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.
Elderly drivers
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.
1999 US elderly driver statistics
- 7,088 people (65 years and older) died in motor vehicle crashes in 1999, a 3% drop compared to 1998 but 33% more than in 1975. 81% of elderly fatalities were passenger vehicle occupants; 15% 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–three times higher than their younger counterparts.
- People 65 years and older represented about 13% of the population and about 17% of all motor vehicle deaths in 1999. By 2030, the elderly are expected to represent 20% of the population.
1998–99 Ohio elderly driver statistics
- In 1998, 11% of Ohio’s licensed drivers were age 70 or older, for a total of 884,810 senior drivers.
- In 1999, 253 of those who died in crashes were over the age of 60 (265 in 1998). 160 were drivers, 62 were passengers and 31 were pedestrians. 19,601 injuries for this age group were reported in 1999 (20,178 in 1998).
- In 1999, those 76 and over represented about 7.8% of all crash fatalities—111 of 1,430.
- In 1999, those 76 and over accounted for 5,680 of the 205,081 crash injuries.
- 140 men over the age of 60 died in crashes in 1999, comprising over 14% of Ohio’s male crash fatalities. 113 females in that age group died in crashes, which is over one-fourth of all females who died in vehicle crashes.
Sources: US information—Insurance Institute for Highway Safety, Ohio information—Ohio Department of Public Safety
Teenage and youthful drivers
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 “premium sticker shock” is likely to set in. So why do youthful drivers have higher insurance premiums?
The answer is simple, but not one they like to hear. In 1999, 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.
1999 US young driver statistics
- 5,749 teens died in motor vehicle crashes in 1998, compared to 5,606 in 1998, and 34% fewer than in 1975.
- Motor vehicle death rates per 100,000 peaked at ages 18 and 19 for drivers and at age 18 for passengers.
- 38% of the deaths of 16- to 19-year-olds from all causes resulted from crashes in 1998, 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—22 per 100,000 people, compared to 11 per 100,000 for females. Since 1975, teen motor vehicle deaths have decreased 43% among males, compared to only 9% among females.
- 53% of all teenage motor vehicle deaths occur on weekends (Fri.–Sun.). 41% of all teenage motor vehicle deaths occur between 9 pm and 6 am.
- About 54% of teenage passenger vehicle occupant deaths were drivers and 45% were passengers.
- 63% of teenage passenger deaths occurred in crashes in which another teen was driving. Among people of all ages, 20% of passenger deaths occurred when a teenager was driving.
1998–99 Ohio young driver statistics
- In 1998, there were 635,446 licensed drivers ages 16–20, representing nearly 8% of all Ohio drivers.
- In 1998 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%. In 1999, young drivers were involved in 15.2% of Ohio’s fatal crashes and represented 17.5% of all drivers in crashes causing injuries.
- A total of 244 teenagers ages 16–20 died in traffic crashes in 1999. Of these, 147 were drivers, 93 were passengers and 4 were pedestrians. This compares to 214 fatalities in 1998, and 211 in this age group in 1997.
- Of the 244 teenagers ages 16–20 who died in crashes, 51 or 12.9% were alcohol-related. In 1998 there were 50 teenage alcohol-related fatalities.
- In 1999, 163 males between the ages of 16–20 died in crashes, which is 16.6% of all male crash fatalities. 81 teenage females died in crashes, which is 18.2% of all females who died in crashes.
Sources: US information—Insurance Institute for Highway Safety, Ohio information—Ohio Department of Public Safety
(Columbus Dispatch, 6/21/00)
Safety measures for youth
Young drivers should be the best drivers on the road. 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 such pluses.
A study released in 2000 supports the risky behavior aspects of younger drivers. Upon analyzing data on fatal crashes, researchers at John Hopkins University found that 16-year-old drivers face a 39% higher risk of dying behind the wheel with the addition of one young passenger. That increases to 86% with two passengers and 182% with three or more. 17-year-old drivers face even higher risk rates, with three or more passengers tripling their risk of becoming a crash fatality.
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 teen drivers understand and respect the costs of owning and/or operating a vehicle. This includes paying for gasoline and/or part of the insurance premium.
- Ohio law requires new drivers under age 18 to take an approved driver training course and 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 more 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.
- If purchasing a vehicle for a teen, choose an intermediate size car or sedan. Avoid high performance vehicles such as sports cars, SUVs or pickup trucks. 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.
