In California, an individual’s marital status is linked to car insurance premiums. Even if driving records and behaviors are similar, single drivers may still end up paying higher premiums compared to married drivers. However, this situation may be about to change.
California Insurance Commissioner Ricardo Lara announced on Wednesday (16th) his plans to propose a regulation that would prohibit insurance companies from using a driver’s marital status as a factor in determining car insurance premiums.
If the regulation is ultimately approved, it will put an end to a practice that has been in use for about 30 years, where single drivers often pay higher premiums for the same car insurance coverage compared to married policyholders, sometimes even up to $100 more. The exact price difference varies among different insurance companies.
In 2025, the Consumer Federation of America compared online quotes from five major insurance companies for a 50-year-old driver with a good record, holding all other variables constant, only examining the semi-annual premiums for single and married individuals.
The test results found that some insurance companies charged single drivers $331.4 for six months of coverage, while the same conditions for married drivers were $250.4, a difference of 32%. In another case, some insurers offered semi-annual premiums of $1,048.88 for single, divorced, and widowed drivers, while married drivers only paid $940.88, a gap of $108.
The Consumer Federation of America submitted this test to the court in 2025 as a “friend of the court” statement in a case.
Eric, a senior Chinese insurance broker in Los Angeles, mentioned that premiums for single and married individuals are definitely different, and insurance companies have operated this way for a long time.
In fact, this practice is legally supported. According to Proposition 103, California’s auto insurance premiums are mainly determined by three essential factors: the driver’s safe driving record, annual miles driven, and years of driving experience.
The law also allows the Insurance Commissioner to approve other premium calculation factors closely related to claims risk. Since 1996, marital status has been one of the optional calculation factors. If insurance companies wish to include marital status in premium calculations, they must demonstrate that this practice complies with Proposition 103 and obtain approval from the Insurance Department.
Lara stated in his Wednesday announcement, “Today, we take action to end this outdated practice and reaffirm a simple principle: insurance rates should be based on actual driving risk, not on personal circumstances unrelated to driving behavior.”
Lara’s proposed changes come after the Court of Appeals ruled on July 16 in the case of “Ison v. Lara.” The case was brought by a group of unmarried policyholders seeking to eliminate marital status as a premium calculation factor, but the court ultimately upheld Lara’s regulatory authority.
It is currently unclear whether Lara’s proposal will face any obstacles, or how insurance companies will adjust their premium calculation structures if the proposal is enacted. ◇