What Are The Cheapest Cars To Insure For 17-Year-Olds? (2024)

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Key Points:

• The Subaru Crosstrek, Honda CR-V, and Kia Sportage are among the cheapest cars to insure for teen drivers.
• New drivers can find more affordable insurance rates if their cars have safety features like electronic stability control, blind spot monitoring, anti-lock brakes, and adaptive cruise control.
• Good student and multi-vehicle discounts are two of the best ways to save on car insurance for teen drivers.

Because teen drivers are more likely to get into car accidents, their insurance premiums are often more expensive. It’s important to choose an insurer that offers discounts for things like being a good student and taking a driver’s education course. Finding the cheapest cars to insure for 17-year-olds is another way to lower auto insurance rates.

Insurers base car insurance rates not only on the driver’s profile, but also on the age, make, model, and safety features of the car. In this guide, we’ll recommend some of the cheapest cars to insure for 17-year-olds and explain how to choose the best auto insurance for teen drivers.

You can see how much your teen’s auto insurance premiums will cost by entering your zip code into the free tool below.

In general, the more reliable the car is and the more safety features it has, the lower the car insurance costs. In the chart below, you’ll find what we’ve determined to be the cheapest cars to insure for teen drivers.

While these full-coverage rates are based on 35-year-old drivers with clean driving records, we found these models to be the cheapest to insure overall for their dependability. Each of the 2023 models below has a 4 out of 5-star rating or higher from RepairPal for its reliability.

Buying an inexpensive vehicle doesn’t always lead to a lower car insurance rate, but if your reasonably priced vehicle comes with a number of safety features, it may drive down your average cost. Look for vehicle features including:

• Anti-lock brakes
• Brake assistance
• Electronic stability control
• Lane-drift protection
• Advanced air bags
• Adaptive cruise control
• Seatbelt pretensioner
• Rearview camera
• Blind-spot monitors
• Keyless entry and ignition
• Alarm system

If you add extra security or anti-theft items, like a removable bar across your steering wheel, you may also be able to get a discount.

If you purchase a new vehicle with all the bells and whistles, high-tech parts may make the car more expensive to insure, which is something to keep in mind when choosing the right ride for your teen driver. On the flip side, if you buy a used car that ends up being expensive to repair or uses hard-to-find replacement parts, it could cost more to insure.

There are also a few features the Insurance Institute for Highway Safety (IIHS) recommends avoiding, as they can make cars less safe for new drivers–and more expensive to insure. These include:

• Smaller, lightweight vehicles that can more easily be damaged in an accident
• Strong engines with a lot of horsepower
• Cars with low safety ratings from the National Highway Traffic Safety Administration (NHTSA)

State laws dictate what other information a company can use to determine your car insurance rates. Along with your vehicle information, here are the main factors that generally go into determining insurance premium costs:

• Gender: In some states, men tend to pay higher rates than women for car insurance, up to a certain age. At a higher age, women’s rates tend to surpass men’s rates.
• Age: Teens pay exponentially more for insurance than older drivers. The average 16-year-old pays about 320% more a year for full coverage than a 30-year-old driver with a clean driving record.
• Location: In certain states and areas with a high population density or above-average accident rates, premiums will be higher.
• Marital status: In most states, married people may pay less for car insurance than unmarried ones.
• Profession and commute: Drivers with long commutes or who travel for work may pay higher rates than people who routinely work close to home.
• Credit history: In all states except California, Hawaii, Massachusetts, and Michigan, poor credit can lead to higher insurance premiums.
• Driving history: Poor marks on your driving record or a lack of driving experience can lead to higher rates. This is one main reason teens can be difficult to insure.

The average annual cost for full-coverage car insurance policy for a 17-year-old is $5,612, according to 2022 rate estimates from Quadrant Information Services. Though prices vary by provider, car insurance for new drivers is typically more expensive than it is for older, more experienced drivers.

Luckily, there are many ways to decrease your car insurance premium. In addition to purchasing one of the cheapest cars to insure for 17-year-olds, you may be able to save money by taking advantage of various discount opportunities.

Many of the industry’s biggest car insurance companies offer discounts for young drivers. Teens can get money off of premiums by being good students, going away to college without their vehicle, taking a driving course, or just by being new drivers.

You’re more likely to get a good rate on teen car insurance if you add the new driver to your existing plan. Many companies offer multi-vehicle discounts to encourage loyalty. You’ll probably still see an increase in your insurance payments, but it’s less expensive than your teen taking out their own policy.

Our top recommended car insurance providers offer the following discounts for young drivers and their families:

*Availability may vary by state.
*USAA auto insurance coverage is only available for military members, veterans, and their families.

Another way to get the cheapest car insurance for your teen is to enroll in safe driving programs. These programs are in everyone’s best interest–they help teen drivers with defensive and non-distracted driving tips, lower the risk for the auto insurance company, and keep premiums low. Companies that currently offer these types of auto insurance programs include Liberty Mutual and State Farm.

Choosing the best car insurance company is just as important as finding the cheapest car to insure for 17-year-olds. In our research of the best insurance companies for teens, Liberty Mutual and State Farm stood out for their industry reputations, teen discounts, and affordability.

Read on to learn more about our top picks, or start comparing multiple car insurance quotes right away. Simply enter your zip code below to get free auto insurance quotes from the industry’s top providers.

Liberty Mutual: Best Customizable Coverage

In our industry review, we determined Liberty Mutual to have the best customizable coverage due to its add-on coverages and discounts. It’s also one of the best insurance providers for teens thanks to its many young driver discounts and resources for parents, like guides on how to coach new drivers and how to talk to your teen about the responsibility of driving a car.

The popular mid-sized auto insurance company also offers the RightTrack^® program. With RightTrack, you can plug a provided device into your teen’s car or use a dedicated mobile app to track driving habits for potential savings. Drivers can save up to 30 percent on their premiums when they show good driving habits.

State Farm: Best Overall Provider

We named State Farm the best insurance provider overall, because of its reliability, availability, coverage, cost, and customer service. It has many young driver discounts, including those for maintaining a high GPA, leaving the car at home when away at college, and taking driving lessons.

Like Liberty Mutual, State Farm has a safe driving discount program for young drivers called Steer Clear^®. Your teen must maintain a clean driving record and complete a six-month program that includes training on a mobile app, tracked practice sessions, mentoring, and final certification.

Our review team extensively researches auto insurance providers to deliver informed and unbiased assessments of leading companies. We evaluate several key rating factors that are important to consumers to determine which providers are the best in the industry:

• Reliability: It’s important that an auto insurer is able to meet its claims obligations. Companies with a strong financial strength rating from AM Best score best in this category. Established insurers with a long history of reliable service also receive positive marks.
• Availability: Insurance companies that offer wider availability to consumers in terms of state availability and few eligibility requirements are more likely to meet consumer needs.
• Coverage: To determine our coverage score, we look at the number of coverage options available as well as coverage limits and deductible options. Our ratings also take into account additional services and benefits like roadside assistance.
• Pricing: Cost can be difficult to compare between insurers because so many factors impact annual premiums. The cheapest insurer for one driver may not be the cheapest for another. To determine our cost score, we look at insurance rate estimates generated by Quadrant Information Services, discount opportunities, and consumer reports.
• Service: We comb through customer reviews on sites like the Better Business Bureau (BBB) to learn about customer experiences. Insurers with a low volume of complaints score well in this area. We also consider the claims process, giving higher ratings to car insurance providers that offer a smooth experience.
• Technology: Providers with an online quote tool, easy-to-use claims app and a usage-based insurance app score best in this category.

*Data accurate at time of publication.