Sometimes we see articles or videos suggesting that it is almost impossible to find car insurance policies for teen motorists. This is not true as there are companies willing to insure young people at reasonable rates. Remember that today’s young and high risk drivers are tomorrow’s mature, careful and highly profitable low risk drivers. Some companies like to get in early in this market. Besides they have got to start from somewhere. We were all young at some stage.
What Car Insurance Rates Are Waiting for Teenagers?
It is no secret that it will never be cheap to insure a teenager whichever way you look at. They may benefit from their parents good driving history if they were added in their policies. This will considerably increase parents’ premiums but it will still be cheaper than getting a policy just for the teenager. Furthermore, the companies that would not want to insure a young driver would accept them to be listed on parents’ policies. Parents may be long standing customer of the company with great records. This may work as a reference for the new driver.
The bottom line is that you are looking to pay thousands of dollars to insure a young person on a separate policy even you were to only buy a third party liability policy. The actual amount would depend on many other factors like zip code, the type of automobile insured and the company you choose to get a quote.
What to Do to Lower Vehicle Insurance Premiums Charged for Youngsters?
If the youngster is in college he/she may need own policy. In these cases, they may find more affordable policies from companies that offer good rates to students living in campuses. They are relatively safer in a campus environment and therefore it is worth mentioning this fact or look for companies offering such discounts. The other young drivers in the college would be able to recommend some good auto insurers.
The other options are to look for possible savings. The first one that comes to mind is to get good grades at school. This would normally qualify you for around ten percent discounts. The second option is to take advance or safe driver courses. This option does help youngsters to learn better driving habits and it may as well save their lives. They can save another ten percent once they complete their courses.
Youngsters should never accept the first quote they receive. As the amount in question is large the possible savings can be huge as well. They can achieve to find cheaper quotes from other insurers by shopping around carefully. The difference between a high quote and a low one can easily be a thousand dollar. This would pay for a lot of things in a young person’s life.
Why Youngsters Are Being Charged High Auto Insurance Premiums
Usually any new driver would be considered high risk due to lack of experience. When you add the lack of life experience, high testosterone and tendency to take unnecessary risks it is not hard to see why companies are worried about insuring them. Generally male drivers between the age of 16 and 19 are considered the highest risk drivers.
The chances of a new driver having an accident in the first year are pretty high. Also, crashes involving young drivers are more serious than others with fatalities and serious damages. Unfortunately many accident statistics work against youngsters in terms of claims and consequent high automobile insurance costs.