Car insurance quote for new drivers

Car Insurance Quote for New Drivers: A Complete 2025 Guide

1. Introduction

Buying car insurance as a new driver can feel like a financial mountain. Whether you’re a teenager who just got their license or an adult who’s driving for the first time, insurance companies see you as a high-risk policyholder—and they price your premium accordingly.

However, understanding how quotes work and what factors matter can help you make informed decisions and save money. This guide walks you through everything you need to know about getting a car insurance quote for new drivers in 2025, including how to compare rates, find discounts, and choose the right provider.

2. Why Car Insurance for New Drivers Is Expensive

Insurance companies calculate risk based on data. Unfortunately, new drivers lack experience, and statistically, they are more likely to:

• Be involved in accidents
• Commit traffic violations
• File claims

According to the Insurance Institute for Highway Safety (IIHS), drivers aged 16 to 19 are three times more likely to be in a fatal crash than drivers aged 20 and older.

That higher risk results in higher premiums for new drivers—often double or even triple the national average.

3. Who Qualifies as a New Driver?

A “new driver” isn’t always a teenager. The following groups are generally considered new drivers:

Category	Details
Teen Drivers	Ages 16–19, just licensed
Young Adult Drivers	Ages 20–25 with limited history
Immigrants/Expats	No U.S. driving record
Adults Getting First License	May be 30+ years old
Drivers with a Long Gap	Haven’t had insurance in years

Insurers will consider your experience, driving history, and insurance history when issuing a quote.

4. What Affects Car Insurance Quotes for New Drivers?

Several factors go into how much you’ll pay for insurance:

Age and Gender

• Teen boys usually pay more than teen girls due to statistical risk.

Driving Experience

• Less experience = higher premiums.

Vehicle Type

• Sports cars and luxury vehicles cost more to insure.
• Sedans, minivans, and cars with safety features are cheaper.

Location

• Urban areas tend to have higher rates due to traffic and crime.
• ZIP codes influence theft and accident risks.

Coverage Type

• Full coverage (comprehensive + collision) is more expensive than liability-only.

Credit Score

• In most states, your credit score influences the quote. (Not applicable in CA, MA, HI.)

Insurance History

• A continuous history of coverage (even if short) lowers risk perception.

5. Average Car Insurance Costs for New Drivers

Here’s what you can expect in terms of average annual premiums for new drivers in 2025:

Driver Profile	Annual Premium
16-year-old on own policy	$5,500+
18-year-old on own policy	$4,800
20-year-old with clean record	$3,200
Adult first-time driver (30+)	$2,500
Teen on parent’s policy	$2,000–$3,000

6. How to Get a Car Insurance Quote as a New Driver

Getting a quote is quick if you follow these steps:

✅ Step 1: Gather Your Info

• Driver’s license
• Address
• Vehicle info (VIN, year, make, model)
• Driving history
• Prior insurance (if any)

✅ Step 2: Use Online Quote Tools

Top quote comparison websites:

• The Zebra
• NerdWallet
• Policygenius
• Compare.com
• Gabi

Step 3: Compare Quotes

Look for:

• Monthly or annual premium
• Deductible levels
• Coverage types
• Discounts offered

Step 4: Buy Direct or Through a Broker

Once you select a provider, complete your application online or with an agent.

7. Best Insurance Companies for New Drivers

Here are the top insurers for new drivers in this year:

Company	Best For
GEICO	Low rates + many discounts
State Farm	Strong teen driver programs
Progressive	Flexible policies + Snapshot
Nationwide	Accident forgiveness, SmartRide
Allstate	Driver training + bundling
USAA	Best for military families

8. Discounts Available to New Drivers

Yes, even new drivers can save money with these discounts:

• Good Student Discount (typically GPA of 3.0+)
• Driver’s Education Course
• Student Away at School (if they don’t drive often)
• Telematics/Usage-Based
• Multi-Policy (bundle home + auto)
• Multi-Vehicle
• Paid-in-Full Discount
• Paperless Billing

Always ask what discounts apply during your quote process.

9. Tips to Lower Car Insurance Quotes for New Drivers

New drivers aren’t powerless. Here’s how you can get cheaper quotes:

Choose the Right Car

Stick to vehicles with:

• High safety ratings
• Low repair costs
• Anti-theft devices
• Not classified as sports cars

Add to a Parent’s Policy

This is usually the cheapest option for teen drivers.

Increase Your Deductible

A higher deductible = lower premium.

Consider Usage-Based Insurance

Apps like GEICO DriveEasy or Progressive Snapshot reward safe habits.

Keep a Clean Record

Avoid tickets and accidents to avoid surcharge.

10. Parental Strategies: Adding a New Driver to a Family Policy

For parents, this is often the smartest move. Why?

• Lower cost than teen getting their own policy
• Multi-car and multi-policy discounts apply
• Easier to manage payments and renewals

But beware:

• Any accident by the new driver can raise the entire policy
• Some states require named driver exclusions to limit liability

Pro Tip: Ask about “occasional driver” status for your teen to reduce the impact.

11. High-Risk Categories for New Drivers

Some new drivers may fall into high-risk categories that raise quotes even more:

Risk Type	Impact on Premium
At-fault accident	+40%–60%
DUI conviction	+100% or denial
Multiple tickets	+20%–40%
Lapsed insurance	Ineligible for some discounts

If you’re high-risk, consider non-standard insurers like:

• The General
• Dairyland
• Bristol West

These companies specialize in high-risk coverage.

12. Telematics and Usage-Based Insurance

Telematics = a powerful savings tool for new drivers.

How It Works

You install a device in your car or use an app that tracks:

• Speed
• Hard braking
• Late-night driving
• Mileage
• Acceleration

Safe driving can earn up to 30% off after a trial period.

Top Telematics Programs

• GEICO DriveEasy
• State Farm Drive Safe & Save
• Progressive Snapshot
• Nationwide SmartRide

These are ideal for new drivers with safe habits.

13. FAQs

Q: Can new drivers get full coverage insurance?

Yes. It’s often required for leased or financed cars.

Q: Should I get liability or full coverage?

If the car is older and paid off, liability may be enough. For newer vehicles, full coverage is safer.

Q: Is it cheaper to be on a parent’s policy?

Yes—often by thousands per year.

Q: Do grades affect car insurance?

Yes. A GPA of 3.0+ can qualify for a good student discount.

Q: How long until I’m no longer considered a new driver?

Typically after 3–5 years of continuous driving with insurance.

14. Final Thoughts

Car insurance for new drivers may be expensive, but that doesn’t mean you have to overpay. The key is to compare quotes, look for discounts, and understand how insurers assess risk. Even as a first-time driver, you have options.

Whether you’re a teenager getting your license, an adult driving for the first time, or a recent immigrant, you can find coverage that fits your needs and budget. Use quote comparison tools, ask about usage-based programs, and don’t hesitate to lean on your family’s policy if you can.