Why is it ok for my insurance agency to charge me way more than a woman just because I’m a teenage Male? With all the talk of equality this seems like I point I never hear talked about.

Question

I have been shopping around for car insurance and at progressive I can pay 180$ a month for my own policy. Why can they just charge me more expecting me to crash/ have an accident more than a woman?

In: Other

Answer 1

Similar to how somebody with minimal credit will have trouble getting a higher limit on a credit card, or approval for home ownership loan, etc.
You have to build a record of responsibility, safety, etc.

Younger people/new drivers do not have as much experience and haven’t solidified a record of, in this case, driving safety. Insurance rates start higher for new drivers because it has been shown that new drivers are more likely to get into accidents or have other damage. After 10 years, if your driving record stays good, it’ll go down.