December 5, 2010

Three Reasons Young Men Have The Highest Auto Insurance Costs

Looking for the cheapest auto insurance quote is a challenge for drivers of all ages. Each insurance company determines driver risk and insurance rates by their own set of weighted factors. For this reason, the cost of the same policy coverage can vary greatly from one insurance provider to another. Young men have unique challenges in searching out an affordable insurance quote. Most insurance providers consider young men under the age of 25 to be the highest risk group of drivers. This assumption is most strongly rooted in three statistical risk categories that show young men to present a higher risk to insurance providers.

First, young men, as a group, are faster and more reckless drivers. This assumption is backed by law enforcement statistics that show, in every state, that young men receive the highest number of tickets for speeding and reckless driving. Furthermore, in accidents where young male drivers are determined to be at fault, a higher percentage are determined to be a result of high speed or other reckless driving behaviors. Similarly, law enforcement statistics indicate that young men are less likely than other drivers to not wear their seatbelts. In the event of an accident, not wearing a seatbelt dramatically increases the risk of severe injury, and thus potential claim costs placed on the insurance provider. Finally, young men, as a group, receive the highest percentage of DUIs. Because drunk driving is one of the most reckless things a driver can do, this statistic also supports insurance company's assumptions about young male drivers being a greater risk to insure than other drivers.

Second, young men drive more miles and spend more time behind the wheel than to other groups of drivers. The more time a driver spends driving, the more likely he is to have an accident. When coupled with the more risky driving patterns associated with young men, the increased time spent driving increases the assumed risk that insurance providers assume when covering them.

Finally, young men, as a group make more insurance claims than any other group of driver. Insurance providers know that when they insure young men, there is likely to result in expensive claims. The higher number of claims can likely be attributed to the increased tendency for speedy and reckless driving as well as more time behind the wheel. Insurance companies often consider this factor separately; it is the most indicative of the assumed risk that comes with covering young men drivers.

Ultimately, young male drivers will be face with a higher auto insurance quote simply because they are young men. Until a young man develops a history of being a responsible driver, typically around age 25, rates will remain high.