Getting Discounted Rates on Teen Car Insurance

Insuring a teenaged driver can be a real drain on the pocketbook.  By far, teenagers have the highest accident rates, and insurance agencies consider them a very high risk.  However, there are discounts available that can make teen car insurance more palatable.  Here are some options for reducing the rates for young drivers.

1. Grade Point Average Discount for Teen Car Insurance

Insurance agencies have noted a marked improvement in driving records among young people who maintain a good grade point average in school.  If your teen maintains a B average or higher, there’s a good chance that he or she can get a reduction on car insurance rates.

2. Enrolling in College

Many agencies lower teen car insurance rates for people who enroll in college.  Additionally, if your teen lives on campus and does not bring a car along, there may be an additional discount because the insurance agency can be sure that he or she will not be driving frequently.

3. Taking Safe Driver Courses

Everything that you can do to show that your young driver is a safe driver will help to reduce the cost of teen car insurance.  Driver’s ed and defensive driving courses give your teen additional instruction about how to be a better driving, which can both reduce the cost of teen car insurance and protect his or her life.

4. Restricted Driving Agreements

Insurance agencies in some states offer young drivers the chance to get discounted teen car insurance in exchange for agreeing to certain limitations on their driving.  For example, they may agree to not drive with other passengers in the car.  Note that if your young driver breaks these prohibitions and gets into an accident, they may not be covered by their insurance policy.

5. Safe Driver Agreements

Teen car insurance can also be lowered by agreeing to follow certain safe driving principles, like swearing not to drink and drive and avoiding other risky behaviors.  Certain agencies will cut rates for these agreements.

The pain of paying for teen car insurance can be vastly reduced by paying close attention to the insurance you purchase.  Other general tips on lowering insurance premiums, such as purchasing cars that have high safety records and shopping around for the best insurance agent, will also make teen car insurance less of a burden.  The best advice is to start asking around early.  By taking your time to find a great deal, you can save yourself thousands of dollars a year.