Once a driver reaches age 25, they are no longer in the riskiest age category and their car insurance rates will begin to reflect that noticeably. When combined with a good driving record and few or no traffic tickets, a 25-year-old can expect to pay about $1,698 more than than they did at age 20 for a full coverage policy.
The average car insurance rate for a 25-year-old driver is about $2,259 per year or $188 per month for a full coverage policy. It’s $364 more than the average at age 24.
In Minnesota, 25-year-olds can expect to pay an average annual rate of $2,277 for a full-coverage car insurance policy.
Keep reading to learn more about car insurance for 25-year-olds in Minnesota.
Cheapest car insurance for 25-year-olds in Minnesota
An average 25-year-old driver in Minnesota pays $2,277 per year for full coverage car insurance. The chart below shows the average rates for full coverage from major insurance companies in Minnesota for male and female drivers at age 25.
| Company | 25-year-old female | 25-year-old male |
|---|---|---|
| Nationwide | $1,531 | $1,555 |
| State Farm | $1,692 | $1,906 |
| Travelers | $1,833 | $1,886 |
| Auto Club Group – ACG (AAA) | $1,896 | $2,197 |
| Auto-Owners | $2,024 | $2,148 |
| North Star Mutual | $2,341 | $2,341 |
| Allstate | $2,601 | $2,773 |
| Geico | $2,728 | $2,899 |
| Western National Insurance | $3,620 | $3,956 |
| USAA* | $1,772 | $1,875 |
How much is car insurance for a 25-year-old in Minnesota each month?
How much you pay for car insurance as a 25-year-old in Minnesota will vary depending on where you live, coverage levels, credit score, driving record and the deductible you select.
The table below shows how much car insurance costs for a 25-year-old per month and per year, on average, in Minnesota.
| 25-year-old policy | Average annual rates | Average monthly rates |
|---|---|---|
| State Minimum Liability Only | $544 | $45 |
| 50/100/50 Liability Only | $587 | $49 |
| 100/300/100 Liability with $500 Comp/Coll Deductible | $2,277 | $190 |
You might also like
- Best car insurance companies in Minnesota
- Non-owner car insurance in Minnesota: Find affordable rates
- Liability insurance for Minnesota drivers
- Minimum car insurance requirements in Minnesota
- Minnesota car insurance calculator: Get estimates by ZIP code and model
- Cheap car insurance for seniors in Minnesota
- Car insurance discounts in Minnesota; 11% potential savings
- What’s the cheapest car insurance in Minnesota?
- How much does car insurance cost in Minnesota?
How do rates for 25-year-olds compare to rates for other ages in Minnesota?
The cost of car insurance will peak in your teens and decrease yearly until age 65 when rates start to increase again. See the chart below to see how rates change at various ages, from your teens to age 70.
| Age | Average annual rates | Average monthly rates |
|---|---|---|
| 16 | $6,297 | $525 |
| 20 | $3,975 | $331 |
| 25 | $2,277 | $190 |
| 40 | $1,911 | $159 |
| 65 | $1,728 | $144 |
| 70 | $1,793 | $149 |
Check out our detailed guide on the average car insurance rates by age
How much is car insurance for a 25-year-old male in Minnesota?
Based on CarInsurance.com’s data analysis, a 25-year-old male in Minnesota with $500 comprehensive/collision deductibles pays $2,352 for a full coverage insurance policy.
| Coverage level | Average annual rates for male |
|---|---|
| State Minimum Liability Only | $543 |
| 50/100/50 Liability Only | $588 |
| 100/300/100 Liability with $500 Comp/Coll Deductible | $2,352 |
The Insurance Institute for Highway Safety reports that in 2020, 25- to 30-year-old males were involved in 1,848 fatal accidents – a rate of around 15.6 per 100,000 male drivers. While this rate remains high compared to males in their 30s and 40s, it is lower than the fatality rates for males in their early 20s.
How much is car insurance for a 25-year-old female in Minnesota?
At age 25, female drivers with a clean driving record and good credit score will find that their insurance rates have dropped considerably.
A 25-year-old female driver pays $2,224 per year nationwide for a full coverage policy with $500 comprehensive/collision deductibles. The average annual cost of a full coverage policy in Minnesota is $2,203 that’s almost same as the national average cost for 25-year-old female drivers.
The table below shows car insurance rates for different coverage limits.
| Coverage level | Average annual rates for female |
|---|---|
| State Minimum Liability Only | $545 |
| 50/100/50 Liability Only | $586 |
| 100/300/100 Liability with $500 Comp/Coll Deductible | $2,203 |
Average car insurance rates by state for a 25-year-old
Please enter the correct format
Our apologies, we cannot display the data due to availability or spelling errors. Please check the spelling and try again. For assistance, reach out us via What’s the best car insurance for 25-year-old drivers in Minnesota?
By the age of 25, many young adults begin to build their finances and can afford more than liability car insurance, which covers injuries and damage inflicted on others in an accident up to your policy’s limits. However, state-mandated minimum coverage often falls short, particularly as medical costs can add up significantly in case of a severe accident.
As young adults start to have more disposable income, it’s wise to consider adding comprehensive and collision coverage, especially if they’re financing a car. Opting for a higher deductible can reduce your insurance premium, but remember, you’ll need to cover the deductible if you file a claim.
Ultimately, the best car insurance for a 25-year-old driver is the one that fits their specific needs. CarInsurance.com’s Best Insurance Companies survey found that the American Family is the best insurance company for young drivers and teens.
To make an informed choice, consider a company’s National Association of Insurance Commissioners (NAIC) score, which ranks an insurer based on the number of customer complaints it receives, its J.D. Power auto claims satisfaction rating and AM Best data, which evaluates financial stability.
Car insurance discounts for 25-year-olds in Minnesota
Kevin Lynch, an assistant professor of insurance at The American College of Financial Services in Bryn Mawr, Penn., says the three biggest favors young adults can do for themselves in terms of getting the lowest insurance rates are to stay accident-free, maintain a clean driving record and a good credit score.
“They’re the essentials of getting affordable insurance,” he says. “After that, you can look at a variety of other things such as affiliated discounts, bundling insurance policies and perhaps an in-car monitoring device.”
Other car insurance discounts that might be available:
- Good driver/safe driver: Up to 30%
- Multi-policy discounts: Up to 13%
- Lower annual mileage/driving less: Up to 9%
- Usage-based discount programs/telematics: Up to 10%
- Paperless discount/autopay: Up to 4%
- Loyalty discount: Up to 11%
- Anti-theft devices: Up to 2%
Besides discounts, consider the type of car you purchase. A safe and reliable car will be cheaper to insure than a sports or luxury vehicle.
Compare rates on car models like the top teen and young adult-ready cars that cost less than $15,000 with high safety ratings.
Guide: How to lower car insurance costs
Final thoughts on car insurance for 25-year-olds in Minnesota
As you gain more driving experience, you’ll see a drop in your auto insurance rates. The even better news is that this decrease continues as you get older. Each state has its own insurance regulations and minimum coverage requirements, so ensure you’re meeting legal obligations while also getting adequate protection.
Resources & Methodology
Sources
- Insurance Institute for Highway Safety, Highway Loss Data Institute. “Fatality Facts 2020, Males and Females.” Accessed October 2024.
- National Association of Insurance Commissioners. “NAIC Score” Accessed October 2024.
- D. Power. “2022 U.S. Auto Claims Satisfaction Study” Accessed October 2024.
- AM Best. “AM Best Ratings” Accessed October 2024.
Methodology
CarInsurance.com gathered auto insurance rates from Quadrant Information Services for 25-year-old male and female drivers across various coverage levels: state minimum, 50/100/50 liability, and 100/300/100 full coverage with a $500 deductible.
The rates were obtained using a sample profile of a 25-year-old individual driving a Honda Accord LX with no history of traffic violations and a good insurance score. To evaluate the rates, we compared 53,409,632 insurance quotes from 170 regional and national insurance companies, encompassing 34,588 ZIP codes across the United States.
Note: USAA is only available to military community members and their families.
Ask the Insurance Expert
Laura Longero
Executive Editor
Laura Longero is an insurance expert and Executive Editor at CarInsurance.com, where she specializes in helping consumers navigate the complexities of the financial and insurance industries. She has 15 years of experience educating people about finance and car insurance. Prior to joining CarInsurance.com, she worked as a reporter and editor at the USA Today Network. Her expertise provides readers with practical guidance, helping them make informed choices about their financial and insurance needs.
Ask the Insurance Expert
John McCormick
Editorial Director
John is the editorial director for CarInsurance.com, Insurance.com and Insure.com. Before joining QuinStreet, John was a deputy editor at The Wall Street Journal and had been an editor and reporter at a number of other media outlets where he covered insurance, personal finance, and technology.
Ask the Insurance Expert
Leslie Kasperowicz
Executive Editor
Leslie Kasperowicz is an insurance educator and content creation professional with nearly two decades of experience first directly in the insurance industry at Farmers Insurance and then as a writer, researcher, and educator for insurance shoppers writing for sites like ExpertInsuranceReviews.com and InsuranceHotline.com and managing content, now at CarInsurance.com.
Ask the Insurance Expert
Nupur Gambhir
Managing Editor
Nupur Gambhir is a content editor and licensed life, health, and disability insurance expert. She has extensive experience bringing brands to life and has built award-nominated campaigns for travel and tech. Her insurance expertise has been featured in Bloomberg News, Forbes Advisor, CNET, Fortune, Slate, Real Simple, Lifehacker, The Financial Gym, and the end-of-life planning service.
Guide to car insurance (with rates) in cities of Minnesota