There are a lot of ways to bring down the cost of a teen auto insurance policy. Aside from asking for a discount outright, you could have your teen get driver's education, obtain a lot of quotes and compare them to get the best deal on both coverage and rates, buying not so expensive car for your teens, assigning a certain car for your teen, and paying a higher deductible.
Some things, however, can affect your teen auto insurance premiums. To continue enjoying the lower premiums you get at the start or perhaps to even to drive it lower, keep these things in mind:
- Insurance companies have different age limits for considering an insured as an adult. Most consider drivers aged 25 years old or older as adults, while some may consider 23 year olds as adults. Married drivers younger than 25 years old may also be considered an adult. When your offspring becomes an adult by your insurance company's standards, you might consider taking out a separate policy for him or her. This will save you money as your teen gets qualified for lower premiums.
- If you assign a certain car to your teen for insurance purposes, make sure that he or she only drives that car. If you allow your teen to drive another car and has an accident, your insurance company might decide not to renew your policy, impose a penalty, or increase your teen auto insurance premiums.
Your teens' and your own driving safety record will affect the premiums of your teen auto insurance policy. Therefore, it is imperative that everybody in the house puts a certain degree of importance on driving safely. If you do not have a good driving record, or has just had an accident recently, you may want to consider getting a separate insurance policy for your teens.
While the first concern in driving safely is to avoid injuries or even death, having a good driving record also translates to a better position in negotiating for lower insurance premiums.
- The shorter the distance that your teenager drives to everyday, the lower the premiums on his or her insurance. That means if he goes off to college and lives in a dorm, you may be qualified for lower premiums!
- Consider higher liability coverage. Remember that teen drivers carry a higher risk on the road, so it does not make sense to lower liability coverage just to lower teen auto insurance premiums. It is better to pay a few extra dollars now than to pay for a lot more in the event that you teen might have an accident.