Cheap Car Insurance for 20-Year-Olds

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Updated: July 31, 2026

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Cheapest Car Insurance for 20 Year Olds

GEICO is the cheapest car insurance provider for 20-year-olds, at $129 a month for minimum coverage when added to a family policy. Full coverage with GEICO costs $287 a month.

Travelers is the next cheapest, at $154 for minimum coverage and $308 for full, only $25 and $21 more than GEICO, but Nationwide, the most expensive carrier here, charges $273 a month for minimum coverage, more than double GEICO's rate, and $505 for full coverage, close to double as well.

For most 20-year-olds, the harder question isn't which is the best cheap insurer to pick. It's whether minimum or full coverage actually makes sense given what their car is worth and whether it's financed.

GEICO
$129
$287
Travelers
$154
$308
State Farm
$170
$347
Progressive
$211
$435
Allstate
$212
$427
Farmers
$265
$510
Nationwide
$273
$505

Minimum Coverage vs Full Coverage for 20-Year-Old Drivers

Minimum coverage meets your state's legal requirements, but it only pays for damage you cause to someone else. It doesn't cover your own car. Full coverage adds comprehensive and collision. Together they pay to repair or replace your own vehicle after an at-fault accident, theft, vandalism or weather damage.

Even on a family policy, you likely have more say in this decision at 20 than you did at 16. If the car is financed, full coverage isn't optional. The lender requires it no matter what you'd rather pay. If it's an older car owned outright, here's a concrete way to decide instead of guessing. Take the $158 monthly difference between GEICO's full and minimum coverage, and multiply it by 120 to get the ten-year cost, about $18,960. If the car is worth less than that, minimum coverage plus a full emergency fund for a total loss is the defensible choice. If it's worth more, that extra $158 a month is protecting something that would actually hurt to lose.

Compare Auto Insurance Rates

Ensure you are getting the best rate for your insurance. Compare quotes from the top insurance companies.

Cheapest Car Insurance for 20-Year-Olds by State

Hawaii is the cheapest state, at $58 a month with GEICO. Florida is among the most expensive, at $274 a month with Travelers, nearly five times as much for the identical driver profile. GEICO is the most affordable option in 28 states. State Farm wins in 12, mostly in lower-cost rural areas, including North Carolina at $84 a month and Vermont at $94. Progressive is cheapest in 11 states.

Hawaii's low rate isn't a coincidence. State law limits how much insurers can weigh a driver's age when setting a price. A 20-year-old there doesn't get hit with the usual youth surcharge other states allow. Florida's high cost comes from a different set of factors entirely, hurricane exposure, dense urban traffic and a higher rate of uninsured drivers. Those same reasons make Florida expensive for drivers of any age.

AlabamaGeico$141$1,68731%
AlaskaGeico$149$1,78624%
ArizonaTravelers$182$2,18940%
ArkansasTravelers$147$1,76533%
CaliforniaGeico$162$1,94429%
ColoradoGeico$197$2,36633%
ConnecticutGeico$226$2,70845%
DelawareGeico$250$2,99941%
District of ColumbiaGeico$245$2,9399%
FloridaTravelers$274$3,28544%
GeorgiaGeico$230$2,76542%
HawaiiGeico$58$69417%
IdahoState Farm$104$1,24230%
IllinoisTravelers$160$1,91834%
IndianaTravelers$128$1,53825%
IowaTravelers$110$1,32230%
KansasTravelers$124$1,49343%
KentuckyTravelers$155$1,86047%
LouisianaGeico$331$3,96833%
MaineTravelers$100$1,20036%
MarylandTravelers$243$2,91941%
MassachusettsGeico$177$2,12126%
MichiganGeico$163$1,95246%
MinnesotaTravelers$158$1,89232%
MississippiTravelers$164$1,96927%
MissouriTravelers$155$1,86151%
MontanaState Farm$114$1,37143%
NebraskaGeico$129$1,54342%
NevadaTravelers$281$3,37236%
New HampshireGeico$122$1,46539%
New JerseyGeico$197$2,35855%
New MexicoGeico$145$1,74430%
New YorkGeico$278$3,33422%
North CarolinaState Farm$84$1,00637%
North DakotaGeico$106$1,26729%
OhioGeico$124$1,48332%
OklahomaGeico$200$2,40120%
OregonGeico$185$2,22128%
PennsylvaniaTravelers$154$1,84551%
Rhode IslandState Farm$194$2,32744%
South CarolinaGeico$223$2,67119%
South DakotaState Farm$153$1,84015%
TennesseeTravelers$144$1,72827%
TexasState Farm$210$2,52334%
UtahGeico$201$2,40830%
VermontState Farm$94$1,12837%
VirginiaTravelers$124$1,48545%
WashingtonTravelers$212$2,54917%
West VirginiaGeico$198$2,3801%
WisconsinGeico$124$1,48536%
WyomingGeico$104$1,24611%

*Rates reflect a family policy for male and female drivers with a clean driving record and good credit, driving a 2012 Toyota Camry.

Cheapest Cars to Insure for 20-Year-Olds

The car you choose can swing your bill by thousands a year. A 2020 MINI Cooper costs $85 a month for full coverage. A BMW i8 runs over $540 a month for the same driver, a difference of more than $5,400 a year.

Practical, well-reviewed vehicles tend to cost the least. The 2021 Subaru Forester ($90/month), 2020 Subaru Outback ($91), 2022 Mazda CX-5 ($94) and 2022 MINI Electric ($94) round out the cheapest models to insure. None of these are exciting cars, but none of them will eat into your budget either.

2020 MINI Cooper$85$1,01555%
2021 Subaru Forester$90$1,07552%
2020 Subaru Outback$91$1,09052%
2022 Mazda CX-5$94$1,12850%
2022 MINI Electric$94$1,13150%

How to Get Cheap Car Insurance at 20 Years Old

The single biggest way to save at 20 is staying on a family policy instead of buying a standalone one. Beyond that, shopping multiple quotes, keeping a clean record, stacking discounts, adjusting coverage and choosing the right car can each save hundreds to thousands a year.

  1. 1
    Compare quotes from multiple insurers and save $500 a year

    Prices vary a lot between companies at this age. The Insurance Information Institute recommends getting quotes from at least three insurers. In our data, 20-year-olds who compare quotes instead of staying with their parents' current insurer save up to 28%. Insurers count on people not bothering to shop around. Thirty minutes of comparing quotes can save $500 or more a year.

  2. 2
    Keep your driving record clean to avoid a 20% to 30% rate hike

    A ticket or accident stays on your record for three to five years, and it raises your premium the whole time. A single speeding ticket can raise rates 20% to 30%. An at-fault accident hits harder, often doubling the premium. Staying off your phone and following speed limits protects your rate as much as your safety.

  3. 3
    Stack every discount you can find and save up to 25%

    Many insurers offer a student discount for a B average or higher, often worth 10% to 25%. A student living away at school can qualify for a distant student discount even without owning a car there. Driver's education or defensive driving courses add more savings. State Farm's Steer Clear and Allstate's teenSMART both reward safe driving habits with lower rates. Ask your insurer directly about every discount it offers. Companies don't always volunteer this information.

  4. 4
    Adjust your coverage strategically and save up to 30%

    If your car is older and worth less than $3,000, dropping comprehensive and collision coverage may make sense. Raising your deductible from $500 to $1,000 cuts premiums 15% to 30%. Before doing either, make sure you could actually cover that deductible or a full loss out of pocket. Saving $30 a month isn't worth it if a $1,000 deductible would wipe out your emergency fund.

  5. 5
    Choose a sedan over a sports car

    The car matters as much as your age in how insurers price you. Insurers track which vehicles get stolen most, cost the most to repair and get crashed the most often, and price accordingly. A Honda Civic costs substantially less to insure than a Dodge Charger, despite being a similar size and class. Check the insurance cost before falling for a car at the dealership.

Why Is Car Insurance for 20-Year-Olds Expensive?

A few years of experience isn't enough to keep insurance companies from classifying 20-year-olds as high-risk drivers, and the numbers back that classification up. Young adults crash more often, file more claims and cost insurers more money than older drivers do. A limited driving history is the reason: insurers can't predict behavior nearly as accurately for a 20-year-old as they can for a 40-year-old with two decades of clean driving behind them.

Statistics show drivers under 25 cause accidents at substantially higher rates than those 25 and older. This age group also tends to speed more, text while driving more frequently and make riskier decisions behind the wheel. Insurers price these risks into premiums until around age 25, when rates typically drop significantly as you prove you're a safer bet.

Compare Auto Insurance Rates

Ensure you are getting the best rate for your car insurance. Compare quotes from the top insurance companies.

Cheap Insurance for 20-Year-Olds: Bottom Line

GEICO has the most affordable car insurance for 20-year-olds nationwide, $208 a month when added to a family policy. Auto-Owners might beat that rate in the states where it operates. Travelers and State Farm round out the competitive options, both backed by reliable customer service and strong financial ratings.

Compare quotes from all four companies, plus any regional insurers in the state, since location, driving history and vehicle type all move the rate from there.

Car Insurance for 20-Year-Old Drivers: FAQ

20-Year-Old Car Insurance Providers: Our Review Methodology

Why Trust MoneyGeek? 

MoneyGeek's auto insurance quotes are based on research conducted with information gathered from several sources, including state insurance authorities and Quadrant Information Services. The cost of insurance varies from person to person based on several criteria. One's age, gender, driving record, credit history and the kind of coverage required may all play a role in determining premiums.

Study Overview

MoneyGeek used a sample driver profile to determine national and state averages for vehicle insurance for 20-year-old drivers. Using this information, we assist readers in selecting the best policy at the lowest price possible.

Data Sources and Depth

We collected data from each state's insurance department and Quadrant Information Services. The data consists of 4,284 price estimates from 100 different ZIP codes and six auto insurance providers.

Driver Profile

A single policyholder profile grounds MoneyGeek's yearly car insurance estimates:

  • Toyota Camry LE
  • Clean driving record
  • 12,000 miles driven every year

MoneyGeek compared rates for 20-year-old drivers across different states to find the companies with the most affordable policies, adjusting this baseline profile along the way to reflect differences in age, location and driving behavior.

Coverage Levels and Deductibles Explained

A deductible is the out-of-pocket cost paid before the insurance company covers a claim. Full coverage, covering both collision and comprehensive damage, benefits most drivers over a minimum policy.

MoneyGeek's national insurance quotes use a 100/300/100 full coverage policy with a $1,000 deductible:

  • Bodily injury liability per person: $100,000
  • Bodily injury liability per accident: $300,000
  • Property damage liability per accident: $100,000

We used 50/100/50 liability limits on a full coverage policy with comprehensive and collision coverage with a $1,000 deductible for our sample driver when researching state-specific data. Liability limits of 50/100/50 stand for:

  • Bodily injury liability per person: $50,000
  • Bodily injury liability per accident: $100,000
  • Property damage liability per accident: $50,000

Learn more about MoneyGeek's methodology.

About Mark Fitzpatrick

Mark Fitzpatrick, Licensed P&C Insurance Expert, MoneyGeek

Mark Fitzpatrick, a licensed Property and Casualty (P&C) Insurance Producer in Connecticut, is MoneyGeek's resident expert in insurance and economics. He has spent nearly a decade covering the insurance market at LendingTree and MoneyGeek. There, he has analyzed hundreds of carriers and millions of rates across auto, home, renters, health and life insurance.

His work has appeared in The Washington Post, The New York Times and NPR. He draws on independent cost and consumer experience data, and no insurance company partnerships affect his recommendations.

Mark studied at Boston College and later earned a master's in economics and international relations from Johns Hopkins University. He worked in financial risk management at State Street before joining MoneyGeek. He's also a five-time “Jeopardy!” champion.

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