There’s nothing quite like the freedom of having your own set of wheels. The possibilities for adventure are as endless as the open road.
Whether you’ve just turned 18 or have been driving for a little while, you’reprobably after cheap car insurance. But you’ll quickly find out that your age can have a big effect on your car insurance premium.
Although it might be tempting to skip the monthly payments so you have more cash for fun, car insurance is super important for ensuring that you stay covered on the road—and don’t end up out of pocket if something goes wrong.
What Does Car Insurance for Under 25s Cost?
How much you pay for car insurance will depend on the insurer you choose, the type of policy you take out, the car you own, and your personal risk profile. It’s difficult to put an exact number to what it will cost to insure your vehicle, but we can give you an idea with some of our insider information.
Top 5 Vehicles Premiums compared on Hippo for Males Aged 18-25 Based on Total Number of Quotes requested on 10 December 2023.
| Vehicle | Lowest Premium | Highest Premium |
|---|---|---|
| VW Polo | R1813 | R2342 |
| VW Polo Vivo | R1521 | R1927 |
| Ford Fiesta | R1246 | R1558 |
| Suzuki Swift | R1722 | R2136 |
| Hyundai i20 | R1486 | R1950 |
Top 5 Vehicles Premiums compared on Hippo for Females Aged 18-25 Based on Total Number of Quotes requested on 10 December 2023.
| Vehicle | Lowest Premium | Highest Premium |
|---|---|---|
| VW Polo | R1407 | R1693 |
| Kia Picanto | R1124 | R1364 |
| Suzuki Swift | R1398 | R1670 |
| Kia Rio | R1531 | R1926 |
| VW Polo Vivo | R1237 | R1501 |
That said, young drivers usually end up paying more for car insurance than older drivers. Why? Insurance providers consider a bunch of different factors when determining your monthly insurance premiums and age happens to be a significant one.
Understanding why your age affects your monthly insurance costs—and how you can minimise these expenses—is essential for savvy financial decision-making when youstart adulting.
Why Does My Age Affect My Car Insurance Premium?
Young drivers, particularly those under 25, are considered high-risk because they generally have less driving experience than older drivers. Inexperienced drivers are more prone to getting into accidents, which makes them a bigger liability for insurance providers.
More often than not, insurers pass some of this risk along to you, the driver. This serves two purposes. First, it reduces their risk of insuring a younger individual. Second, it can serve as a deterrent for reckless driving.
Is There Any Way I Can Reduce My Monthly Premium?
Yes! There are a couple of tactics you can use to reduce your insurance premium, despite your age:
Keep a Clean Driving Record
Besides age, accident history is one of the biggest factors that insurers look at when they’re figuring out what your monthly premiums will be.
Safe driving habits, like obeying the speed limit, and avoiding distractions while you drive will lead to fewer accidents, which ultimately signals to insurance companies that you’re a responsible, low-risk driver. This can help to reduce your insurance costs over time.
Level up Your Driving Skills
A great way to show that you’re a responsible driver is to improve your driving skills.
Getting a defensive driving or advanced driving qualification can teach you valuable techniques for avoiding accidents and handling challenging road situations.
By enhancing your skills in this way, you’re showing your insurance company that you’re proactive about staying safe and are committed to being a better driver. Which mightultimately lead to cheaper car insurance.
Choose a Sensible Vehicle
Some cars are more expensive to insure because of their repair costs, attractiveness to thieves, and how often they’re involved in accidents.
Researching insurance costs before you buy a car can help you to make a sensible choice that won’t cost you the Earth in premiums. More often than not, less flashy cars with good safety features and ratings can save you some rands on your premium.
Increase Your Excess
A tried-and-trusted strategy that drivers of all ages can use to reduce their insurance premiums is to have a higher excess on their policy.
Excess is the amount that you agree to pay your insurer when you make a claim. Taking on higher excess will decrease your monthly premium costs, but it does mean that you’ll have to shoulder more financial responsibility if you’re involved in an accident or if your car gets stolen.
Different Types of Car Insurance for Under 25s
Comprehensive
Pays out whether you're involved in an accident, your car is stolen, written off or it catches alight, or is damaged by a natural disaster. It also covers damage to a third party vehicle if you are the cause of the accident.
Third Party, Fire, and Theft
Does what it says on the box: Pays out if your car is stolen or gets damaged in a fire, plus pays for damage you cause to someone else's vehicle while driving your car.
Third Party Only
Pays out to repair damage to third-party vehicles when you're the one who caused an accident.
How To Find the Cheapest Car Insurance for Under 25s in South Africa
The best way to find the most affordable cover is to do your research. That’s why Hippo.co.za is here to help you get car insurance.
Use our car insurance comparison tool to compare quotes from a range of South Africa’s insurance providers to ensure you get the best deal and the best coverage.
Expert Tools, Tips and Guides
Welcome to our comprehensive Car Insurance Guide, where we've meticulously compiled essential information, tools, and insights designed to assist you in navigating the complex world of car insurance.
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Our Guides |
Our Tips |
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Comprehensive Cover: Offers extensive protection against financial losses from a wide array of incidents involving your vehicle. |
Exploring Car Insurance Options Understand the different levels of coverage available to suit your needs. |
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Third Party, Fire and Theft: Not only covers damages to others but also protects your car against theft or fire damage. |
Impact of Excess on Premiums: Learn how your insurance excess can influence the cost of your premium. |
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Third Party Only: Safeguards against the costs of damage to other people and their property, without covering your own vehicle. |
Affordable Car Insurance: Tips for finding cost-effective car insurance coverage for peace of mind. |
| under 25s Car Insurance: Navigate how your age influences your risk profile and insurance premiums. |
Insurance Claim Process: A straightforward guide to filing a claim with your insurer. |
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Vehicle Use Classification: Offers extensive protection against financial losses from a wide array of incidents involving your vehicle. |
Car Guide: A great guide to South Africa's car brands, insurance premiums for those brands and more. |
