If you have a teenager, you are probably hearing their frequent requests to drive the family car. Whether they have a car of their own, or they are driving your car, getting insurance for your teen driver can be a bit on the pricey side. With a little bit of elbow grease and gumption, you can help keep your teen’s driving rates and car insurance costs low.
Teenagers are one of the riskiest driving groups around, so their insurance is often more costly than insurance for other age brackets. There are a few factors that make teens a riskier insurance investment for providers.
Not only are they just learning how to drive, but they are also dealing with a lot of personal change and social pressure. This can be a recipe for disaster when it comes to the road, and insurance agents are fully aware of this risk.
One of the best ways to cut car insurance costs for your teenage driver is to enroll them in driver’s education. If you make them pay either half or the entire fee for the class, they are also more likely to understand the importance of passing the class.
Once they do pass the class, you will want to contact your insurance provider and talk to them about potential driver’s education discounts. They also offer good student discounts, so if your teen has stellar grades, everyone will benefit. If you can offer proof that your teen is already above and beyond the safety of many other teenage drivers, it will save you money on insurance.
Limit their gas fund. If they are driving your car, it is a good idea to ask them to purchase the gas they use when driving around, or have them pay a monthly fee for a certain number of car use hours.
If your teen has unlimited driving privileges, and you are dolling out their gas bill, it may be costing you tons of cash every week. Not only will you save money by having them pitch in, but you will also be able to teach them the important lessons of financial responsibility, reducing gas waste, and making sure they only use the car when they need it.
Although many teens have a tough time with this lesson, it is also useful to let them know that being able to drive a car is a privilege, not a right. Not only are they lucky enough to be able to physically drive if they are asking to borrow the car or drive theirs to school, which is a privilege many of us take for granted daily, but they should be reminded that their use of the car is contingent on their clean driving record.
In addition, you might ask them to pay for part of their car insurance, so they are aware of accident costs. If you do have rules or pacts in place for gas use or mileage, it is also a good idea to enforce those rules, and discuss the consequences of breaking any guidelines you have set up.
Let’s face it- teens can be tough to deal with sometimes. However, when you keep your teenage driver’s costs as low as possible, you will probably have more patience for their mood shifts and emotional overloads.
When lowering teenage driver costs, it is really all about teamwork, accountability, and responsibility between parents, the teen, and the insurance provider. As a parenting bonus, you might be able to procure them a better rate for their future car insurance endeavors as long as they keep a clean driving record.