How Much Is Car Insurance for a 16-Year-Old?

Car insurance for a 16-year-old is expensive, no matter the type of coverage. 16-year-olds pay more than any other teen or young adult because they have no driving record and are risky for providers to insure. 

While the cost of car insurance for 16-year-olds is high, there are ways to get discounts and deals on your premiums. Keep reading to find out how much car insurance is for 16-year-olds, how to get deals on your premiums, and how to get the best insurance for a 16-year-old.

The national average cost of car insurance for a 16-year-old on their own full-coverage policy is about $7,200 annually. But the cost to insure a 16-year-old driver ranges from $1,500 to $15,500. 

Car insurance providers consider your age, gender, where you live, what kind of car you drive, and several other factors when determining your car insurance premiums. Any combination of these factors can increase or decrease what you pay in premiums compared to the national average.

At 16, one of the most crucial factors that affect your car insurance premiums is your gender. In some states, insurance providers are prohibited from charging different rates based on gender, but in other states, it’s still allowed and widely practiced.

The average cost of insurance for a 16-year-old male on his own full-coverage policy is about $7,700 annually, with the cost state-by-state ranging from $1,500 to $15,500. 

Statistics repeatedly show (IIHS) that men make riskier choices on the road than women. Statistics show that men tend to speed, use alcohol, not wear seatbelts, and get more tickets than women. Thus, insurance companies that are permitted to charge different rates based on gender do.

It’s important to note that these prices reflect 16-year-old boys who take out their own policy. If you are a parent of a 16-year-old and are willing to add your child to your policy, your premiums could be significantly less than the rates mentioned above. 

The average cost of insurance for a 16-year-old female on her own full-coverage policy is about $6,700 annually, with the cost state-by-state ranging from $1,500 to $13,000. 

While studies show that men of all ages are riskier drivers than women of any age, this difference is typically only reflected in premium costs for teenage or young women. 16-year-old girls typically pay about $1,000 less in premiums than boys their own age. 

However, once young women reach their mid to late 20s, they will likely end up paying more in car insurance premiums than men their own age, even though women have proven to be less risky to insure than men.

It’s important to note that these prices reflect 16-year-old females who take out their own policy. If you are a parent of a 16-year-old and are willing to add your child to your policy, your premiums could be significantly less than the rates mentioned above. 

The cheapest car insurance for a 16-year-old will be a plan with only liability coverage added to an existing parent’s plan from one of the leading car insurance providers, such as Geico, Progressive, or State Farm. Cheap car insurance for 16-year-olds can be hard to find, so it’s important to get quotes from several providers to find the right policy for you.

When looking for coverage for you or your 16-year-old, you will find two options: liability coverage and full coverage. The main difference between these two coverage options is who is covered in an accident where the policyholder is deemed at fault.

With liability coverage, the at-fault policyholder is not covered by their insurance – only the other party involved in the accident is covered up to your policy maximum. Liability coverage will almost always be the cheapest car insurance coverage for a 16-year-old.

With full coverage, both the at-fault policyholder and the other party in an accident will be covered up to your policy maximum. Since full coverage essentially doubles who is covered, the premiums are much higher. 

While liability coverage may be the cheapest car insurance for a 16-year-old, it may not be the best choice. 16-year-olds are one of the top populations involved in car accidents, so it may be a good idea to have full coverage for your 16-year-old until they build out their driving record and prove to be a safe driver.

Car insurance rates for 16-year-olds, no matter the coverage option, will be expensive. However, many providers offer discounts for young or new drivers. Several providers offer a good student discount for students who earn at least a 3.0 GPA that can get you up to 25% off your premiums. Some providers offer safe driver training programs for new drivers that may save you up to 20% on your premiums upon completion.

Many providers also offer a multi-policy discount for policyholders who have several insurance policies on one plan, so parents of 16-year-olds may be able to get a discount on car insurance.

The best car insurance for 16-year-olds will be a plan with robust coverage options, lower-than-average premiums, and several discount options. Some of the best car insurance providers for 16-year-olds are Geico, Progressive, and State Farm. Their full coverage car insurance for 16-year-olds has lower-than-average premiums, and they offer several discounts for new or young drivers.

The average cost of car insurance for a middle-aged adult policyholder is $1,500 annually, and it costs an average of about $2,000 annually to add a 16-year-old to a parent’s existing policy. This means the average cost of a 16-year-old’s insurance, when added to a parent’s policy, is about $3,500, which is about $3,700 cheaper than an individual policy for a 16-year-old.

A 16-year-old can get car insurance if they have a driver’s license. 16-year-olds can either get their own policy or join a parents’ policy. If a 16-year-old has their own vehicle and their own policy, they will be the “named insured” on their policy. If a 16-year-old drives their parent’s car or drives a car registered on their parents’ insurance and is on their parents’ insurance, they will be a “named driver” on the policy.

It’s important to shop around for car insurance quotes for your 16-year-old to find the best coverage for you and your family. Auto insurance coverages and costs vary for each policyholder, so to find out how to get the best coverage for the lowest cost, contact an agent online at Clovered.

You can submit your information online with this form to get a quote, then one of our licensed agents will reach out to you directly to discuss which policy will be best for you. You can call us at 833-255-4117 or email us at [email protected] any time with questions about car insurance for 16-year-olds.