Saturday, May 17, 2014, PM | Leave Comment
Insurance companies charge far more to cover teens because there is statistically an increased risk that young drivers will get into an accident. This can make the cost of insurance prohibitive.
There are ways to lower the cost of premiums. Several tips will help families to get the best deal on car insurance for teenage drivers.
Choose a Used Car with a High Safety Rating
The vehicle a teen drives plays a large role in insurance rates. Current model year cars are very expensive to insure. It is far better to choose a car that is not brand new and that has a high safety rating. Higher official safety ratings reduce the risk of injuries and accidents. Most used cars are also less expensive to repair. This will lower the rates for any teen.
Share a Family Car
Sharing a family car with a teen could actually lower rates more than purchasing a safe separate car. Many insurers provide a discount if the teen only drives the car occasionally. Listing the teen as an occasional driver or secondary driver of a family vehicle can bring rates down significantly.
Encourage Good Grades
The majority of insurers will provide a set discount if a teen consistently achieves good grades in school. The most common discounts are given to students who maintain a 3.0 grade point average or higher. Encouraging better grades will make insurance less expensive.
Enroll Teens in Safe-Driving Courses
All teens should complete a safe-driving course as soon as possible. It is important to choose an accredited course that insurance companies recognize. Safe-driving courses lower the risk of accidents and the price of premiums. Some insurers will require teens to take the course again every one to three years in order to maintain the discount. The course will help kids realize how to avoid auto-pedestrian accidents, collisions with other cars, and how to drive safely around lots of other cars.
Tell Insurers If Teens Go Away To College
If a teen is going to a college that is more than 100 miles from home and that teen does not have access to a vehicle at school, then insurers might provide a resident student discount. This lowers the cost of coverage. Insurers do this because the teen is only expected to be driving when visiting home during breaks.
Always Compare Rates between Insurers
The final way to get the best deal on car insurance is to compare rates. Not all insurance companies offer the same discounts for teen drivers. Some insurers also weigh various risk factors differently when assessing teens. Parents should compare at least three different companies before making a decision in order to find the best rates.
Tricia is a mom and a blogger from Beverly Hills. If your teenager gets in a wreck, Cummings, Andrews, Mackay LLP is your best legal source for help.