How to Get Car Insurance for New Drivers (2026 Guide)

The term "new driver" leads many people to assume this page is only for teenagers. Car insurance companies apply new driver pricing to several groups beyond teens.

1. Newly licensed teen drivers. Teens are the most common new driver category aged 16 to 19 with less than three years of licensed experience. These drivers pay the highest rates of any age group because they have the highest accident risk. Per mile driven, teen drivers have nearly four times the crash rate of drivers over 20, according to National Safety Council data. Insurers price that directly into higher cost.
2. Newly licensed adults. An adult who gets their first license at 25, 35 or older is still considered a new driver by most insurers. Age helps: a 35-year-old new driver pays less than a 16-year-old. But expect above-average rates for the first two to three years regardless of how old you are when you get licensed.
3. Immigrants and foreign nationals. Drivers who held a license in another country are typically treated as new drivers in the U.S. Some carriers give credit for years of foreign driving experience but this varies by insurer, which makes comparing quotes especially important for this group.
4. Drivers returning after an insurance gap. A lapse in coverage or licensing, even for medical or personal reasons, will result in new driver pricing at many carriers. The longer the gap, the more likely you are to be priced as a new driver.

Car insurance is not one product. It is a set of individual coverages bundled into a policy, and you choose which ones you need. First-time buyers often default to the cheapest option without understanding what they are and are not covered for. Here is what each coverage type actually does and when it matters.

For a full breakdown of how much coverage to get based on your assets and situation, see our how much car insurance do you need guide.

New driver rates are the highest in the market. The table below shows what new drivers pay on average for full coverage based on MoneyGeek's 2026 rate data.

We get it. Rates are expensive for new drivers. New driver rates vary more across carriers than for any other profile, which means comparison shopping is a big saving opportunity.  A few things worth knowing before you start:

• The spread between the cheapest and most expensive carrier for the same teen driver is thousands of dollars per year for identical coverage. Getting at least three quotes is the single most important step you can take.
• Staying on a family plan is always cheaper than buying a standalone policy until you are 25. A 16-year-old on a family plan pays $413 per month on average compared to $598 on their own, a difference of $2,220 per year.
• Rates decline every year as you gain experience. A 16-year-old paying $413 per month on a family plan will pay $242 per month by their early 20s with a clean record.

The figures above are averages. Your actual rate depends on the factors below. Two drivers the same age in different states or with different vehicles can see rates that look nothing alike.

Every insurer weight these factors differently, which is why rates vary so widely across insurers for the same driver.  We have ordered these in order of how much each factor can impact your rate.

1. Age. Age is the single biggest factor for new drivers in most states. Sixteen-year-olds pay the highest monthly premiums.. Rates fall each year through the mid-20s. Hawaii and Massachusetts do not allow age as a rating factor, which is why teen rates in those states are lower than the national average.
2. Location. Rates are priced at the state and ZIP code level based on accident frequency, theft rates and repair costs in your area. A 16-year-old on a family plan pays $203 per month in Hawaii but $557 per month in Louisiana for the same coverage. City areas with more traffic and higher theft rates have higher premiums than rural areas.
3. Credit history. In most states, a poor credit history raises your rate. New drivers, especially teens, often have no credit history at all. California, Hawaii, Massachusetts and Michigan do not allow credit as a rating factor. Building credit early helps in every state that allows it.  For teens on a family plan, the parents credit score is what matters.
4. Coverage level. More coverage costs more. New drivers with financed vehicles are required by lenders to carry full coverage. New drivers with paid-off older cars have the option to have liability-only, which is cheaper but leaves them personally responsible for damage to their own vehicle.
5. Driving record. A clean record is the baseline most insurers use for their best rates. A single at-fault accident or speeding ticket raises premiums at renewal by 20-40%, with DUIs increasing rates even more.
6. Vehicle type. Sports cars, luxury vehicles and high-performance models cost more to insure because they cost more to repair and are involved in more severe accidents. Vehicles from 2006 to 2012 offer the best value for new drivers, with safety features have lower rates.