Get free quote in-app

(400K+)

Car Insurance for Students (July 2023)

The Better Way to Shop for Students Car Insurance

√ Free quotes from 200+ carriers in seconds

√ Lowest rate guaranteed

√ $971 savings per year on average

4.9/5 Rating on the App Store

consumerreports
lifehacker
nationwide
travellers
mapfre
safeco
kemper
national-general
anchor
still-water
bridger
alinsco
commonwealth
suncoast
aspire

Introduction

Who pays the highest premiums for an auto insurance policy? Undeniably, drivers under the age of 16-25 pay the most for auto insurance than any other age group. The insurers feel that young drivers are likely to drive recklessly, commit many offenses, and file more claims than others. So, it can be tough to get affordable auto insurance for a student.

Students can cause more accidents as they are inexperienced drivers. According to CDC, car accidents are the key reason behind the death of teenagers in the US. It causes a surge in auto insurance costs for high school and college students.

However, whether you're a student or an older driver, the primary aim will be to cut down the cost of your auto insurance policy. An interesting factor is that many insurers offer affordable auto insurance for students. Many insurers also provide great discounts on student auto insurance. Our research will take you through some of the most affordable student car insurance.

Cost of full coverage car insurance for college students

Auto insurance for college students is always expensive. The challenge is to pick the most affordable and benefitting auto insurance policy from the major insurers.

If your vehicle is registered at your parent's address, staying on their policy will considerably reduce the auto insurance cost. However, if you live away from home and maintain your car on campus, you'll need to purchase your insurance.

Always compare different student car insurance quotes to pick the best and most affordable student auto insurance. Our research found that State Farm offers the lowest average annual premium among auto insurance for college students, with an average monthly premium of $276.

Company Average Annual Premium
Allstate $4960
Farmers $4480
Progressive $4454
State Farm $3312

Car insurance for college students: Age wise

Age Six months Premium
18 $3600
19 $3019
20 $2676
21 $2237
22 $2074
23 $1930
24 $1809
25 $1614

See what you could save on auto insurance

Cheapest car insurance companies for high school students

The auto insurance cost of high school students is even higher due to their lack of driving experience. So, you need to be watchful when selecting car insurance for teenagers. The best option is to go for USAA if you're looking for affordable student car insurance quotes. If you don't qualify for USAA, the best option is to choose State Farm. State Farm auto insurance policy costs high school students an average premium of around $430 a month.

Company Average Annual Premium
Allstate $7374
Nationwide $5930
Progressive $9042
State Farm $5156

Car Insurance For Grad Students - Cheapest Insurance Companies

Company Avg. 6 Mo. Premium Avg. Monthly Premium
Allstate $1,596 $274
Farmers $1,136 $188
Liberty Mutual $1,616 $278
Nationwide $991 $173
Progressive $989 $173
State Farm $850 $150
USAA $750 $133

Best car insurance companies for students

For discounts: State Farm offers the best discounts for student auto insurance. It offers discounts like multi-vehicle and provides a discount for bundling auto and home insurance.

State Farm's good-student discount can save them up to 25% on their annual auto insurance to eligible college students. The conditions for qualifying differ by state. But a majority of the states require the driver to be a full-time student with a 3.0 GPA (out of 4.0). Fortunately, the discount is valid until drivers reach the age of 25, even if they complete college before then.

The State Farm student away-at-school discount is ideal for college students who don't need a car because they live on campus. All drivers under 25 can save money on their car insurance by participating in State Farm's Steer Clear program.

For infrequent drivers: Drivers can enter their current auto insurance costs into Metromile's pricing system to compare and determine whether switching companies make sense. Your monthly premium comprises a basic cost and a per-mile fee, so driving less equals reduced insurance rates.

Metromile promises that its auto insurance will save you money if you travel lesser than the yearly national average of 12,000 miles. Metromile does not charge policyholders for driving more than 250 miles each day, depending on the state.

A significant drawback of the company is its restricted availability. Currently, it is available only in New Jersey, Illinois, Arizona, California, Pennsylvania, Oregon, Virginia, and Washington.

For military families: USAA is the best bet. Since USAA offers auto insurance to active and former military personnel and their families, they are not available to the general public. They offer some of the most affordable car insurance costs accessible for all drivers, including students, to those who qualify.

USAA offers a Good Student discount and a Driver Training discount for drivers under the age of 21 and a variety of additional reductions that could decrease your premiums. The insurer also discounts new vehicles, multi-vehicles, and bundling home or renters insurance.

For the best overall services: Go for State Farm if you want to get satisfaction in overall services. State Farm has been serving teen drivers for decades, offering low rates and exceptional customer service. State Farm has ideally been one of the most inexpensive options for students who wish to stay on their parents' insurance policy. It's also the cheapest alternative for students aged 16-18 who need to buy individual coverage.

Car insurance discounts for college students

Based on the state and insurer, you may be eligible for several discounts while you're away at school. Here are some of the most prevalent car insurance discounts for college students.

Good grade discount: Many insurers give discounts if you're a full-time student with solid grades (usually a B average or better). You will get discounts if you have high standardized test scores or if you're on your school's dean's list or honor roll. You must present school records or test scores and meet the minimum age requirements.

Military: You will get a discount on your auto insurance if you're part of an ROTC program.

Safe driving program: You won't get a discount until you've been a cautious driver for at least 3 to 5 years. So, avoiding traffic offenses and accidents will give you a discount.

Student away from home: Consider leaving the car at home if your college is more than 100 miles away. Some insurers provide discounts to college students who only use the family car during breaks or holidays. Also, leaving the car at home reduces your chances of obtaining citations or having accidents that raise your insurance premiums.

Fraternity, sorority, and honor society: Your insurer will offer you a discount if you belong to a qualified fraternity, sorority, or honor society.

Student and alumni organizations: Members of college organizations such as the American Medical Student Association or alumni organizations may be eligible for discounts.

Young driver training: Some insurers will offer you a discount if you finish an educational program to improve your driving skills. It should be completed within a specific age range.

Young volunteer: You will qualify for a discount if you complete a required number of volunteering hours within the age requirements.

Multiple policy: College students who rent an apartment and have auto insurance will get a discount while combining their auto and renters insurance policies. Many insurance companies provide discounts to consumers who have multiple policies with them.

Anti-theft: Before settling into a temporary apartment, it's a good idea to look into local crime statistics. It may help you choose an apartment in a safer neighborhood. If you're heading to college and taking your car, investing in a vehicle anti-theft system is necessary. It may reduce the likelihood of your belongings getting stolen while also earning you a car insurance discount.

See what you could save on auto insurance

Car insurance coverage considerations for college students

Collision and comprehensive coverage: If you're going to college with an old car, make sure you're not overinsuring it with collision and comprehensive coverage that you don't need. These types of insurance only pay out up to the car's cash worth, minus the deductible. You're better off canceling collision and comprehensive insurance if your automobile is worth $1,000 and you have a $1,000 deductible.

Usage-based car insurance: Since college campuses provide many amenities that may lessen your need for a car, usage-based insurance may save you money. You have to pay only for the miles you drive with this type of insurance. Like Metromile and Nationwide's Smartmiles, some insurers don't charge beyond 250 miles or more, allowing you to enjoy day trips without experiencing additional costs.

Should college students have their own auto insurance policy?

Now that you've moved away from home, you might doubt whether to need your own auto insurance policy. It depends on who owns the car you drive to school and where you live.

Where will you be living?

If your permanent address is still your parents' residence while you're in college, you might be able to keep your car on their insurance coverage. Or check with your agent if you can stay on your parents' policy or if you'll need an individual one if you're living on campus or renting an apartment.

Whose name is on the car title?

One aspect determining whether a college student requires an individual auto insurance coverage is who owns the vehicle.

  • You can stay on the family car insurance coverage if the car is titled in their name and you drive it to school.
  • You can stay on the family car insurance coverage if the car is jointly titled in your name and a parent's name.
  • You need to buy an individual auto insurance policy if your name is on the title.

Can parents keep insurance on a car in another state?

If you own the vehicle your child uses to go to a school out of state, you may be able to retain your student listed on your car insurance policy. Otherwise, he may need to purchase an individual auto insurance policy.

Tips for students to save money on auto insurance

Finding low-cost auto insurance for students is a challenging task. However, you can do it with a bit of effort and research. To get a clear idea of the insurance coverages, shop around and get individual quotes from some major insurers. Also, follow these tips to decrease your student car insurance premiums.

Get a safe vehicle for the student

Car insurance companies assess your vehicle based on how safe they believe it is. Does it have a high safety rating? Is it equipped with advanced safety measures such as airbags and antilock brakes? In general, car insurance companies consider sedans safer than sports cars.

Find all the available discounts for student auto insurance

While you should find out about student driver discounts, you should also request a list of all available discounts to ensure you take advantage of everything. For instance, some insurers offer discounts for vehicles with specified safety features.

Try developing good driving habits for the student

Many vehicle insurance companies now use technology to track your driving patterns and award you for safe driving. Maintaining good driving practices helps you have a clean driving record with no speeding citations, DUIs, and car accidents. Clean driving records result in you paying low car insurance costs.

INSURANCE AGENT EXPERTS

Wilson Mathew Nechikat

Wilson Mathew Nechikat

Principal

View Profile

Anthony Luu

Anthony Luu

Sr. Director of Insurance Operations

View Profile

Ezra Peterson

Ezra Peterson

Sr. Director of Insurance

View Profile

Danny Herrera

Danny Herrera

Head of Commercial Insurance

View Profile

Auto Insurance Data Methodology

The auto insurance rates published in this guide are based on the results of research completed by Way.com’s data team. Using a mix of public and internal data, we analyzed millions of rate averages across U.S. ZIP codes.

Quotes are typically based on a full coverage policy average unless otherwise noted within the content.

These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes will differ. Given this, it’s important to go through our insurance steps form to find how much you can save with way.com

Learn more by city and state for car insurance



Learn more by city and state for car insurance




Digital Insurance Card

Access your digital insurance card through the app. You no longer need to carry your physical insurance card with you.

Get reminders & quotes

Receive reminders before your renewal. Way.com will also send new quotes from up to 45 insurance companies with your renewal reminder.

Share with family

Keep everyone on your policy up to date by sharing your insurance information.

Manage your policy

Make changes to your policy right from the app (coming soon) and ask for expert advice.

Get the App:

Find the best Auto insurance rates on-the-go

For the best user experience, please download our Way app.

Please Enter A Valid Mobile Number!
Text Sent, Please download!

or

app store
google play