Best Car Insurance for 17-Year-Old-Drivers

Teen drivers are considered a greater risk on the road than other drivers, in part due to their lack of experience.^[1] Because of their high risk, car insurance for 17-year-olds tends to be more than for other age groups. 

The average car insurance rate for 17-year-olds is $396 for liability coverage and $629 for full-coverage. And rates can be higher for male teen drivers, compared to female teen drivers.^[2] 

The insurance providers with the lowest rates for this demographic are Kemper Preferred, Root Insurance Company, and Mile Auto. The states with the lowest rates are Wisconsin, Iowa, and Indiana. It’s best to look at various options to find the best coverage. 

How much is car insurance for a 17-year-old driver?

Gender, state, credit and driving history can all influence car insurance costs for a 17-year-old driver, according to the Insurance Information Institute.^[2] Additionally, the type of insurance — liability only or full coverage — affect a 17-year-old’s car insurance rates.

Coverage for teenagers is high because they have a higher chance of an accident. In fact, the fatal crash rate is close to three times higher for 16- to 19-year-olds in comparison to 20-year-olds or older, according to the Insurance Institute for Highway Safety (IIHS). This risk peaks at ages 16 to 17, notes the IIHS.^[3]

Though car insurance rates for teens are already high, premiums are generally steeper for males compared to females. As of 2020, 864 females and 1,866 males were involved in fatal motor vehicle crashes, based on data from IIHS.^[3]

What is the cheapest car insurance for a 17-year-old driver?

The cheapest car insurance available for a 17-year-old will generally be liability-only insurance. The average cost of minimum coverage insurance for a 17-year-old driver is $396 per month. Male teens pay a higher premium given the increased risk factors of getting into a fatal crash.^[2]

Rates for 17-year-old drivers also vary by state. Location is an important insurance rating factor because the state and city where you live determines the population density in areas where you’ll be driving, weather conditions you’ll have to deal with, likelihood you’ll file a theft claim, and more.

What is the most expensive car insurance for a 17-year-old driver?

The most expensive car insurance rate for a 17-year-old is $1,162 per month for full coverage from Amica Mutual. The average monthly cost increases for males in this age group and is $1,217. Females pay an average of $1,102 with the same company. 

The most expensive car insurance by state is in New York, with male 17-year-olds paying an average of $1,232 per month. This number drops to $769 for female drivers. 

What are the best auto insurance coverages for a 17-year-old driver?

While most states require a certain level of minimum liability coverage, it’s possible to customize a car insurance policy to include types of coverage that will be most helpful for young drivers. Some of the best types of auto insurance for 17-year-old drivers could include:

1. Comprehensive: Comprehensive covers damage to your car that occurs as a result of something other than an accident. For example, if a 17-year-old driver leaves their car parked in a college campus lot and it’s stolen overnight, comprehensive insurance would cover the loss.

2. Collision: Collision covers your vehicle in accidents, whether it’s an at-fault accident or no one is to blame. For example, if a 17-year-old driver backs into a lamp post, collision would cover the cost of repairs.

3. Medical payments: Anyone injured while driving your car, or riding in it as a passenger, would be protected by medical payments coverage, which picks up the cost of treatments like hospital or doctor visits, diagnostic tests, procedures, and more.

4. Rental reimbursement: If a 17-year-old driver finds themselves without a vehicle while theirs is being repaired due to a covered event, rental reimbursement will help pay for a rental car.

5. Gap coverage: If your car is totaled in a covered accident, and you still owe more on it than the vehicle is worth, guaranteed asset protection insurance can pay off your car loan.

What are 17-year-old car insurance rates by gender?

Car insurance for 17-year-olds varies based on gender. Because of the higher likelihood of an accident, male teen drivers tend to pay high premiums.^[1] Based on Insurify’s data, here are premium averages based on gender:

• Average annual full-coverage premium for a 17-year-old female: $7,056

• Average annual full-coverage premium for a 17-year-old male: $7,992

• Overall annual average full-coverage premium for 17-year-old drivers: $7,548

These rate differences shift as drivers get older and start to even out. For example, based on Insurify’s data, the average monthly cost of liability insurance for an 18-year-old female is $410, compared to $382 for an 18-year-old male. 

By age 22, average liability coverage costs $233 for females and $239 for males. In other words, the gap starts to close. 

What are the best car insurance companies for a 17-year-old driver?

Based on Insurify data, the table below shows average monthly rates for 17-year-olds from the following companies.

1. GEICO

GEICO car insurance is one of the best car insurance providers for 17-year-olds, offering competitive rates. The company has been around for 85 years and has a 97% customer satisfaction rate, according to its website. 

Pros of GEICO car insurance 

• Established history 

• High customer satisfaction 

• New customer may save $500+

Cons of GEICO car insurance 

• May not have agents in every state 

• Doesn’t offer gap insurance coverage 

2. Travelers

Travelers car insurance has a long and established history of more than 165 years. The company offers an array of insurance products, including auto coverage. 

Pros of Travelers car insurance 

• Offers gap insurance

• Roadside assistance available 

• Cheaper premiums than competitors

Cons of Travelers car insurance

Below-average J.D. Power ranking^[4]

3. Progressive

Progressive car insurance company has served more than 27 million customers and was founded in 1937, according to the company’s website. As an insurance provider, the company offers various types of insurance coverage, including auto insurance for teen drivers. 

Pros of Progressive car insurance 

• Offers teen driver and good student discounts 

• 24/7 customer support 

• Third largest auto insurer 

Cons of Progessive car insurance 

• May not have agents in every state 

• Below-average J.D. Power ranking^[4]

4. USAA

USAA is a financial services company and insurance provider that focuses on the military community. Members of the Army who wanted to insure their vehicles started the company in 1922. While not available to everyone, drivers who qualify may be able to get lower car insurance premiums. 

Pros of USAA car insurance  

• Cheaper premiums

• Car maintenance and other discounts available 

• Has mobile app and 24/7 service 

Cons of USAA car insurance  

• Not available to all consumers 

5. Allstate

Allstate car insurance company began in 1931, during the Great Depression era, and has been serving customers ever since. The company provides various types of insurance, including auto insurance. 

Pros of Allstate car insurance

• Various discounts available 

• Smart student discount, which could apply fo 17-year-old drivers 

• Roadside assistance is available as an add-on 

• Has national footprint 

Cons of Allstate car insurance

• Higher premiums

6. Nationwide

Nationwide car insurance company started in 1926 and now offers many financial services and insurance coverage. It is a top-rated auto insurance company and a solid option for teen drivers looking for cost-effective coverage. 

Pros of Nationwide car insurance  

• Cheaper liability-only premiums than competitors

• A+ rating on BBB

• Discounts available 

• Accident forgiveness is available 

Cons of Nationwide car insurance

• Below-average J.D. Power ranking ^[4]

• May have higher full-coverage premiums than other companies 

7. State Farm

State Farm has been around for 100 years, starting out in 1922. The company offers financial products and insurance products, including various types of car insurance coverage. 

Pros of State Farm car insurance

• Good grades could save teen drivers 25% 

• Safe driving for three years could offer 15% discount 

• Roadside service available 

Cons of State Farm car insurance

• No traditional gap insurance coverage, but offers Payoff Protector®

8. Amica

Amica is the oldest insurer of automobiles in the U.S., according to the company’s website. On top of auto coverage policies, the company provides other types of insurance as well.

Pros of Amica car insurance

• Discounts available 

• Gap insurance coverage available

• Roadside assistance as an add-on

• Ranked No. 1 in claims satisfaction ^[4]

Cons of Amica car insurance

• Higher premiums 

9. Erie

Erie insurance began in 1925 and is now a Fortune 500 company with 6 million policies, according to the company’s website. The company offers many types of insurance policies, including auto coverage. 

Pros of Erie car insurance

• Cheaper premiums in some cases

• ERIE Rate Lock®  may keep your rate the same 

Cons of Erie car insurance  

• Not available in every state

How can a 17-year-old driver save money on car insurance?

While car insurance premiums for 17-year-olds may be higher because of various risk factors, there are things that a young driver can do to help save money on car insurance. Some of these include:

• Defensive driver discount: It may be possible to get a discount if you sign up for a defensive driving course, which teaches you how to be proactive, minimize risk factors, and drive defensively to avoid collisions.^[5]

• Good student discount: Getting higher grades may help you score a discount from your insurance provider.^[6]

• Get on a family policy: Another way to lower car insurance costs for teenagers is to bundle policies and put teens on the family policy. For 17-year-olds, that’s likely a necessity.

• Maintain a clean driving record: Your driving history has a major impact on your rate, so keeping a clean driving record can help prevent rates from increasing.^[2] 

• Weigh whether it’s worth filing a claim: Filing a claim can increase premium costs.^[7] However, if it’s a minor incident that didn’t involve anyone else, such as hitting your car on a curb, it may not be worth it to file a claim.

• Consider your coverage needs: To find the most affordable coverage, review your coverage needs, deductibles, and compare options. 

How to choose a car insurance rate as a 17-year-old driver after a DUI

Driving under the influence at age 17 can spell trouble and higher car insurance rates. DUI refers to driving a vehicle while intoxicated from alcohol or other substances. 

Insurify found that the average monthly car insurance premium for a 17-year-old with a clean record is $451. After getting a DUI, a 17-year-old can expect that to increase to an average of $574 per month. 

Aside from the rate increase, drivers may face legal repercussions for underage alcohol consumption, license suspension, and fines.^[8] 

How to choose a car insurance rate as a 17-year-old driver after an accident

Given that teen drivers are high-risk and more likely to get in an accident, premiums are already higher than older age groups. If a teen driver hits another vehicle, a piece of property, or a person, rates can increase further. 

Based on Insurify’s data, a 17-year-old driver with a clean driving history will pay an average of $451 per month. After an accident, that rate jumps to $581 per month. 

After an accident, it can make sense to compare auto insurance rates among various providers to see what’s available. 

How to choose a car insurance rate as a 17-year-old driver with a good credit score

One factor that may affect car insurance premiums is the driver’s credit score, which some insurance providers use as a way to assess risk.^[2] A good credit score is around the 700 mark.^[9]

At age 17, a driver may not have a credit history or may have a limited one. A parent may add a child as an authorized user on their credit card account to help them establish a credit history. Based on Insurify’s data, drivers with a lower credit score may end up paying more. Here’s a glimpse at rates based on credit score. 

How do car insurance rates change from 17 to 18 years old?

The average monthly cost of liability insurance for a 17-year-old is $396 and $397 for an 18-year-old. It’s not a big difference, but 18-year-olds, on average, pay slightly more. 

Liability coverage for a 17-year-old female is $381 and for an 18-year-old female driver it’s $410, an 8% increase. Liability coverage for a 17-year-old male is $410 and for an 18-year-old male it’s $382, decreasing 7%. 

How do car insurance rates change from 17 to 20 years old?

Liability insurance coverage is an average of $396 per month for 17-year-olds. That number drops to $299 for 20-year-olds, decreasing by approximately 24%. 

For a 17-year-old female, liability coverage is $381 and for a 20-year-old female is $289, decreasing by 24%. For 17-year-old males, liability coverage is $410 and for a 20-year-old male it is $310, dropping by $100 or 24%. 

How do car insurance rates change from 17 to 21 years old?

Liability insurance for a 17-year-old is an average of $396. At 21 years old that number goes down to $259, which is a 34% reduction. 

For 17-year-old females, liability coverage is an average monthly cost of $381 and for 21-year-old females it is $255, which is lower by 33%. For males, liability coverage is $410 for 17-year-olds and $264 for 21-year-olds, a 35% decrease.  

How do car insurance rates change from 17 to 22 years old?

Rates change even more from age 17 to 22. Liability coverage is an average monthly cost of $396 at age 17, compared to $237 at age 22. This represents a 40% reduction. 

Females aged 17 pay an average of $381 for liability coverage, whereas 22-year-old females pay an average of $233, which is a 39% drop. Seventeen-year-old males pay an average monthly cost of $410 for liability coverage, with 22-year-olds paying an average of $239 — a 41% reduction. 

How do car insurance rates change from 17 to 25 years old?

The average monthly cost of liability coverage for a 17-year-old is $396, whereas the average liability coverage for a 25-year-old is $202. This is a significant decrease, lowering by 49%. 

The drop is also represented by gender as well, with 17-year-old females paying $381 per month for liability coverage and 25-year-olds paying $201. This means 25-year-old female drivers pay 47% less than their younger counterparts. 

Seventeen year old males pay an average of $410 per month for liability coverage, whereas 25-year-old males pay an average of $202, or a 51% reduction.