Auto insurance is a unique type of expense. In most states, auto insurance is required by law if you operate a vehicle. This makes it one of the few expenses required by law. Another unique aspect of auto insurance is that the cost can change depending on many factors. One of the most significant factors affecting car insurance cost is age. At Fuhriman Insurance Agency, serving Boise, ID, we look forward to educating our clients on topics such as this. Keep reading to learn how auto insurance changes as you age.
Which Age is Most Expensive to Insure?
Car insurance companies rate risk factors based on many things. One of the most significant factors is the time a driver has spent behind the wheel. For this reason, younger drivers are often the most expensive to insure. With more experience, drivers drive more safely. Teenagers and individuals up to their mid-twenties will see the most expensive car insurance rates.
When Do Rates Start Coming Down?
At about age 25 most drivers will see their rates come down considerably. This is also an age where many people are starting their families or buying homes. These life changes can also affect the cost of car insurance as many policies offer discounts for married people and homeowners. Depending on your driving history, you may see another drop in rates around your mid-thirties. It is important to note that these rate drops can be affected by your driving record. An individual in their mid-thirties with a risky driving record may not see the same savings as a younger driver with a spotless driving record. The best car insurance rates are often enjoyed by drivers in their mid-fifties with good driving records.
As drivers begin to age into their 60s and 70s rates can begin to increase again. This is often due to the fact that people lose some of their reaction time as they age and therefore their risk factors increase.
If you would like to learn more about auto insurance and how to get the best rate, please contact our friendly staff at Fuhriman Insurance Agency, serving Boise, ID today.