How to lower car insurance rates for teens:
- Get at least three quotes
- Ask about discounts
- Inquire about driver tracking programs
- Consider a used car
- Add your teens to your policy
- Demonstrate good driving habits
Getting a driver’s license is a rite of passage for teenagers. It’s an exciting time and one that can cause a lot of anxiety for you. Sending your “baby” off in a car alone can shake the confidence of any parent. You also have the additional costs to deal with when it comes to auto insurance.
Insuring teen drivers can be expensive, but there are ways to cut down on those costs. We offer six tips to help you lower insurance costs for your new teen driver.
Tip 1: Obtain several quotes
It’s always a good idea to shop around for car insurance for new drivers. Even if you have a policy for your vehicle(s), it never hurts to do some investigation. We recommend you get at least three quotes when shopping so you have a few choices. That doesn’t mean you must go with the lowest quote, however. The highest quote isn’t necessarily the right one, either.
Look into what’s covered by each policy and how much coverage is included. A slightly higher quote with better coverage may be what’s warranted for a brand new driver.
Tip 2: Inquire about discounts
Your teen may qualify for discounts on auto insurance for things like good grades or taking a driver safety course. If your teen won’t be driving very much – say to school or to a job – he or she might qualify for a low mileage discount.
Tip 3: Ask about the insurer tracking programs
Insurance companies have introduced new programs that track driving habits. If your teen enrolls, he or she may be able to earn rewards for “good driving behavior.” It can result in lower monthly premiums with savings of up to 30%.
Tip 4: Consider a used car
If you’re planning to buy a car for your teen, it may be more economically advantageous to go with a pre-owned model. Older models tend to come with lower insurance premiums as they are usually less expensive to repair and stay off the radar of thieves more. This can help control insurance costs, especially if you want to insure a teenage boy.
Tip 5: Include your teens on your policy
If you’re not planning to buy your teen a car right away – or he/she is saving to buy a car – it’s often more cost-effective to add your child to your insurance policy. Just remember that any time you add a car to your policy, the rate will go up.
Tip 6: Be a good driver
One of the best things you can do to help your teen control insurance costs is to help him or she avoid accidents. You can do that by demonstrating good driving habits yourself. This includes following traffic laws and ensuring you always pay attention while driving. If you don’t want your teen to talk or text while driving, don’t do it yourself. Watch your emotions while you drive, because your child (now teen) is always watching and learning from you.
Auto insurance from Avante
If you have a new teen driver, you might be worried about auto insurance costs. There are several ways to lower these costs, however, such as asking about student discounts and implementing an insurer-tracking program.
This blog and website are made available by the publisher for educational and informational purposes only. It is not to be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state.