What is the best car insurance company?

The answer to this question is quite subjective, meaning the best car insurance company for you will depend on your driving history, insurance needs and other personal factors. For example, you may want to find a provider that specifically caters to high-risk drivers if you have a lengthy history of car accidents and traffic tickets. Or, if you work from home and don’t drive much, you may want to find a provider that offers attractive discounts through a telematics program. Experts say that shopping around, reviewing discounts and comparing quotes are generally good strategies for identifying the car insurance company that best matches your budget and coverage needs.

How much is car insurance for a 23-year-old?

The average annual cost of car insurance for a 23-year-old driver on their own policy is $3,912 for full coverage car insurance and $1,173 for minimum coverage. While your specific rates may vary based on your driving profile and the type of car you drive, 23-year-old drivers can expect to pay an average of 46 percent more for car insurance than the national average. However, It’s important to remember that individual rates for auto insurance are highly personalized. What type of vehicle you drive, how much coverage you want, your driving record, annual mileage and more can all have significant impacts on your premiums. Insurance experts often recommend shopping around between several insurance companies to see which offers you the best quote based on the coverage you seek.

How much insurance do 23-year-olds need?

How much insurance you need as a 23-year-old typically depends on several factors. If you have a car loan or lease on your vehicle, you may be required to carry full coverage to satisfy the lender requirements. To legally drive, most states require you to have at least the state minimum required coverage, though most insurance experts recommend buying more than the minimum for better financial protection in case you cause an accident. Optional coverage types, such as gap insurance, rental car reimbursement and roadside assistance, may also be worth considering in many cases.

Which discounts might apply to 23-year-olds?

While discounts vary by carrier, 23-year-olds might qualify for some of the best discounts offered by insurance companies, provided they are eligible. If you are a full-time student under a certain age, you may qualify for a good student discount with some insurance companies, provided you have a GPA above a certain threshold. If you are still on your parents’ policy and go to college at least 100 miles away from home, and you leave your car at home, you may qualify for a student away discount. Other discounts a 23-year-old may qualify for include safe driving discounts and discounts from usage-based telematics programs. Since discounts can typically be stacked together, you may want to speak with your insurance agent to find out what you qualify for.

How does gender affect car insurance rates for a 23-year-old driver?

The average car insurance cost for a 23-year-old male on his own policy is $4,062 per year for full coverage and $1,199 for minimum coverage. Car insurance for a 23-year-old female is slightly lower, averaging $3,761 per year for full coverage and $1,147 for minimum coverage. Statistically, men are more likely to drive dangerously than women, and many insurers charge men a higher rate to account for the added risk.

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Car insurance for 23-year-olds

Written by

Natalie Todoroff

Edited by

Mariah Posey

Reviewed by

Mark Friedlander

Updated Aug 14, 2025

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How much is car insurance for 23-year-old drivers?

The average cost of full coverage car insurance for 23-year-old drivers on their own policy is $3,912 per year for full coverage and $1,173 per year for minimum coverage. These rates are higher than the national average cost of car insurance, which are $2,679 per year for full coverage and $808 per year for minimum coverage. Auto insurance companies view young adults as riskier to insure than older drivers since they do not have as much experience behind the wheel and have a greater accident frequency rate than older adults. To account for the added risk of insuring a younger driver, many insurers charge higher rates.

However, this is not the case in every state. In Hawaii and Massachusetts, insurance companies are not permitted to take your age into account when calculating your rate (although Massachusetts does factor years of driving experience).

Average car insurance cost for 23-year-olds by state

In addition to age, the average cost of car insurance can vary greatly based on your geographic location. This is because all 50 states and Washington, D.C. have different regulations surrounding auto insurance. The potential impacts of weather hazards and other natural disasters on driving conditions and accident frequency are also considered. In addition, regional medical costs and the price of parts and labor for vehicle repairs can impact how much full coverage insurance costs in your location.

Below, we’ve compiled the average full coverage rates for 23-year-old drivers by state:

Hawaii