would charge Justin as a monthly payment for his very basic policy.
Company Average Monthly Car Insurance Rates
State Farm $46.00
American Family $54.00
Farm Bureau $60.00
GEICO and State Farm both provide quotes for under $50 per month, which is not bad if you’re on a tight budget. However, to get such a low cost, Justin has to sacrifice coverage.
For example, if Justin’s vehicle gets damaged by a hail storm or flood, he does not have any comprehensive coverage to pay for those damages. Similarly, if he hits a patch of black ice and collides head-on with a tree, he has no collision coverage to help him pay for damages to his own vehicle.
Now take a look at what those same insurance companies would charge Jessica for her policy. Remember, she drives a brand new Ford Focus, whereas Justin insured a much older 2005 Ford Taurus.
Company Average Monthly Car Insurance Rates
State Farm $104.00
Farm Bureau $126.00
American Family $131.00
Not only will Jessica be better protected with her policy, but she’s also driving a much newer car. Her GAP insurance will prevent her from falling into a financial crisis if her vehicle is ever deemed a total loss in an accident.
Car Insurance Cost for 22-Year-Old Drivers in Mid-Priced State
Now we will use California as our middle-priced state for car insurance. This time, we’ll include a low-income example and an example of a 22-year-old who chooses to stay on his parent’s policy. Our hypothetical drivers are Cynthia and Nick, again both are 22-years old and live in the town of Elk Grove.
Cynthia’s income is low enough to qualify for California’s low-income car insurance program, which is available to qualifying licensed drivers. Keep in mind that low-income car insurance is only available in some states, however.
Elk Grove is in Sacramento County, which means that Cynthia can get car insurance for $261 per year with this special program. She can finance the policy with a 20 percent down payment and pay seven more monthly installments of only $29.83.
California’s low-cost car insurance program only covers up to $10,000 per person and $20,000 per accident in bodily injury liability coverage, and up to $3,000 in property damage liability. For 22-year-old drivers in financial situations like Cynthia, this program protects her if she causes an accident and must pay for the damages to the other driver.
Uninsured motorist coverage and limited amounts of collision and comprehensive coverage can be added to California’s low-income policy through an agent for additional costs. However, not everyone is able to afford those extra coverage levels.
All car insurance agents in California are required to offer low-income coverage.
Like Cynthia, Nick is also 22 and lives in Elk Grove. Nick lives with his parents and drives a 2003 Subaru Legacy. Many young licensed drivers continue to take advantage of being part of a household of drivers to save on insurance costs.
Nick pays his share of the family car insurance bill by writing a check to his parents. Take a look at the difference in monthly car insurance rates after Nick’s parents add him to their car insurance policy as a named driver in the table below.
Company Average Monthly Car Insurance Rates Average Monthly Rates with a 22-Year-Old Male Added Total Difference
GEICO $131.00 $214.00 $83.00
Allstate $134.00 $221.00 $87.00
21st Century $148.00 $261.00 $113.00
USAA $179.00 $272.00 $93.00
Liberty Mutual $184.00 $355.00 $171.00
AAA $193.00 $285.00 $92.00
Mercury $195.00 $312.00 $117.00
Mid-Century $209.00 $398.00 $189.00
State Farm $237.00 $382.00 $145.00
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Nick will pay the difference in cost to his parents each month. The cost to add a younger driver to a car insurance policy varies by company. Only GEICO, Allstate, USAA, and AAA all charge less than $100 to add a 22-year-old to an existing policy.
If you chose to stay on your parents policy as a 22-year-old driver, the additional costs will be around 6 percent cheaper than if you got yor own individual policy.
Watch the following video to see why many young drivers are choosing to stay on their parent’s car insurance policy to save money.
Not every young driver has the option of staying on a parent’s policy. Fortnately, there are many discounts you can qualify for that will help keep your rates low.
Our hypothetical 22-year-old drivers living in California found ways to save enough on their car insurance rates so that they are actually paying less than the hypothetical drivers who live in Idaho.
As you can see, it is possible to secure cheap car insurance for 22-year-old females or males, as long as you are willing to put in the time, effort, and research to ensure you’re getting the best rates.
Car Insurance Costs for 22-Year-Old Drivers in High-Priced States
Finally, we’ll explore what a 22-year-old should expect to pay for car insurance in a high-price state, like Florida. Our hypothetical driver is named Andrew, and he drives a 2007 Mazda CX 7.
His car is his most valuable asset, so he wants a full coverage policy that includes the Florida state minimum car insurance requirements, as well as collision and comprehensive coverage.
In this example, however, let’s imagine our hypothetical driver has a rocky driving record. Andrew was cited for careless driving while adjusting his sound system on the interstate.
In the table below, see what his car insurance premiums look like as a 22-year-old driver with just one ticket on his record.
Companies Average Monthly Car Insurance Rates Average Monthly Rates With 1 Ticket
USAA $125.00 $167.00
GEICO $167.00 $187.00
Progressive $202.00 $261.00
Allstate $223.00 $246.00
Liberty Mutual $384.00 $384.00
Insurance companies in Florida are tough on 22-year-olds who get traffic tickets. Can a speeding ticket raise your car insurance rates? Yes, just one speeding violation can increase your rates by a dramatic amount.
Unfortunately for Andrew, women car insurance quotes tend to be lower than male car insurance quotes, especially in Florida. Car insurance prices are based on risk. The riskier you are as a driver, the higher your car insurance premiums will be.
Some companies consider any driver under the age of 25 to be high-risk. This is because of a lack of driving experience, but also because companies look at yearly crash statistics when calculating insurance rates.
According to data from the Insurance Information Institute, drivers between the ages of 21 and 24 have the second-highest crash ratios, directly behind teen drivers. To make matters worse for Andrew, 22-year-old females are statistically less inclined to be involved in car accidents than their male counterparts.
This is why the average insurance cost for a 22-year-old male can be higher than the average insurance cost for a 22-year-old female. However, you can find cheap car insurance for 22-year-old males by comparing rates from multiple companies, applying for discounts that you qualify for, and by researching the right amount of coverage levels you really need before purchasing a policy.
The best thing about the high average insurance price for 22-year-old drivers is that it only lasts for a few years. So, when asking how much is full coverage insurance for a 23-year-old, the premiums will be slightly lower than the average insurance rates for a 22-year-old male or female.
However, the average car insurance costs for a 23-year-old is still higher than those who are older. In fact, you’ll see a very drastic decrease in your overall rates as soon as you turn 25.
If you’re a 22-year-old driver, be sure to practice safe driving techniques as much as possible. Once it’s your 25th birthday, your clean driving record will lead to much lower insurance payments.
You now know with confidence how much car insurance costs a 22-year-old driver, and why those rates are higher than average. Whether you choose to stay on your parent’s policy as a named driver, apply for low-income car insurance, or buy your own full coverage policy, your best rates are out there.
Frequently Asked Questions: How much does car insurance cost for a 22-year-old?
You are now an expert on securing affordable car insurance for 22-year-old drivers. Refer back to this guide as much as needed while you comparison shop for your best rates. IIn the meantime, check out our frequently asked questions below.
Hopefully, we have answered all your questions, but if not, take a look at some common questions below.
#1 – What is the average insurance cost for a 22-year-old in the UK?
As within the United States, average insurance rates in the UK can depend on a number of different factors, including the area in which you live.
#2 – Does car insurance go down at 22?
How much is car insurance for a 21-year-old per month? How much is car insurance for a 20-year-old per month? You’ll be happy to know that insurance rates will likely get lower after reaching the age of 18.
#3 – How much is car insurance for a 25-year-old?
As with rates for other age groups, this depends on your location, gender, and a number of other factors. However, once you turn 25 you will see a drastic decrease in the price of your car insurance.
#4 – What is the average health insurance cost for a 22-year-old female?
This depends on the health insurance plan in which you go with. It’s worth noting that a 22-year-old female or male can usually stay on their parents’ insurance plans.
Why wait to find your lowest car insurance rates? Now that you know how much car insurance costs for a 22-year-old, start comparing car insurance quotes now by entering your five-digit ZIP code into our FREE online tool below.