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Does car insurance drop when you turn 25?

1 Dec , 2018  

When you finally reach the age where you can drive a car on your own, your sense of freedom expands exponentially. Once you have your driver’s license you have the ability to go anywhere you want at any time. There’s no relying on anyone else to take you to where you need to go, there’s just the open road. This new found freedom, however, does come with some costs.

Car insurance rates, finance payments, fuel, and maintenance costs can all add up fast making driving quite an expense. This article will investigate the costs of car insurance and whether or not age makes a difference in your premium rate.

 

How car insurance premiums are calculated

There are several factors that come into play when an insurance company calculates your insurance premium. Based on data we pulled from this insurance calculator, some of the most important factors that contribute to your car insurance premium cost are your location, age, and the number of eligible discounts.

In fact, there are many companies like the Co-Op that provide car insurance discounts for their employees. Some insurance companies even offer discounts to recent college graduates, or if you are married or over the age of 25.

Furthermore, if you do not have any points on your licence for an extended period of time and you have been driving for several years, you’ll likely enjoy a more affordable premium than a friend or family member who has received a speeding ticket recently.

 

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Cheap car insurance under 25

If you are under the age of 25 and are concerned about your car insurance premiums, there are still several ways to acquire a discount. Consider taking an advanced driving course. You can book such a course online with IAM or at a local driving school. While the course may seem repetitive, it can save you a big chunk of money off of your total premium cost.

Another way to save money on car insurance is to consider taking out more than one policy. This may sound strange but many insurance companies such as Esure provide a significant discount if you also take out an insurance policy on another car in your household. If you get lucky, sometimes the discount covers the additional premium too.

So, the answer to the question about car insurance rates dropping when you turn 25 is pretty straight forward and the answer is, sometimes.

Your rate all depends on the car insurance company, your driving record, and several other factors besides your age. Marital status, length of coverage, and length of being a good driver all are taken into consideration when issuing a cost for insurance coverage.

After all, age is but a number.

 

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Owner / Editor of Carwitter - French car fiend, hot hatch lover. Freelance writer and car journalist I've turned my passion for cars into my livelihood.