When Do Car Insurance Rates Go Down?

Car insurance rates usually go down as you age and build a clean driving record, with the steepest drops between ages 18 and 25. You can also lower your rate at any age by comparing quotes, improving your credit, bundling policies, or insuring a safer, lower-mileage vehicle.

Car insurance typically starts dropping at age 18 and falls sharply by age 25. Rates are lowest from your mid-30s through your late 50s, then rise gradually after age 70.

The Centers for Disease Control and Prevention (CDC) reported in 2025 that drivers ages 16 to 19 have a fatal crash rate almost three times that of drivers 20 and older, per mile driven.¹ As that risk falls, so does your premium.

How can young drivers save on car insurance?

Young drivers save the most by staying on a family policy and stacking discounts:

• Join a parent's or guardian's policy. Adding a teen to a household member's family auto policy usually costs less than a standalone policy.

• Earn a good student discount for maintaining a B average or higher.

• Complete a certified defensive driving course to unlock a discount with many carriers.

• Enroll in a telematics program. Many insurers offer usage-based programs that can reward safe driving.

• Choose a safer, lower-cost vehicle that is inexpensive to repair and scores well on safety tests.

You qualify for lower rates whenever your risk profile improves. Each change below lowers a rating factor insurers use to price your policy. If you’re not sure which applies to you, Lu can help you see which options may apply.

Having a violation age off your record

Minor tickets and at-fault accidents typically affect your premium for three to five years, while a DUI or major violation can last five to 10 years, depending on your state. Once an incident ages off, you may qualify for a lower premium at renewal.

Getting married or entering a domestic partnership

Married drivers often pay less because they statistically file fewer claims than single drivers, and the same can apply to partners in a civil union or domestic partnership. 

Combining the drivers and vehicles in your household on one policy can also unlock a multi-car discount. 

Note that a few states, including Massachusetts, Michigan, and Hawaii, restrict the use of marital status in rating.

Buying a home and bundling policies

Bundling homeowners insurance with your auto policy may lower your combined premium through a multi-policy discount. Renters can often bundle renters insurance with auto for a similar discount, where available.

Our research found that more than one in four homeowners shopping for car insurance also flag interest in a home insurance quote at the same time.²

Improving your credit score

In most states, a higher credit-based insurance score can lead to a lower premium. Where allowed, many insurers use this score as a rating factor, as the Insurance Information Institute (III) explains.³

Some states, including California, Hawaii, Massachusetts, and Michigan, limit or bar the use of credit in auto rating.⁴ 

Moving to a lower-risk area

Car insurance is rated on the ZIP code where your vehicle is principally garaged, not always where you live, so a garaging location with less theft, fewer claims, and lighter traffic lowers the location factor.⁵ 

This matters for a student who moves away to college: if the car is garaged at the school, the rate follows that area, which may be lower or higher risk than the family home.

Switching to a lower-risk vehicle

Insuring a vehicle that is cheaper to repair and rated well for safety lowers the vehicle factor in your price. Before you buy, compare how models score on the Insurance Institute for Highway Safety (IIHS) crash tests, because safer, cheaper-to-repair cars cost insurers less per claim.⁶

Here is the part most shoppers miss: today's driver-assist features are not driverless. Automatic emergency braking, lane-keeping, and blind-spot monitoring can lower crash frequency, but the cameras and sensors behind them are expensive to repair and recalibrate, so a high-tech vehicle does not automatically cost less to insure. 

You are still the rated driver, so weigh the safety benefit against the repair cost when you shop.

Driving less

Driving fewer miles each year can lower your premium, because less road time means less crash exposure. If your annual mileage genuinely drops — from remote work, retirement, or a shorter commute — tell your insurer, which may verify the figure.

One of the most reliable ways to lower your rate is to shop around and compare quotes from several insurers, because each insurer prices risk differently. A carrier that was expensive last year may be more competitive today, so compare every six to 12 months and at renewal. Luva lets you compare several carriers’ quotes in one place. 

Take these steps to help find a lower premium:

1. Compare identical coverage across several insurers using a quote-comparison tool.

2. Bundle your auto policy with homeowners or renters insurance for a multi-policy discount.

3. Ask your insurer to review your policy for discounts and re-rate it after a life change, such as marriage, a civil union, a move, or a new vehicle.