How to Add A Teen Driver to Your Car Insurance

Cate Deventer
Cate Deventer
Insurance Editor

Reviews Report

  • On average, insurance premiums increase 151% when adding a 16-year-old teen driver to a full coverage car insurance policy.
  • There is a slightly larger increase in car insurance premiums if the teenager is male as opposed to female.
  • The type of vehicle you choose for your teen, as well as the coverages and levels of coverage you buy, can affect your premium. 

A 16th birthday is a milestone birthday for many teenagers who are eligible to graduate from a learner’s permit to a driver’s license. This change presents a challenge for many parents when faced with adding a teen driver to their car insurance policy. A study by provides a sobering figure for parents adding a teen to insurance — full coverage car insurance premiums increase an average of 151% when adding a 16-year-old teen driver. 

With an average annual increase of $2,531 for adding a teen to a full coverage auto insurance policy, is there any way for parents to offset the cost? Adding a teen driver to car insurance without intense premium increases requires taking advantage of discounts, utilizing safe driver programs, and being intentional with coverage limits.

How to Add a Teen Driver to Your Car Insurance

Follow these steps for adding a teen driver to your car insurance policy.

  1. Speak with your insurance agent: Before your teen gets their learner’s permit, have a conversation with an insurance agent about when to add the teenager to the policy. Some companies may recommend the teen be added upon getting their permit, while others may require you to wait until the teen receives their driver’s license.
  2. Get a quote: Ask for a quote to add your teen to the car insurance so you can be prepared for the cost increase. While quoted premiums can change, getting a quote ahead of time can at least give you a ballpark figure, so you know how to budget for the future cost of adding your teen. 
  3. Ask about discounts: Ask the agent about discount eligibility for your teen to help lower the cost of adding them to the car insurance policy. Many carriers offer good student discounts, driver training discounts, or telematics programs that could give your teen a discount for safe driving behaviors.
  4. Shop around: Get quotes from other car insurance companies to see which offers the best rates and coverage for your family when adding a teen to the insurance policy.
  5. Take advantage of usage-based telematics programs: Many insurance companies offer monitoring programs for teen drivers. These programs usually track your speed, hard brakes and acceleration, idle time, and other driving metrics. If your teen is a safe driver, they may earn a personalized discount. 
  6. Stay current with your policy: As your life changes, your insurance needs may change too. Review your policy regularly and make sure you talk to an agent on occasion to help ensure the coverage types and levels still work for your situation. 

How a Teen Driver Affects Car Insurance Premiums

Although the average cost increase for adding a teen driver to car insurance is already steep, at about 151%, the cost may be even higher if the teenager is male. The Centers for Disease Control and Prevention (CDC) consider male teen drivers riskier to insure than females, so parents of male teenagers may need to be prepared for even higher premiums. However, a handful of states — California, Hawaii, Massachusetts, Michigan, Montana, North Carolina, and Pennsylvania — ban the use of gender as a car insurance rating factor.

The state you live in will also play a big role in the car insurance rate you pay for your teen. Some states have lower average car insurance premiums in general, so the cost for adding a teen is typically lower as well. Hawaii doesn’t allow car insurance companies to factor in age as a rating factor, so rates for teens may be quite a bit lower in the Aloha State. Additionally, the coverage types and levels you choose, as well as the type of vehicle your teen drives, will impact premiums. When in doubt, you can get quotes for a few different levels of coverage to figure out which works best for your needs. And if you’re shopping for a car for your teen, getting an insurance quote before you buy could help you avoid expensive surprises. 

How to save on teen car insurance

Because adding a teen driver is almost guaranteed to cause a huge premium increase, it can pay to find ways to save on car insurance. Here are four ways to reduce the cost of adding a teenager to your auto insurance policy:

Insurance Coverage Teens May Need

When adding a teen driver to car insurance, there are some coverages that may benefit you to consider including in your policy. Although it may cost more initially, these coverages can provide financial protection if the teenager is involved in an accident.

  • Collision: This coverage is part of what is considered full coverage. It pays to repair or replace a vehicle damaged in an at-fault collision. If the teen driver is responsible for an accident, there is no coverage for the damages to their car unless collision coverage is in the policy.
  • Comprehensive: Another part of full coverage, comprehensive provides physical damage coverage for many instances that collision doesn’t cover. This includes vandalism, theft of the car, hitting an animal, damage due to weather events, and broken glass.
  • Higher liability limits: Increasing liability limits beyond state minimum requirements adds a layer of protection if a teenager causes damages or injury in a collision. The bodily injury and property damage liability coverage pays for the other parties involved. Higher limits could help you avoid high out-of-pocket costs after an accident. 

Teen Car Insurance FAQ

Methodology reviews products, services, and companies based on five criteria to help readers understand how companies compare based on similar metrics. As for average pricing, we used’s data of car insurance rates, based on the profiles of a 40-year male and female. For full coverage, the details used were the following:

  • $100,000 bodily injury liability per person
  • $300,000 bodily injury liability per accident
  • $50,000 property damage liability per accident
  • $100,000 uninsured motorist bodily injury per person
  • $300,000 uninsured motorist bodily injury per accident
  • $500 collision deductible
  • $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week, and drive 12,000 miles annually. 

Age: Rates were calculated by evaluating our base profile (40 years of age) with a 16-year-old driver applied. Depending on age, drivers may be a renter or homeowner. Hawaii rates indicate age is not a contributing factor.

Gender: The following states do not use gender as a determining factor in calculating premiums: California, Hawaii, Massachusetts, Michigan, Montana, North Carolina, Pennsylvania.

Rates are accurate as of February 2022. These are sample rates and should only be used for comparative purposes.

About the Authors

Cate Deventer

Cate Deventer Insurance Editor

Cate Deventer is a writer and licensed insurance agent. She has a Bachelor’s degree in theatre and is currently pursuing a degree in English with a concentration in professional and technical writing from Indiana University East. Her work has been featured on and, and she’s passionate about helping people take charge of their finances. In her free time, she likes to read thrillers and sci-fi novels, garden, and toss tennis balls for her dog.