How Can I Find Cheap Auto Insurance for My Teenager?

Many parents dread the day their teenagers start driving - this is partially because they worry about their children's safety, but it is also because they think their insurance premiums will skyrocket. While insuring a teenage driver will certainly have an impact on your insurance rates, there are several effective techniques you can use to secure cheap auto insurance for your teenager.

Parents often assume that the best way to secure auto insurance for a child is to purchase a separate policy. While this might teach your teenager a sense of responsibility, it will usually end up costing you far more than adding your teenager to your existing policy. Insurance companies use complex calculations to determine insurance rates - these frequently involve an “averaging” technique which results in lower premiums for households with multiple drivers. When you purchase a separate policy, your teenager will not have the benefit of premium averaging, so the cost will be very high.

Policy discounts are another means of obtaining cheap auto insurance for your teenager. Many companies offer a wide array of discounts to offset the cost of insuring a young driver. For example, if your teenager consistently obtains good grades in school, you may qualify for a “good student” discount, which can reduce your insurance costs by as much as 10%. If you have purchased a vehicle for your teenager, you can also obtain a ”multi-car” discount, which can shave another 5% to 10% off your premiums.

Finally, take the time to teach your teenager safe driving practices. Your teenager will spend very little time with a driving instructor, so it is important to augment your child's driving instruction. By helping your teenager learn how to drive safely and avoid accidents, you can save a substantial amount on auto insurance costs.

Finding cheap auto insurance for your teenager is not as difficult as most parents think - by following these simple steps, you can make sure that your child has the necessary coverage without spending a fortune on auto insurance premiums.