Cheapest Car Insurance for Young Adults – One of the most exciting moments in a person’s life is turning 21, making them young adults. When they turn young adults, they tend to face lower car insurance rates. Leaving your parent’s home and getting your car insurance policy can be overwhelming. While young adults can remain on their parent’s insurance until they turn 26, car insurance companies make car insurance available for drivers under the age of 25. They offer the cheapest car insurance for young adults.
This means young drivers between the ages of 21 and 25 can get a personal car insurance policy. Most of the time, car insurance companies tend to charge higher insurance premiums for young drivers. While we have this, other car insurance companies offer cheaper car insurance rates for young drivers. By shopping around and comparing different insurance rates and premiums, you can easily find the best and cheapest car insurance for young drivers. Other ways to get cheaper car insurance are by practicing defensive driving and applying for discounts you qualify for.
Cheapest Car Insurance for 20-Year-Old Young Adults
At age 20, you can purchase a car insurance policy. While staying on their parent’s insurance is an option, several car insurance companies offer car insurance for young adults at cheaper premiums. Some of these companies are stated in the table below:
| Insurance Company | Average Monthly Full Coverage Cost | Average Yearly Full Coverage Cost |
| Erie | $298 | $3,577 |
| USAA | $332 | $3,978 |
| Geico | $332 | $3,978 |
| NJM | $238 | $2,859 |
| Auto-Owners | $299 | $3,587 |
Cheapest Auto Insurance for 21-Year-Old Young Adults
One of the cheapest car insurances for a 21-year-old young driver is Geico. Geico, USAA, and others are best for young adult drivers wanting personal insurance. While being on their parent’s insurance is an option, the table below shows some of the cheapest car insurance for young adults and their costs:
| Insurance Company | Average Monthly Full Coverage Cost | Average Yearly Full Coverage Cost |
| USAA | $274 | $3,287 |
| Auto-Owners | $253 | $3,035 |
| NJM | $207 | $2,490 |
| Erie | $280 | $3,360 |
| Travelers | $251 | $3,014 |
Cheapest Auto Insurance for 22-Year-Old Young Adults
The national average cost for car insurance for a 22-year-old young driver is $3,677 annually. While some car insurance companies charge higher for car insurance for young adults, the table below shows car insurance companies that offer cheaper car insurance for 22-year-olds and their premium costs.
| Insurance Company | Average Monthly Full Coverage Cost | Average Yearly Full Coverage Cost |
| American Family | $290 | $3,480 |
| Geico | $236 | $2,835 |
| Erie | $249 | 2,991 |
| NJM | $193 | $2,319 |
| USAA | $260 | $3,119 |
Cheapest Car Insurance for 23-Year-Old Young Adults
The average cost of car insurance for a 23-year-old driver is $3,677 yearly for full insurance coverage. The cheapest car insurance for a 23-year-old driver is indicated in the table below:
| Insurance Company | Average Monthly Full Coverage Cost | Average Yearly Full Coverage Premium |
| Auto-Owners | $216 | $2,595 |
| NJM | $177 | $2,127 |
| USAA | $247 | $2,964 |
| American Family | $278 | $3,340 |
| Geico | $220 | $2,644 |
Cheapest Auto Insurance for 24-Year-old Young Adults
Because a 24-year-old driver is considered to have gained experience in the past few years, they tend to get much lower car insurance premiums. The following car insurance companies offer the cheapest car insurance for young adults.
| Insurance Company | Average Monthly Full Coverage Cost | Average Yearly Full Coverage Cost |
| American Family | $278 | $3,336 |
| Auto-Owners | $201 | $2,414 |
| NJM | $171 | $2,056 |
| Geico | $210 | $2,522 |
| Erie | $208 | $2,499 |
25-Year-Old Young Adults
When young adults get to the age of 25, their insurance premiums drop. This, however, depends on how clean they have kept their record over the years. A 25-year-old driver pays $2,932 yearly on full insurance coverage. Because of the experience gained over the years, these drivers tend to get lower insurance rates from most car insurance companies. However, the table below contains some of the best cheap car insurance for 25-year-olds.
| Insurance Company | Average Monthly Full Coverage Cost | Average Yearly Full Coverage Cost |
| NJM | $165 | $1,986 |
| Nationwide | $196 | $2,356 |
| Travelers | $187 | $2,244 |
| Erie | $201 | $2,410 |
| Geico | $194 | $2,334 |
What is the Best Car Insurance Company for Young Adults?
Auto-Owners, NJM, USAA, and Erie are considered the cheapest car insurance for young adult drivers. Aside from them, there are many other car insurance companies best for young adults. However, these insurers do not meet all the needs of a driver; to find the best for you, you will have to compare different insurers.
Do I Need Car Insurance as a Young Adult?
Most states require drivers to have a minimum level of car insurance to drive legally. Drivers should purchase higher liability or additional coverage types for more financial coverage in case of any unforeseen event. However, if you are not on your parent’s car insurance plan, you need to get car insurance as a young adult.
Why do car insurance companies charge more for young adults?
Young drivers are considered high risk to be insured because they have less experience and are likely to be involved in accidents as well as risky driving behaviors. For this reason, they face higher premiums than those in their 30s and 40s.