How Does a Driver’s Gender Affect Car Insurance Rates?

Side view of woman adjusting rear view mirror while driving a car

There are multiple factors that affect your monthly insurance premium. While some factors are bigger than others, one of the biggest of all is the gender of the driver. Understanding how this works can help you make sense of your bill at the end of the month and even put you in a good position to negotiate better rates with your car insurance carrier.

So, how does gender affect car insurance rates? Keep reading to discover the answers!

Does Car Insurance Depend On Gender?

When it comes to gender and car insurance, one of the questions we get a lot is, does car insurance depend on gender?

The answer is both “yes” and “no.” That’s because your gender will never determine that you can’t have car insurance. However, your gender plays a major role in how much you pay for that insurance unless you live in a state where insurance companies cannot consider gender.

And that brings us to the obvious question: is car insurance cheaper for males or females?

Is Car Insurance Cheaper For Males or Females?

Generally speaking, women pay less for car insurance. This is due to a variety of factors that we’ll dive into a bit later. However, you should know that there are some exceptions regarding who pays more for car insurance.

Those exceptions are mostly related to the age of the driver. When male and female drivers first get behind the wheel, female drivers pay significantly less for their car insurance. As time goes on, the gap closes significantly. Women still end up saving compared to men, but only to a certain point.

Age Is a Bigger Factor Than Gender

How is age such a major factor? Women who are between 16-24 generally pay $500 less for car insurance than men in the same age bracket. But in the 25-65 range, the gap closes: women are now paying only 5% less whereas they were previously paying 15% less. And in the specific age range of 45-75, male drivers often pay a bit less than female drivers.

Why is age such a major factor? At the end of the day, your insurance carrier assigns prices based on how risky a driver is likely to be. Studies consistently show that teenage male drivers are the most dangerous drivers, so they have a much higher insurance rate.

This evens out over time, which is the real reason the insurance gap closes as it does. But you may now be wondering: while using age to set insurance prices may make a lot of sense, why does it go hand in hand with gender?

Why Gender Is An Insurance Matter

This mostly comes down to younger drivers. If you look at stats from 2019, you’ll see that drivers between the ages of 16 and 19 get into three times as many fatal car crashes as older drivers. And twice as many men die in these deadly accidents than women. And this is the real reason why teenage males are, on average, $500 more expensive to insure than teenage females.

Starting at age 20, drivers tend to get into far fewer fatal car accidents. And while men are still slightly riskier prospects for the insurance company, their insurance premium eventually starts getting closer to that of their female counterparts.

Other Major Factors Affecting Your Premium

Close up portrait of african american man driving car

One big consideration is the type of vehicle you drive. For example, newer, sportier cars are going to be more expensive than an aging family vehicle. And regardless of the vehicle, your car insurance claims history helps set the insurance price because this is how your carrier determines if you are likely to get into accidents.

Speaking of claim history, where you live plays a major role in how much you pay for car insurance. If a specific zip code has more claims each year than neighboring areas, it will be considered dangerous, and those who live there will pay more for car insurance.

Finally, both your marital status and your credit score are factors your insurance carrier will examine. Be sure to let your carrier know if you get married, or your credit improves because it can lower your premium. But the best way to lower your premium is to find a better insurance company.

Getting the Right Car Insurance Company

When we talk about gender and car insurance premiums, you’ll notice that we can only discuss average prices. The reason for that is simple: men and women of the same age will end up paying different prices, depending on which insurance company they go through. Regardless of your gender, your goal is to find a car insurance company that offers the coverage you need at the price you deserve.

Get the Best Car Insurance, Starting Today

Now you know how your gender can affect the cost of your car insurance. But do you know where you can find the best car insurance policy?

InsureOne’s car insurance policies and prices adapt to your needs and budget. You can request a quote online, visit us at your nearest office, or give us a call at 800-836-2240!