When Does Car Insurance Go Down?

Car insurance rates typically go down with age, a clean driving record, or by switching insurance companies.
Written by Jaya Anandjit
Edited by Jessica Barrett
While it may seem like car insurance rates are constantly on the incline, your premiums may go down as you get older, maintain a clean driving record, qualify for discounts, or switch providers.
  • Car insurance rates tend to decrease every year for young drivers with clean driving records and no insurance claims.
  • In general, car insurance costs more for male drivers than female drivers—but both get cheaper rates as they get older.
  • Switching insurance providers or seeking discounts can help drivers secure lower auto insurance rates.

Common reasons why car insurance rates go down

Car insurance
rates vary from company to company and driver to driver depending on numerous factors. Many of these factors are circumstantial—and luckily, your car insurance rates can go down as your circumstances change. 
Your car insurance rates may decrease for the following reasons:
  • Age and experience: You grow older and accumulate more driving experience
  • A clean driving record: You maintain a
    clean driving record
    and exemplify safe driving habits for three or more years
  • Switching providers: You switch insurance companies for a lower rate from a different provider
  • Statuses: You get married, increase your credit score, complete higher education, or switch careers
  • Discounts: You become eligible for car insurance discounts
Let’s take a closer look at
how car insurance works
and the common reasons your auto insurance rates might go down.

Your age will affect your car insurance rates

Car insurance providers use your age to determine your car insurance rates. Age is an influential rating factor because it offers a fair evaluation of your driving experience and your risk of accidents:
  • Younger drivers pay the highest insurance rates: Based on statistical data, young and newly licensed drivers get into the most accidents, so these drivers are the riskiest to insure and get
    higher car insurance rates
  • Rates decrease with age: While
    young drivers
    typically pay more for car insurance due to their limited driving experience and high accident risk, they also tend to see rate decreases with each year of on-road experience and a clean driving record.
  • The best rates come later: Car insurance rates are usually cheapest for drivers between the ages of 35 to 55.
  • Seniors pay more: The cost of car insurance usually increases for drivers in their mid-70s. Drivers 85 and older pay the highest rates for senior drivers.
Average annual car insurance rate

Is car insurance cheaper for 25-year-olds?

Car insurance can be cheaper for 25-year-olds compared to new drivers between the ages of 16 to 19. 
It takes approximately three to five years of driving experience with a clean record to see your rates drop. This means that you may notice cheaper car insurance rates before you turn 25. In fact, car insurance typically starts to go down when drivers reach the age of 21. 
With that said, your car insurance rates will not magically decrease at 21 or 25 if you just got your license. For example, if you are newly licensed at 24 years old, it will likely take three years of clean driving for you to get a cheaper rate from your current provider.

When does car insurance get cheaper for males vs. females?

On average, men pay more for car insurance than women of the same age group. This is especially true for young and newly licensed drivers. 
For example, male drivers pay approximately $422 more for car insurance at the age of 16 than female drivers of the same age.
The differences in car insurance rates between men and women are due to the following statistical factors:
  • Men are more likely to be involved in fatal accidents
  • Men are more likely to speed
  • Men are more likely to drive cars that cost more to insurance
  • Men are more likely to be arrested for severe violations like DUI/DWIs
With that said, here are a few things to note about when car insurance gets cheaper for males vs. females:
  • For both men and women, car insurance rates begin to decline with age, driving experience, and a clean driving record. 
  • There isn’t a huge difference between when car insurance gets cheaper for males and females—but even as their rates decline, men tend to pay higher for insurance until they’re over 30 years old. 
  • Once drivers turn 21, the price gap between male and female car insurance rates begins to decrease significantly. 
  • By 25 years old, most males pay an average of $20 more for car insurance than their female companions with similar driving records.
Full coverage for men
Full coverage for women
State minimum liability for men
State minimum liability for women
Keep in mind: Some states prohibit the use of gender as a car insurance rating factor. Depending on your state, your gender may have no or minimal impact on your insurance premium.

Do car insurance rates go up for senior drivers?

Young and new drivers get the highest insurance rates—but on the flip side,
senior drivers
also face steeper premiums.
Senior drivers can expect to see their rates increase in their mid-70s due to the following risk factors:
  • Drivers in their mid-70s or older are involved in more fatal crashes than drivers between the ages of 50 to 70.
  • Older drivers are more likely to sustain expensive injuries following a car accident.
  • There is a higher risk of driving violations for drivers over the age of 75.
  • Drivers 70 and over are more likely to drive older, less safe vehicles.
On the bright side, rates for senior drivers don’t usually get as high as they do for
teen drivers

A clean driving record can help lower your car insurance

Car insurance rates can go down as you get older—but only if you maintain a clean driving record.
Policyholders with at-fault accidents or moving violations on their driving record face higher car insurance rates due to surcharges on their base car insurance rate. At-fault accidents and infractions will impact your car insurance rates for three to five years depending on the type of infraction, your state, and your provider.

Speeding tickets can increase your car insurance rates by 24.6%

The increase in your rate comes from a
speeding ticket surcharge
, which is determined based on your overall driving history and how fast you were going over the speed limit.
In general, it takes approximately three years for the surcharge to be removed from your base car insurance rate and for you to see your rates go down. That said, your rate may be higher than expected if you lost any safe driver discounts due to your infraction.

Car insurance rates can increase by 45-49% after an-fault accident

If it’s your first at-fault accident or if you have
accident forgiveness coverage
on your policy, your rate might not go up as drastically. If you have a history of claims for at-fault accidents, your rate will likely skyrocket.
Generally, you can expect your rates to decrease again about 3-5 years after an at-fault accident. The actual timeline for lower rates will depend on the collision circumstances, your state, and your provider.
Keep in mind: Drivers typically do not see their rates increase until their next renewal. 

A DUI can increase insurance rates by 80%

In some cases, your insurer may cancel your policy or refuse your renewal due to a
If you live in a state that requires an
SR-22 form
following a DUI or DWI, you’ll be required to purchase higher coverage limits that will also increase your rate. SR-22 forms can raise your insurance premium by up to 256% depending on where you live. 
SR-22 filings are typically required for three years, but your insurance premiums will likely remain high. Don’t expect a rate decrease anytime soon.

Your car insurance rates may go down if you switch providers

One of the easiest ways to get a lower car insurance rate is by switching providers. Each company uses a specific formula to calculate your rates so you’ll receive different quotes from each carrier—even if you have infractions on your driving record.
The best way to find cheap car insurance is by comparing quotes from three to five different providers. Unfortunately, filling out endless forms and going back and forth between companies can be time-consuming. Instead, consider using a broker app like
to secure the best car insurance rate in minutes.

Other factors that influence when your car insurance rates go down

Several other factors can decrease your insurance rate: 
  • Your marital status: Data shows that married drivers are less likely to get into accidents, so if you get married, you’ll be viewed as a less risky driver and you may see your car insurance rates go down.
  • Your credit score: Insurance providers view low
    credit scores
    as high risk factors, so if you improve your credit score, you could be rewarded with a cheaper car insurance rate.
  • Your education level: Completing higher education, such as a bachelor’s degree or master’s degree, can help lower your car insurance rates.
  • Your address: Drivers who live in populous cities will pay more than drivers in quiet towns due to crime rates and traffic. If you move from one to the other or even relocate from one ZIP code to the next, your car insurance rates may vary.
  • Your vehicle: Different vehicles require different coverage levels and receive unique rates based on the cost of parts and the vehicle’s overall value. Anti-theft devices and driver safety assistance suites can also help lower your car insurance rates.
  • Your commute time: Drivers who work from home and use their car for leisure driving will get lower rates than drivers who commute to and from work every day.

How to get cheaper car insurance

While it may take some time to change the circumstantial factors that impact your car insurance rate, there are a few things you can do to bring down your auto insurance rates sooner than later:
  • Remove unnecessary coverage: If you have
    comprehensive coverage
    on your vehicle, you may consider removing one or both coverages as your vehicle’s value depreciates. If you drive an older car, think about removing these coverages altogether.
  • Change your deductible: The higher your
    is, the lower your rate will be. If you currently have a low deductible for certain
    types of car insurance
    , consider increasing it to get a cheaper car insurance rate.
  • Change your payment frequency: You can save on your auto insurance premiums by paying in full rather than in monthly installments. Talk to your provider about your options for your next renewal.
  • Ask about car insurance discounts: Find out if you’re eligible for car insurance discounts. Multi-policy bundling discounts,
    good student discounts
    safe driver discounts
    , and telematics discounts are among some of the offers that can help you save, and you may be able to stack your discounts.
  • Take a defensive driving course: Some providers offer discounts to drivers who take
    defensive driving courses
    . Contact your insurer for more information.
Last but not least: Try to shop around for
car insurance quotes every six months
. Shopping around can help you find a lower rate—and you can cut out the online forms and endless phone calls by using Jerry!


Teenage drivers—especially those who just got their licenses—tend to pay the highest car insurance rates. Drivers between the ages of 16 to 19 typically have the least driving experience and pose a greater risk to insurance providers, which leads to higher car insurance rates.
Car insurance is typically cheapest for drivers between the ages of 35 and 55. Drivers between 35 to 55 years old usually have ample driving experience, which makes them less risky to insure.
Teenage drivers usually pay higher car insurance rates because of their limited driving experience and, based on insurer data, they tend to get into more accidents than other age groups. 
Car insurance premiums usually go down when you reach 25 years old, but your rates will not decrease just because you turn 25. You must also maintain a clean driving record without any moving violations or at-fault accidents before turning 25 (or within the last three to five years) to get a lower rate.
Factors like your address, the type of car you drive, and the length of time you’re been licensed can also impact your rate. For example, if you lived in a rural area between the ages of 22 to 24 and then you moved to a highly populated city at 25 years olds, your rates could increase due to the heightened risk of driving on busier roads. 
Car insurance providers use statistics to determine car insurance rates for certain age groups, and data shows that drivers under 25 are less likely to get into car accidents and file claims than younger drivers. With this said, your car insurance rates will only go down once you turn 25 years old if you are a safe driver with no accidents or moving violations on your record.
Typically, car insurance can go down by up to 10% once a driver turns 25 years old with a clean driving record and no claims history. 
While car insurance typically does get cheaper for drivers at 25 years old, the actual percentage decrease depends on the insurer and your driver profile. This is because each car insurance company uses a different formula to calculate rates for each driver. 
For example, at 25 years old you could see a 4% decrease in your rates from one company based on their rate calculations, meanwhile, another provider could offer an 8% decrease in your current rate. 
Are you overpaying for car insurance?
Compare quotes and find out in 45 seconds.
Try Jerry

Easiest way to compare and buy car insurance

No long forms
No spam or unwanted phone calls
Quotes from top insurance companies
Find insurance savings