Navigating the cost of car insurance for college students
College can be a young person’s first real taste of independence. Suddenly, adulting gets real and costs can get high. And if a student has a car on campus, there’s an extra level of cost to consider.
Car insurance premiums for young drivers are almost always higher — sometimes a lot higher — than those paid by older adults. That’s not so hard to understand, though, once you’re acquainted with a few data points.
Create good driving habits
According to the National Highway Traffic Safety Administration (NHTSA), drunk driving led to the deaths of 11,904 people in 2024, and the Centers for Disease Control (CDC) said that hundreds of thousands of drivers are arrested in the U.S. each year for driving under the influence of alcohol and/or drugs, but that’s only fraction of the number of times impaired drivers were on the road.
Drivers who get behind the wheel while impaired by drugs or alcohol are often young. According to a 2026 report from the CDC, the percentage of those who drive impaired is highest among drivers 21–24 years old and 25–34 years old.
If these stats aren’t enough to persuade young drivers that driving under the influence of any substance is a bad idea, this might: a citation for impaired driving can mean an astronomical jump in insurance premiums, if not outright policy cancellation. Once someone has been dropped from coverage, it can be difficult to get insured by another carrier.
Nor is substance misuse the only bad behavior young drivers should avoid when they’re behind the wheel. According to a major survey conducted by the NHTSA in 2024, the most common causes of accidents beside impairment are speeding (11,904 deaths), distracted driving (3,208 deaths), and drowsy driving (in 2023, 633 deaths).
Beside avoiding obvious risk factors, there are a few ways to help find the most reasonable rates available.
Find an agent you trust and shop around
Start by choosing a trustworthy insurance agent who will compare coverages and prices from several carriers and put together a policy that offers the right coverage without breaking the piggy bank. Grinnell Mutual’s glossary of car insurance terms can help you navigate this sometimes confusing task, too.
Check into discounts
Taking advantage of incentives and discounts most insurance companies offer is a great way to keep premium costs down. For instance, many companies will discount students’ premiums if they maintain good grades. And some companies have devices they can put in your car or apps they can upload to your phone to confirm your safe driving habits that can lead to reduced rates. When you’re getting quotes from various companies be sure to ask about what discount programs they have that might apply.
The information included here was obtained from sources believed to be reliable, however Grinnell Mutual Reinsurance Company, SI, and its employees make no guarantee of results and assume no liability in connection with any training, materials, suggestions, or information provided. It is the user’s responsibility to confirm compliance with any applicable local, state, or federal regulations. Information obtained from or via Grinnell Mutual Reinsurance Company, SI, should not be used as the basis for legal advice and should be confirmed with alternative sources.
4/2026