Teenage drivers pay more for automobile insurance, because they cost the insurance companies more. Teenage inexperienced drivers have more crashes than older drivers with more time on the road. The insurer's expenses push the premium higher.
Your monthly premium will increase when you add a young inexperienced driver to your automobile insurance policy, but some of the ideas in this article can help you to keep more of your money in your pocket.
Reducing Your Costs
Price Shop Early
Explore Every Car Insurance Discount
Drivers Education
Good Student
Get The Right Auto
Drop Unneeded Coverage
Price Shop Before your Child gets Their Learner's Permit
Many automobile insurance carriers won't insure a you if you have a teenage driver unless they are an existing account. You are more likely to get the best deal if you price shop before your child is old enough to drive. Tell your broker that you want to see what the premiums would be today and what they would be when your child starts driving. It is important to compare costs and benefits based on what the insurance will cost when you do have a teenage driver.
Get All Car Insurance Discount
Discounts can lower your costs substantially. There are two discounts that anyone with a teen driver should look into. They are the "good student" discount and the driver's education discount. Getting one or both of these discounts can save you hundreds each month
Your teenage driver will probably cost you less if he or she maintains a grade point average above a B. This will qualify him or her for a discount with many companies. If your child's grades aren't up to this level, driving privileges may be enough of an incentive to get him or her to study harder.
Also, many companies will offer a discount for those who have taken a formal driving course. This should be supplemented with practice driving with Mom or dad, but the drivers education certificate will probably qualify you for a discount that is will be worth much more than the cost of the driving lessons. And although you may be an excellent driver, allowing your child to learn from a professional driving instructor can make your child a safer driver.
Get The Right Automobile
Certain cars cost less to insure. Sports cars can cost more to insure especially when you have a young driver on your insurance policy. Purchasing an older slower car for your child has its advantages over faster newer cars.
Drop Unneeded Coverage
You may be able to lower your car insurance costs by dropping the collision and other than collision coverage on the care your child will drive. You will take more risk. If your child gets into an accident, your insurance company may pay the other diver, but it won't pay for any repairs to your car. You will have to make a decision based on your own personal comfort with that risk, but removing your "comp" and collision will probably lower your costs.
Lower Insurance Costs and Safety
There is more at stake here than money. Good driving instruction may make your child not only a less expensive driver to insure, but also a safer one. The same goes for purchasing a slower safer car if you were contemplating a sports car for your child.
Lower The High Cost of Teenage Car Insurance
By using some of the ideas you see above, you may save hundreds of dollars each month and thousands of dollars each year.
