How To Save on Car Insurance for Young Drivers

By George G.

Most insurance companies consider young people as high risk drivers because of insufficient drive time and experience on the road. And, If you're like most parents who find that adding your teenage driver to your insurance policy can be rather expensive because of high rates, here are a few things which you do to save on car insurance for young drivers.

Insurance companies offers discounts in several ways. The most common auto insurance discount is the good student discount. If your teenager's grade point is 3.0 or above (a B average or better), he qualifies for a 10 to 25% discount. And if your young driver does not drive much ("occasional driver"), he may also qualify for the low mileage discount. So, don't be afraid to ask.

The make and model of the car has a huge effect on the price of your auto insurance, so avoid luxury and high performance cars because these are likely to increase car insurance rates considerably.

Consider an older model – the older a car is, the cheaper it is to insure. However, make sure that it has safety features such as anti-lock brakes and passive restraints. If it has anti-theft devices, it’s a better risk for the insurer. These safety and theft features will probably qualify your young driver for a discount as well. Also, resist the temptation to modify or avoid cars with modifications such as body kits and sound systems.

If the cost of the car is insignificant, you might be able to reduce your car insurance rates by eliminating the coverage for collision. If your young driver gets into an accident, your insurance company may compensate the other driver, but it won't compensate you for any body work for your car.

Putting your young driver through an accredited driving course and a defensive driving course will reduce the amount you pay to insure him. Additionally, it helps build confidence and experience on the road. Defensive driving courses are often offered at little or no charge by AAA and other driving clubs.

It is important that young people maintain a clean driving record. Getting a ticket or into a car accident as could cause car insurance rates to double. As a parent, you ought to stress the importance of safe driving to your young driver. If your teenager can build up a no-claims history, the more likely you are to find cheap car insurance. So, spend time in the car with your teenagers to ensure that they are learning the proper way to drive. Your supervision and advice can make a huge difference in the way your teenager drives.

Although a curfew won’t have a direct impact on your car insurance premiums, it can save your young driver’s life as well as prevent an accident. By requiring your teenager to have the car home by 10pm, he will avoid the 9pm-6am period when most teen accidents happen. Additionally, encourage your young driver to stay away from alcohol before getting behind the wheel and distractions like talking and texting while driving.

Take advantage of the Internet to shop around for the best car insurance rates. Most insurance companies provide a car insurance online comparison tool which allows you to compare quotes from several different car insurance providers. You’ll be able to see the difference a certain type of car makes, what discounts your young driver might qualify for and compare plans side by side. However, be aware that the lowest policy quote may not provide the best coverage. Once you locate an affordable car insurance policy that satisfy your young driver's needs, then check with the insurance company to see if they offer discounts on such things as good grades and completing a driver's safety program.

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