Cheap Auto Insurance for Learner’s Permit Drivers in 2025 (Save With These 10 Companies!)

For cheap auto insurance for learner’s permit drivers, Geico, State Farm, and Auto-Owners are the top insurers, with coverage rates starting at $43 per month.

If you’re trying to figure out how to get car insurance with a permit, take note of the ten cheapest companies for permit driver insurance:

Our Top 10 Company Picks: Cheap Auto Insurance for Learner's Permit Drivers

Teens and new drivers significantly benefit from car insurance because they’re statistically more likely to get into accidents, but finding cheap auto insurance for teens is challenging. Read on to learn more about permit driver insurance and compare quotes with as many companies as possible.

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#1 – Geico: Best for Cheap Rates

Pros

• Best Insurance for Permit Drivers: Learner’s permit drivers can access some of the lowest rates in the industry, with policies starting at just $43 monthly.
• Easy Digital Access: Learner’s permit drivers benefit from Geico’s user-friendly mobile app that simplifies policy management and claims filing for new drivers (Read More: Best Auto Insurance for New Drivers).
• Multiple Discount Options: Learner’s permit drivers can stack various discounts, including good student, defensive driving courses, and multi-policy savings to reduce premiums.

Cons

• Limited In-Person Support: Learner’s permit drivers might struggle with fewer local agents compared to other insurers when they need personalized guidance.
• Higher Deductibles: Learner’s permit drivers often face higher deductible requirements to maintain the lowest possible monthly premium rates.

#2 – State Farm: Best for Safe Drivers

Pros

• Drive Safe & Save Program: Learner’s permit drivers can earn up to 30% off premiums by demonstrating safe driving habits through the telematics app.
• Steer Clear Program: Learner’s permit drivers under 25 can complete this specialized training program to receive substantial policy discounts, according to our State Farm auto insurance review.
• Local Agent Guidance: Learner’s permit drivers receive personalized coaching and support from dedicated local agents who understand new driver challenges.

Cons

• Higher Initial Premiums: Learner’s permit drivers may need to establish a driving record before accessing State Farm’s most competitive rates and discounts.
• Limited Online Tools: Learner’s permit drivers sometimes find State Farm’s digital resources less comprehensive than tech-focused competitors’ offerings for new drivers.

#3 – Auto-Owners: Best for Accidents

Pros

• Accident Forgiveness: Learner’s permit drivers won’t see rate increases after their first at-fault accident, providing valuable protection for inexperienced drivers.
• Diminishing Deductible: Learner’s permit drivers can reduce their collision deductible by $100 each year they maintain a clean driving record.
• Claims Handling Excellence: Learner’s permit drivers benefit from personal claims representatives who guide them through the entire process after an incident. See our review of Auto-Owners auto insurance for more details.

Cons

• Limited Availability: Learner’s permit drivers can only access Auto-Owners insurance in 26 states, restricting options for many potential customers.
• Minimal Online Features: Learner’s permit drivers who prefer digital self-service may find Auto-Owners’ technology offerings somewhat outdated compared to competitors.

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#4 – Progressive: Best for Loyalty Programs

Pros

• Snapshot Program: Learner’s permit drivers can earn personalized rates based on actual driving habits rather than demographic assumptions through this telematics option.
• Small Accident Forgiveness: Learner’s permit drivers with claims under $500 won’t see rate increases, according to our Progressive auto insurance review findings.
• Loyalty Rewards: Learner’s permit drivers accumulate benefits the longer they stay with Progressive, including accident forgiveness and custom rate options.

Cons

• Complex Discount Structure: Learner’s permit drivers may find it challenging to navigate the numerous discount options without professional guidance.
• Variable Pricing: Learner’s permit drivers might experience significant rate differences between initial quotes and renewal prices after six months.

#5 – Nationwide: Best for Usage-Based

Pros

• SmartRide Discounts: Learner’s permit drivers can save up to 40% through Nationwide’s usage-based insurance program that monitors actual driving behavior.
• Accident Forgiveness Option: Learner’s permit drivers can add this valuable protection to prevent rate increases after their first at-fault accident.
• Vanishing Deductible: Learner’s permit drivers earn $100 off their deductible annually for safe driving, according to our Nationwide auto insurance review page.

Cons

• Higher Base Rates: Learner’s permit drivers typically start with higher premiums before qualifying for Nationwide’s substantial safe driver discounts.
• Additional Monitoring Costs: Learner’s permit drivers must pay extra fees for some telematics programs that could ultimately lead to savings.

#6 – AAA: Best for Teen Drivers

Pros

• Education Discounts: Teen drivers with a learner’s permit can save significantly with AAA’s generous student discount and driver education completion incentives on their car insurance with a permit. Learn more details on our page titled “AAA Auto Insurance Review.”
• Roadside Assistance Included: Every policy includes comprehensive roadside help, providing essential support for inexperienced teen drivers with learner’s permits.
• Parent-Teen Driving Contracts: Structured agreements help establish clear expectations and may lead to additional policy discounts for drivers with learner’s permits.

Cons

• Membership Requirement: Teen drivers with learner’s permits must purchase a AAA membership before qualifying for auto insurance options and special rates.
• Geographic Limitations: The availability of AAA’s complete insurance offerings and discount programs may be restricted in certain regions for learner’s permit holders.

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#7 – Farmers: Best for Customized Policy

Pros

• Signal App Savings: As mentioned on our Farmers auto insurance review page, teen drivers with learner’s permits can earn discounts through this telematics program that rewards safe driving habits with reduced premiums.
• Customizable Coverage: Policies can be tailored to specific needs, preventing learner’s permit drivers from paying for unnecessary coverage.
• Declining Deductibles: Deductibles decrease by $50-$100 each policy period without claims, helping learner’s permit drivers save money over time.

Cons

• Higher Initial Costs: Base rates for learner’s permit drivers tend to be steeper before qualifying for Farmers’ discount programs.
• Complex Policy Structure: The three-tiered coverage system may confuse learner’s permit drivers when selecting appropriate protection levels.

#8 – National General: Best for High-Risk Drivers

Pros

• Second Chance Policies: Learners permit drivers with prior violations or accidents to still access reasonable rates despite their driving history.
• Low Down Payment Options: Affordable, upfront costs make insurance more accessible for budget-conscious learner’s permit drivers (Read More: National General Auto Insurance Review).
• SmartDiscounts Program: Policies are reviewed every six months to identify new discount opportunities for eligible learner’s permit drivers.

Cons

• Limited Digital Tools: National General’s online and mobile app options may not be as advanced as competitors for learner’s permit drivers.
• Fewer Local Agents: Learner’s permit drivers may have difficulty finding in-person support for complex policy questions.

#9 – Allstate: Best for Insurance Discounts

Pros

• Drivewise Program: Learner’s permit drivers can earn discounts immediately upon enrollment and receive ongoing savings for safe driving.
• Milestone Rewards: For learner’s permit drivers, special discounts are available at key milestones as part of Allstate’s loyalty program.
• Safe Driving Bonus: Learner’s permit drivers can receive cashback rewards every six months if they remain accident-free.

Cons

• Above-Average Base Rates: Initial premiums for learner’s permit drivers tend to be higher before applying for Allstate’s discount opportunities. Find more information about Allstate’s rates in our review of Allstate insurance.
• Add-On Costs for Learner’s Permit Drivers: Features like accident forgiveness require additional fees instead of being included as standard.

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#10 – Liberty Mutual: Best for Teachers & Students

Pros

• Teacher and Student Benefits: Exclusive discounts are available for teen drivers with learner’s permits connected to the education sector.
• RightTrack Discounts: Learner’s permit drivers can save up to 30% by participating in Liberty Mutual’s telematics-based driving program. To see monthly premiums and honest rankings, read our Liberty Mutual review.
• New Graduate Programs: Special rates help learner’s permit drivers transitioning from student to working professionals maintain affordable coverage.

Cons

• Limited Bundle Options: Fewer opportunities to combine policies for maximum savings compared to other major insurers for learner’s permit drivers.
• Stricter Eligibility Requirements: Teen drivers with learner’s permits must meet more stringent criteria to qualify for Liberty Mutual’s best rates.

Comparing Insurance With a Learner’s Permit

Be prepared to pay high rates when getting insurance with a learner’s permit. Due to your lack of experience behind the wheel, insurers will consider you a higher risk and charge you for it.

Finding the best car insurance for permit drivers can be costly, as insurers view inexperienced drivers as high-risk. However, some car insurance companies that accept permits offer affordable options. The table below compares monthly premiums for learner’s permit drivers across different providers.

Learner’s Permit Drivers Monthly Rates by Provider & Coverage Level

If you’re wondering, “Can you get Geico insurance with a permit?”—yes, Geico and other major insurers provide insurance with a permit at competitive rates.

While other various factors affect auto insurance rates, the most common reasons why permit drivers pay more for insurance are:

• Driving Experience: New drivers don’t have the experience to rely on in tricky situations on the road, such as bad weather, construction, or other obstacles.
• Distracted Driving: Teens and new drivers are more likely to drive while distracted, primarily due to passengers and phone use.
• Reckless Driving: New drivers — especially males — are statistically more likely to speed or act impulsively.
• More Accidents: Lack of experience and impulsive driving behavior culminate in three times as many accidents as older drivers.

Due to these risks, companies charge much higher rates for permit driver insurance. The good news is that your rates won’t stay high forever. Rates tend to drop around 25 if your driving record is clean, and there are also plenty of car insurance discounts to help new drivers save money.

Permit Driver Insurance Rates by Age

Teens pay the highest rates on average, but even older drivers with a permit get stuck with higher costs due to lack of experience. Below is a breakdown of monthly rates by insurance provider and age group.

Learner's Permit Auto Insurance Monthly Rates by Provider & Coverage Level

The cost of auto insurance with a learner’s permit varies widely by provider and age, with monthly rates starting as low as $115 for a 45-year-old learner’s permit holder.

The average monthly rate for teen auto insurance with a learner’s permit is more expensive, but costs can double or triple if you’re caught speeding or in an accident and traffic violations. However, a parent or guardian who adds a teen to an existing auto insurance policy can cut their rates in half.

It’s crucial to compare quotes when looking for cheap auto insurance for learner’s permit drivers — rates vary dramatically, and you might overpay by selecting the first company you find. Check our guide to the best auto insurance companies for teens to compare quotes head-to-head.

Insurance Tips for Older Drivers With Learner’s Permits

While joining a parent or guardian’s insurance policy is the best way to save money on permit driver insurance, not all new drivers are teens. People learn how to drive at all stages of life, and there are ways to find cheap car insurance no matter your age:

• Get Added to a Partner’s Policy: A partner or spouse you live with can likely add you to their policy. Their rates might increase, but most insurance companies offer discounts to married couples. Compare auto insurance rates for married vs. single drivers to learn more.
• Drive an Older Vehicle: Older cars are cheaper to insure because replacement parts are less expensive, and you can also lower your rates by carrying less coverage. For example, you might get away with liability-only coverage on an old vehicle that would cost more to repair than it’s worth.
• Take a Defensive Driving Class. Both Geico and State Farm offer 15% off to new drivers who take an approved course, and you’ll find many other auto insurance companies with this kind of discount. Our guide on how to get a defensive driver auto insurance discount provides a company list.

You’ll always find the lowest rates on auto insurance when you compare online. Use our comparison tool above to get free car insurance quotes from insurance companies that accept permitted drivers in your city.

Auto Insurance Discounts for Learner’s Permit Drivers

It’s important to look at car insurance discounts when considering a company, and most offer discounts to help new drivers save. Whether you’re buying a new policy or adding a teen to an existing plan, check for the following discounts:

Learner’s Permit Drivers Auto Insurance Discounts From the Top Providers

Students with a 3.0+ GPA can qualify for a good student discount while completing a driver education course may reduce rates for up to three years. Usage-based insurance discounts reward safe driving habits, and students living 100+ miles from home without a car may save on premiums. Paying the full policy upfront can also lower costs.

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Permit Driver Insurance Requirements

A permit-holder driver can’t legally drive without the minimum insurance required by the state. The good news is that most drivers don’t need individual permit driver insurance. Instead, the policy of the car they practice in often covers them.

Usually, insurance companies don’t require you to add a new driver to your family policy until they officially have a license. However, you may need to notify your insurer when a permit driver is about to start using your car. Regardless of whether you need to list a permit driver on your policy, your rates won’t change until the new driver gets their license.

Learn More:

• How much car insurance do I need?
• Do you have to have auto insurance in every state?
• Minimum Auto Insurance by State
• What are the recommended car insurance levels?

Find Cheap Auto Insurance for Learner’s Permit Drivers Today

The most common and cheapest way to insure a new driver is to add them to a partner’s, roommate’s, or guardian’s policy. Allowing new drivers to join your policy rather than start their own can cut their insurance rates in half.

However, not everyone has the opportunity to join someone else’s policy. If that’s the case, companies like Geico, State Farm, and Auto-Owners are the go-to for affordable coverage rates. You can read our Geico vs. State Farm auto insurance review to see which offers the lowest rates for new drivers.

Comparing companies is integral to finding affordable rates if you need to find a new policy. Whether you want to add a teen driver to your policy or you need new insurance for yourself, looking at rates from multiple companies will help you find the lowest price. Enter your ZIP code to explore which companies have the cheapest auto insurance rates for you.

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