Teen drivers are particularly at risk of accidents during the first few months of receiving their license. In fact, the crash risk per mile driven for newly minted, 16-year-old drivers is 1.5 times the risk for drivers age 18 or 19. The cost of auto insurance reflects that risk. However, here are some steps you can take to lower the cost of coverage for your new driver.

How Teen Drivers Can Reduce Auto Insurance Premiums

1. Bundle Policies

Most insurers offer a bundle discount for clients who buy more than one policy from them. For instance, buyers often pay less when they buy both car insurance and home insurance from the same provider. The same is true for multiple auto insurance policies or any other combination of coverage.

2. Choose the Right Car

One of the most important factors in determining insurance costs is the car. With an older, less-expensive vehicle that is not financed, you may choose not to carry full coverage, which will help lower the rate. Also, vehicles with good safety ratings tend to have better insurance rates. You can check out safety ratings from the Insurance Institute for Highway Safety (IIHS).

3. Get Good Grades

Auto insurers have discovered a correlation between safe driving habits and good grades. Many companies offer discounts to teens who earn straight As or places on the honor roll or dean's list. Ask your agent how to qualify for a student discount.

To see if you can reduce your auto insurance rates, contact Daniel Oliver Insurance Agency in Edina, MN. They have more than 30 years of experience serving clients in and around Hennepin County. They specialize in auto, home, business, life, and liability insurance. Reach out to them online through their website, or call (952) 925-4454 to request an insurance quote.