Best Car Insurance For Teens

Today, we’re going to be talking about the best car insurance for teens. Because of their lack of experience on the road, teen drivers pay more for car insurance than any other age group. For example, the average annual cost of coverage for a 16 year old with their own policy is over $3,000, compared to about $700 for a 45 year old. Thankfully, there are still ways for teens to find affordable coverage. First, check for available discounts. 

Car insurance companies offer a variety of general and teen-specific discounts that can lower a young driver’s rate. For example, every major insurer offers a good student discount for teens in high school or college who maintain at least a “B” average. And most companies offer a discount for drivers who avoid at-fault accidents or moving violations, which can apply to teens as well. 

Next, compare the cost of an individual policy versus a family policy. Adding a teen driver to an existing car insurance policy  does increase the premium by up to 160%. But compared to the cost of purchasing their own policy, keeping a teen on the family’s insurance is still the most cost-effective option. You should also balance cost and coverage when selecting coverage. It may be tempting to only buy the minimum amount of coverage required by the state, but keep in mind that teens are especially likely to be in a car accident. If they get into a wreck, the minimum coverage may not be enough to cover the expenses. Before they purchase a new car, teens should do their research and choose a vehicle that’s cheaper to insure. Generally, sports cars, luxury vehicles, and cars with high theft rates are the most expensive to insure. 

Finally, teens should get at least three quotes before purchasing a policy. Each insurer has their own way of calculating premiums, so shopping around ensures that you’ll find the best deal. I hope you enjoyed this session on everything you need to know about Best Car Insurance For Teens. So always be sure to contact a professional before making any financial decisions.