It is a great feeling to pass your driving license test and you cannot wait to get on the road. Even you don’t have much money you can probably buy a small used car. Many people go with a starter car in the early years. However, you need to get the most economical auto insurance for young drivers in order to be able to afford insuring your vehicle and pass the next stumbling block.
Lack of experience and strong statistical risk indicators against teenagers make it harder for companies to offer good rates. The premium quotes are usually in the thousands and fluctuate considerably between companies. Follow the link to get an idea as to what is average car insurance rates for teenagers. In many cases you may need to pay more money than the cost of your automobile, especially older used ones.
Therefore, it becomes extra important to know a few tricks to get the cheapest auto insurance for teenagers. Check these points to see if you can benefit from any of them. Most of these tips would apply to older drivers too.
- Buy a Sensible Car for Cheap Young Driver Insurance
When a younger driver applies for automobile insurance quotes alarms are raised on the insurers end shouting risky, risky and too risky. You don’t want to add a high risk car to the already delicate situation. You may not even be able to find any coverage when you want to insure a sports car in your first year of driving.
This doesn’t mean that you cannot buy a nice car. Actually, it would be better if you can buy a new one because their better safety and security features can qualify you for further discounts. Here are a few specifications you should be looking for when buying a car for a teenager. First of all, the engine size should be below 1200 cc. And you should avoid the sporty models that have body kits, alloy wheels and expensive sound system. You will get charged additional premiums for those features.
Many teenagers like small cars anyway and they should be fine for the first few years. It should be only you and occasionally your parents in the automobile for the first couple of years. Having friends with you while you are not a fully confident driver is definitely a bad idea. They would be fine driving around and would fit in smaller garages that allow you to claim additional savings for parking it in the garage. Buying the right car is the most effective way of getting the cheapest insurance for young drivers.
- Get Good Grades for Cheap Young Drivers Auto Insurance
You probably know by now that students with good grades are praised by parents and teachers. You should know that auto insurers like them as well and offer good student discounts. You should look for companies that offer the highest good student discounts. Some companies are less scared of youngsters and they tend to quote lower rates.
- Buy an Independent Roadside Recovery Coverage
A few carriers offer special discounts of about 10% for the members of certain independent roadside recovery service providers. AAA is one of those companies that can qualify you for good discounts. When your premium is in the thousands 10% discount is a lot of dollars to ignore.
Besides, recovery services membership is great in your early years and when you have an older automobile. No matter where you are in the country and whatever car problems you are having they will come to your aid. They will either fix it there or take the car to nearest garage and you to nearest bus or train station depending on your membership level. They are not expensive either that makes them totally worth it.
- Claim Low Mileage Discounts
Generally younger drivers don’t drive long distances. Your car may be sitting in your parents’ home most of the time when you are at college or school. Try not to take long distance journeys until you are very comfortable with your car and driving. This would mean that you will not cover many miles and therefore you can ask for low mileage discounts. Most companies offer lower rates for drivers who only drive about 4,000 miles a year or less than 7,500 miles.
- Consider Pay As You Drive Insurance
If you don’t give them something to go with vehicle insurers will bundle you in with your peers who are the riskiest drivers on earth. One way of proving that you are a good driver and get the lowest young driver vehicle insurance rates is to allow the insurer see how you are driving. They can monitor this by installing a small device in your car. If you don’t go crazy behind the steering wheel by speeding and braking often, don’t drive between midnight and 4 am and keep a low mileage you will be rewarded with great low premium thanks to Pay As You Go Car Insurance.
You may not like the idea of someone watching your every move but the savings make it worthwhile. You can reduce your premium to 1/3 of standard prices if you watch out your driving. Furthermore, you will become more conscious of your driving and gain better habits.
- Add an Older Driver on a Teenager’s Policy for Lower Rates
Generally adding another driver onto a policy would mean higher premiums. However, younger drivers can benefit from adding an experienced driver with no claims onto their policies. You need to be careful here and not get wrong ideas. Essentially, you buy the policy on your name and add someone else (generally a parent who will drive your car at times).
The other way around (getting an older person buy a policy on his/her name and add you as a named driver) is called “fronting” and is not legal and ethical. The main driver should be the person who drives the car more often. Then, it is perfectly alright to add another driver on your policy and this can qualify you for discounts depending on his/her driving records and the company that provides the cover.
Also, you can consider “named driver insurance” that only covers named drivers and nobody else. Named driver policies are restrictive and aren’t offered by many insurers and may not be available in your state.
- Learn to Become a Better Driver
You wouldn’t probably be keen to take further lessons and practices when you just pass your driving license test or on top of the lessons you are taking. However, some of these programs like teensmart are proven to reduce accidents. That is why a few companies will offer you further savings once you complete these programs and get your certificate.
- Special Deals to Get Cheap Insurance for Inexperienced Drivers
Various companies run special promotions at times that can offer attractive discounts regardless of your age or driving history. For example, they may run a special Facebook campaign where you can get 10% discount for liking their Facebook page and using the special discount code there. Also, some auto manufacturers may offer special deals or even free insurance if you buy a car from them. It doesn’t take long to find out online if there are such promotions at the moment.
- Pay the Premium in Full
This is a great solution that is not known by many people. A few companies offer additional discounts just for paying the full premium at the start. You can get about 5% discounts if you could manage to put together the money. Furthermore, you will not incur fees for setting up payment plans and face the interest charges for deferring it. This could be further 5 – 10% saving for you.
10. Shop for the Most Competitive Teen Car Insurance
It sounds so obvious but many people fail to shop around extensively when they are buying policies. When the stakes are high the rewards are handsome as well. The best part of it is that you can find out the best deal on the market in less than an hour if you use a good comparison website like this one. The difference between an averagely priced and the least expensive insurance for teenage drivers can be as much as $1,000.
You may be a beginner as a motorist but you don’t have to make beginners’ mistakes when buying first auto insurance. Take your time and find out about these and other ways to cut the costs. There are so many tools online and you can always call an independent broker to help you out.