There is perhaps no demographic more expensive to insure on the road than teenagers. They are statistically more likely to get into accidents, as they have the least amount of driving time out of all other demographics on the road, and so insurance companies make them more expensive to insure.
Teenagers getting their own car insurance will see very steep rates, but even teenagers insured under their parents will still see heavy premiums. Luckily, there are ways that you can actually cut the costs of your teenager’s car insurance. Here are just a few:
- Buy them an older car. Newer cars are more expensive to insure than older cars, simply because they are more expensive to replace, should the need ever arise. Buying them a less expensive, older car means that you can cut your rates.
- Don’t buy them something flashy. Every teenager wants a flashy car that will impress their friends. The flashier that car is, however, the more expensive it is going to be to insure. They don’t need fancy chrome rims or a powerful stereo system.
- See if you can get a defensive driving decrease. Some insurance providers will offer their customers a decrease in insurance rates if the teenager takes a defensive driving course, either before or after they have their license. These types of classes can also just be good for showing teenagers how to protect themselves on the road.
- Buy car insurance from the same provider who insures your house. If they offer discounts for bundling your insurance together, this is a great way to mitigate the costs of having to pay for a teenager’s insurance.
- Ask about special discounts. There are some providers that will lower premiums for students that get good grades or make the honor roll. If your child regularly gets great grades, this may be an option for lowering your premiums.
- Ask about mileage discounts. Just because your teen has a license doesn’t mean that he is a regular driver. If your teen does not actually log that many miles behind the wheel, your provider may be willing to offer you a discount.
- Drop older cars from your insurance. If you’re paying insurance for cars that don’t see any road time, remove them from your policy.
I hope that you are able to use these tips to save money on your car insurance rates. For a free review of your policies, use the form on this page to contact us, or click here.
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