Because of their youth and inexperience, teen drivers are particularly expensive to insure. But if you follow the suggestions below, you may be able to design an affordable auto insurance policy for your new driver, all while instilling them with values and work ethic. Below are some of the most effective, cost-saving tips.
How to Save on Teen Driver Auto Insurance
1. Choose an Older, Less Expensive Car
Although new drivers tend to pay a premium, the most important factor insurers look at when setting prices is the cost to repair or replace the vehicle. Instead of assigning your teen driver to the family's brand-new luxury automobile, consider purchasing a solid, safe car that still has some life in it. The reduced cost of insurance may completely offset the price of the vehicle.
2. Complete a Safe Driver Course
Alabama, like most states, offers a variety of defensive driving courses that enable drivers to remove points from their license or reduce their auto insurance rates. Enroll your teen in one of these and, depending on the insurer, a completion certificate could save you hundreds of dollars a year in premiums.
3. Get Good Grades
Encourage your teen to buckle down and do well in school. Insurers have found a correlation between good grades and responsible driving habits. Many of them offer a good student discount to teens who can demonstrate they've earned a B average or made the dean's list or honor roll. Ask your insurance agent if your child qualifies for a discount.
4. Bundle Policies
Insurance companies also offer "bundle" discounts to policyholders who buy more than one policy from them. It pays to bundle your teen's policy with your own. You often pay less for the pair than you would if you purchased them separately.
To discuss your teen's auto insurance options with a friendly, experienced insurance agent, contact Enterprise Insurance Services in Enterprise, AL, or their sister location in Daleville, AL. They represent a variety of well-known national brands, including Allstate®, ASI®, Foremost Insurance Group®, Progressive®, Safeco®, and Travelers®. In addition to auto insurance, they also specialize in business, life, farm, and homeowners insurance. Visit their website to view location details and office hours or call (334) 347-9133 to request a quote.