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Teen Insurance Woes
by Ann Jobm, MSN.com
Teens can't wait to get behind the wheel, but young, inexperienced drivers face some of the biggest auto insurance premiums. Almost without fail, a teenage driver will add significant cost to the family auto insurance. Here are some tips:
Expect Higher Premiums
Statisticly, young and inexperienced drivers account for 3 times the amount of fatal crashes and a disproportionate amount of all accidents.
Get a Dealer Quote
Then, take a few of the quotes to your insurance agent and find out how those particular vehicles will affect your premiums.
Check out Alternatives
In some cases, a teen owning an old clunker and getting their own insurance can be more cost effective. The trade-off is the old clunker might not be as safe a car, so parents will need to evaluate their youth's driving skills.
Money Saving Strategies
Qualify for as many discounts as possible - Good Student, Defensive Driving Classes, and making your teen an "occasional" driver will all help reduce premiums.
Limit Problems
If you think insurance costs are high when your teen starts driving, just wait and see how quickly they climb if your teen starts to collect tickets or gets into crashes. Prevent this by convincing your teen of the need to behave responsibly and have consequences if they don't. Limiting the kinds and numbers of friends who ride and imposing a curfew have shown to be very helpful the first few months your teen starts to drive.
Last Resort!
Don't let them drive, at least not until they're older! Good Luck with that One!!
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