Question

If you're under the age of 21, why is car insurance more expensive?

A. They drive more miles.
B. They have more accidents.
C. They carry more passengers.
D. Insufficient information provided.

Answer 1

Car insurance is more expensive for drivers under 21 due to their higher risk profile, including factors such as more miles driven, more accidents, and carrying more passengers.

Step-by-step explanation:

If you're under the age of 21, car insurance is more expensive because young drivers are considered higher risk. Insurance companies base their rates on statistical data, which shows that young drivers have more accidents compared to older, more experienced drivers. Younger drivers may also have less driving experience, leading to higher premiums.

Additionally, the cost of car insurance for younger drivers can be influenced by factors such as:

1. Driving more miles: Younger drivers may commute longer distances or engage in more leisure activities compared to older drivers, which can increase the risk of accidents.
2. Having more accidents: Statistics show that younger drivers are involved in more car accidents, resulting in higher insurance premiums.
3. Carrying more passengers: Young drivers may be more likely to transport friends or family members, which can increase distractions and the risk of accidents.

Overall, these factors contribute to higher car insurance premiums for drivers under the age of 21.