It is both scary and exciting when you hand over the car keys to your child for the first time.
For your teen, beginning to drive means stepping towards independence and freedom. However, it also adds immense responsibility.
For the parent, it is a surge of anxiety over safety and the added cost of insuring their young new driver.
But you should not worry. A lot of amendments in licensing and insurance laws for teens have taken place since you learned to drive. So, it is necessary to start thinking about how to properly insure him or her as they approach the age of driving. Generally, it is confusing, hurried, and expensive to have car insurance for teens. However, with proper research and asking questions, you can get out of the confusion, and possibly get a lower car insurance rate for your teen driver.
Estimated Car Insurance Cost
On average, adding a sixteen-year-old teen to your insurance coverage increases your coverage rates by 130 to 140 percent or an annual increase of about $2000. But it is possible to save some money when you add teens to your policy rather than getting a separate coverage for them.
Our Parent Guide to Insuring a Teen Driver
Here is our parent guide to insuring a teen for more details needed. In this guide, you will learn about the important steps that you can take to keep insurance rates of your young driver as low as possible.
The price of every insurer and its coverage is different, and what might be cost-effective for one might not be reasonable for another. You can compare through online quotes or by calling several agents.
To save money, comparing quotes can be the best option. A few minutes of research could save you hundreds or even thousands of dollars. Or you could hope your teen scores good grades to get a good student discount. A few minutes on the Internet may seem nearly painless now, right?
Consult with your automobile insurance company about what it would cost, and if they provide student discounts or any other discounts that you can take advantage of. In general, a good student discount can save 10 to 15 percent on coverage.
Find the Right Car
Buy the correct car for your teen. Your teen might consider a rental-grade sedan, such as a Ferrari, but cars having safety features with low horsepower are best for teenagers. Minivans are the cheapest vehicles to insure, but your teen may be unlikely to want one.
What’s More to Know?
In general, the states’ laws may vary. Make sure to keep in mind that –
● It is needed to add all licensed drivers in a household to a policy. If it is not the case, your insurer may not provide any claim or cover any accident. They may cover the claim only on the payment of the additional premium it would have charged you.
● It is acceptable in some states to exclude a licensed teen from your policy. While some don’t.
● It is not allowed for a teen to title a car in his or her name in most states.
● Getting car insurance is a contract. Though your state may not have age restrictions on titling a car, a person cannot get insurance by themselves if they are not old enough to sign a contract.
Willing to learn more? Contact our car insurance experts today to get car insurance for teens. We will be happy to assist you.