How to Get and Keep Cheap Car Insurance for Young Drivers

Did you know the accident rate for 16-year-olds per million miles driven is six times higher than the rate for drivers aged 20-24? What’s more, young drivers are three times more likely to die in a car accident than those aged 25-64. With sobering statistics like these, it’s no wonder that young drivers pay the highest car insurance premiums of any demographic group.

A combination of recklessness and inexperience in young drivers leads to an elevated number of auto insurance claims, and more claims mean higher premiums. In fact, adding a teenage driver to a car insurance policy typically causes premiums to rise by 50 percent to 200 percent. But take heart—a car insurance policy for a young driver does not have to be exorbitantly expensive. Read on for instructions on how to secure cheap car insurance for young drivers.

Choose an Appropriate Vehicle

By choosing the wrong car as or for a young driver, you could drive your auto insurance rates even higher. One of the most important keys to getting cheap car insurance for young drivers is to choose an older, safe, and inexpensive vehicle. These kinds of cars have the cheapest auto insurance rates because they are involved in fewer and less serious accidents than high-risk vehicles like sports cars. Older, inexpensive cars are also less expensive to repair when an accident does occur, so your insurer will charge more reasonable premiums on young driver coverage.

Comparison Shop

The auto insurance rates for young drivers generally will always be higher than those for more experienced drivers, but rates can vary substantially among auto insurers. The best way to find cheap car insurance for young drivers is to request quotes from several insurers and then compare the policies. If you are a parent insuring a young driver, make sure you also research whether it would be cheaper to add the driver to your existing policy or get him/her an independent policy. Occasionally, purchasing a separate policy for the young driver is cheaper than trying to put him/her on your own policy, particularly if you have expensive cars on the policy.

Don’t Overlook Discounts

Young drivers can often qualify for a cheap student car insurance discount as well as the good driver, low mileage, and other discounts. Even if the youth is not a student, ask your agent what discounts might apply to the young driver and how to achieve low cost car insurance. Although not all companies offer this discount, one way to get cheap car insurance for young drivers is to complete a driver’s education course or an approved defensive driving class. Before you complete the course, make sure it meets your insurer’s criteria for the discount.

Keeping Cheap Car Insurance for Young Drivers

Now you know how to get cheap auto insurance for young drivers, but how do you make sure it stays affordable? If the young driver is 18 or older, auto insurers will use credit report information to calculate car insurance premiums. As such, it’s important for the young driver to keep out of debt trouble and pay bills on time. Auto insurance for young drivers will also remain affordable or even decrease in cost if the driver maintains a clean driving record, makes no claims, stays loyal to the insurance company, purchases another policy with the insurer (e.g., a renter’s insurance policy to qualify for the multiple policy discount), and continues to get good grades if in school.