Mathew B. Sims is Editor-in-Chief and has authored, edited, and contributed to several books. He has been working in the insurance industry ensuring content is accurate for consumers who are searching for the best policies and rates. He has also been featured on sites like UpJourney.

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Dan Walker graduated with a BS in Administrative Management in 2005 and has been working in his family’s insurance agency, FCI Agency, for 15 years (BBB A+). He is licensed as an agent to write property and casualty insurance, including home, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. He reviews content, ensuring that exis...

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Reviewed by Daniel Walker
Licensed Auto Insurance Agent

UPDATED: Apr 23, 2020

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Here's what you need to know...

  • As a new driver, you are usually classified as a high-risk driver
  • There are specific discounts new drivers can inquire about
  • Insurance is mandatory in nearly every state in the United States

If you are a new driver, you may find that you receive a lot of incredibly high auto insurance quotes. This is because traditionally, new drivers tend to get into more accidents than experienced drivers.

They represent more of a risk to auto insurance companies, so their premiums are correspondingly high.

New driver auto insurance is not an option if you just received your driver’s license and have a new vehicle. Insurance is mandatory in nearly every state in the United States, and you will have to buy a policy.

Ideally, you want to buy your insurance from a company that offers good deals to new drivers.

Enter your zip code into our FREE auto insurance comparison tool to see quotes that are good deals on car insurance right now!

Deals from New Driver Auto Insurance Companies

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New drivers can find deals on insurance rates if they meet several other qualifications such as maintaining good grades if you’re a student, having a good credit score, driving a safe car or living in a safe location.

Generally speaking, new drivers seeking a good deal on a new driver auto insurance policy are encouraged to get minimum-coverage plans.

Companies offering new driver discounts usually just offer them for the minimum coverage policy, as other policy options like collision and comprehensive auto insurance would cut into profits.

If you want to get extended coverage, you want low rates and you’re a new driver, you probably won’t find all three.

Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

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Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

 Secured with SHA-256 Encryption

Compare New Driver Auto Insurance Companies and Save

On the other hand, you never know unless you look around! There could be a great deal right now and unless you compare auto insurance rates from insurance providers, you will never know if you can find a policy that suits your needs.

As a new driver you represent a risk, but you also represent an opportunity.

New drivers also represent new insurance customers, and if a company wows you with good promotional deals and excellent customer service, you may want to become a lifelong customer.

However, the difficulty lies in finding the deals. You have to search through all the different companies in your area.

Customer Service at New Driver Auto Insurance Companies

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Because the goal of new driver insurance companies is to minimize expenses so they can minimize the premiums of high-risk customers, it is likely that any company you choose will be run from a centralized office.

You will probably not have a local insurance agent, and you may have to handle everything about your account including payments and policy questions through a website, through email or over the phone.

Customer service will likely be partially automated, and it may even be outsourced.

However, when you consider that any customer service issue you have is likely offset by the low-cost auto insurance coverage, you may just have to grin, bear it and plan to switch to a company that offers better service once you have a few years of experience on the road.

Of course, this is not always the case. Many large, centralized companies actually do customer service right and even though it will be automated, representatives are trained to assist you in whatever you need.

It is a good idea to look at customer reviews of companies in addition to using our free program to compare policies.

Knowing exactly what you need and allowing give and take for your personalized auto insurance options is crucial.

You may wish to choose a company with consistently excellent customer service if its rates are slightly higher or its coverage slightly lower.

Policy Choices at New Driver Auto Insurance Companies

New driver insurance companies tend to offer fewer choices and options than standard insurance companies. This is because it is easier to keep prices low if a company only sells one product.

This is usually the minimum amount of insurance the state requires.

This works out in your favor if you are only buying your new driver auto insurance policy to avoid driving in breach of state laws, but if you are buying insurance because you want better coverage, you may not get the sort of discount you want.

Those willing to pay for higher premiums will not mind especially considering premiums are lowering, but those with cash-strapped budgets may find securing auto insurance difficult.

Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

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Perks Offered by New Driver Auto Insurance Companies

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One way to choose new driver auto insurance companies is to go with the one whose perks are the best.

Perks are aspects of a company that aren’t necessarily tied to any particular policy but improve the company’s brand if you are an exemplary customer.

For instance, some companies offer “vanishing deductible,” through which your deductible payments decrease for every year of safe driving.

Others provide safe driving tools that will help to teach you how to become a better driver on the road. These are designed to more quickly distinguish risky drivers from safe drivers. If you are a safe new driver, these perks will reduce your rates quickly.

While there may not be many specific new driver auto insurance companies, there are certainly good deals to be found. You won’t find these deals if you don’t start comparing.

You won’t find these deals if you don’t start comparing. Enter your zip code now to try it out now!

References:

  1. https://www.statefarm.com/insurance/auto/discounts
  2. https://www.esurance.com/info/car/myth-your-credit-score-doesnt-affect-your-insurance-rate
  3. http://teendriving.com/driving-tips/on-the-road/
  4. https://www.directgeneral.com/learning-center/explaining-auto-insurance/high-risk-auto-insurance
  5. https://www.progressive.com/
  6. https://www.thebalance.com/understanding-minimum-car-insurance-requirements-2645473
  7. http://www.iii.org/press_releases/competition-in-the-us-auto-insurance-market-has-driven-down-premium-costs.html
  8. https://www.alliedinsurance.com/vanishing-deductible.jsp