Young drivers pay some of the highest fees in car insurance. It’s not easy to find cheap car insurance for teens. The policy needs to fit a very limited budget, yet have enough coverage to take care of all those bumps newer drivers are bound to have.
Whether or not parents decide to pay for their kids’ car insurance, they likely want to make sure teen’s car insurance is affordable. There are some ways to help teens save money on car insurance. Here, we’ll show you just 5 ways to the best and cheapest car insurance for teens.
Adding Your Teen Onto Your Existing Car Insurance
Putting teen drivers on a parent’s existing policy can help teens get cheaper car insurance. It’ll increase parent’s car insurance quite a bit, but it will help teens save money. Just remember that teenage boys will cost a little more than girls!
Parents can also receive loyalty discounts for sticking with the same car insurance company. Adding another vehicle onto the existing policy will count towards a multi-vehicle discount, even if the teenage driver is expensive to insure.
Most car insurance companies will offer family and multi-vehicle discounts for teens and even young drivers under 21 still living with their parents. Be sure to talk to your current insurance company and compare quotes from other companies as well.
Good Student Discounts
Insurance companies reward teens for their good grades. Good grades show car insurance companies that a teen is responsible, and prioritizes their studies. As long as students maintain a 3.0 GPA or higher, they’ll be rewarded with cheap car insurance. Good students can save anywhere between 5 to 20% off of their car insurance.
Prioritizing Safe Driving
Did you know more teens die in car accidents than any other disease? As a parent, it’s your responsibility to make sure their teens understand how important it is to commit to safe driving. The best way for anyone to save money on car insurance: don’t make any claims!
An easy way of avoiding claims is to be a safe driver and not get into accidents. Even just a couple of years with a clean record can save teens 10 to 25% off of their car insurance. This is why teens should especially value safe driving, as keeping their record clean for as long as they can will really save them money on car insurance for years to come.
Also Read: 8 Reasons You Shouldn’t Text And Drive
Safe Driving Courses And Other Special Programs
Taking defensive driving or safe driving courses can save drivers tons of money on car insurance. Certain car insurance companies have specific ones they want their drivers to take, such as Liberty Mutual’s TeenSMART.
These courses help teen drivers learn to navigate potential risks before they occur. If teens learn how to recognize and avoid potential threats, they’ll be safer drivers. These courses are very affordable, and are the easiest way for teens to get cheap car insurance. Parents can even take the course with their teen to refresh themselves and receive the same discounts on their own car insurance!
Also Read: 10 Safest Cars For Teens Under $10K
Low-Mileage and Pay-Per-Mile Coverage
Teens don’t have many places they need to go, so it’s likely they could get away with a lower-mileage plan. If a teen drives less than 10,000 miles a year, they could qualify for a low-milage coverage. These plans have way cheaper premiums than other policies.
Another option for teens to get cheap car insurance is signing up for a pay-per-mile or pay-as-you-drive plan. These plans may also put parent’s minds at-ease and will show teens what some of their bad habits are. To sign up, teens will have to instal a telematics device into their car. This will show the driver:
- How much they drive
- Braking habits
- Average speed
- Time of day the vehicle is most used
These plans can save teen drivers anywhere between 5 to 45% off of their car insurance.
Talking To Your Teen About Car Insurance
A car is a big responsibility, and it’s likely the first financial burden your teen will have to take on. Deciding on how your teen has to pay for their car insurance is a big decision. Teens should go with their parents to learn about some of the basics on car insurance.
To get a quote from some of the most popular car insurance companies, you can call Quote Purple for free quotes. Compare some these quotes with your teen to decide how they’re going to pay for their car insurance.
Also Read: Are You Eligible For These Hidden Discounts?