Cheapest Car Insurance for Teens

GEICO offers the cheapest car insurance for teens at $408 per month on average. For a 16-year-old, that's $456 with GEICO versus $1,201 with the priciest insurer (a $745 monthly gap). Comparing quotes is the fastest way to find out if your family is overpaying.

See if you're overpaying for teen car insurance below.

Written by Mark Fitzpatrick

Updated: February 18, 2026

Advertising & Editorial Disclosure

Most Affordable Car Insurance for Teens: Key Takeaways

GEICO offers the cheapest full coverage rates for 16, 17 and 18-year-old drivers, starting at $399 per month. National General beats all carriers for 19-year-olds at $336 per month (read more).

GEICO is the cheapest insurer for teens in 13 states, but regional carriers like Shelter and Concord Group offer the lowest rates in several others. Getting quotes from both national and local companies is the most reliable way to find the lowest rate in your state (read more).

Cheapest Car Insurance Companies for Teens

GEICO offers the lowest full coverage rates for 16, 17 and 18-year-old drivers. National General is the cheapest for 19-year-olds at $336 per month. Rates shown are for a full coverage policy with 100/300/100 liability limits, comprehensive and collision coverage and a $1,000 deductible. Teen drivers pay the highest rates of any age group. Limited experience behind the wheel and higher accident rates make them the riskiest drivers to insure.

The cheapest monthly rates for teens by age group:

16-year-olds: GEICO ($456)
17-year-olds: GEICO ($422)
18-year-olds: GEICO ($399)
19-year-olds: National General ($336)

Data filtered by:


GEICO	$456	$422	$399	$356
Encompass	$521	$505	$487	$474
Amica Mutual	$536	$530	$520	$480
AAA	$544	$512	$489	$457
National General	$552	$496	$472	$336
Travelers	$555	$489	$437	$379
State Farm	$560	$519	$488	$458
Progressive	$575	$571	$512	$474
Kemper	$665	$572	$528	$442
Allstate	$705	$659	$619	$563
Nationwide	$722	$671	$641	$564
Farmers	$751	$722	$690	$629
Chubb	$757	$757	$678	$630
CSAA	$774	$702	$636	$566
UAIC	$846	$791	$694	$586
AIG	$872	$789	$740	$682
Direct General Insurance	$1,201	$1,157	$1,153	$1,028

BEST CHEAP CAR INSURANCE FOR YOUR TEEN

Looking for rates based on your teen's exact age? MoneyGeek breaks down the best and cheapest car insurance companies for each age group.

How Much is Car Insurance for Teens on Average?

Car insurance for teens averages $614 per month for males and $580 for females (or $7,366 and $6,966 per year). Male teens pay about 6% more because they're involved in more accidents, particularly at-fault collisions, and receive more speeding tickets.

Claims data shows young male drivers file more frequent and more expensive claims, though the gap closes as drivers get older and build a track record. Seven states don't allow gender as a rating factor: California, Hawaii, Massachusetts, Michigan, Montana, North Carolina and Pennsylvania.


Male	$614	$7,366
Female	$580	$6,966

A speeding ticket pushes teen insurance costs to $701 per month for males and $664 for females ($8,413 and $7,969 per year). That's roughly a 14% jump over clean-record rates. Teens already pay the highest premiums of any age group, and a moving violation signals exactly the kind of risk insurers are already pricing for.
Male $701 $8,413
Female $664 $7,969


Male	$701	$8,413
Female	$664	$7,969

Cheapest Car Insurance for Teens by State

GEICO is the cheapest insurer for teens in 13 states — more than any other carrier. Travelers ranks second with the lowest rates in seven states, followed by Shelter in six.

Where you live has a major impact on what you'll pay. In California, GEICO leads at $330 per month. In Texas, State Farm is the cheapest at $371. In Florida, Travelers offers the lowest rates at $565. Regional insurers like Shelter and Concord Group beat national carriers in several states, so getting quotes from both is worth the effort.

State insurance regulations, minimum coverage requirements and local rating rules all shape what insurers charge. Comparing at least three to five companies, including regional carriers, puts you in the best position to find a competitive rate.

Data filtered by:


GEICO	$255	$3,056
Cincinnati Insurance	$292	$3,502
Travelers	$299	$3,594
Auto-Owners Insurance Co	$307	$3,688
Country Financial	$329	$3,953
AIG	$390	$4,685
Progressive	$424	$5,084
Nationwide	$433	$5,201
Allstate	$526	$6,312
Farmers	$669	$8,030
Safeway Insurance	$731	$8,766

Cheapest Cars to Insure for Teenagers

The Saturn S-Series is the cheapest car to insure for teens at $363 per month, followed by the Isuzu Amigo at $368 and the Dodge Stratus at $390. Older vehicles with strong safety records and low theft rates are cheaper to repair or replace after a claim, which keeps premiums lower. Sports cars and high-performance models are a different story. Insurers associate them with riskier driving and bigger payouts. The vehicle you choose can cut or add hundreds of dollars to your teen's annual premium.


Saturn S-Series	$363	$4,358
Isuzu Amigo	$368	$4,419
Dodge Stratus	$390	$4,678
Isuzu Rodeo	$394	$4,733
Buick Encore GX	$398	$4,782
Mercedes B-Class	$400	$4,805
Nissan NV200	$405	$4,864
Dodge Neon	$414	$4,964

Cheap Car Insurance for Teens: Buying Guide

Your teen's insurance costs depend on coverage type, vehicle choice, driving record and available discounts. Here's where to focus to keep costs as low as possible.

How to Get Cheap Car Insurance for Teens

The insurer you choose and how you structure your policy have the biggest impact on what you pay. Adding your teen to a family car insurance policy costs $3,048 per year on average, $1,818 less than putting them on an individual policy.

1
Compare multiple providers
Choosing the right company can cut teen insurance costs by 50% or more. Families who switch to the cheapest carrier in their state save between $420 and $2,000 annually. Rates continue to drop as teens get older and build clean driving records.
2
Limit their driving distances
Some companies offer discounts for drivers who travel fewer than 7,500 miles per year. Keeping teens off the road at night can also lower accident risk and, in turn, premiums.
3
Keep the car title in your name
Putting your teen's name on the title may force them to get individual insurance, which costs more. Teens under 18 can't legally purchase car insurance without a parent or guardian co-signing the policy.
4
Enroll in driver's education
Many insurers offer discounts for teens who complete a certified driver's education program. Signing up for a telematics program is another option. Consistent safe driving can bring rates down further.
5
Choose a car with high safety ratings
Vehicles with strong safety ratings and lower theft rates cost less to insure. They're cheaper to replace and less likely to generate large claims. Family-oriented models like the Honda Pilot ($1,996 yearly) and Honda Odyssey ($2,006 yearly) offer competitive rates along with the safety features and cargo space parents want for teen drivers.
6
Opt for a family car insurance policy
Family policies come with multi-car and multi-driver discounts that can reduce overall premiums by up to 20%. You'll also deal with one renewal date and one payment instead of managing separate policies.

How to Find the Best Car Insurance for Teens

The cheapest insurer isn't always the best one for your teen. MoneyGeek scores companies on affordability, coverage options and customer satisfaction. Amica ranks first overall with a 95 out of 100, leading in customer satisfaction and placing third for affordability.

MoneyGeek Top Pick for Teens

Amica

Amica ranks first overall in MoneyGeek's analysis with a score of 95 out of 100. A family policy with a teen costs $6,426 per year, less than Allstate ($8,463) and Farmers ($9,013). Amica earned the top customer satisfaction score in our review and ranks fifth for coverage options.

Policyholders consistently rate their claims experience highly, which J.D. Power's annual auto studies have reflected for years. The company also offers a dividend policy that returns part of your premium each year, plus discounts for good students, safe drivers and bundled policies. Its A+ financial strength rating from AM Best reflects a strong track record of paying claims.

Read more:

Best Car Insurance Discounts for Teens

Teens have more ways to lower their car insurance rates than most people realize. If upfront costs are a concern, no-down-payment car insurance keeps initial expenses low. You'll just need to cover the first month's premium to get covered.

Discount	How It Works
Good student	Available to students who maintain a B average or rank in the top percentage of their class
Defensive driving	For drivers who complete a certified defensive driving course
Safe driver	For drivers with a clean record (no at-fault accidents or violations for a set period)
Distant driver	For students attending school at least 100 miles from home who rarely use the insured vehicle
Telematics-based programs	Uses a device or app to track driving behavior and adjust rates accordingly. Programs like Allstate's teenSMART and State Farm's Steer Clear can lower costs for safe drivers.
Multi-car	For households with more than one vehicle on the same policy
Annual mileage	For drivers who log fewer than 7,500 miles per year
Family policy	Adding a teen to a parent or guardian's existing policy instead of buying a separate one costs much less
Driver's education	For teen drivers who complete a certified driver's education program

Teen Car Insurance: FAQ

*Seven states don't use gender as a rating factor: California, Hawaii, Massachusetts, Michigan, Montana, North Carolina and Pennsylvania.

Why are car insurance premiums higher for teen drivers?

Teen drivers get into more accidents than any other age group, which makes them expensive to insure. Insurers price policies based on risk, and limited driving experience is a major factor. Hawaii and Massachusetts are the only states that don't use age as a rating factor. Massachusetts instead uses years of driving experience, which can mean lower rates for some teen drivers.

How can teen drivers earn discounts on car insurance?

Most major insurers offer discounts for teen drivers, including good student, distant student, defensive driving and telematics-based programs. Stacking multiple discounts, like a good student discount combined with a telematics program, can cut what you pay.

Are there benefits to choosing a specific type of car for a teen driver?

A car's make and model can significantly affect what you pay for teen coverage. Most vehicles with strong safety ratings — think Honda, Subaru or similar models that score well on crash tests — come with lower premiums. Sports cars, luxury vehicles and high-performance models cost more to insure, so they're worth avoiding if keeping rates down is a priority.

Should you consider telematics for your teen driver?

Telematics programs are worth a close look, especially for teens who are new to driving. They use a device or app to track habits like speed, braking and phone use, then reward consistent safe driving with lower rates. For parents, they also provide useful visibility into how their teen drives day to day.

What happens if my teen gets into an accident?

An at-fault accident will likely push your premiums up, sometimes by 20% to 40%, depending on the insurer. Some companies offer accident forgiveness that waives the rate increase for a first-time incident, so it's worth asking about that option when you're shopping for a policy.

Do I need to add my teen immediately when they get their learner's permit?

Not necessarily, but it depends on your insurer. Most companies require teens to be added to the policy once they have a full license, and some offer better rates for families who add them earlier. It's worth a quick call to your insurer to find out what applies to your policy.

Can my teen's grades affect our insurance rates?

Good grades can translate directly to savings. Most major insurers offer good student discounts for teens who maintain a B average or 3.0 GPA, which can cut premiums by 10% to 25%.

*Rates shown are averages. An individual policy can be the smarter option in certain situations. If your teen drives a high-performance or luxury vehicle, for example, keeping it on a separate policy protects the family's overall rate.

Methodology

Study Overview

MoneyGeek collected quote data to identify the cheapest car insurance for teens by age.

Data Acquisition, Depth and Analysis

We sourced data from Quadrant Information Services and state insurance departments. MoneyGeek analyzed 83,056 quotes from 46 companies across 473 ZIP codes.

Driver Profiles

The base profile used for rate collection includes:

100/300/100 liability limits
Comprehensive and collision coverages
$1,000 deductible
No history of tickets or accidents
2010 Toyota Camry LE

We adjusted this profile by age to compare rates for 16, 17, 18 and 19-year-olds, by gender to capture rate differences and by vehicle (Ford Mustang) to compare costs across car models.

Coverages and Deductibles Explained

A deductible is what you pay out of pocket before coverages like collision and comprehensive start.

A 100/300/100 policy includes:

$100,000 in bodily injury liability per person
$300,000 in bodily injury liability per accident
$100,000 in property damage liability per accident

Learn more about MoneyGeek's methodology.

Affordable Car Insurance for Teens: Related Articles

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.

Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!

He writes about economics and insurance, breaking down complex topics so people know what they're buying.

Read Full Bio »

sources

Insurance Information Institute. "Facts + Statistics: Teen Drivers." Accessed February 27, 2026.
Insurance Institute for Highway Safety. "Vehicle Ratings." Accessed February 27, 2026.
National Highway Traffic Safety Administration. "Young Drivers." Accessed February 27, 2026.