When it comes to car insurance for 25-year-old drivers, the cost can vary depending on the coverage levels chosen. On average, car insurance for 25-year-old drivers can cost around $571 per year or $48 per month for state minimum liability only coverage. Opting for 50/100/50 liability coverage can increase the average cost to $704 per year or $59 per month. For more comprehensive coverage with 100/300/100 liability and a $500 deductible for comprehensive and collision, the average cost jumps to $1,958 per year or $163 per month.

Coverage level Average annual premium Average monthly premium
State Minimum Liability Only $571 $48
50/100/50 Liability Only $704 $59
100/300/100 Liability with $500 Comp/Coll Deductible $1,958 $163

Average car Insurance rates for 25-year-old male and female: Decoding gender impact

Gender can also play a role in determining car insurance rates for 25-year-old drivers. On average, 25-year-old females can expect to pay around $1,869 per year for car insurance, while their male counterparts may face slightly higher rates at $1,958 per year.

Gender Average annual premium Average monthly premium
Female $1,869 $156
Male $1,958 $163

How average car insurance rates for 25-year-old vary by State

Car insurance rates for 25-year-old drivers can vary significantly depending on the state they reside in. For example, in Alaska, the average cost for car insurance for a 25-year-old is $1,616 per year, while in Alabama it is $1,761 . In other states like Louisiana and Florida, the average cost can skyrocket to $3,136 and $3,000 per year, respectively. On the other end of the spectrum, Ohio offers the lowest average cost at $1,255 per year.

State Average annual premium Average monthly premium
Virginia $1,524 $127

Low-cost car insurance for 25-year-old: Drive without breaking the bank

Finding affordable car insurance for 25-year-old drivers is possible. Some companies offer lower average annual costs, such as American National Finance at $933 , North Carolina Farm Bureau at $1,273 , and Safety Insurance at $1,415 .

Comparing rates from multiple insurers is one of the easiest ways to find which insurer offers the lowest cost for 25-year-old driver and provides all the required coverage.

Company group Average annual premium Average monthly premium
American National Finance $933 $78
North Carolina Farm Bureau $1,273 $106
Safety Insurance $1,415 $118
Nationwide $1,460 $122
USAA $1,520 $127
Geico $1,456 $121
New Jersey Manufacturers $1,567 $131
Palisades $1,594 $133
Erie Insurance $1,567 $131
American Family $1,629 $136
Vermont Mutual $2,052 $171
Auto-Owners $1,825 $152
State Farm $1,764 $147
Amica Mutual $1,528 $127
Travelers $1,702 $142
Arbella Insurance $1,732 $144
Island Insurance $1,668 $139
Frankenmuth Insurance $1,971 $164
Southern Farm Bureau $2,000 $167
Western National Mutual $2,131 $178
Progressive $2,018 $168
Mapfre Insurance $3,702 $309
Shelter Insurance $2,630 $219
Farmers $2,322 $194
Allstate $2,391 $199
Country Financial $3,017 $251
Auto Club Enterprises (AAA) $2,552 $213
Westfield Insurance $2,842 $237
Iowa Farm Bureau $2,626 $219
Kentucky Farm Bureau $3,013 $251
The Hartford $3,022 $252
National General Insurance $2,879 $240
Mercury Insurance $2,770 $231
CSAA Insurance (AAA) $2,799 $233
Automobile Club MI (AAA) $3,175 $265
Kemper Insurance $3,124 $260
Oklahoma Farm Bureau $3,435 $286
Chubb Ltd $3,692 $308
Safeway Insurance $3,753 $313
The Hanover $5,555 $463
Sentry Insurance $5,878 $490

Conclusion

Car insurance costs for 25-year-old drivers can vary based on coverage levels, gender, state of residence, and choice of the insurance company. Opting for higher coverage increases the average cost, while gender differences can also impact insurance rates. The average cost varies significantly by state, with some states having substantially higher premiums than others. However, affordable options exist, and it is possible to find lower-cost insurance for 25-year-old drivers by comparing rates from different insurers.

Methodology

CompuQuote commissioned 2022 data for Average car insurance rates for 25-year-old drivers from Quadrant Information Services for all 50 states and Washington, D.C. Rates are based on the following profile:

  • 25-year-old driver
  • Honda Accord LX
  • 12-mile daily commute, 10,000 annual miles
  • Good credit
  • Clean record

Rates are based on coverage limits of:

  • $100,000 bodily injury per person
  • $300,000 bodily injury per accident
  • $100,000 property damage per accident
  • $500 comprehensive and collision deductible

CompuQuotes analyzed rates from more than 34,000 ZIP codes, 56 million quotes, and 136 companies. Rates sourced from Quadrant Information Services are for comparison purposes only; your rates may differ.

About the Author: CompuQuotes Editorial
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