It can be a real headache, but it doesn’t have to be. That’s where we come in. Here are ten tips on how to save money on your teen’s insurance insurance policy:
It can be a scary thing when your teen finally gets their driver’s license. Instantly, this new world is available to them and the freedom as well responsibility that comes along with it is immense. There will be both great positives and negatives that arise as they begin to explore with their new found desire to get out. After all of the excitement dies down, and before they even hit the open road, there will be a few more necessary steps to take and car insurance is surely one of those.
It can be a real headache, but it doesn’t have to be. That’s where we come in. Here are ten tips on how to save money on your teen’s insurance policy:
- Add your child to the policy - If your teen gets their own insurance, it will most likely be sky high and if you had them to your policy, this will save both of you much money. Many more discounts will suddenly become available to you and keep some bills in your wallet.
- Let the insurer track their driving - A lot of insurance companies are getting themselves more and more involved in the tech craze that is sweeping this nation, and as such, often have devices or apps that will allow them to track the driver’s habits. As it monitors what your child's habits are, the safer these behaviors the more the discount. You’ll even receive a discount for simply installing the small device, such as Snapshot from Progressive, or an app on your teen’s phone, like Drivewise by Allstate, so long as they keep up the good driving.
- Keep up the grades - The good student discount is one offered at most, if not all, insurance providers, and the requirements for each are generally the same. If your child upholds a B-average and you provide proof of such, in the form of a transcript or report card for example, they will automatically and easily qualify for this discount.
- Buy used - This is a bit of an obvious tip, but an older car makes for a better first time vehicle, especially since you adults are statistically at a much higher risk of crashing during this time period in their lives. If or when they do, a used car will be much cheaper to repair than a new one and it is always cheaper to insure.
- Tell the insurer when they’re off to college - The majority of people on college campuses do not have cars, so if your teenager goes to college (and is at least 100 miles away) make sure to tell your provider. Don't worry, they will still be insured, but your rates will drop dramatically during the semesters.
- Increase your liability insurance - Increasing your liability on your insurance is very importance, and is often not just a way to potentially save money in the long run, but also ensures yours as well as your child's safety. Should you be at fault for an accident where the damages are greater than your insurance coverage, your finances, as well as property can be at risk of a lean, or seizure by the courts to pay for the remaining damages. You risk losing your car or even house, this is why it's important to do increase your liability rates.
- Re-evaluate your collision and comprehensive coverages - If the car your teenager drives is worth less than $5000, may not be worth comprehensive and collision coverage. If, however, the car is more expensive, it is advised that you increase your deductible to $1000 - $2000 which significantly lowers your premiums. Be sure that you have the finances to pay out of pocket should something happen, but remember, a higher deductible might cost you more up front you are still saving a significant amount of money in the long run.
- Enroll in safe driving programs - Taking a driver’s education course can not only reinforce the importance of road safety, it also provides you with discounted premiums.
- Make yourself aware and take advantage of all discounts applicable - There are many discounts that arise, as mentioned earlier, if you add your child to your policy. The multi-car, good driver, multi-policy, and safe vehicle ones are just a few. To get a more complete and accurate picture of what exactly you can receive, get your quotes through Insurify and speak to our dedicated agents directly.
- Shop around - As with anything, shopping around is your best bet. Some insurance companies offer fantastic deals for teen drivers while others may offer great rates as well as other discounts specific to them. For this reason, not settling on the first quote you find is very important. It’s best to keep your options open until you are absolutely sure that that is the right policy for you. Get your quotes on Insurify, you will be able to have an apples to apples comparison of real time and accurate quotes in just under 3min. It is simple, easy and saves you money too.