Perhaps in your family teen car insurance is becoming an issue. Here are some things to consider
When your teenage son or daughter successfully navigates that rite-of-passage and becomes a new driver, it’s an exciting time. It can also be nerve-wracking for mom and dad…and expensive! Before adding a teen to your family car insurance coverage, there are some things you should consider.
Cost will be one of your first considerations
It probably goes without saying that a teen driver is seen as a high-risk driver to most insurers, and high-risk drivers usually generate high-dollar premiums. Fortunately, there are some steps you and your teen driver can follow to reduce your policy premiums.
One of the first steps is to inform your insurer prior to your teen getting his/her license that a new driver in the family is imminent. Your insurance company probably requires you to reveal all drivers who live in your household, even if they do not drive all of the cars covered by your family car insurance policy. In fact, some insurance companies require that policyholders reveal all household occupants and their ages, regardless of whether every occupant is a licensed driver.
We can send you free quotes on car insurance coverage for teen drivers
While the addition of a teen driver to your family’s car insurance coverage may, on first blush, seem expensive, here are a few steps you can take to lessen the cost and help put your teen driver on a path to lifetime of good driving:
Driver’s education classes
Your teen can prove that he or she is a responsible driver by enrolling in a driver's education program. These programs are offered by most schools or can be taken at a commercial center or private provider. Although these private courses may cost a few hundred dollars, the insurance discount you stand to reap over the course of your teen driving is well worth the expense.
Be a good student
Encourage your teen to maintain good grades. Nearly all auto insurance companies will give a discount for teen drivers who maintain a particular grade point average. Many parents insist that first-time drivers make good grades to keep their driving privileges. This is a great incentive for most teens because the thrill of driving is worth the extra time spent studying.
College-bound?
If your teen is headed to college in another area that is a pre-determined distance from your home and will not be taking a vehicle, you can also get a big discount on your insurance. Check with your insurance company for special rules concerning college students listed as drivers on your policy.
Safe driving pledges
A growing number of insurance companies have programs that help lower rates for teen drivers who sign a “pledge” to be a safe driver. The pledge can include everything from a promise to always wear a seat belt and not text and drive, to enrollment in insurance company programs or classes for ongoing safe driving training.
Go it alone?
Some families have strict policies and rules for teen drivers requiring them to “go it alone” with their own purchase of a car and with that, their own purchase of car insurance coverage. In nearly every case, this is far more expensive than adding a teen driver to an existing family car insurance policy.
(Use this guide for more information on teen car insurance)
Earning the right to drive is an exciting rite of passage for your teen, and you can be a positive force for a future of safe driving if you work with them, You can also lower the cost of your family car insurance coverage in the process. Having an experienced insurance professional working with you is an added benefit and Reply! can help by connecting you with local insurance professionals with the experience you’ll need.