Why are car insurance rates higher for singles vs. married couples?
Why are car insurance rates higher for single people? Car insurance companies determine rates by considering several factors. Learn why car insurance for a single person is often more expensive than it is for married couples.
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Joel Ohman
Founder & CFP®
Joel Ohman is the CEO of a private equity backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He has an MBA from the University of South Florida. Jo...
Founder & CFP®
UPDATED: Jul 10, 2023
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Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Jul 10, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single company.
Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Car insurance companies determine rates by considering several factors
- Single people tend to be younger and less experienced and fall into a riskier category than married people
- There are ways to reduce your rates if you’re single
Car insurance for a single person versus a married person is often higher by as much as 10%. Why do single individuals have to pay more for the same coverage? Can anything be done to lower a single driver’s car insurance rate?
Read on to find out more about why car insurance for a single person is more costly. If you’re in need of affordable car insurance, just enter your ZIP code into our free comparison tool above to browse multiple quotes.
Why are car insurance rates lower if you’re married?
The majority of people get married when they are 25 or older, and at that age, they are deemed less risky so insurance rates go down. Married adults tend to be viewed as more responsible as most settle down and start a family.
To determine insurance rates, insurance companies use a scale that weighs risk factors and will consider the driver’s age. Data show that drivers under the age of 25 are more likely to have accidents due to inexperience. To read more about car insurance for drivers under 25, consider our article here.
Married people can also get bundling discounts on insurance rates for insuring two vehicles at once.
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Why are auto insurance rates higher if you’re single?
Here are a couple of reasons why car insurance can be higher for a single person versus someone who is married.
Roommates
It is common for single adults to live with a roommate, and this is another red flag for car insurance companies.
Living with a roommate could mean they will borrow your car and be less responsible than if it was their own vehicle. This can result in more claims than married people and is a contributing factor to why car insurance for a single person is more expensive.
Riskier Vehicles
Married people are often parents and tend to choose safer cars like mini-vans, station wagons, or sedans. Single people often choose vehicles that are smaller and faster.
Teen drivers aged 16 to 19 are three times more likely to be involved in a fatal car crash than those over 20 years old and are also more likely to be involved in speed-related crashes, according to the Centers for Disease Control and Prevention. Because single people may choose smaller and faster vehicles, they can end up with higher premiums simply because the car is classified as high-risk.
How to Reduce Car Insurance Rates as a Single Person
If you are a single person and don’t want to be stuck over-paying for premiums, there are a few things you can do to minimize your costs.
Research First
Before you purchase a vehicle, consult with your insurance company to find out which vehicles are classified as risky and which are considered safe. Choosing a “safe” vehicle by your insurance company’s standards can lower your insurance rates.
Drive Safely
Drive safely and defensively in an effort to keep your driving record clean. Accidents can happen to the best of drivers, but do anything you can do to minimize your chances of a fender-bender or damage to your vehicle.
Your rates can be lowered if you maintain a good driving record. Several at-fault incidents will increase your premiums, and driving records are kept for several years.
Be Wary of Roommates
There are times when you may need a roommate for financial reasons, and that’s understandable. But it’s a good idea to look into your future roommates driving record before you decide to move in together. If you live with someone with a bad driving record and let them borrow your car, it could end up costing you in more ways than one. Choose wisely.
Case Studies: Why are car insurance rates higher for singles vs. married couples?
Case Study 1: The Responsible Single Driver
Mark, a 35-year-old single professional, has maintained a clean driving record and owns a reliable and safe vehicle. Despite his responsible driving habits, he noticed that his car insurance rates were higher compared to his married friends with similar profiles.
Mark’s research led him to discover that insurance companies often consider marital status as a factor in determining rates. Although Mark feels it is unfair to be penalized solely based on his single status, he understands that statistical data plays a significant role in the industry’s rate calculations.
Case Study 2: The Roommate Dilemma
Jennifer, a 28-year-old single woman, shares an apartment with a roommate. She recently applied for car insurance and was surprised to receive higher quotes compared to her married friends. Jennifer discovered that insurance companies perceive living with a roommate as a potential risk factor.
Since roommates may occasionally borrow each other’s cars, insurance providers view this as an added liability. Despite Jennifer’s clean driving record, her insurance rates were influenced by the statistical probability of increased claims arising from such arrangements.
Case Study 3: The Car Choice Impact
David, a single man in his early 30s, enjoys driving sports cars. He noticed that his car insurance premiums were significantly higher than those of his married friends who owned similar vehicles. David realized that insurance companies often categorize sports cars as high-risk due to their higher speeds and increased likelihood of accidents.
While he understands the logic behind this classification, David believes that his responsible driving should be a more crucial factor in determining his rates.
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Bottom Line on Car Insurance Rates as a Single vs. Married Person
Car insurance for a single person is often higher due to other factors associated with groups of single people, like teenagers and young adults. In most cases, the premium is based on the driver’s age and vehicle choice rather than actual marital status. To read about the difference between the cost of auto insurance for a single individual vs. a married person, consider our article here.
It just so happens that married people tend to be older and more responsible and have a tendency to choose safer vehicles. If you are a single driver living on your own with a clean driving record and a safe vehicle, you may still benefit from lower insurance rates even though you aren’t married.
If you’re in need of affordable auto insurance and you want to search now, feel free to enter your ZIP code into our free quote comparison tool below.
Frequently Asked Questions
Why are car insurance rates higher for singles compared to married couples?
Car insurance rates can vary based on several factors, including marital status. Insurance providers have observed certain trends that influence the difference in rates between singles and married couples. Generally, married couples tend to receive lower insurance rates compared to singles due to statistical data suggesting that married individuals are often involved in fewer accidents and file fewer claims. The reasons behind this trend are multifaceted and involve various factors such as increased stability, shared financial responsibility, and potentially more cautious driving habits.
How does marital status affect car insurance rates?
Insurance companies consider marital status as one of the many factors used to assess an individual’s risk profile and determine insurance rates. Statistical analysis has shown that married couples are statistically less likely to engage in risky driving behaviors or be involved in accidents compared to singles. As a result, insurance providers often view married couples as lower-risk policyholders, leading to lower premiums.
Are all singles charged higher car insurance rates?
It’s important to note that not all singles are automatically charged higher car insurance rates. While there may be a general trend of higher rates for singles, individual circumstances can still have a significant impact on insurance premiums. Factors such as age, driving history, type of vehicle, credit score, and location also play a role in determining insurance rates. Insurance providers evaluate these variables along with marital status to assess risk and set premiums accordingly.
Do all insurance companies charge higher rates for singles?
Insurance companies have different rating systems and underwriting guidelines, leading to variations in how they determine premiums for different policyholders. While some insurance companies may consider marital status as a significant factor in rate calculations, others might place less emphasis on it. It’s advisable to obtain quotes from multiple insurers to compare rates and find the best coverage options that suit your needs and circumstances.
Is it fair to charge higher rates based on marital status?
The fairness of charging higher rates based on marital status can be a subjective matter. Insurance companies use actuarial data and statistical analysis to assess risk and determine rates. Since statistics show that married couples tend to have a lower frequency of accidents and claims, insurers consider this information when setting premiums. However, fairness can be debated, as some argue that it might lead to unfair discrimination against single individuals who may have a responsible driving history. Ultimately, the legality and ethics of rating factors are subject to local laws and regulations.
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Enter your ZIP code below to view companies that have cheap car insurance rates.
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Joel Ohman
Founder & CFP®
Joel Ohman is the CEO of a private equity backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He has an MBA from the University of South Florida. Jo...
Founder & CFP®
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.