Adding a young driver to your auto insurance policy can be as equally scary as it is expensive. You will likely pay significantly more for your newly licensed, teen driver, but car insurance for young drivers can be more cost-efficient than ever.
It can be difficult finding ways to lessen the blow of car insurance for teen drivers, but we’re here to help with that.
Do Teens Need Car Insurance?
The short answer to the following questions is yes. Newly licensed drivers are inexperienced and are likely to cause more accidents than highly seasoned drivers. Teen drivers definitely need to be insured, and they need to be insured correctly.
Why Young Drivers Cost More
A driver who has been licensed for less than three years is considered to be less experienced. More driving experience means better defensive driving.
Unfortunately, young drivers make more mistakes and cause accidents. It happens, but insurance companies would be crazy if they didn’t charge more for inexperienced, newly licensed drivers.
Ways to Lessen Premium on Car Insurance For Young Drivers
Car insurance for young drivers doesn’t have to send you straight into debt, although it might be more than you want to pay. With these helpful tips, you will be lessening the premium you pay in no time.
Good Student Discount
If your young driver is a full-time student and holds a GPA of 3.0, or a grade average of a B, or higher, they can qualify for this discount.
Defensive Driver Discount
Some companies offer discounts for young drivers, or any drivers in general, that complete a defensive driving course.
Safety Course Discount
Companies may offer a discount for any young driver who completes a certified safety course.
Telematics/Usage Based Discounts
A telematics device can be installed into the OBDII port on your vehicle. The device will monitor usage on your vehicle for the specified period of time that your company outlines.
It will monitor tailgating (how hard and quickly you break), time of day driven, excessive acceleration, and mileage. Better usage -> better discount.
Adding your teen driver while they are still permitted may help the premium. Don’t wait to add your teen driver when they change from “permitted” to “newly licensed.”
Type of Vehicle
It’s crucial to consider the type of vehicle that you will allow your teen to drive.
Finding a low value, reliable vehicle, that may not require physical damage coverage, is the best bet when it comes to lowering car insurance for young drivers. Sending your teen out in the world in a brand new Mercedes may not be the best idea for your pocket book.
The newer and more valuable the vehicle is, the more money you will pay to add your teen as an insured driver.
Let Us Help You
Several ways to lower car insurance for young drivers exists. You need to find a good agent who will talk to you about the many direct, and indirect, ways you can combat premium costs for your young drivers.
Car insurance for young drivers can be expensive, no doubt, but it’s more than worth it when the driver causes an accident. You will be happy you added them to your policy the right way, in time of need.
We’re always happy to help. We are ready to have constructive conversations when it comes to insuring what matters most to you. Give us a call and let’s have the conversation!