Teen Driving? Expect A Jump In Your Car Insurance

cabrio old body styleYour insurance company determines your premium rate based on the risk you pose to them. The less risky you are, the less you have to pay for your auto insurance. So, it is not surprising when teens become new drivers that your insurance rates go up substantially. In fact, it is not surprising if they go up 50 to 100 percent. After all, teenagers are a lot more risky to insure than someone who has been driving for 20 years. And, according to the National Highway Traffic Safety Administration, drivers under 25 are 4 times more likely to die in an accident than older drivers.

What are some things you can do to keep the cost of your policy down? First, reinforce safety among your teenage drivers. The worst thing you want is to have them get in an accident and have your rates increase again. Also, keep the car in your name and try assigning your teen driver to just one vehicle. If your child is a good student, than it is possible you can get a discount for this.

You may also want to look into separate policies for teenagers. Whatever you do, make sure to shop around and find the best policy. It is important that you get the coverage you need at the best price.

One Response to “Teen Driving? Expect A Jump In Your Car Insurance”

  1. […] risk for the teen behind the wheel. Also inherent in the young driver’s experience is that of the cost of adding an inexperienced driver to an auto insurance policy. Parents and teens should know, however, that there are things that reduce cost for teen drivers to […]

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