Why Is the Cost of Car Insurance for Boys Higher Than for Girls?

When boys hit the open road, they are more likely than girls to be involved in an accident.

The cost of car insurance is significantly higher for boys than it is for girls, especially during the teen years. This can be a financial burden for families with young male drivers.

Higher Risks

According to the Centers for Disease Control and Prevention, young males are more likely to be involved in fatal auto accidents and not wear seat belts. They tend to be more aggressive and engage in more risky behaviors.

Higher Claims

Boys submit more claims and cost insurance companies more money. For example, the CDC reported that females under 25 are responsible for $7 billion per year in automobile injuries, while the cost for young males is $19 billion. Higher rates for male drivers are meant to offset these costs.

Time Frame

Differences in the cost of car insurance for boys and girls is greatest among new drivers who are 16 to 18 years old. The gap gradually becomes smaller until age 25, when gender stops being a factor in how rates are determined.

Considerations

Driving responsibly can help keep the cost of car insurance as low as possible for both boys and girls. Receiving a traffic ticket or being involved in an accident usually causes insurance rates to increase.

Controversy

There is an ongoing debate among consumers about whether it is discriminatory for drivers to be charged different rates based on gender.

References

• CDC: Teen Drivers Fact Sheet
• Young Men Charged More for Auto Insurance than Women
• Factors that Affect Your Car Insurance Rates

Resources

• MSN Autos: Teen Insurance Woes