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Top Considerations for Insuring A Teenage Driver

There are milestones every parent will remember. Your child’s first birthday, their first day of school, and of course the day the get their drivers license. The day your beloved child gets behind the wheel of a car is a day of tremendous pride and unbelievable concern. Concern for the welfare and safety of your child, and in some cases the world at large, and lastly the cost of the vehicle itself. Adding a teenage driver to an existing policy is an expensive addition, and for good reason. Parents looking for comprehensive auto insurance that many insurance companies consider teenage driversas some of the highest risks on the road and the associated costs can be substantial. There are many considerations that every parent should regard when looking for affordable auto insurance.

1. Who needs to be insured? 

It is important to understand that most insurance companies will require a family or household to properly and adequately insure every residing family member. This can be a requirement even if a teenage drive does not drive a particular household vehicle. The risk that a teenage driver may drive a car–even if driving that car is typically off limits to the new driver–is enough for most companies to require that that driver be included on any existing policy. It’s always a good idea to contact your insurance company as soon as a teenage driver receives his or her drivers permit, yet most policies will not change until the teen receives their actual license. It is possible to exclude a teen driver from an existing policy but it is important to understand that by excluding a driver from the policy, the policy will not cover any damages if that teen were to drive the vehicle for any reason. It is also important to remember that any teenage drive under the age of 18 can not legally own their car and as such must be covered by the household insurance policy.

2. Don’t let your teenager drive fast cars.

Your teenage driver has most likely spent more time fantasizing about driving then actually driving. Fast sports cars can encourage teenage drivers to drive too fast and take unnecessary risks on the road. Many insurance companies also consider sports cars to be higher risks for all drivers and as such often charge higher premiums. Buy your teenager a cheap car that won’t pose a large financial risk if it needed to be repaired or replaced. Insuring a cheaper vehicle can save a substantial premium and monthly cost for any driver especially a high rate teenage driver.

3. Take advantage of discounts.

Many insurance companies offer incentive based discounts which can save large amounts of monthly costs. Good student drivers can save up to 25% on your monthly bill. To be considered a good student, your teenager must maintain a “B” average. It’s a nice leveraging tool to keep you teenager on track in and outside of school. Consider consolidating all of your insurance needs under one comprehensive policy.  Many companies offer large discounts to customers who carry multiple policies. Of course a clean driving record is of great importance. Having a good driving record can be one of the best ways to keep insurance rates down. If you’re looking for quotes, offers them free on their site along with an informative FAQ.

4. Consider installing a insurance provided monitoring device.  

More and more insurance companies are offering monitoring devices that can be installed in your teenage driver’s car. These devices can track just about anything you can imagine concerning driving behaviors. Many of these devices can send you a notification alert if when your teen is driving irresponsibly. Speeding alerts, no seat belts, reckless cornering or abrupt breaking–some can even alert the parent to car movement during times when the car should not be in use. They can also provide the teen with verbal feedback; or transmit driving related video using a two-way camera. On top of all of that these devices can save you up to 15% on your monthly cost.

Hi there!

I’m Becky, a former elementary school teacher turned certified child development therapist and blogger. I work at home with my husband and together we are raising (and partially homeschooling) our four children in the Carolinas. I love diet coke, ice cream, and spending time with my family.

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