How to Combat the High Cost of Insurance for Your Teen Driver

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How to Combat the High Cost of Insurance for Your Teen Driver on avanteinsurance.com

Yes! You can save money—if you follow these tips.

When your teenage son or daughter gets their driver’s license, it’s both a time for celebration and worry! While you’re delighted for your child and this momentous milestone, it’s always a concern when they get behind the wheel and drive off on their own for the first time. Another biggie, just how much your monthly auto insurance premium will go up, is something that most folks anticipate and dread at the same time. With that in mind, here are some tips on how to combat the high cost of insurance for your teen driver.

Compare apples to apples

Although you may think that all insurance companies would have similar rates for teen drivers, the industry is very competitive and many offer good deals to win your business,. So be sure to go online and do some comparison shopping before purchasing a policy.

Get smart

Or rather, make sure that your teenager is! Insurance companies actually offer discounts to students who achieve high grades. So if your son or daughter has a “B” or higher average on their report card, you will likely be able to benefit on your monthly premium. You can also save if your child has taken a driver safety education course, so be sure to include this information on your application for coverage.

Let them piggyback

Many parents find that adding their child to their current auto policy gives them the opportunity to save a good amount of money. Before you purchase a separate policy, be sure to ask your provider what the cost would be to simply put them on yours.

Be practical in your car choice

Who doesn’t want a fast and sporty car? Most teenagers picture themselves driving a car that’s way cooler than mom’s minivan or dad’s sedan. But the sportier the car, the more expensive the insurance. So when choosing a vehicle for your child (or helping them purchase their own), make sure you prioritize one that has a high safety record and the latest safety equipment, like anti-lock brakes, air bags, blind spot warning, automatic emergency braking, and others.

Adjust your coverage

Increasing your deductible can lower your monthly premiums, and this is an option many parents choose. While nobody wants a high deductible, if you have a safe driving record and anticipate that your savings will outweigh the risks, you can speak to your insurance provider about this possibility to assess just how much you can save. Other ways you could adjust your coverage to decrease your premiums include:

Bundling: Many folks opt to bundle up their homeowner’s and auto policies to reap the benefits of discounts

Safe Driver: If you have a safe driving record, which means you haven’t had any recent accidents or traffic violations, make sure your insurance provider is aware of it and is giving you the appropriate discounts

• Multiple-car: If you own more than one car, having all the cars on one policy often provides a lower rate

Safety features: Cars that have safety features are considered less risky to insurance companies. So the more features you have, the more you stand to save on your policy

Drop unnecessary coverage

Older cars are often worth less (or just a tiny bit more) than the deductible you’d have to pay in the event of an emergency. So it may be smart to look up your car’s value and compare it to how much you are paying for collision and comprehensive coverage. Consider the amount you’d get back if the car was totaled in an accident – if it’s less than the amount you’re paying in monthly premiums, it may be time to drop that coverage.

There’s perhaps nothing quite as exciting for a teenager as passing their driver’s test and earning the privilege to drive on their own. But with it comes a great responsibility, both on the part of the new driver and their parents. Make sure that your teen is covered with the appropriate amount of insurance and save where you can by following these tips.

Call us today at 305-648-7070 or fill out our online quote request to get the best price on auto coverage for your teenager.