Teen Drivers Cost Double

So, you’ve got all your ducks in a row, including low premiums and low monthly payments on your car insurance. You’ve worked super hard to get the best car insurance rates to cover all the adults in the family. You maintain an impeccable driving record, so you can keep some money for bingo night. Furthermore, you feel that you have things covered, because you got a good deal on the best full collision, accident or liability coverage policy in your city.

You’ve heard horror stories of sky rocketing car insurance rates from your friends that needed to add their teenager to a policy. However, you thought to yourself, “Maybe they’re exaggerating, or maybe they didn’t do enough comparison shopping to find the best rate for teen car insurance coverage.” Will you have to face the same wild expense just so your teen can be on the road? Will you have to forgo a few bingo nights to afford the best rate for your teen driver?

Hold Your Horses! A Driving Teen Means More Green

Your fears are warranted when it comes to finding affordable car insurance rates for your teen.

Your teenager is about to be of driving age, and everyday she’s been asking you about driving. Somewhere in the back of your mind you’re wondering just how much it’s going to cost you to cover her. Do teen drivers really cost double? Although you heard it, you’re still hoping you’ll only pay a 10% or 20% adjustment in your monthly car insurance payments.

Conservatively speaking, you really could see an increase of 58% to more than a 60% increase in your normal car insurance coverage by adding your teen. However, this percentage monster also depends on if you are in a lucky part of the country. Do you live in Scottsdale, Hartford or Culver City? These are just a few places that are seeing family insurance rates increase between 94% and 232%! Yes, these rates are unbelievable!

Why are the car insurance rates for teen coverage so much more expensive? Teen drivers present one of the highest driving risks, because of their lack of experience and judgment. Teens have far more accidents and tickets on their driving record than any other category of drivers. Specifically, your teen is almost four times more likely to get into an accident or collision than any other driving class, according to statistical data from the National Highway Transportation Safety Administration (NHTSA).

Still Hoping for a Lower Rate? Then Execute a Plan

Besides the nightmarish possibility of your teen getting into an accident, looking at all the factors that cause insurance premiums to go up can be overwhelming. Is there anything you can do to get a reasonable or affordable car insurance rate to cover your teen with full comprehensive coverage? Can you still find an affordable rate to cover hospital or therapy in the event that your teen will need it? How can you lower premiums cost when it comes to uninsured motorists? Where do you draw the line in coverage cost?

Your first step to saving money on car insurance to cover your teen driver is to jump online and do some comparative shopping. Using the phone can sometimes be a drag and time waster when trying to find the best rate in car insurance. However, plenty of sites offer rate information on insurance companies that cover your area.

You can even find insurance companies that specialize in the hard-to-cover teen drivers that have already gotten a ticket or accident on their driving record. Conveniently, you can get information on the cost of teen car insurance coverage based on age, type of car, and even good grade discounts. Furthermore, it will only take you a few minutes to pull up several companies to compare their rates.

Next, encourage your teen to get good grades. Insurance companies see this as a sign that your teen is responsible in one area, and therefore will be a responsible driver. Discounted car insurance for teens with good grades can be as much as 10% to 15%. Additionally, you can always threaten to take away the car, if they don’t get good grades, before your six-month car insurance payment is due.

Driving Monitor

Do you already know that your teen drives responsibly? Then, ask your insurance company if they provide a discount for the installation of a driving monitor. Driving monitors are electronic systems that let you see how your teen is driving by recording driving data and sometimes even providing a video feed for parents to observe. Knowing Mom and Dad are always looking makes teens drive more carefully and take fewer risks. Teens only break the rules when they think they won’t get caught. Driving monitors take away the temptation to misbehave.

Ask your current insurance provider if they have a teen driver safety class that comes with a discount. Also, one of the best ways to save on teenage car insurance costs is to shop for the car that will give you the best rate. Therefore, you may need to hold off on purchasing a vehicle until you find out how much it will cost you in insurance. Keep in mind that a cheap car may not always be the best choice for safety. Car insurance companies may see a cheap car as an additional risk, due to the likelihood of total collision of the vehicle in an accident.

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