Cheap Car Insurance for Young Drivers

December 22, 2017

Young Driver

For parents, insuring young drivers can make monthly auto insurance premiums jump. The folks at U.S. News ran the numbers. Adding a teen driver to a policy can make the premium increase 111 percent. When a parent buys their teen a driver a car and adds them to a policy, premiums can increase by an incredible 156 percent.

There is a fundamental reason why young drivers are more expensive to insure: they’re statistically more likely to be involved in an accident. Here are some eye-opening statistics:

  • According to the Centers for Disease Control and Prevention: Car crashes were the leading cause of death for teenagers
  • The Insurance Institute for Highway Safety reports that teen drivers aged 16 – 19 years old are three times more likely to be involved in a fatal crash than a driver over 20
  • Young drivers are more likely to be distracted by their cell phone, GPS or talking with friends, affecting 58% of accidents involving teens. Reported by AAA Foundation for Traffic Safety

For young drivers who make their own car insurance payments, they know just how expensive it is to be an inexperienced driver. Wouldn’t it be great if someone made cheap car insurance for young drivers? Compare.com has tips for bringing down the cost of auto insurance while maintaining the coverage limits young drivers need.

Why do Young Drivers Need Cheap Car Insurance?

We understand why it costs so much to insure young drivers. The odds of a young driver being involved in an incident that requires the car insurance company to pay out are higher than they would be with older, more mature drivers. The problem is that for young drivers who are insuring themselves, it’s a hard cost to bear. Most young drivers work part time at jobs that pay either minimum wage or close to it, which means much, if not all, of their earnings are going to expenses such as insurance payments and gas. For these drivers, cheap car insurance is critical to their financial well-being.

As the economy recovers, there aren’t many parents out their eager to take on the high cost of their young driver’s car insurance payments. Those parents that do pay their child’s insurance premium often feel the strain, especially if they have more than one young driver on their auto insurance policy at a time. For them, cheap car insurance for young drivers would save them a lot of worry as well as money. So it’s surprising that so many parents simply add their young driver to their existing car insurance policy without doing anything to lower the cost.

How Do I Get Cheap Car Insurance for Young Drivers?

There are several steps you can take to get cheap car insurance for young drivers. First, get a quote on Compare.com and see what’s out there. What’s the difference if you change your coverage levels? What about going with an insurer that isn’t a big name, but is offering a better deal? Comparing prices is the easy part, here are some extra tips on bringing down your price.

Look for Discounts

Try to qualify for as many discounts as possible. From Good Student discounts to Safe Driver discounts, there are a lot of available discounts to young drivers and you can save a good deal of money through these alone. Good2go Insurance offers customers a discount for installing an app on their cell phone that blocks texts and calls when you’re driving. Be sure to ask your insurer for any other discounts that you could qualify for.

Discounts exist for college drivers who go away to school. Simply updating the mileage you drive could cut your rates. Oh, and don’t forget about discounts for good grades too! They all add up so look for as many as you can possibly qualify for. Not sure where to start? We recommend speaking with your current insurance agent. Tell them you need to lower your rates and then ask if they provide any discounts for which you might qualify as a student or a parent of a student.

Try Driver Safety Courses

There are a wide range of driver safety courses available to young drivers. Completion of these courses can reduce car insurance costs and turn expensive car insurance into cheap car insurance. Many states even require that your insurance provider give you a discount for taking the course. Discounts range from five percent to 20 percent. Learn more about driver safety courses and auto insurance savings.

Drive a less exciting car

Statistics have shown that teen drivers are more likely to be involved in a serious accident. This isn’t helped by the kind of car that young drivers like to cruise around in. Nearly 50% of people that own a Mitsubishi Lancer, Volkswagen GTI and Subaru Impreza are Millennials.

Volkswagen GTI

It’s hard to be a young driver. You want to drive a nice car. You want everyone to see how cool you are and driving a soccer-Mom minivan or your Dad’s safe sedan won’t give you any cool points. However, driving a less exciting car can significantly reduce how much you pay in car insurance premiums. You can’t corner as well in a Honda Odyssey vs a Ford Focus RS, but that’s what insurance companies like about them. So maybe settle for the four-door, four-cylinder car instead of the 2.0 liter turbo and use that money you saved for something else.

Have Your Driving Monitored

Having someone judge your driving may not sound like much fun, but installing a little black box in your car could help you to save. A whole bunch of companies are wising up to ‘telematics’. This is when you install a small device in your car, or download an app and it tracks your driving for things like speeding, harsh braking and what times of the day you drive.

If you’re a good driver, you may get a premium adjustment after a couple of months of monitoring. Some insurers will offer discounts for not driving between 11pm and 5am or limiting the amount of miles you drive.

Compare Auto Insurance Prices

One way you can find cheap car insurance for young drivers is to compare car insurance prices. Auto insurance providers each have a type of driver they prefer to insure because their business is built to support that specific kind of risk. Drivers who don’t fall into that category may end up paying more.

Although, there are insurers that specialize in young drivers or drivers seen as ‘high risk’. To get cheap car insurance for young drivers, try comparing car insurance quotes with Compare.com. You’ll see right away the difference in pricing from insurer to insurer. Check out how much you can save today!

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