Getting car insurance for car insurance for young drivers in a household is always a difficult time, the prices are incredibly high, and the young driver usually doesn’t make a lot of money. Many insurance companies will try to rate the younger driver on the most expensive car in the home, rather than on the one that each person drives, this can make the cost prohibitive for the whole family. Here are some good tips to get you started saving money as best you can.
If The Company Offers A Good Student Discount Keep Your Grades Up
You will usually only have to show one good report card to get the discount, so ask your agent what it will take and go for it. Students that have good grades are better risks because they’re smarter, more careful, spend less time messing around and getting into trouble. By encouraging younger drivers to be responsible it can be an excellent win, win, situation. If your current company doesn’t off this discount, it may be time to switch.
It May Be Advantageous To Put The Younger Driver With A Different Company
By having the younger driver on a completely different policy with a different company you can separate his/her driving record from the parents. Then the younger person won’t be able to be driving the parents car for any reason because it would be without coverage, so be acutely aware of that fact. But, if the parent drives an expensive car, it will be incredibly expensive to insure with full coverage on a new, young driver.
For The First Car Get A Used Family Car
A used, American made, 4 door family car that is several years old is a great starter car. The rates for young driver drop considerably after the first few years, then you can think about getting a newer, more expensive car to drive. Also, the car will be rated higher if the child drives it to and from work on a daily basis, so insist on them riding the school bus as often as possible to reduce risk, and reduce rates. Many accidents among young people happen while they are showing off their cars at the local drive-in burger place, so have a talk about the importance of staying out of trouble, especially until the rates drop and they get more experience behind the wheel.
The high costs of car insurance for young drivers is mostly a reflection of the high costs of car repairs combined with the poor risks of young drivers. By working with the child and your insurance agent to reduce both you can save money and keep your child from having a serious accident.