How to Get Lower Rates for Teen Drivers
If you have a teenager who has reached driving age, it is likely that you have already discovered the extraordinarily high rates for automobile insurance. Even if you have had a policy with the same company for many years and have been a good driver with no claims, it is almost a sure thing that this will not even help you when you have a teenager in the household. Whether or not they have a car of their own, just knowing that a teenager with a drivers license is in your home will make your rates go up. Fortunately, there are some things that you can do to lessen the impact on your rates. Read on for some tips that could help.
Even before your teen driver gets a license, sign him or her up for a driver safety class. This can make a big difference in what kind of rates you are charged. Be sure to get proof of completion and a copy of whatever certificate shows that they have finished the course. This certification is often a part of a drivers education class through school or a private company.
Though it seems a bit unfair to average students, if your child happens to excel in school, you can qualify for reduced rates on automobile insurance. Reasoning for such a discount varies, but generally, students with good grades are deemed to be responsible citizens and therefore may be less prone to taking risks behind the wheel of a car. Whether or not you agree with the reasoning behind this, you will certainly want to take advantage of it. Encourage your children to keep their grades up, and consider offering rewards if they do so, or even restrictions on driving if their grades slip.
You want your teen drivers to be safe at all times, but this does not necessarily mean that the car they drive needs to be a new one. There are plenty of dependable cars that have a lower value, thus making them less expensive to insure. Keep it serviced and in good running shape, but keep the value low if at all possible. Look for older cars with fewer miles.
When signing up any driver for automobile insurance, including teen drivers, you will asked for an estimate of how many miles each driver will put on the car. You want to be honest and accurate in providing this detail. It will make your rates lower if the teen driver will only be using the car occasionally, rather than as a commuter vehicle to and from work or school. You do not want to be dishonest, however, because it can disqualify a claim if they determine that you lied on your application.
Keep all these things in mind when finding a good rate for your teen driver. Ask your current provider for any suggestions and ideas, then check around with other companies who may offer better incentives to switch. Remember that your money is hard-earned and you do not owe allegiance to any one company. Find the best deal and make sure your teen driver is safe and confident behind the wheel.