Car insurance for college students in 2026

How much is car insurance for college students?

At age 18, the average cost of a solo policy is $7,498 per year, dropping to $4,215 per year by age 21. At age 18, you can legally purchase your own car insurance policy, and if you have moved away from home permanently, you will be required to.

These rates will vary by location, your driving record, the type of car you have and other factors. Rates for an individual policy decline as you get older, as shown in the table below.

Age	Average annual premium	Average monthly premium
18-year-olds	$7,498	$625
19-year-olds	$5,718	$476
20-year-olds	$5,173	$431
21-year-olds	$4,215	$351

Read our methodology

How much is car insurance for college students away from home on a parent's policy?

The average cost of insurance for an 18-year-old college student on a parent's policy with the away-from-home discount is $3,792 a year, while at 21, it's $2,866. The student away from home discount is available to college students who are at school more than 100 miles away and do not have a vehicle with them.

While the family policy is more expensive overall, the amount charged for the teen is much lower. An 18-year-old will save $309 a month this way.

Age	Average annual premium: parents and student together	Average annual premium: student cost	Average monthly premium: parent and student together	Average monthly premium: student cost
18	$6,865	$3,792	$572	$316
19	$6,645	$3,572	$554	$298
20	$6,361	$3,288	$530	$274
21	$5,939	$2,866	$495	$239

Read our methodology

Which company has the cheapest car insurance for college students?

The cheapest company for drivers aged 18 through 21 on a solo policy is USAA, which caters only to military members and their families; an 18-year-old pays $4,581 annually. For all other drivers, Travelers is the cheapest, with a driver at 18 paying $5,566 a year. On a parent's policy, Travelers is again the cheapest option at every age.

Below are average rates from the largest car insurance companies based on a full coverage policy, with coverage levels of 100/300/100 and $500 deductibles.

Average car insurance rates by company and age, solo policy, and added to a parent's policy
Company	18, solo policy	18, parents' policy	19, solo policy	19, parents' policy	20, solo policy	20, parents' policy	21, solo policy	21, parents' policy
Allstate	$8,737	$4,761	$6,767	$4,261	$6,111	$4,016	$4,861	$3,510
Farmers	$12,109	$4,188	$7,141	$4,603	$6,663	$4,373	$4,986	$3,784
GEICO	$5,972	$3,391	$4,678	$3,092	$4,178	$2,859	$3,398	$2,336
Nationwide	$8,531	$3,050	$7,248	$2,814	$6,225	$2,636	$4,247	$2,430
Progressive	$9,626	$5,429	$5,714	$5,325	$5,158	$5,048	$4,281	$4,944
State Farm	$7,537	$3,678	$6,293	$3,240	$5,656	$2,874	$4,884	$2,497
Travelers	$5,566	$2,729	$4,465	$2,473	$3,919	$2,240	$3,188	$2,019
USAA*	$4,581	$3,263	$3,863	$2,989	$3,509	$2,581	$2,593	$2,288

Read our methodology

*USAA is only available to military members, veterans and their families.

How car insurance works for college students

Car insurance for college students works one of two ways: you can stay on your parents' insurance as long as their home is still your permanent residence, or you can take out your own policy. Here are a few things you should know about how it works:

Whether you take a car with you or not, you can still be insured on your parents' policy as long as their home remains your permanent residence.
If you attend school in a different state, your insurance company will automatically adjust your coverage to meet the required minimums in that state.
If you have moved out of your parents' home permanently, you will need your own insurance policy.
You can only get the student away from home discount if you're on a parent's policy.

Tips for buying car insurance for college students

To get the right car insurance for college students, you should consider what type of coverage you need, work with an insurance agent, shop around and compare rates, and, if possible, stay on a family policy for lower rates.

Understand what type of insurance you need

Before you shop for car insurance, make sure you know what type of coverage you need. For example:

Can you get by with the minimum liability coverage, or do you need more protection?
Should you skip collision and comprehensive insurance, or do you need to add it?
Does it make sense to pay for optional coverage, such as gap insurance or roadside assistance?

Find a good insurance agent

If you are shopping for auto insurance on your own for the first time, advice from an insurance agent can be valuable. Many college students stick with their parents' carrierAn insurance carrier is the company that provides your car insurance policy and pays claims., but if that's not the case for you, take the time to work with an expert.

“We always recommend working with a qualified agent to ensure your policy is appropriate for your insurance needs,” says Justin Yoshizawa, director of product management at Mercury Insurance.

Compare carriers on more than price

Take the time to find the right carrier for your needs. It's not just about rates; if you prefer to handle things on your phone, look for a carrier with a great mobile app. If you want to speak with the same person every time, choose a carrier that works with agents.

Insurers all have their own individual models for determining how much to charge, and you’ll get a better deal with some insurers than with others.

Stay on your parents' insurance policy

Staying on your parents’ or guardians’ insurance policy is usually a better and cheaper option than buying individual coverage for yourself. If you can, stick with their policy.

How to get cheap car insurance for college students

To get cheap car insurance for college students, shop around, raise your deductibleThe deductible is the amount you pay out of pocket for a covered loss when you file a claim., and make sure you are getting all of your discounts.

Shop around. Rates vary widely by company and some companies have more favorable rates for younger drivers. Compare rates from three to five carriers to ensure you're getting the best price for the coverage you need. Rates for young drivers vary widely; Insurance.com data shows a difference of $7,528 a year between the cheapest (USAA) and the most expensive (Farmers) carrier for an 18-year-old driver.
Get all of your discounts. Ask about all of the available discounts; college students can qualify for more than just good student discounts (although that's a big one) and every bit helps.
Raise your deductibles. Higher deductibles mean lower rates, so choose the highest deductible you can afford.

Car insurance discounts for college students

College students can cut costs by taking advantage of several car insurance discounts. Take a look at some common discounts and the average savings for each, based on Insurance.com data:

Student away at school discount. If you are the parent of a student who is going away to school and not taking a car, your insurer may cut you a break on your rates. Discounts on car insurance for college students away from home are generally reserved for students who attend a school at least 100 miles from home. The average savings is 16%.

Good student discount. Unmarried, full-time students may get a price break on insurance premiums if they get good grades in their college classes. This discount is typically available up to the age of 25. The GPA requirement can vary, but a 3.0 is common. The average savings is 14%.

Discount for bundling coverage. College students who purchase renters and auto insurance from the same insurer may get a multi-policy discount. The average savings is 9%.

Anti-theft and safety devices discount. Some insurers may offer a price break to students who have cars with anti-theft and safety devices. Savings range from 1-3%.

Methodology

National and state average rates are based on three coverage levels: state minimum, 50/100/50 liability-only, and full coverage with 100/300/100 liability and $500 deductibles.

For college students, averages are based on our full coverage data set. This data set is based on:

Bodily injury liability of $100,000 per person and $300,000 per incident
Property damage liability of $100,000 per incident
Comprehensive and collision deductibles of $500
Drivers aged 18-21
Honda Accord LX
Good credit
A clean driving record
12-mile commute, 10,000 annual mileage

Rates for college students on a parent's policy are based on the same parameters as above, but based on a 40-year-old driver with the addition of drivers age 18-21.

Rates are fielded by Quadrant Information Services from 170 insurance companies and from 34,588 ZIP codes in all 50 states and Washington, D.C.

FAQ: Car insurance for college students

How long can you stay on your parents' car insurance?

There's no age limit for staying on your parents' car insurance. As long as you live in their household, you can be on their insurance.

Can college students get their own insurance?

Yes, as long as you are over the age of 18, you can take out your own insurance policy without a cosigner. However, it costs more; at 18, you'll pay an average of $309 more a month on a solo policy than on a family policy.

Do I need insurance if I am going away to college without a car?

No, if you don't have a car and have moved away from home to go to college, you don't require insurance; however, if your permanent residence is still at your parents' house and you regularly return there and drive their vehicles, you need to be listed on their insurance policy.

What's the cheapest way to get car insurance in college?

The cheapest way for a college student to get car insurance is to stay on a family insurance policy. Insurance on a solo policy ranges from $351 to $625 a month, with younger drivers paying more, while the range on a parent's policy is $239 to $316 a month.