Why Do Younger Drivers Get Higher Insurance Rates?
Posted on October 13, 2021 by Active Insurance
Why Do Younger Drivers Get Higher Insurance Rates?
Every year, many young drivers take the wheel for the first time after getting a license. It’s both a passage of life and responsibility and freedom to become independent. However, young drivers require higher prices in vehicle purchases and insurance rates. There are a few reasons it’s more expensive to insure a young driver.
Rates Are Based on Statistics
Simply put, younger drivers are more likely to get into accidents. They aren’t as experienced and, therefore, are more prone to driving errors, statistically speaking. According to the Centers for Disease Control and Prevention (CDC), the risk of motor vehicle crashes is higher among teens aged 16 through 19 than among any other age group.
Because insurance rates are high, young drivers are always shopping around for new insurance plans. This occurs so frequently that insurers constantly set up and service new accounts to profit from them.
What Can You Do?
If young drivers are looking to save some money on their insurance rates, the answer is simple: drive safely.
This means: