Saving on your Teen's Car Insurance

Have a new teen driver? Be prepared to pay rates that are through the roof. Insurance companies know that younger drivers get into more accidents than older, more experienced ones, and use that to their advantage when you are looking for teen driver rates.

Insurance companies might vary the rate depending on a few different things, one of which is their gender. Teen males have historically been more expensive to insure because they are seen as higher risk. Teen drivers between the age 16 and 19 are 4 times as likely to have a wreck compared to those over 19. Although insurance companies want your business, they also have to protect themselves.

Although teen insurance is expensive, there are a few things that can help reduce that rate that you are given:

• Maintaining a B or higher average grade in high school.
• Receiving certificates from safety courses.
• Bundling the policy with others.
• If your teen went to college 100 miles away without their vehicle.
• Raising your deductible

Keeping your record clean is another easy way to save money on your premiums. Something as small as not coming to a complete stop at a stop sign can result in a ticket and can raise your rates. Have discussions with your teen about these infractions and what they mean for the monthly premium. Similar to the original rates given, males tend to see a higher increase in premium per infraction than females.

It might seem like insurance companies are biased, but their numbers and research back up the rates. In order to keep the lowest rate for your teen go over what we listed out above. Remind them that their grades are more important than just getting into college, to abide by the laws and to buy in to their safety driving courses. It can save you money in the long run.