As a parent, watching your teen get their driver’s license might be challenging. Sweet because you no longer have to drive your child to sports practice or music lessons; bitter when you receive your first auto insurance payment after adding your child to your coverage. Due to inexperience and immaturity, juvenile drivers have a greater accident death rate than adults (NHTSA). As a result, adding a teen driver to your auto insurance policy may increase your premiums. Understand when and how to enroll your new adolescent driver to your policy, look into discounts, and compare pricing from several insurance carriers to keep expenses down.
Does Your Teen Need Auto Insurance?
Before your teen receives a driver’s license, do your research to minimize sticker shock. Find out when you must include your teen on your auto insurance. This varies by state. If your state requires teens to be insured when they get their learner’s permit, you may wish to wait until they get a driver’s license. Some insurance companies may waive the cost of insuring a teen driver who has just received their learner’s permit; others will charge a fee.
To begin, speak with your current auto insurance provider to determine when and how much it will cost to include your child in your coverage.
Auto Insurance: How Do You Add a Teen to Your Policy?
Getting the best deal on a teen’s automobile insurance should begin with the company insuring you. Saving money while providing the protection your new driver needs is possible if you work with an insurance professional.
Get estimates from different businesses to see if you can get a better bargain. A comparison of the same types and amounts of coverage and the associated deductibles should be made across all providers.
Researching vehicle insurance online is easy, and you may get a quotation from a service that compares policies from multiple insurers at once. Another choice is to work with an independent agency. You can get an expert to advise on how to save money by working with an independent insurance agent selling plans from various companies.
Before deciding, get quotes from three insurers. Wait till you compare the costs of switching insurance companies against the savings before deciding on a new provider. However, if you now bundle your house and auto insurance, you’ll lose your savings unless you also switch to the new provider for your homeowner’s insurance. You’ll have to start over with a new insurance company if your old one offers accident forgiveness, which usually needs three to five years of no accidents before it kicks in.
How to save money on a teen driver’s car insurance
There is no way to get around the steep premiums associated with insuring a young driver. The price can be reduced, though, in several ways.
Delaying the process of obtaining a driver’s license
If you’re strapped for cash, think about whether your kid needs a driver’s license or if they can get by without one. Since then, insurance costs usually decline as they mature; delaying your child’s license for even a couple of years might save you a significant sum. When saving money, having your kid use public transportation or even rideshares to go around town may be more cost-effective.
Get a Grip!
Keeping a good grade point average in school or college can get you a break on your car insurance (generally a B or better). There are discounts for college students who live far from home, don’t drive to school, and only drive the family car when they’re home on break that are called “away from home” discounts. If your kid enrolls in an insurance company-approved or -offered driver education or safety course, you may see a reduction in your premiums.
Purchase insurance based on usage
You can save money by obtaining usage-based automobile insurance if your teen will be driving less frequently. When the car is driven less than 10,000 or 12,000 miles per year, it is eligible for pay-per-mile insurance, which provides a discount.
It’s also possible to get The Best Cheap Car Insurance in Georgia that monitors your driving habits via an app or a gadget installed in your car. As a result, these applications keep track of your driving habits, such as speeding or braking too hard.
The cost of insuring a teenage driver, particularly a guy, is high. As long as your teen’s driving record of accidents and moving offenses is clear, each extra year of driving experience should lower premiums. Set a good example for others by upholding the rules of the road and establishing a good example for them. To ensure you’re getting the most significant rate on your auto insurance, you should browse around once a year.
Shopping for vehicle insurance for a new driver can be just as nerve-wracking as teaching your kid to get behind the wheel. You may locate an affordable teen driver policy if you shop around.