Among national providers, GEICO offers the cheapest minimum liability car insurance for 23-year-old drivers, with an annual premium of around $636. This is 14% cheaper than the average for family policies. Concord Group and Auto-Owners are the cheapest options in regions where they are available.
Cheapest Car Insurance for 23-Year-Olds
Updated: December 3, 2024
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Key Takeaways
The top five cheapest car insurance companies for 23-year-olds are Concord Group, Auto-Owners, GEICO, State Farm and Travelers.
The cheapest monthly car insurance rates for 23-year-old drivers start at $53 for minimum coverage and $117 for full coverage nationwide, though in some states, rates can go as low as $40 per month.
For 23-year-olds, the average monthly cost of auto insurance is $62 for minimum coverage and $131 for full coverage.
Cheapest Minimum Liability Car Insurance for 23-Year-Olds
| Concord Group | $42 | $20 |
| Auto-Owners Insurance Co | $47 | $15 |
| GEICO | $53 | $9 |
| State Farm | $57 | $5 |
| Travelers | $58 | $4 |
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 23-Year-Olds
With average rates at $936 annually, Concord Group is the cheapest full coverage auto insurance company for 23-year-old drivers on a family policy, though its availability is limited. Nationally, Nationwide, State Farm and Travelers are the most affordable providers.
| Concord Group | $78 | $53 |
| Auto-Owners Insurance Co | $112 | $19 |
| GEICO | $117 | $15 |
| Nationwide | $119 | $12 |
| State Farm | $121 | $10 |
| Travelers | $125 | $6 |
| Allstate | $126 | $5 |
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 23-Year-Olds by State
For 23-year-olds on a family policy, car insurance costs can differ widely by state, ranging from $40 to $213 per month. We’ve listed the top insurance providers offering the most affordable options for this age group by state.
| Massachusetts | State Farm | $40 |
| Ohio | Nationwide | $53 |
| Hawaii | GEICO | $54 |
| Idaho | State Farm | $55 |
| Mississippi | Progressive | $56 |
| Maine | Concord Group | $57 |
| Indiana | GEICO | $60 |
| Pennsylvania | Travelers | $60 |
| Wisconsin | GEICO | $62 |
| New Hampshire | Concord Group | $63 |
| Vermont | State Farm | $63 |
| Missouri | GEICO | $63 |
| Kansas | Nationwide | $64 |
| Virginia | Nationwide | $66 |
| North Dakota | Nationwide | $67 |
| South Dakota | Allstate | $69 |
| Iowa | State Farm | $73 |
| Utah | Nationwide | $73 |
| North Carolina | Nationwide | $73 |
| Connecticut | GEICO | $74 |
| Montana | Progressive | $77 |
| Oregon | Nationwide | $77 |
| Tennessee | State Farm | $80 |
| District of Columbia | GEICO | $83 |
| New York | Kemper | $83 |
| Michigan | GEICO | $83 |
| Arizona | Travelers | $84 |
| Arkansas | Nationwide | $85 |
| Illinois | Travelers | $86 |
| Wyoming | Allstate | $88 |
| Nebraska | Auto-Owners Insurance Co | $89 |
| West Virginia | GEICO | $90 |
| Alabama | GEICO | $94 |
| Maryland | GEICO | $94 |
| Minnesota | GEICO | $98 |
| Texas | State Farm | $99 |
| Colorado | GEICO | $99 |
| Kentucky | Travelers | $100 |
| Washington | Travelers | $100 |
| Georgia | Allstate | $101 |
| Alaska | GEICO | $101 |
| Rhode Island | State Farm | $105 |
| Oklahoma | State Farm | $109 |
| New Mexico | Allstate | $109 |
| South Carolina | Travelers | $109 |
| Delaware | GEICO | $109 |
| New Jersey | GEICO | $113 |
| California | GEICO | $114 |
| Nevada | Nationwide | $144 |
| Florida | Travelers | $164 |
| Louisiana | State Farm | $213 |
Rates are for male drivers with clean driving records and good credit insuring a 2012 Toyota Camry with minimum coverage.
Cheapest Car Insurance for 23-Year-Olds by Gender
Because of their higher accident risk, 23-year-old male drivers generally face higher insurance premiums than females. Below, we showcase the most cost-effective national insurance providers for both men and women in this age group.
Cheapest Car Insurance for 23-Year-Old Female Drivers
Twenty-three-year-old female drivers will find State Farm to be the most affordable car insurance provider nationwide, offering rates approximately 10% below the average for minimum coverage. Female drivers at this age usually enjoy lower premiums than men, as they are statistically involved in fewer accidents.
| Concord Group | $40 | $20 | $75 | $51 |
| Auto-Owners Insurance Co | $47 | $12 | $109 | $17 |
| GEICO | $53 | $7 | $115 | $11 |
| State Farm | $54 | $6 | $113 | $13 |
| Travelers | $56 | $4 | $120 | $6 |
Rates are for female drivers with clean driving records and good credit insuring a 2012 Toyota Camry.
Cheapest Car Insurance for 23-Year-Old Male Drivers
For 23-year-old male drivers, GEICO provides the most affordable monthly rate at $52 when included in a family policy. Eligible drivers might find even lower rates with Concord Group or Auto-Owners. Men typically pay higher premiums than women due to their statistically higher accident rates.
| Concord Group | $44 | $19 | $82 | $54 |
| Auto-Owners Insurance Co | $47 | $17 | $115 | $21 |
| GEICO | $52 | $11 | $118 | $19 |
| Travelers | $59 | $4 | $131 | $6 |
| State Farm | $61 | $3 | $129 | $8 |
Rates are for male drivers with clean driving records and good credit insuring a 2012 Toyota Camry.
Cheapest Cars to Insure for 23-Year-Olds
When purchasing a new car for a teen driver, think about adding them to your policy with a vehicle that is both safe and among the cheapest cars to insure. Below, we’ve highlighted the most budget-friendly models by vehicle type for 23-year-old drivers.
Data filtered by:Results filtered by:
Select
Coverage:Full Coverage
| Subaru Forester | Compact SUV | GEICO | $1,348 |
| Subaru Outback | Sedan | Nationwide | $1,449 |
| Toyota Tacoma | Pickup Truck | GEICO | $1,482 |
| Audi Q5 | Luxury SUV | GEICO | $1,489 |
| Honda Passport | SUV | GEICO | $1,567 |
| Toyota Corolla | Compact | GEICO | $1,589 |
| Ford Mustang Mach E | Sports Car | GEICO | $1,621 |
| Tesla Model Y | Luxury Electric | GEICO | $1,649 |
| Nissan LEAF | Electric | GEICO | $1,651 |
| Honda Odyssey | Minivan | GEICO | $1,651 |
| BMW 1 Series | Luxury Compact | GEICO | $1,699 |
| Porsche Taycan | Luxury Sports Car | GEICO | $1,715 |
| Mercedes GLA 250 | Luxury Compact SUV | GEICO | $1,809 |
| BMW 3 Series | Luxury Sedan | GEICO | $2,093 |
Rates are for drivers with clean driving records and good credit.
Average Cost of Car Insurance for 23-Year-Olds
On average, car insurance for 23-year-olds costs $744 for minimum coverage and $1,572 for full coverage. These rates are based on drivers with clean records and good credit; however, the rate you're quoted for car insurance for a 23-year-old may differ depending on your individual driving profile.
Car Insurance Cost for 23-Year-Olds by Coverage and Gender
We’ve compiled the average expenses for adding 23-year-old male and female drivers to a family policy, categorized by coverage level, below:
| State Min - No comp_coll | $64 | $60 |
| State Min - 500 comp_coll | $137 | $126 |
| State Min - 1500 comp_coll | $118 | $110 |
| State Min - 1000 comp_coll | $123 | $113 |
| 300/500/300,000 - No comp_coll | $93 | $88 |
| 300/500/300,000 - 500 comp_coll | $164 | $151 |
| 300/500/300,000 - 1500 comp_coll | $145 | $134 |
| 300/500/300,000 - 1000 comp_coll | $68 | $62 |
| 100/300/100,000 - No comp_coll | $78 | $74 |
| 100/300/100,000 - 500 comp_coll | $153 | $146 |
| 100/300/100,000 - 1500 comp_coll | $145 | $134 |
| 100/300/100,000 - 1000 comp_coll | $136 | $126 |
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 23-Year-Olds by State
The average state car insurance costs for 23-year-old drivers vary widely, with monthly rates ranging from $18 to $408. These variations are influenced by factors like crime rates, weather conditions and population density. The table below outlines the average state rates to help you estimate costs in your area.
| Oklahoma | $34 | $160 | $31 | $142 |
| North Carolina | $25 | $99 | $24 | $95 |
| Colorado | $43 | $182 | $35 | $151 |
| Mississippi | $28 | $127 | $29 | $133 |
| Florida | $72 | $331 | $55 | $257 |
| Vermont | $19 | $94 | $20 | $97 |
| Delaware | $45 | $173 | $39 | $148 |
| Nevada | $60 | $239 | $53 | $209 |
| Louisiana | $73 | $408 | $58 | $325 |
| New York | $46 | $164 | $43 | $154 |
| West Virginia | $33 | $140 | $29 | $124 |
| South Carolina | $54 | $203 | $49 | $184 |
| New Jersey | $63 | $245 | $52 | $203 |
| New Mexico | $34 | $154 | $31 | $137 |
| Hawaii | $20 | $85 | $19 | $80 |
| Arkansas | $28 | $131 | $24 | $114 |
| Missouri | $37 | $180 | $37 | $181 |
| Connecticut | $41 | $159 | $41 | $156 |
| South Dakota | $21 | $129 | $20 | $124 |
| District of Columbia | $41 | $172 | $37 | $153 |
| Iowa | $21 | $110 | $18 | $97 |
| Indiana | $26 | $110 | $25 | $103 |
| Massachusetts | $28 | $118 | $33 | $136 |
| Rhode Island | $50 | $186 | $47 | $172 |
| Ohio | $47 | $171 | $40 | $146 |
| Michigan | $76 | $281 | $53 | $204 |
| Minnesota | $30 | $129 | $30 | $130 |
| Pennsylvania | $27 | $146 | $25 | $131 |
| Washington | $45 | $156 | $45 | $148 |
| Wisconsin | $24 | $116 | $23 | $110 |
| Montana | $26 | $146 | $23 | $132 |
| Kentucky | $40 | $166 | $40 | $165 |
| Arizona | $39 | $158 | $36 | $146 |
| Illinois | $27 | $118 | $24 | $104 |
| Virginia | $38 | $148 | $35 | $136 |
| Maryland | $43 | $152 | $44 | $156 |
| Georgia | $36 | $154 | $36 | $153 |
| Wyoming | $18 | $127 | $18 | $128 |
| Utah | $50 | $195 | $37 | $144 |
| New Hampshire | $29 | $106 | $27 | $99 |
| North Dakota | $22 | $106 | $20 | $97 |
| Nebraska | $27 | $146 | $24 | $131 |
| Maine | $28 | $109 | $27 | $105 |
| California | $38 | $179 | $37 | $176 |
| Tennessee | $26 | $121 | $25 | $114 |
| Kansas | $26 | $133 | $23 | $117 |
| Texas | $42 | $179 | $39 | $165 |
| Oregon | $34 | $130 | $35 | $132 |
| Idaho | $20 | $85 | $21 | $86 |
| Alaska | $32 | $143 | $27 | $123 |
| Alabama | $35 | $158 | $29 | $133 |
Why Car Insurance Is Expensive for 23-Year-Olds
Car insurance for 23-year-olds remains relatively expensive because they are still classified as high-risk drivers. However, their premiums are generally lower than those for younger drivers. Teen drivers, mainly those aged 16 to 19, are involved in accidents and violations at higher rates, with fatal crashes nearly three times more frequent than those of older drivers. Risky behaviors such as speeding, distracted driving, nighttime driving and not wearing seat belts contribute to these elevated risks, especially for male drivers.
How to Save Money on Car Insurance for 23-Year-Olds
Twenty-three-year-old drivers typically encounter some of the highest car insurance premiums among older age groups. Fortunately, there are effective strategies that 23-year-olds and their families can use to lower these expenses. Below are our top tips for finding the most affordable coverage:
- 1
Stay on a parent's policy
Remaining on a parent's policy is a cost-effective way for 23-year-olds to save on car insurance, as it leverages the parent's established insurance history and multi-car discounts. Insurers generally permit 23-year-olds to stay on a family policy if they reside at home and use a family vehicle instead of owning their own.
- 2
Shop around as much as possible
Shopping around and comparing quotes from multiple auto insurance providers is one of the best ways to save on car insurance. According to MoneyGeek's research, premiums for teens can vary by as much as 30% between the cheapest and most expensive options.
- 3
Find discounts you qualify for
Twenty-three-year-olds may qualify for a variety of common car insurance discounts. These include student discounts, savings for completing driver education programs, and reductions through usage-based insurance plans, which can help lower premiums by up to 40%.
- 4
Choose a safe, older car
Choosing a cost-effective vehicle with a strong safety rating can help lower insurance premiums. These cars are typically less expensive to repair and are seen as lower risk by insurers, making them a smart choice for reducing costs.
- 5
Adjust your coverage amount
If you’re able to cover the cost of replacing your car on your own, opting for a liability-only auto insurance policy can be a budget-friendly option. Alternatively, 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 23-Year-Olds: Bottom Line
Car insurance for 23-year-olds can be pricey, but there are ways for young drivers and their families to find more affordable options. Comparing quotes, staying on a family policy and taking advantage of discounts can help reduce costs. Nationwide, GEICO and State Farm are often among the most affordable providers for 23-year-olds, but shopping around is crucial to securing the best deal.
Car Insurance for 23-Year-Olds: FAQ
Finding affordable car insurance for 23-year-olds can be challenging due to the risk factors that contribute to higher premiums for this age group. To help, we’ve provided answers to some of the most frequently asked questions on this topic:
What is the cheapest car insurance for an 23-year-old?
GEICO is among the cheapest car insurance companies for 23-year-old drivers nationwide. Minimum coverage policies cost an average of $53 per month, while full coverage is around $117 per month when added to a family plan.
How much is car insurance for an 23-year-old per month?
For 23-year-olds, the average monthly premium is approximately $62 for minimum coverage and $131 for full coverage. However, costs vary widely by state, with monthly averages ranging from $40 to $213. These estimates assume drivers have clean records, good credit, and are included on a family policy.
Why is car insurance expensive for 23-year-old drivers?
Car insurance is expensive for 23-year-old drivers because they are still considered higher risk due to their limited driving experience. This increased risk of accidents leads insurers to charge higher premiums to cover potential claims and liabilities.
Is car insurance more expensive for 23-year-old males?
Yes, car insurance is generally more expensive for 23-year-old males. Statistically, males in this age group are more likely to be involved in accidents compared to females, leading insurers to charge higher premiums to offset the increased risk.
Auto Insurance for 23-Year-Olds: Our Methodology
MoneyGeek used a sample driver profile to determine national and state averages for vehicle insurance for 23-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 23-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
- Centers for Disease Control and Prevention. "Teen Drivers and Passengers: Get the Facts." Accessed December 3, 2024.