January 27, 2022
How to Save on Your Premium With Teen Driver Insurance
Between sports gear, college applications and braces, teens can come with seemingly endless expenses. When it’s time for them to start driving, insurance becomes yet another cost. But contrary to popular belief, adding your teen to your insurance policy doesn’t have to break the bank. If you’re aware of a few discounts, you can ensure your teen meets their requirements — and you’ll save as a result.
Check out more information about why teens are expensive to insure and how you can make your premium cheaper.
Why Does Your Premium Increase?
When you sign up for car insurance, your insurer looks at several variables to determine your premium. These factors include your location, driving record, age and more. With your personal information in mind, your insurer estimates how often you’ll need to use your coverage — riskier characteristics and circumstances lead to a higher premium, which is also true for other types of coverage, such as life insurance.
In the insurance agency’s eyes, teen drivers are arguably the riskiest drivers. That’s because they’re new to the road, and they’re more likely to drive late at night, speed and be distracted. As a result, insurance companies charge steep premiums that don’t decrease until teens are more experienced drivers. Just take a look at your own insurance premium — it’s likely less expensive than it was when you were in your 20s.
Fortunately, you can take a few steps to ensure your teen is properly insured without spending hundreds on your monthly premium.
Ways to Save When Adding a Teen Driver
Typically, parents add their teens to their current car insurance plans when the time comes. However, your teen may decide to purchase their first car once they get their driver’s license, meaning they’ll have the option of getting their own policy or staying on the family policy. Whether you choose to keep your teen on the family car insurance plan or help them pay their own monthly premium, you can take a few steps to make it more affordable.
1. Take a Safe Driving Course
When a driver gets into a car accident, they may pay a higher premium as a result. Unfortunately, teens don’t always practice the safest driving habits — nearly 43% of American teens don’t always wear a seatbelt as of 2019. To help reduce the chances of your teen experiencing a car accident, consider enrolling them in a safe driving course.
Explore certified safe driving courses in your area — your insurance company may have an approved list or offer their own. Upon successful completion, your teen will have a new set of skills to keep them safe on the road, and you can get a discount on your monthly premium. It’s a win-win!
2. Install a Telematics Device
In recent years, technology has become a tool for insurance companies to gauge how safely people drive. Through telematics, which are devices you put inside your vehicle to measure how often you brake, your speed and other factors, your insurance agency can collect more information about your driving habits. If your teen is a safe driver, they’ll have the data to back that up, and your premium will likely decrease as a result.
3. Consider Your Car’s Safety Features
Sometimes, car insurance companies offer discounts depending on your car’s safety features. If your car is more likely to protect you and itself in an accident due to components like its collision prevention and blind spot detection systems, your insurer may reduce your premium costs. Speak with your insurance provider to see whether safety feature discounts apply to the car your teen will be driving.
4. Look Into the Good Student Discount
Many insurance agencies reward teens when they get good grades at school. This discount varies from company to company, so you should double-check with your insurer to see how much you can save. Typically, your teen can get a discount so long as they maintain a “B” grade average. In some cases, your teen can benefit from the student discount while they’re in college, too.
5. Check Out the Student Away Discount
Is your teen heading off to college? Often, car insurance agencies will discount premiums when students go to college and won’t be taking their cars with them. Keep in mind that “distant student” discounts may only apply when students attend a college more than 100 miles away from home. This way, the insurance company knows they won’t be driving their cars unless they come home for break.
If your teen is going to school away from home, you may want to tell your car insurance provider and ask for a corresponding discount.
How to Add a Teen Driver to Your Car Insurance
Now, when do you go ahead with adding your teen to your car insurance plan? Typically, your plan automatically covers your teen while driving with their learner’s permit — contact your provider to make sure. As your teen works toward getting their driver’s license, you should consider whether to add them to your current car insurance plan or sign them up for their own coverage.
After your teen passes their driver’s license test, you’ll immediately want to let your insurance company know your plans to get your teen coverage. There are a few options for car insurance in Pennsylvania, so you should review each one with your insurance agent to see what works best for your new driver. Be sure to bring about possible discounts from the start to help mitigate premium costs.
Contact Lewis Insurance and Financial to Learn More Today
Are you looking to add your teen to your car insurance policy? Skip the steep premiums other companies offer by working with Lewis Insurance and Financial. Unlike other agencies, we customize your plan to your specific needs, ensuring you get proper coverage without a hefty monthly fee. Lewis Insurance and Financial can create the ideal car insurance plan for you and your entire family.
To get started, request a free quote using our online form. At Lewis Insurance and Financial, we’re here for the long haul — as your family grows and your needs change, we’ll always be here to ensure you have comprehensive insurance for a low price. Let us get your family the protection it deserves!
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