Family car insurance might include you and your spouse, children, parents, roommates, and anyone else who lives at the same address as you. Purchasing a family plan is cost-effective in any household with more than two people and two vehicles.
To help you feel more confident as you’re shopping for family car insurance, Jerry experts analyzed thousands of real customer policies to find the best insurers for families:
Things that impact your rates when creating a family plan
On average, drivers pay $228 a month for a family plan that includes four people.
However, the quotes you get for your family policy may vary a lot from this average depending on factors like the number of drivers on your policy, the vehicles you’re insuring, and the ages of everyone on your plan.
Your rates can change depending on who you insure on your policy
When you add a driver to your policy, your rates will go up—but it’s still usually cheaper than buying a separate policy for each driver.
Our experts analyzed thousands of real car insurance policies purchased by Jerry users to determine the average monthly cost for policies with one, two, three, and four or more drivers. Here’s how much it costs, on average, to add drivers to your policy:
| Number of drivers | Average coverage cost |
|---|---|
| 1 | $148 |
| 2 | $167 |
| 3 | $197 |
| 4 | $228 |
However, your exact rates will depend on a lot of factors, including who you’re insuring on the policy. If one of your added drivers is a young motorist, for instance, you may experience higher-than-average rates once they’re on your policy.
But it’s not only age that can impact your premiums—it’s also the driving record of the person you’re including on your family plan. If you add someone who has a history of violations, their high-risk status will influence how your rates are calculated.
To help maintain lower than average rates with drivers of varying profiles, make sure to take advantage of car insurance discounts, defensive driving courses, and comparison shopping.
Your rates can change based on your marital status
When you change your marital status, your car insurance rates may be impacted as well. The average cost of car insurance for married individuals is approximately $164 per month, whereas single drivers pay slightly more at $167 per month. This rate increases slightly for those who are divorced or living with a domestic partner.
On average, here’s how much drivers are paying for their car insurance based on marital status:
| Marital status | Minimum coverage | Full coverage |
|---|---|---|
| Married | $97 | $230 |
| Separated | $99 | $243 |
| Single | $101 | $233 |
| Domestic Partner | $102 | $240 |
| Divorced | $119 | $217 |
| Widowed | $217 | $367 |
However, no matter your marital status, you can still find cheaper than average premiums by comparing rates using the Jerry app.
Your rates can change based on the number of cars on your policy
With more drivers in your household, you might need a new vehicle, too. Census data shows that 37.1% of households had two vehicles in 2021, while 22.1% of households had three or more1. While multi-car insurance policies often come with discounts, they also cost more than single-car policies.
Keep in mind that the type of vehicle you’re adding to your policy can also impact your car insurance premiums. For example, the cost to cover a Tesla Model Y will be more expensive than a Honda Civic, due to higher replacement and repair costs. But some insurance companies offer lower prices for newer cars, so when you’re shopping for car insurance for your family, it’s best to compare rates before choosing a provider.
| Number of vehicles | Average coverage cost |
|---|---|
| 1 | $149 |
| 2 | $171 |
| 3 | $189 |
| 4 | $205 |
Building an affordable family plan
To build a robust family car insurance policy, you’ll need to decide who will be on your policy, how much coverage you need, and which insurance provider is right for you. Here are the steps you should follow to find the right policy for you and your family.
Step one: Figure out who to include on your policy
Every family member who can legally drive should be included on your car insurance policy. That includes spouses, children, parents, and anyone else in your house who might get behind the wheel.
Similarly, any family members who still live at home long-term should remain on your policy. If you have a child who goes away to college, they should also stay on your policy until they get a new permanent home address.
Your policy should also include all cars that are regularly parked at your address unless you have a vehicle that requires specialized insurance, such as a classic or collector vehicle.
Step two: Adjust your coverage levels
Once you’ve established how many people will be covered on your family car insurance, decide how much coverage you want. Every vehicle covered on your family plan will need the same limits for liability coverage. These limits are generally set at a policy level by your state, and not individualized by vehicle.
For families with teen drivers, liability coverage is extra important. Teen drivers are more likely to get into an accident due to their lack of experience behind the wheel, so high coverage limits provide essential financial protection for parents.
At Jerry, our insurance experts recommend carrying at least 100/300/100 liability coverage, which means:
- $100,000 of bodily injury liability per person
- $300,000 of bodily injury liability per accident
- $100,000 of property damage liability per accident
Unlike some other types of auto insurance, comprehensive and collision coverage can be individualized for each vehicle. If you have a full coverage policy with collision and comprehensive coverage, you can adjust your add-ons and your deductible for each vehicle on your policy.
Step three: Request several quotes
Now that you know what you need from your auto insurance provider, it’s time to start shopping for a new policy. Experts recommend getting quotes from a minimum of three different insurance companies before settling on a policy.
These name-brand insurers provide lower than average rates for plans with more than one driver and have added benefits for families:
| Insurance company | Average coverage cost | Added benefits |
|---|---|---|
| Anchor General | $142 | – Offers mechanical breakdown insurance (MBI) – Provides several discounts from good student, to mature driver, and occupational/membership discounts – Allows families to bundle auto, homeowners, condo, renters, and secondary home policies |
| Clearcover | $174 | – Fast claims processing with Clearcover app (< 7 minutes) – Easy policy management via mobile app – Additional discounts for military customers up to 15% (25% in LA) |
| National General | $182 | – Rewards drivers who use DynamicDrive with lower rates – Offers 24-hour claims reporting (payment provided within 48 hours) – Lifetime repair guarantee for collision repairs done at Gold Medal Repair Shops |
| Kemper | $192 | – Roadside assistance available for all policyholders with 24/7 towing – Supplies several discounts, such as multi-car, homeowner, and proof of prior insurance – Offers SR-22 coverage for drivers with violations |
| Nationwide | $198 | – Provides Accident Forgiveness to avoid rate increases after a collision – Drivers can earn up to 50% off premiums with SmartRide telematics – Allows drivers to combine auto, home, and pets insurance for cheaper premiums |
| Direct Auto | $217 | – Customizes plans for policyholders with flexible payment options – Supplies families with senior members a senior citizen discount of up to 5% – Offers an easy-to-use mobile app |
| Safeco | $224 | – Offers new vehicle replacement and rental car reimbursement for those with newer cars – Drivers can get a diminishing deductible if they don’t file any claims during the policy year. This will continue to decrease for up to 5 years or until the $500 max limit is reached – Helps drivers save up to $513 per year with RightTrack telematics |
You can choose to shop for quotes on your own, or work with an independent insurance broker like Jerry to simplify the process. With Jerry, you can compare dozens of customized quotes to find the best policy for you and your family.*
*Note: Not all drivers will find savings with Jerry.
Step four: Check for discounts
Most insurance providers offer car insurance discounts of one kind or another. These opportunities for savings are essential for family car insurance plans, since having teenagers and/or multiple cars on your policy can cause your rates to skyrocket.
Some discounts that could help your family save include:
- Multi-car discounts: If your family has multiple vehicles, you’ll typically be able to get a discounted rate between 8-25%.
- Good student discount: Full-time students under the age of 25 can earn a good student discount on their family car insurance worth 10% and 25%.
- Student away at school discount: Students on your family plan who attend college 100 miles or more from your home may qualify for a student away at school discount.
- Bundling discounts: For many families, bundling auto and homeowners insurance or renters insurance with the same company can save you an average of 15% to 25%.
- Good driver discounts: Maintaining a clean driving record can lower your family’s insurance costs by a provider-specific amount.
Step Five: Finalize your price
Once you’re satisfied with your coverage levels, deductible(s), discounts, and provider of choice, it’s time to finalize your policy.
With Jerry, it’s a quick, easy process to finalize your price on the app. You should do this as soon as possible after finding a policy that works for you, as car insurance quotes are time-sensitive and subject to change, so waiting for too long could cause your premium to increase.
FAQ
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Source
Liz Jenson is an insurance writer who specializes in general automotive and insurance topics. Liz’s mission is to produce informative and useful content to help car owners make smart choices when buying cars and car insurance. Since joining Jerry in 2021, Liz has written nearly 4,000 long- and short-form articles on topics including state-specific insurance recommendations, common car insurance questions, and deep dives into vehicle model details. Before they came to Jerry, Liz was a full-time student at Indiana University, Bloomington working on a double major in English and French.
Expert insurance writer and editor Amy Bobinger specializes in car repair, car maintenance, and car insurance. Amy is passionate about creating content that helps consumers navigate challenges related to car ownership and achieve financial success in areas relating to cars. Amy has over 10 years of writing and editing experience. After several years as a freelance writer, Amy spent four years as an editing fellow at WikiHow, where she co-authored over 600 articles on topics including car maintenance and home ownership. Since joining Jerry’s editorial team in 2022, Amy has edited over 2,500 articles on car insurance, state driving laws, and car repair and maintenance.
