For 21-year-olds, GEICO provides the cheapest minimum liability car insurance among national providers, with an annual cost of approximately $792 — about 13% lower than the average for family policies. If available in your region, Concord Group or Auto-Owners may offer even lower rates.
Cheapest Car Insurance for 21-Year-Olds
Updated: November 19, 2024
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Key Takeaways
Concord Group, Auto-Owners, GEICO, Travelers and Nationwide are the top five cheapest car insurance companies for 21-year-olds.
The cheapest monthly car insurance costs for 21-year-old drivers start at $49 for minimum coverage and $140 for full coverage nationally, but rates in some states are as low as $38 per month.
The average cost of auto insurance for 21-year-olds is $76 per month for minimum coverage and $163 for full coverage.
Cheapest Minimum Liability Car Insurance for 21-Year-Olds
| Concord Group | $49 | $25 |
| Auto-Owners Insurance Co | $58 | $15 |
| GEICO | $66 | $7 |
| Travelers | $69 | $4 |
| Encompass | $72 | $2 |
| State Farm | $72 | $1 |
Rates are for a family policy for both male and female drivers with clean records and good credit insuring a 2012 Toyota Camry.
Cheapest Full Coverage Car Insurance For 21-Year-Olds
The cheapest full coverage auto insurance for 21-year-old drivers on a family policy is offered by Concord Group, with an annual cost of $1,080, though it has limited availability. On a national scale, Nationwide, GEICO and Travelers are among the most budget-friendly providers.
| Concord Group | $90 | $64 |
| Auto-Owners Insurance Co | $134 | $20 |
| Nationwide | $140 | $14 |
| GEICO | $146 | $9 |
| Travelers | $148 | $6 |
| Allstate | $149 | $6 |
| State Farm | $149 | $6 |
Rates are for a family policy for both male and female drivers with clean records and good credit insuring a 2012 Toyota Camry.
Cheapest Car Insurance for 21-Year-Olds by State
Based on your state, car insurance rates for a 21-year-old on a family policy can range from $38 to $224 per month. Below, we provide a breakdown of the most affordable insurers for this age group by state.
| Mississippi | Progressive | $38 |
| Ohio | Nationwide | $40 |
| Wisconsin | Nationwide | $48 |
| Pennsylvania | Nationwide | $49 |
| Delaware | Travelers | $51 |
| Massachusetts | State Farm | $51 |
| Virginia | Nationwide | $52 |
| Kansas | Nationwide | $52 |
| North Dakota | Nationwide | $54 |
| Hawaii | GEICO | $54 |
| Rhode Island | Travelers | $57 |
| Idaho | Auto-Owners Insurance Co | $58 |
| New Hampshire | Nationwide | $58 |
| Maine | Concord Group | $59 |
| Missouri | GEICO | $59 |
| Oregon | Nationwide | $60 |
| South Dakota | Allstate | $62 |
| Vermont | Nationwide | $63 |
| Indiana | Nationwide | $69 |
| Utah | Nationwide | $69 |
| Alaska | GEICO | $70 |
| Tennessee | Farmers | $71 |
| Arkansas | Nationwide | $72 |
| Iowa | Allstate | $75 |
| Washington | Nationwide | $75 |
| District of Columbia | GEICO | $75 |
| North Carolina | Nationwide | $75 |
| West Virginia | Nationwide | $76 |
| Connecticut | GEICO | $79 |
| Montana | Allstate | $79 |
| Minnesota | Nationwide | $80 |
| New York | Kemper | $82 |
| Michigan | GEICO | $84 |
| Alabama | Nationwide | $85 |
| Wyoming | Allstate | $86 |
| Colorado | Kemper | $86 |
| Kentucky | Nationwide | $89 |
| New Mexico | Nationwide | $90 |
| Arizona | Travelers | $90 |
| Nebraska | Allstate | $92 |
| Georgia | Allstate | $93 |
| Maryland | Kemper | $95 |
| Illinois | Travelers | $95 |
| Texas | Nationwide | $95 |
| Oklahoma | Allstate | $102 |
| South Carolina | Auto-Owners Insurance Co | $112 |
| New Jersey | Travelers | $117 |
| California | GEICO | $119 |
| Nevada | Nationwide | $132 |
| Florida | Nationwide | $157 |
| Louisiana | GEICO | $224 |
Rates are for male drivers with clean driving records and good credit insuring a 2012 Toyota Camry with minimum coverage.
Cheapest Car Insurance for 21-Year-Olds by Gender
Because of higher accident risk, 21-year-old male drivers usually face higher insurance premiums compared to their female counterparts. Below, we outline the most affordable national providers for both men and women in this age group.
Cheapest Car Insurance for 21-Year-Old Female Drivers
Travelers provides the cheapest national car insurance for 21-year-old women, offering an average annual savings of around 8% compared to average rates. Female drivers at this age generally enjoy lower insurance premiums than their male peers, as statistics indicate that young women are involved in fewer accidents.
| Concord Group | $46 | $24 | $86 | $60 |
| Auto-Owners Insurance Co | $57 | $13 | $128 | $18 |
| Travelers | $64 | $6 | $138 | $8 |
| GEICO | $65 | $5 | $142 | $4 |
| State Farm | $66 | $4 | $136 | $10 |
Rates are for female drivers with clean driving records and good credit insuring a 2012 Toyota Camry.
Cheapest Car Insurance for 21-Year-Old Male Drivers
GEICO provides the most affordable monthly rate for 21-year-old male drivers at $66 when included in a family policy. However, Concord Group and Auto-Owners may offer even lower rates for those who qualify. Men typically face higher premiums than women due to their statistically higher risk of being involved in accidents.
| Concord Group | $51 | $25 | $95 | $68 |
| Auto-Owners Insurance Co | $59 | $17 | $141 | $22 |
| GEICO | $66 | $10 | $150 | $13 |
| Encompass | $72 | $5 | $169 | $-7 |
| Travelers | $73 | $3 | $159 | $4 |
| Allstate | $76 | $1 | $156 | $6 |
Rates are for male drivers with clean driving records and good credit insuring a 2012 Toyota Camry.
Cheapest Cars to Insure for 21-Year-Olds
When purchasing a new car for a teen driver, think about adding them to your policy with the safest and most affordable car to insure. Below, we’ve listed the most budget-friendly models by vehicle type for 21-year-old drivers.
Data filtered by:Results filtered by:
Coverage:
Coverage:Full Coverage
| Subaru Forester | Compact SUV | GEICO | $1,626 |
| Subaru Outback | Sedan | Nationwide | $1,685 |
| Acura MDX | Luxury SUV | Travelers | $1,771 |
| Toyota Tacoma | Pickup Truck | GEICO | $1,790 |
| Ford Expedition | SUV | Nationwide | $1,885 |
| MINI Electric | Compact | Nationwide | $1,893 |
| Nissan LEAF | Electric | Travelers | $1,935 |
| Ford Mustang Mach E | Sports Car | GEICO | $1,961 |
| Tesla Model Y | Luxury Electric | GEICO | $1,995 |
| Honda Odyssey | Minivan | GEICO | $1,998 |
| BMW 1 Series | Luxury Compact | GEICO | $2,056 |
| Porsche Taycan | Luxury Sports Car | GEICO | $2,076 |
| Mercedes GLA 250 | Luxury Compact SUV | GEICO | $2,192 |
| BMW 3 Series | Luxury Sedan | State Farm | $2,506 |
Rates are for drivers with clean driving records and good credit.
Average Cost of Car Insurance for 21-Year-Olds
On average, annual car insurance costs for 21-year-olds are approximately $912 for minimum coverage and $1,956 for full coverage. Keep in mind that these averages apply to drivers with clean records and good credit — your actual rate may differ based on your individual driver profile.
Car Insurance Cost for 21-Year-Olds by Coverage and Gender
Below, we’ve compiled the average costs for adding 21-year-old male and female drivers to a family policy, categorized by coverage level.
| State Min - No comp_coll | $76 | $70 |
| State Min - 500 comp_coll | $163 | $146 |
| State Min - 1500 comp_coll | $140 | $126 |
| State Min - 1000 comp_coll | $146 | $131 |
| 300/500/300,000 - No comp_coll | $112 | $103 |
| 300/500/300,000 - 500 comp_coll | $195 | $175 |
| 300/500/300,000 - 1500 comp_coll | $172 | $156 |
| 300/500/300,000 - 1000 comp_coll | $78 | $70 |
| 100/300/100,000 - No comp_coll | $94 | $86 |
| 100/300/100,000 - 500 comp_coll | $175 | $164 |
| 100/300/100,000 - 1500 comp_coll | $172 | $156 |
| 100/300/100,000 - 1000 comp_coll | $163 | $146 |
Liability limits expressed above (e.g., 100/300/100) refer to bodily injury liability per person, bodily injury liability per accident and property damage liability per accident, respectively. Numbers expressed after these limits are deductible amounts for both collision and comprehensive coverage.
Average Cost of Car Insurance for 21-Year-Olds by State
Average car insurance rates by state can vary widely, ranging from $31 to $418 per month for 21-year-old drivers. These variations are influenced by location-specific factors like crime rates, weather conditions and population density. To help you estimate costs in your area, we've included average state rates in the table below.
| Oklahoma | $31 | $145 | $37 | $171 |
| North Carolina | $26 | $101 | $25 | $98 |
| Colorado | $38 | $158 | $43 | $181 |
| Mississippi | $29 | $131 | $36 | $166 |
| Florida | $69 | $316 | $66 | $309 |
| Vermont | $19 | $95 | $25 | $119 |
| Delaware | $39 | $152 | $49 | $190 |
| Nevada | $58 | $228 | $64 | $249 |
| Louisiana | $74 | $418 | $68 | $385 |
| New York | $49 | $174 | $53 | $189 |
| West Virginia | $29 | $128 | $36 | $155 |
| South Carolina | $56 | $207 | $58 | $216 |
| New Jersey | $63 | $249 | $61 | $237 |
| New Mexico | $33 | $148 | $37 | $166 |
| Hawaii | $20 | $86 | $19 | $81 |
| Arkansas | $26 | $123 | $31 | $145 |
| Missouri | $39 | $190 | $46 | $221 |
| Connecticut | $41 | $153 | $52 | $196 |
| South Dakota | $21 | $128 | $26 | $155 |
| District of Columbia | $38 | $161 | $45 | $191 |
| Iowa | $20 | $104 | $23 | $117 |
| Indiana | $25 | $106 | $31 | $127 |
| Massachusetts | $33 | $134 | $45 | $187 |
| Rhode Island | $45 | $167 | $60 | $222 |
| Ohio | $48 | $172 | $51 | $183 |
| Michigan | $73 | $272 | $60 | $231 |
| Minnesota | $31 | $133 | $38 | $160 |
| Pennsylvania | $26 | $137 | $31 | $158 |
| Washington | $40 | $138 | $51 | $172 |
| Wisconsin | $25 | $117 | $29 | $134 |
| Montana | $26 | $146 | $29 | $166 |
| Kentucky | $38 | $157 | $41 | $168 |
| Arizona | $38 | $152 | $44 | $177 |
| Illinois | $26 | $115 | $30 | $130 |
| Virginia | $41 | $160 | $42 | $164 |
| Maryland | $42 | $151 | $56 | $199 |
| Georgia | $37 | $157 | $44 | $183 |
| Wyoming | $18 | $132 | $21 | $150 |
| Utah | $45 | $178 | $47 | $180 |
| New Hampshire | $27 | $99 | $33 | $120 |
| North Dakota | $20 | $102 | $24 | $119 |
| Nebraska | $28 | $149 | $30 | $161 |
| Maine | $28 | $110 | $33 | $127 |
| California | $44 | $201 | $43 | $200 |
| Tennessee | $25 | $115 | $31 | $144 |
| Kansas | $25 | $129 | $29 | $145 |
| Texas | $40 | $170 | $47 | $200 |
| Oregon | $31 | $117 | $41 | $155 |
| Idaho | $20 | $82 | $26 | $107 |
| Alaska | $34 | $154 | $34 | $153 |
| Alabama | $33 | $151 | $36 | $162 |
Why Car Insurance Is Expensive for 21-Year-Olds
Car insurance for 21-year-olds is expensive because they are considered high-risk drivers. While 21-year-olds still fall into the high-risk category, they typically pay cheaper premiums compared to younger drivers. Teens, particularly those aged 16 to 19, have higher rates of accidents and violations, with fatal crashes nearly three times more common than among older drivers. Risky behaviors such as nighttime driving, speeding, distractions and failing to wear seat belts contribute to these elevated rates, especially among male drivers.
How to Save Money on Car Insurance for 21-Year-Olds
Twenty-one-year-old drivers face some of the highest car insurance premiums compared to other older age groups. Luckily, there are ways for 21-year-olds and their families to reduce these expenses. Below are our recommended steps for securing the most affordable coverage:
- 1
Stay on a parent's policy
Remaining on a parent's policy can often lead to significantly lower premiums, thanks to the parent's established insurance history and potential multi-car discounts. If the 21-year-old still resides at home and drives a family vehicle instead of owning their own, most insurers will allow them to remain on the family policy.
- 2
Shop around as much as possible
Comparing quotes from various auto insurance providers is one of the best strategies for saving money on car insurance. According to MoneyGeek's research, there can be price differences of up to 30% between the least and most expensive policies for teens.
- 3
Find discounts you qualify for
Twenty-one-year-olds may be eligible for a variety of common car insurance discounts. Discounts for students, completion of young driver education courses and usage-based insurance programs can help lower premiums by as much as 40%.
- 4
Choose a safe, older car
Choosing a more affordable vehicle with a strong safety rating can greatly lower insurance costs, as these cars are typically less expensive to repair and viewed as lower risk by insurers.
- 5
Adjust your coverage amount
If you’re able to cover the cost of replacing your car out of pocket, opting for a liability-only car insurance policy can be a smart way to save money. If you prefer full coverage, raising your deductibles can help reduce your premium.
KEY CONSIDERATIONS WHEN SHOPPING: EXPERT TIP
Obtaining quotes from multiple insurance companies is a good idea to see which comes out as the best and cheapest for your specific profile. You also want to ensure the company has optional coverages that are good for a teen driver or any driver to have on their policy. They include roadside assistance and rental car coverage.
— Mark Friedlander, Director, Corporate Communications, Insurance Information Institute
Cheap Car Insurance for 21-Year-Olds: Bottom Line
Car insurance for 21-year-olds can be costly, but young drivers and their families can find more affordable coverage by comparing quotes, staying on a family policy and taking advantage of available discounts. GEICO and Nationwide are often the most affordable options among national providers for 21-year-old drivers, but shopping around is crucial for finding the best rate.
Car Insurance for 21-Year-Olds: FAQ
Finding affordable car insurance for 21-year-olds can be challenging due to the risk factors that contribute to higher premiums for this age group. To help, we've addressed some of the most frequently asked questions on this topic:
What is the cheapest car insurance for an 21-year-old?
GEICO and Nationwide offer some of the most affordable car insurance options for 21-year-olds among national providers. Minimum coverage policies average about $66 per month, while full coverage costs approximately $140 per month when included in a family plan.
How much is car insurance for an 21-year-old per month?
On average, 21-year-olds can expect to pay about $73 per month for minimum coverage and $154 per month for full coverage. However, these costs can vary significantly by state, with monthly state averages ranging from $38 to $224. It's important to note that these figures apply to drivers on a family policy with clean driving records and good credit.
Why is car insurance expensive for 21-year-old drivers?
Car insurance for 21-year-olds tends to be costly because they are considered higher risk due to their limited driving experience. This increased risk can lead to more accidents, prompting insurers to charge higher premiums to account for potential claims.
Is car insurance more expensive for 21-year-old males?
Yes, car insurance is typically more expensive for 21-year-old males. Statistically, they are more prone to accidents compared to their female counterparts, which leads insurers to set higher premiums to balance the increased risk.
Auto Insurance for 21-Year-Olds: Our Methodology
MoneyGeek used a sample driver profile to determine national and state averages for vehicle insurance for 21-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.
Sample Driver Profile
MoneyGeek calculates yearly car insurance policy estimates based on a policyholder with the following characteristics:
- Toyota Camry LE
- Clean driving record
- 12,000 miles driven every year
To determine which companies provide the most affordable policies, MoneyGeek compared rates for 21-year-old drivers across different states. We made adjustments to this profile to reflect the differences in age, location and driving behavior.
Coverage Levels and Deductibles Explained
A deductible is the money you have to pay out of your own pocket before your insurance company will pay for your claim. Most drivers would benefit from purchasing full coverage vehicle insurance, which covers both collision and comprehensive damage.
For minimum liability coverages, we used state-required limits to judge which provider was most affordable. For full coverage, we used 100/300/100 liability limits with a $1,000 deductible for comprehensive and collision coverage when researching the cheapest providers. Liability limits of 100/300/100 stand for:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $100,000 property damage liability per accident
Learn more about MoneyGeek's car insurance methodology.
About Mark Fitzpatrick
Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.
Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.
sources
- AAA Foundation for Traffic Safety. "Rates of Motor Vehicle Crashes, Injuries and Deaths in Relation to Driver Age, United States, 2014–2015." Accessed November 19, 2024.
- Insurance Institute for Highway Safety. "Fatality Facts 2018: Teenagers." Accessed November 19, 2024.