Which Gender Pays More for Car Insurance?

If it seems sexist to you that gender plays a large role in car insurance, several states would agree with you. While it’s no longer legal in seven states for insurance companies to rate their customers based on gender, insurers in most of the country are doing just that. Certainly, gender is not the only factor used to derive a car insurance rate, but it is an important one in most states. Overall, women pay less than men when it comes to car insurance, but at certain ages, there’s hardly a difference. We’ve done some data mining of insurance quotes to show you how males and females fare in terms of premium pricing. Also, see how transgender individuals fit into the equation and how you can get lower rates despite your sex.

Male Vs Female Car Insurance Rates

There are factors that affect car insurance rates for both men and women more than age, the value of the car being insured, driving history, the state you live in and credit score being the most important. According to our internal data, across the board, women, on average, pay $14.49 less a month than their male counterparts: That’s $174 more a year.

Gender

Average Monthly Premium

Average Annual Premium

Male

$160.15

$1,921.80

Female

$145.66

$1,747.92

*Pricing was derived from rates quoted to drivers in all 50 states in the past year across 200+ insurance carriers.

Overall, women pay less than men when it comes to car insurance, but at certain ages, there’s hardly a difference.

Age Affects Car Insurance Rates for Men and Women

Of course, young drivers of both sexes pay the highest rates: Their demographic has the most car accidents, and insurers need to protect their interests, knowing that young drivers are high-risk. For this reason, age is a big factor in determining car insurance premiums.

Teen female drivers pay about $25 less a month than teen male drivers, amounting to $300 dollars less a year in car insurance costs than teen boys. At about age 40, however, there’s only about a $4 difference per month, which is not significant at all, but it begins to rise again for male drivers around age 65.

Check out our table below to see further how age and gender work together at different stages in a driver’s life:

Age

Male, Monthly Premium

Female, Monthly Premium

17

$349.78

$325.78

25

$180.02

$167.87

40

$150.47

$146.08

65

$131.41

$117.54

*Pricing was derived from rates quoted to drivers in all 50 states in the past year across 200+ insurance carriers.

Women, on average, pay $14.49 less a month than their male counterparts: That’s $174 more a year for men!

Why Do Men Pay More for Car Insurance?

Most insurance companies rate men with higher premiums because they are seen as higher-risk drivers compared with women, especially young males. This is because males under the age of 25 have the most accidents. They tend to speed more often and ignore seatbelt laws. DUI offenses for male drivers under the age of 25 are also the highest.

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Male Vs Female Driving Statistics

Statistically, men drive more miles than women and die in more car crashes. They speed and exhibit more reckless behavior behind the wheel, including drinking and driving and swerving in and out of car lanes at high speeds. Women are often involved in much milder car crashes and in many cases are not the at-fault party. Young men file many more claims than any other group of drivers.

According to the Insurance Institute for Highway Safety (IIHS), 13,153 men died in car crashes in 2020, while only 5,091 women died in crashes in the same year.

Women also buy safer cars, which greatly affects insurance rates.

Teen female drivers pay about $25 less a month than teen male drivers, amounting to $300 dollars less a year in car insurance costs than teen boys.

Gender Discrimination: Car Insurance and Trans People

A trans woman born male may be asked by an insurer to list their biological gender at birth instead of the gender they identify with. Some insurers may not ask for this revision, however. In some states, there is a third option for gender.

Which States Forbid Using Gender as a Factor in Determining Rates?

If you live in one of the following states, your insurance company will not ask you about your gender or assume what your gender is. It is illegal to use gender as a factor in car insurance rates in:

  • California
  • Hawaii
  • Massachusetts
  • Michigan
  • Montana
  • North Carolina
  • Pennsylvania
Car Insurance Prices By Age - Compare Quotes Today!

Save on Insurance Regardless of Gender and Age

While gender and age play a big role in how you’re rated by an insurer there are other factors that you do have control over that can help you save money. Your credit score, for one thing, can be improved by paying bills on time, thereby lowering your monthly premiums. Garaging your car in a safe lot or indoor garage helps and discounts can greatly reduce your costs. See if you can nab one of these discounts:

Multi-Car Bundling

Have more than one car under the same auto insurance policy

Multi-Policy Bundling

Bundle your car insurance with another policy (e.g., home and auto)

Electric and Hybrid Car Drivers

Drive an electric or hybrid car

Anti-Theft Devices

Install features that help prevent auto theft

Defensive Driver

Complete an insurer-approved course about safe driving strategies (typically available to drivers 55+ years old)

Driver Education

Complete driver education courses that teach safer driving practices (typically available to drivers 25 years old and younger)

Early Bird

Renew your auto insurance policy before its effective date

Friends and Family

Be a relative or friend of an existing policyholder

Good Driver

Hold a claims history free of at-fault accidents for a certain period

Homeowner

Be a homeowner

Low Mileage

Your vehicle's mileage falls below a certain threshold

Affinity

Belong to a certain group (e.g., military, school, clubs)

New Car

Register for car insurance with a recently purchased vehicle

Occupation

Hold a certain job or title (e.g., educator, first responder, veteran)

Preferred Payment

Register for automatic payments, pay your full policy upfront or pay online

Renewal/Loyalty

Stay with the same insurance company

Safety Features

Install devices that contribute to safer driving or drive a vehicle with those features pre-installed (e.g., anti-lock brakes, adaptive headlights, backup cameras)

Storage

Your vehicle is garaged for an extended period

Good Student

Earn good grades and pay less in car insurance

Away-at-School

Driver does not have regular access to the vehicle while in college

Telematics

Technology that tracks the driver's driving behaviors

The best and easiest way to save money on car insurance is simply comparing car insurance quotes to see which insurance company will rate you better. Each one has their own formula for setting rates, and you won’t know who will offer you the lowest rate until you compare.

Most insurance companies rate men with higher premiums because they are seen as higher-risk drivers compared with women, especially young males.

Gender and Car Insurance FAQs

Why do people assume car insurance rates for women are higher?

It’s a common stereotype that women are poor drivers. However, across the board they exhibit more careful driving behavior and have fewer speeding tickets and DUIs. They also tend to be involved in fewer accidents and therefore file fewer claims.

What Gender Has More Accidents?

Males under the age of 25 have the most accidents in every state.

Key Takeaways

  • Women pay less for car insurance and significantly at certain stages in life.
  • Males are involved in more risky behavior and accidents than female counterparts.
  • Transgendered drivers are sometimes asked by carriers to list their biological gender for rating purposes.

No matter what gender you identify with, you can get the lowest rates by comparing car insurance quotes. Instead of calling each company one by one, we recommend you fill out one simple form with SmartFinancial to find out what rates insurers near you will offer you. Start by entering your zip code below. The service is completely free and you are not obligated to buy.

Methodology

SmartFinancial derived averages based on all auto insurance quotes for males and females in the past year across all 50 states, along all car makes and models and as rated by 200+ carriers nationwide.

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