Many things go into factoring how much you will pay in car insurance. The price of your auto policy is based on make, model, body type, engine size and the age of the vehicle, as well as the car’s sticker price, the cost to repair it, its overall safety record, and the likelihood of theft. Insurers also take into account the age, driving record, and sometimes the credit history of the driver. One of the most important of these factors is age. Statistically, the very young or very *ahem* experienced, are more likely to be involved in accidents and their rates will reflect this.
The highest rates you’re likely to ever see are during the teen years. Teens are, unsurprisingly, involved in more accidents than any other age group. They’re just new to the driving scene and are less capable of dealing with difficult traffic patterns and bad weather, making them more inclined to have accidents.
This is the age range when you can expect to see car insurance rates start to drop. By this point, drivers are more experienced and involved in fewer wrecks than their teen counterparts. This is also the age where people begin to buy houses, which can lead to lower rates by bundling home and auto.
This is the age range where your rates are most likely to stabilize. By your thirties, drivers will have much more experience driving and are involved in even fewer accidents. Drivers in their thirties are also more likely to trade in sports cars for an SUV (thanks, kids!) saving them even more on their policy.
Rates will continue to drop for drivers in this age range, aside from adding kids to the policy. Adding young drivers will always increase your premium, but that premium can be kept to a minimum by making sure the young driver’s car is a later model and dependable. Looking at you, Honda Civics. They can also take advantage of good student discounts, away-at-college discounts, and safe driving discounts. Drivers in their fifties may even see discounts for mature drivers.
By now, most of your young drivers will be off of your policy and your lower rates will reflect that. Towards the end of your sixties, however, you may start to see rates back on the rise because, statistically, this age group starts to be involved in more accidents.
The best way to keep your rates the lowest possible despite your age? Keep points off of your license and claims off of your policy!