It works out to a savings of about $92 a month at a time in your life when your earning power is weakest.
Foster City, CA (PRWEB) May 16, 2011
CarInsurance.com today released a study revealing the savings available to drivers who comparison shop for affordable auto insurance. The findings reveal that drivers under age 25 confront the widest gap in how identical policies are priced, but drivers in every age category see a disparity of hundreds of dollars.
A driver, age 16 to 24, shopping for a full-coverage policy can save $1,102 on average per year between the least expensive policy and the next-cheapest policy.
“It works out to a savings of about $92 a month,” said Des Toups, senior managing editor for CarInsurance.com. “That’s a cell phone bill or a few tanks of gas at a time in your life when your earning power is weakest.
“Younger drivers can save the most because they pay the most, and they pay the most because they represent big unknowns to an insurer,” Toups said. “They don’t have long credit histories or driving records, and they’ve never owned a home.”
The dollar difference shrinks as drivers age and become less costly to insure, the study found, but the least expensive rates consistently saved about a third over the next-cheapest rates.
The average savings for drivers who comparison shop for their auto policies, by age group, according to CarIsurance.com:
Age 16 to 24 - average savings $1,102
Age 25 to 34 - average savings $628
Age 35 to 44 - average savings $544
Age 45 to 54 - average savings $475
Age 55 to 64 - average savings $456
Age 65 and up - average savings $478
CarInsurance.com delivers more than 1 million auto insurance quotes a year through its online comparison tool. The study compared the two lowest rates delivered to 42,809 consumers with single-driver policies, one car, full liability, comprehensive and collision coverage, and no violations or accidents.
Read the full article and see the full data chart on premium savings per age group at: http://www.carinsurance.com/Articles/pocket-money-shop-around.aspx.
CarInsurance.com is a leading provider of car insurance answers and price comparisons. Readers find no-nonsense information about the way rates are calculated and claims are handled, data that tracks premium trends, a quick way to compare rates online without obligation, and articles that explore both the basics and quirkier aspects of a bill that no one enjoys paying.