The biggest and most important reason that it is hard to find cheap car insurance for young drivers is their lack of driving experience. Insurance companies base rates mostly on statistical information, and new inexperienced drivers such as teens, are involved in more accidents than older more experienced drivers, like their parents. Unfortunately, even if your teen is a good defensive driver, the insurance companies don’t really care about that at first.
As your young driver gains experience, and does not have an accident, or tickets on their record, their rates will start to go down, at around 18, and then drops again at age 21. Another thing that insurance companies take into consideration is the age of the vehicle that your son or daughter is driving. Older vehicles, without many of the safety features like air bags, anti lock brakes, etc. will of course have higher premiums than a newer vehicle with these features. The safer the vehicle is, the more likely they are to have a lower rate.
We all know that many adult drivers out there are just as likely (if not more so) to drive aggressively than many younger drivers, and it often seems unfair that insurance rates are so high for them. Rather than argue about this, it is more important that teens get the best rates they can. One of the ways to reduce these costs is to put them on your policy. Comparably, the added cost on your insurance is far less than a separate policy for them.
There are other options also available to help reduce rates. Some insurance companies have discount programs for teens that maintain good grades, take extra driving courses, and other things that will reduce premiums. Sometimes, a student that maintains good grades, can get up to 25% off the amount of the monthly premium, which is saving quite a bit.
Another thing to consider when insuring your child is the type of vehicle, other than safety features. If they own a car that is high on the list of commonly stolen vehicles, or a sports car, the rates will be higher than other vehicles. This is a big factor when choosing the right vehicle for your teenage driver.
One of the most important things you can do to ensure that your son or daughter will get a better rate in the future is to teach your kids to be safe, responsible drivers. Sit down and talk to them about speeding tickets, DUI’s, and other dangerous driving habits. It is also a good idea to teach by example, which means that if you are an aggressive driver, weaving in and out of traffic, cutting people off, etc. your teen is going to think that is okay. Driving offensively, meaning that you are not only paying close attention to how you drive, but also observing other drivers, is a valuable lesson the many teens need to know.
Yes, car insurance for your young driver is not going to be cheap, but you should really get plenty of quotes for the best rates, and not just adding them on to your policy. If you check around, make sure that you are asking about discounts for grades, extra driving courses, and whatever else they may offer in incentives to get your teens driving safely right from the start.
