The most prominent myth that many young drivers fall for early is that once they hit a certain age, their insurance premiums will go down. Unfortunately, this isn’t always true – although a couple of decades ago it did use to be commonplace for drivers to enjoy lower costs when they hit the age of 21 or 25. For anyone wondering when does car insurance go down, the harsh truth is that there’s no longer a set age. This doesn’t mean that they won’t stand to enjoy the benefits of lower cost premiums as they get older in another way.
What Other Way?
It’s common that safe drivers, namely those that don’t make any claims on their insurance for being at fault. Typically take advantage of reductions in premiums as the years go on. The longer you stay with the same insurer without needing to contact them for an accident that you caused; the cheaper your premiums can drop.
If you are to cause an accident, injury, or damage and use your insurer for financial assistance, the complete opposite can happen, your premiums can instead go up.
So, When Does Car Insurance Go Down Naturally?
Typically, it’s with minimal or zero claims and without having to utilize your insurer’s policy to cover any financial costs associated with your car. If you are involved in an accident and the other driver is at fault. Contact your insurer for help; it will technically be the responsibility of the other driver. In this event, it will fall into their insurer to cover any costs and expenses.
To put it in the simplest terms; your insurance will drop over time (and a little faster) as you make no claims. The more experience you have on the roads, your agency could offer you cheaper premiums in exchange for their coverage. Although most insurers won’t set a specific age range for premiums to go down. Companies will be more willing to stop considering a driver a ‘new driver’ after a certain amount of time has passed. Typically, this has more to do with how long they’ve been driving on the roads.
For example, if someone has just started driving at age 40. They will be considered a new driver in much the same way as someone that has just turned 18 and recently passed their test. But propel both drivers eight years into the future, and that’s almost a decade’s worth of experience – and so the potential for lower premiums will be far more prevalent. If in doubt, it’s always a good idea to get in touch with an agent directly to see if they can give guidelines on when their costs may drop.