The best car insurance for teen drivers

Car insurance companies price premiums based on the level of risk the driver poses. Because new drivers are statistically riskier on the road, they typically pay higher rates than other drivers. New drivers wanting to lower premiums often must settle for less coverage, lower limits and higher deductibles. However, our discount and driving programs help provide alternative ways to lower premiums for young drivers.

The best car insurance for young drivers helps ensure they have the right coverage for optimal protection.

About car insurance for young drivers

Most states require auto insurance minimums, but those minimums may not be high enough to cover all accident-related damages.

Suppose you’re in an accident that leaves you with a totaled car, costly medical bills or a lawsuit for others’ damages. In that case, you’re responsible for paying those bills if you don’t have adequate coverage and coverage limits.

Having common car insurance coverages may help drivers financially recover after an accident while providing needed services and support. For example, if you collide with a deer on the road, having the right coverages may help pay for repairs and recovery costs up to your limits and after paying your deductible.

Optional add-on coverages help protect drivers from less common accident-related damages. For example, if an uninsured driver hits you, uninsured motorist coverage may help recover your losses.

Whether you’re a parent looking to buy the best car insurance for your teen or a new driver looking for your own policy, buying the right car insurance helps protect your financial future.

Personalized car insurance programs for young drivers

Our usage-based insurance programs help personalize your insurance rates based on your driving habits. Find one that’s right for you.

DriveMyWay

DriveMyWay is a usage-based insurance program that personalizes your auto insurance based on your driving behaviors. Most customers actively enrolled in the program save between 5% - 25%*

Getting started:

• Enroll and enjoy your introductory discount
• Download and register the DriveMyWay app
• Drive as usual

Using DriveMyWay:

• View your latest driving score in the app
• Get helpful tips designed to help you improve your score
• Increase your driving score and potentially save more

Managing your DriveMyWay experience:

• Receive updated driving scores and personalized savings tips
• Use personalized driving tips to help improve your score
• Access DriveMyWay scores, trip details and driving tips through each driver's app profile

More DriveMyWay benefits:

• Enjoy a 100-day trial period
• Cancel during the trial period without penalties

Other DriveMyWay details:

• Most drivers save money by participating in DriveMyWay, though higher-risk drivers may see their rates increase
• DriveMyWay plans and discounts may vary by state

Contact your American Family Insurance agent to enroll today.

MilesMyWay

MilesMyWay is a usage-based insurance program that rewards you for being a low-mileage driver. It’s designed to help you control what you pay for car insurance and earn savings of up to 25%.**

Here’s how MilesMyWay makes it simple to save:

• Any-time enrollment
• Immediate introductory discount at sign-up
• Snap and send an odometer photo twice a year
• No app to download or sensors to install
• Consistent premiums, with no monthly changes
• No penalties for higher mileage

MilesMyWay may help young drivers, driving less than 8,000 miles a year (about 20 miles a day) take the wheel of car insurance costs. It's personalized insurance savings for low-mileage drivers.

Young driver auto insurance savings

Our car insurance discounts and savings help provide young drivers with value and a policy that meets their needs.

Away at school

Young drivers under the age of 25 who leave their insured vehicle at home while attending a school that is at least 100 miles away may qualify for auto insurance discounts.

Bundling discount

Bundling, or buying more than one policy from your insurer, is another easy way to lower your insurance rates without impacting your coverage.

Explore our multi-vehicle and multi-policy bundles to help lower your insurance costs.

Good student

Full-time students up to the age of 25 may qualify for auto insurance discounts. Eligible students must meet one of the following criteria: be on the dean's list, honor roll, top 20% of class or have at least a 3.0 on a four-point grading scale or equivalent.

Young volunteer

Young drivers under the age of 24 who volunteer 40 or more hours per year for a non-profit organization may be able to save on their car insurance premiums.

Generational discount

If you’re a young driver with parents who have been loyal American Family Insurance customers for a while, we think you deserve a discount. The amount you save will depend on how long you’ve been a part of our family.

Personalized car Insurance for young drivers

The best car insurance provides protection that helps protect the driver's financial future.

Contact your American Family Insurance agent to build a policy that meets your needs. They can help personalize your car insurance with protections that apply to your lifestyle with applied discounts and usage-based driving programs. You can also help yourself by customizing your policy online.

This information represents only a brief description of coverages, is not part of your policy, and is not a promise or guarantee of coverage. If there is any conflict between this information and your policy, the provisions of the policy will prevail. Insurance policy terms and conditions may apply. Exclusions may apply to policies, endorsements, or riders. Coverage may vary by state and may be subject to change. Some products are not available in every state. Please read your policy and contact your agent for assistance.

*DriveMyWay plans & discounts may vary by state. Rate will vary based on driving behavior. Unsafe driving behaviors may increase your rate. Product eligibility will vary by state, vehicle type, policy form and company underwriting the auto policy. Some restrictions may apply. The DriveMyWay rate factor applies only to these coverages, which are typical for most auto policies: bodily injury liability, property damage liability, collision and comprehensive, medical expense and personal injury protection. Additionally, the rate factor does not apply to fixed fees that are part of the policy. To refresh your understanding of coverages, visit the Car Insurance Coverage page. Customer driving data from the DriveMyWay & KnowYourDrive program were used to inform rate structure. If you choose to unenroll anytime after the trial period ends, we’ll use your latest program score when calculating your rate at future renewals.

**MilesMyWay savings apply only to the following variable coverages, which are typical for most auto policies: bodily injury liability, property damage liability, collision and comprehensive, medical expense, underinsured and uninsured and personal injury protection. Additionally, the savings do not apply to fixed fees that are part of your policy. Savings are applied to the vehicle-specific premium, not a customer’s overall premium.