Age is a key variable in determining auto insurance premiums, because it likely implies your level of driving experience. With fewer years of driving experience comes a greater chance that your auto premiums will reflect this. After age 30 the effect diminishes.

With the aging of the US population, there's increasing attention to the risk of crashes among the elderly. In fact, older drivers have a higher crash death rate per miles driven than any other group except teens.

Elderly drivers sometimes have difficulty navigating complex traffic situations. Multiple vehicle crashes at intersections increase markedly with age. Elderly drivers are more likely to get ticketed for failing to yield, turning improperly and running stop signs and red lights than other age groups too.

Source: Ohio Department of Public Safety as of January, 2000.

1998 US elderly driver statistics

• 7,269 people (65 years and older) died in motor vehicle crashes in 1998 (compared to 7,236 in 1997, 36% more than in 1975). 81% of elderly fatalities were passenger vehicle occupants; 16% were pedestrians.
• About half of the fatal crashes involving drivers 80 years and older occur at intersections and involve multiple vehicles, compared with 23% among drivers up to age 50.
• Per mile driven, drivers 75 years and older have higher fatal crash rates than drivers in other age group except teens.
• Per licensed driver, fatal crash rates rise sharply at age 70 and older.
• Those 80 years and older have the highest pedestrian death rates per 100,000 people.
• People 65 years and older represented about 13% of the population and about 18% of all motor vehicle deaths in 1998. By 2030, the elderly are expected to represent 20% of the population.

1998 Ohio elderly driver statistics

• 11% of Ohio's licensed drivers were age 70 or older, for a total of 884,810 senior drivers.
• There were 265 motor vehicle deaths over the age of 60 (257 in 1997). 167 were drivers, 59 were passengers and 39 were pedestrians. There were 20,178 injuries in the same age group (20,441 in 1997).
• Persons 76 and over represented 8.4% of all crash fatalities-120 of 1,423.
• Persons 76 and over accounted for 5,703 of the total 211,206 crash injuries.
• 162 male drivers over the age of 60 were involved in crashes with fatalities, comprising over 11% of male drivers involved in crashes causing at least one fatality. 91 female drivers in that age group were involved in fatal crashes, which is nearly 17% of all female drivers involved in crashes resulting in at least one death.

(Sources: US information-Insurance Institute for Highway Safety, Ohio information-Ohio Department of Public Safety)

Even before reaching the legal driving age, most teenagers catch car fever. But when the time comes to add them to their parents' insurance policy or to get their own, a sudden case of "insurance premium sticker shock" is likely to set in. So why do youthful drivers have such high auto insurance premiums?

The answer is simple, but not one they like to hear. In 1998, teenagers accounted for 10% of the US driving population, but were involved in 14% of all motor vehicle deaths.

Teens drive less than all age groups but the oldest drivers, but their numbers of crashes and crash deaths are disproportionately high. The risk of crash involvement per mile driven among drivers 16-19 years old is four times greater than older drivers. In fact, the crash rate per mile driven is almost three times as high among 16-year-olds as it is among 18- and 19-year-olds.

1998 US youthful driver statistics

• 5,606 teens died in motor vehicle crashes in 1998, compared to 5,697 in 1997, and 36% fewer than in 1975.
• Motor vehicle death rates per 100,000 people peaked at age 18 for drivers and passengers.
• 36% of the deaths of 16- to 19-year-olds from all causes resulted from crashes in 1996, the latest year for which this information is available.
• About two out of every three teenagers killed in crashes were males.
• Male teenage drivers have higher death rates than their female counterparts-21 per 100,000 people, compared to 10 per 100,000 for females.
• 53% of all teenage motor vehicle deaths occur on weekends (Fri.-Sun.). 41% of all teenage motor vehicle deaths occur between 9 p.m. and 6 a.m.
• 54% of teenage passenger vehicle occupant deaths were drivers and 45% were passengers.
• 62% of teenage passenger deaths occurred in crashes in which another teen was driving. Among people of all ages, 20% of passenger deaths in 1998 occurred when a teenager was driving.

1998 Ohio youthful driver statistics

• There were 635,446 licensed drivers ages 16-20, which is nearly 8% of all Ohio drivers
• This age group represented 16.8% of all drivers in crashes and 15.1% of all drivers in fatal crashes. This age group had the highest percentage of at-fault accidents at 10.6 %.
• A total of 214 teenagers ages 16-20 died in traffic crashes. Of these, 138 were drivers, 70 were passengers and 6 were pedestrians. This compares to 211 fatalities in 1997, and 209 in this age group in 1996.
• Of the 214 teenagers ages 16-20 who died in crashes, 50 or 13.4% were alcohol-related. In 1997 there were 39 teenage alcohol-related fatalities.
• 211 male drivers between the ages of 16-20 were involved in fatal crashes, which is 15.7% of all male drivers involved in fatalities. 92 teenage female drivers were involved in crashes causing fatalities, which is 16.9% of all female drivers involved in fatal crashes.

Young drivers should be the best drivers on the road. Their enthusiasm for cars and ability to learn permit them to grasp driver fundamentals easily. With superior reflexes, they have the ability to react to driving emergencies more quickly than their elderly counterparts. But, immaturity and lack of judgment and driving experience may override these pluses.

Adding a teenage driver to a policy can easily double a family's auto insurance premium. To help keep insurance premiums down, here are a few measures that young drivers and their parents can take.

• It's usually cheaper to add young drivers and their vehicles to the family's auto insurance policy rather than buying a separate one. But, family assets may be open to lawsuits if your young driver is involved in an at-fault crash with losses higher than your policy limits.
• Parents should restrict the use of the automobile by youngsters, closely supervising all aspects of its operation.
• Work out expense sharing so that teenage drivers understand and respect the costs of owning and/or operating a vehicle. This includes paying for gasoline and/or part of their auto insurance premium.
• Ohio law requires new drivers under age 18 to take an approved driver training course consisting of a minimum of 24 hours of classroom instruction and 8 hours behind the wheel. Under Ohio's graduated licensing law, holders of temporary permits are also required to verify completion of 50 hours of driving with a parent or guardian, including 10 hours of nighttime driving. Most insurers recognize that driver training creates safer drivers, so be sure to ask if any discounts are available upon completion of driver and parental training. (click here for information on Ohio's graduated licensing law.)
• Consider higher auto liability insurance limits, especially beyond the state's minimum limits. To help defray the additional premium, consider higher deductibles or paying for minor fender benders out of pocket.
• Ask about young driver discounts, such as maintaining a B average or higher. Some insurers provide an added incentive by knocking 5-30% off premiums. Also, if your student keeps the vehicle away at school, it may be in a lower risk location, meaning a slight reduction in premiums.
• Parents should set a good example by always buckling up, not speeding, not using cell phones while driving and avoiding other risks behind the wheel.
• Limit the number of passengers when your teen drives, never going over the number of safety belts. Studies indicate that the more teens in the car, the greater the chance of distraction.
• If purchasing a vehicle for a teen, choose an intermediate size car or sedan rather than a high performance vehicle such as a sports car, SUV or pickup truck. Small, sporty vehicles usually carry higher insurance premiums and have higher death and theft rates.
• Emphasize to teen drivers that traffic tickets and at-fault accidents will cause premiums to rise.

Source: Insurance Institute for Highway Safety, Fatality Facts 1999