Finding the right motor insurance for your teenage child is very important. In fact, you should already make plans about getting motor insurance even before you purchase a car for the young driver in your family.
Motor insurance for teenagers can be very expensive. Most teenagers are driving cars for the first time. Besides, teenagers are more prone to taking risks with their cars such as over speeding or drinking while under the influence of alcohol. Thus, insurance companies considered them very risky to insure. Adding a teen in your family to your car insurance can cost thousands of dollars a year.
In most states, it is illegal to drive without car insurance. Thus, as a parent or guardian of a young driver, you have no choice but to find at least a cheap insurance for the teenager. In recent years, most parents choose to purchase a separate policy since this is considered a lot cheaper. With a separate car insurance policy, you will benefit from multi-driver discounts.
What You Should Know About Teenage Drivers Motor Insurance
According to studies by insurance companies, teens crash at a much higher rate than older drivers. In fact, one study showed that teen auto crashes are four times higher than older drivers. The United States Center for Disease Control and Prevention discovered that the worst age to be a driver is 16. Drivers that are 16-year-olds crash at twice the rate compared to 18 and 19-year olds.
With high crash rate, not every insurance company will be willing to take the risk of offering protection to the young driver in your family. This is why most insurance companies offer a high rate when it comes to teen car insurance. Other factors that will affect the rate you pay for your kid include:
- Safety Rating
- Vehicle Size
- Age of the car
- Likelihood of theft
- Driving history
- Driving activity
For instance, if you stay in an area considered to be prone to crime, an insurance company may ask you to pay more. You also pay more if the driver has a history of crashes in the past. Nevertheless, if you are looking for a way to reduce what you pay to get the teenage driver in your family very good insurance, this article will provide you some tips that you will find extremely valuable.
How to Get Cheap Motor Insurance for Teenage Drivers
1. Ask for a Quote from Different Motor Insurance Companies
Do not just settle for the first insurance company that you see. A great way to know the prevailing market rate in your area is to ask for a quote from different insurance companies. Most companies will be more than happy to provide you a quote for free. You can compare these quotes to see what you will pay as well as the benefits offered by each insurance company.
Note that in most cases, these quotes can be negotiated. Thus, there is a good chance that you can pay less than what you have in your quote. The following parts of this article will show you ways you can make yourself attractive to insurers and pay less rate.
2. Take an Advanced Driving Course
Like we’ve already mentioned above, most insurance companies consider teenage drivers a huge risk to insure. Their lack of driving experience means they get to pay a higher insurance premium. However, there are companies that reward young drivers that take an advanced driving course. Graduates of this type of driving course are considered more careful drivers and less risk to insure. Your rate calculation can be lowered just by taking this course.
3. Take a Defensive Driving Class
As a teenage driver, you get a discount when you complete an approved motor vehicle accident prevention course.
4. Add an Experienced Driver to the Policy
In some cases, adding an older or more experienced driver to the car insurance policy of a teenager can bring down what you pay on premiums. Over 35% of young drivers in the United States have a named driver.
5. Move to a Safer Neighborhood
If you live in a neighborhood considered risky by insurers, there is a chance that will affect what your kid pay for his insurance. You can wait until you move to a safer neighborhood before buying a car and subsequently, insurance for your teenage child.
6. Resident Student Discount
If your teen is away at school and doesn’t need to drive his car too often, it is very important that you let your insurance company know this. A lot of insurance companies offer a deeper discount for student drivers away at school.
7. Good Student Discount for Teen Drivers
Do you know that your child can get a discount for having good grades? Now you know. Most insurance companies offer a good student discount to students making at least a B-average (3.0 on a 4.0 scale). Even if your child isn’t getting a good grade at the moment, he can enjoy this discount later when his grade improves. You should talk with your preferred insurance company to find out if they offer this discount.
8. Look Out for Companies Offering Discounts
Occasionally, car insurance companies offer discounts to attract new customers. You can search online for ongoing discounts. Additionally, you can wait or write to your preferred insurance company to see if they are currently offering any discount for new policy takers.
Conclusion No doubt buying motor insurance for a teenager can be expensive and difficult. However, these tips above can help you to significantly reduce what you pay. Make sure you do your homework very well before choosing an insurance company for the teenage driver. Today, there are tons of resources available online to help you compare various insurance policies side by side. You can use these resources to compare the prices of various policies as well as their benefits.