Although the horizons are opening wide for the student, and the future looks bright, having to pay high rates for car insurance can put a damper on the tight budget of a young person. There are lots of pitfalls that should be considered when it comes to buying car insurance for students. Any mistakes along the way could lead to tragic results and the inability to afford to drive.
It’s Important For The Young Driver To Enroll In A Driver Education Course
Sometime these courses are called driver safety education, but it’s all the same type of focus. They’re designed to teach defensive driving, lane changes, parallel parking, how to drive in bad weather, and impress upon the student how dangerous it is to drink and drive. The students that take these courses end up with better driving records, lower insurance rates and much lower fatality rates as well. Accidents are the leading cause of death of young people under 25 years of age, and cars are largely responsible. Most insurance companies give good discounts to their young clients that complete these courses and for good reasons, they have far fewer claims.
If You’re Going Away To College, Stay On Your Parent’s Policy If You Can
By staying on your parents policy you can gain the advantage of the multiple car discount that can add up to quite a savings due to the high price of car insurance for young drivers. Many companies also give an even greater discount if they are able to handle the homeowners policy and even renters policy in addition to car insurance for students. Even though these are just percentages, they all add up.
It’s Best To Drive A Used, Inexpensive Car Without Collision And Comprehensive Coverage
The first two years that a young person drives are the most expensive due to the poor driving and lack of experience involved. Then, the rates will drop dramatically, as long as there are no tickets or accidents reported on the driving record of the teenager. Every two years you can expect another drop in rates, then when you can afford a better, more expensive car, you’ll have rates you can handle as well. When you have a loan on a vehicle, the loan company or bank will require full coverage insurance to cover their interest in the car.
Surviving the first few years without incidents like tickets and accidents can be done if the younger driver makes a solid effort to follow the speed laws, stay out of trouble, and not drink while driving. It’s always a wise idea to discuss your plans with your insurance agent to know the best and least expensive path to follow.