How to Save on Car Insurance when a Teen is Involved
I was a teenager once. You were too. I, though, was a really dumb teenager. I turned 16 right after PA state law changed and required teenagers to have their permit for 6 months before they could get their license. Back then, it really irritated me. Now, I totally understand (and agree with) the law.
Anyway, I didn’t drive very well when I was a teenager. Some people would argue that I still don’t drive well, I think they’re mistaken. I was kind of reckless, drove faster than I should, and acted like a know-it-all. At least, I did until I wrecked my 2000 Dodge Neon by hitting black ice and hitting a telephone pole, effectively totaling my car.
Sure, it stunk to total my car, but you know what was even worse? My insurance premiums. Until I turned 21 I suffered the consequences of my foolishness. Now, my car insurance is very reasonably priced; I’m 26 and female, which puts me in the contingent that is least likely to have a car accident.
If you have teens and are worried about your insurance premiums going up when they drive, here are a few tips to help lessen the loan of having a teen driver on your insurance.
- Make your kids take driver’s ed. Many car insurance companies offer significant discounts for drivers who take safe driving classes. This includes teens who take drivers ed and/or practice driving. If you can get your child in one of these classes, do it! Also, your child is more likely to know safe driving procedures; so, you’re killing two birds with one stone!
- Take advantage of good grades. All through high school and college, I got a 10% discount on my auto insurance because I had a 3.3 or better GPA. Ask your car insurance agency if they offer good student discounts.
- Get them an older car. Yes, I know your teenager may want that shiny new Mustang or whatever the car is that everyone wants now. Before you make that purchase, consider how much your insurance will be. Websites like Progressive offer quote comparisons, take advantage of them before deciding what car to get. Older cars usually have lower insurance premiums.
- Don’t let them drive in bad conditions. Learn from my mom’s mistake. One time, she let me drive in bad weather; I ended up with a totaled vehicle. If you live in an area like mine where the weather could be treacherous without warning, consider what it looks like outside before handing the keys over for the day.
- Have them help. A stipulation of getting my driver’s license and a car was that I would also get a job and help pay for insurance and car payments. It doesn’t reduce the overall cost, but it reduces your out-of-pocket expenses and can help teach your teen responsibility with money.
So, those are just a few tips for you when you’re dealing with the potential of a teenage driver. Your insurance agent should work with you in order to help you get the best deal for your teenager without breaking everyone’s budget.
