Car insurance for teenagers

Car insurance for teenagers: An overview

Throughout America, teenagers are becoming qualified drivers because of the sense of freedom and independence from their parents it gives them. No time soon will they stop hankering for a car for their sixteenth birthday, and now more than ever, these young men and women want to drive.

One of the biggest obstacles to their driving dream is not the affordability of a car – what most people might expect – but the affordability of car insurance for teenagers.  Teenagers are often made to pay the highest insurance premiums thanks to their age and inexperience as drivers. This can put many parents off when their teenage children ask for a new car.

What are the problems with car insurance for teenagers?

Insurance companies have traditionally kept teenagers insurance rates high and with due cause. The likelihood of one of these individuals being responsible for a car accident is ten times as high as a person between 30 and 50 years old. On the whole, this young age group are risk takers by nature and have not been infused with the cautionary instincts and experience behind the wheel that older drivers have. In fact, car crashes cause more deaths amongst teenagers than any other type of accident and a staggering 350,000 teens were treated for injuries related due to motor-vehicle accidents last year.

Therefore it comes as no surprise when the car website carinsurance.com said on average, teenagers were paying between $2,200 and $2,700 for car insurance last year. Unlike in other countries, the US allows teenagers to get in the car with passengers that fill the capacity of the car and the drivers can carry a cell phone in the car whose usage when driving can enhance the likelihood of accidents. Also the age that drivers are allowed a full license is lower than in other countries and many can take to the road without completing additional courses such as night-time driving lessons.

How can the cost of car insurance for teenagers be lowered?

To find a cheaper deal on insurance for your teenage children, you should bear in mind the following factors:

1. Make sure the car they are driving is not a sports car or one with high horse power. This can make the cost shoot up needlessly as insurance companies will deem this to enhance the likelihood of an accident or the car being stolen. It is best to start your child out in an older car with low horse power, and this will also mean you only need to purchase liability insurance which will lower the overall cost.
2. Put your teenage child through a driving education program, even if your state does not require it. Should they perform well in this program, then insurance companies will take this as a sign their technical driving is of a high standard and they can drive responsibly. This will therefore reduce insurance costs.
3. Insurance companies also look at the drivers educational performance. If they have good grades in school they will take this as a sign that the teenager will be a responsible driver. Therefore stress the importance of good grades to your children!
4. Finally, make sure teenagers are aware that a clean driving record will mean that the cost of insurance will come down year upon year. This will mean that when they start to pay for their own insurance, it won't cost them too much.