Any parent can attest to the fact that adding a teenager to your car insurance policy can be quite expensive – but there are some steps you can take to ensure that you are saving as much money as possible. This article will offer a short guide designed to help you find and obtain the best policy for your new teen driver.
Recommendations: Finding the Best Auto Insurance for Your Teenager
Learn About Florida Laws: Anyone who operates a motor vehicle in Florida – even those who are on a learner’s permit and do not yet hold a full license – must be covered by an insurance policy. However, insurance companies vary on how those teens are actually covered, whether they are under the protection of their parent’s policy, or they need to be named specifically. Be sure to check with your provider about their rules. Once your teen has a driver’s license, by law they must be named on their parents’ policy if they live in the same residence. They can also choose to obtain their own insurance.
Determine Coverage Requirements: Coverage always begins with the minimum liability auto policy required by law in Florida. Many people choose to increase coverages beyond the state minimum when they add their teen to the auto policy. Bodily injury liability reimburses the medical expenses of other drivers and passengers if there is an accident, while property damage liability pays to repair damage to others’ vehicles and property. If your teenager will be driving a leased or financed vehicle, they will most likely be required to add collision and comprehensive policies. If you want to lower the cost of your auto insurance payments, especially if your teenager is driving an older, paid-off car -these types of coverage may be dropped. Opting for a higher deductible will reduce premium costs and minimize the need for an insurance claim after a minor accident.
Shop Your Policy: Once you determine how much auto insurance is required, start by obtaining a quote from your current provider. Then shop around and obtain rate quotes from several other insurance companies in order to maximize your chances of finding a competitive price. Don’t forget to ask each agent about available discounts for your teenager, which may include:
- A good student discount
- A driver education discount
- A low-mileage discount for drivers who travel less than 10,000 miles per year.
- A telematics discount of up to 45 percent for pay-as-you-drive programs.
Choose the Best Policy: Whether you’ve chosen to remain with your current car insurance provider or to move your coverage to a new company, your premium will be adjusted based on the cost for your new driver and (if applicable) their vehicle. Some families may choose to purchase a separate policy for their teenager, especially if the young driver has existing tickets or accidents.
Ask About a Monitoring Program for Your Teenager: Some insurance companies offer parental monitoring programs for young drivers and teenagers. Parents can use the app to keep track of their teenagers’ driving behavior as well as the progress of required driver education courses. Some providers offer a technology app that monitors unsafe driving behaviors, assigning a score and providing suggestions for improvement.
Anderson and Associates Insurance Provides Expert Advice
Once you’ve added your teenager to your car insurance policy, it is prudent to check around for updated rates every six to 12 months. Teenagers without accidents or claims will see a gradual decline in rates, so parents may eventually begin to experience savings.
For more information or to check car insurance rates for you or your family, call Anderson & Associates Insurance Group. We are Palmetto’s trust insurance providers.
