How Much Does Car Insurance Cost for 16 Year Olds in Indiana?

Finding good, reasonably-priced insurance is easier said than done, and figuring out which company offers the lowest-priced car insurance rates for 16 year olds calls for even more shopping around. Prices could be significantly more expensive than the average policy in Indiana, with the higher price attributed to the added risk that comes with selling coverage for new drivers, but reasonably-priced coverage may be available if you carefully shop around.

Each auto insurer has a different formula for determining rates, so we need to take a look at the car insurance companies with the most affordable rates in Indiana. It’s important to know that Indiana car insurance rates are impacted by many things that may substantially change the cost of having a policy. This is why it is important to shop around with many companies to get the most economical insurance rates for 16 year olds. Rates can be altered by many different factors and can decrease or increase without notice, so the best price when you last compared rates may now be one of the more expensive options.

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Travelers quotes some of the lowest car insurance rates in Indiana at around $614 annually. Cincinnati Insurance, USAA, Erie, and Indiana Farmers Mutual also are some of the cheapest Indiana auto insurance companies.

In the above example, if you buy coverage from Erie and switched to Travelers, you might realize yearly savings of in the vicinity of $91. Drivers with Indiana Farmers Mutual could save as much as $235 a year, and Western Reserve insureds might lower prices by up to $258 a year.

It’s important to note that these prices are averaged across all types of insureds and vehicles and and are not figured with a price surcharge for 16 year olds. So the auto insurance company that is best suited for you may not even be in the chart above. That underscores the importance of why you need to compare as many prices as possible using your own driver information and specific vehicle type.

One of the more important considerations that influence the annual cost of car insurance is where you choose to live. Areas with more people or even just a higher incidence of claims like Gary, Portage, and Indianapolis tend to have more expensive car insurance rates, whereas cities that are not as densely populated have the benefit of cheaper auto insurance prices.

The next table illustrates the higher priced cities in Indiana for 16 year olds to purchase a policy in.

Rates are approximated as the specific area where the vehicle is garaged can change coverage rates considerably.

Cost and performance of the vehicle you are buying coverage for is a significant factor when shopping around for cheap insurance for 16 year olds in Indiana. Vehicles with higher performance, poor safety features, or a history of substantial liability claims will cost substantially more to insure than more modest models. The data below ranks coverage premiums for some of the more afforable vehicles to insure in Indiana.

Data rating is based on single female driver age 16, no speeding tickets, no at-fault accidents, $500 deductibles, and Indiana minimum liability limits. Discounts applied include safe-driver, and claim-free. Premium amounts do not factor in specific location information which can decrease or increase prices substantially.

Cost estimates assume single female driver age 16, no speeding tickets, no at-fault accidents, $500 deductibles, and Indiana minimum liability limits. Discounts applied include safe-driver, and claim-free. Estimates do not factor in vehicle garaging location which can modify price quotes significantly.

Data rating is based on single female driver age 16, no speeding tickets, no at-fault accidents, $500 deductibles, and Indiana minimum liability limits. Discounts applied include claim-free, and safe-driver. Prices do not factor in specific location information which can change coverage prices noticeably.

The illustration below demonstrates how choosing different deductibles can change insurance premiums when getting quotes for cheap insurance for 16 year olds. The prices are based on a single female driver, full physical damage coverage, and no discounts are applied to the premium.

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The chart above illustrates that a 50-year-old driver could lower their policy premium by $300 a year by switching their comprehensive and collision coverages from a $100 deductible up to a $500 deductible, or save $454 by switching to a $1,000 deductible. Young drivers, like the age 20 example, could possibly save $772 each year just by choosing larger deductibles. When choosing a higher deductible, it will be important to have additional funds in a savings account to enable you to pay the extra out-of-pocket expense, which is the main inconvenience of larger deductibles.

Which major car insurance company is best?

If you’re looking for the cheapest auto insurance, the most popular companies are State Farm, Allstate, Geico, and Progressive. The next table breaks down ratings for price and service, as well as some optional coverages that policyholders can buy.