Car Insurance Rates for Teenagers
It's no secret that car insurance rates for teenagers are higher than rates for many other drivers. This is because teens are inexperienced drivers and statistics point towards more accidents and speeding tickets associated with teen drivers. There are ways you can lower the cost of car insurance for your teenager. The first and foremost thing parents should do is educate their child on the importance of defensive driving and staying safe behind the wheel. Many teenagers feel they are invincible and don't stop to think about potential dangers, however being reminded by a parent or other trusted adult can go a long way towards keeping them safe.
It is more affordable for a teen to be put on their parents' policy than it is for them to have their own policy. Parents should be advised, however, that any accidents or tickets their teen gets can affect their insurance rates. There are strategies for saving money on car insurance rates for teenagers that some people aren't aware of. For example, some companies reward consistent good grades, such as an A or B average, with lower rates. Another thing that can lower rates is taking a safe driving course offered by the DMV or a licensed driving school.
The type of car a teen drives makes a difference in policy rates as well. Sports cars are going to be the most expensive. Brand new cars can be expensive for anyone to insure, especially teens. However, an old car without modern safety features is not necessarily the best idea either. Teens should aim for a relatively recent make of vehicle with up-to-date safety features that is more of a family car, like a sedan, than a sporty car.
Comparison shopping is very important when it comes to getting good car insurance rates for teenagers. Talk to an insurance broker you trust who can get you rates from a variety of different insurance companies and tell you the features and prices of different policies. Like everyone else, the minimum coverage teens are required to have is liability coverage, however more coverage may be desired.
Another way to lower rates is to become involved in a community organization. Teenagers who are active in organizations like Girl Scouts, Boy Scouts and/or Eagle Scouts may get a discounted rate because these organizations teach responsibility and keep teens out of trouble while giving them the opportunity to improve their community.
In addition to keeping car insurance rates for teenagers low, making sure your teen has a safe vehicle and educating them on defensive driving and what not to do on the road can save their life. For example, teach your teen never to talk on their cell phone or text (which is illegal in many states) while driving. Stress the importance of staying within posted speed limits, and make rules on the number of passengers allowed in the vehicle. Too many people in a car can distract the driver and potentially lead to an accident. Most teens are natural risk takers, however with the right guidance they can drive safely, giving parents peace of mind and over time, lowering the cost of their insurance.