Teenagers encounter more problems when shopping around for insurance than established drivers. Insurance companies typically charge higher rates for teenage drivers because they see teenagers at a higher risk of accidents. Teenagers don’t have much driving history, so they can’t prove to an insurance company that they’re safe drivers.
Please continue reading to learn about the four types of car insurance for new drivers and which is right for your teen. Our guide will help you pick the best type of car insurance to keep your teenagers safe without breaking your budget.
Finding Affordable Insurance for New Drivers
Teenagers need affordable auto insurance for new drivers because they don’t have a positive reputation on the road yet. Insurance companies can take advantage of this fact and overcharge your teenager for car insurance. This can be upsetting for your teen because they’re at the age where they’re looking to save money to move out or go to college.
To find affordable auto insurance for your teenager, you need to learn about the different types of insurance coverage. Otherwise, you put yourself at risk of purchasing an insurance plan that is way out of your budget.
Best Types Of Car Insurance For Teens
Teenagers need additional insurance coverage because they are more likely to get into an accident than established drivers. The following are the best types of car insurance you can purchase for your teenager.
1. Comprehensive coverage: this insurance covers damage to a vehicle caused by noncollision events that your teenager didn’t cause. Examples of this coverage would include vandalism, theft, or someone breaking at your teenager’s windshield.
2. Uninsured and underinsured motorist coverage: this insurance coverage keeps your teenager safe if they get into an accident with someone who doesn’t have car insurance. Unfortunately, even though car insurance is mandatory for drivers, many people choose to go without it.
3. Liability coverage: liability coverage is the minimum amount of insurance you’ll need if you live in the United States. This coverage protects your teenager from lawsuits or claims against them if they get into an accident and damage another vehicle.
4. Collision coverage: Collision coverage will protect your teenager if they accidentally drive into an object and need car repairs.
Give your teenager as much insurance coverage as possible to keep them protected. Accidents happen, and teenagers are especially susceptible to finding themselves in a car accident.
Ways To Lower Your Teen’s Car Insurance
No matter which insurance company you visit for your teenager, you will have higher rates than you want. Fortunately, many insurance companies offer ways to lower car insurance for your teen. The following are methods you can follow to get the lowest rate possible.
• Purchase a safe vehicle for your teenager with plenty of anti-theft and safety features.
• Raise your insurance deductibles if you know you can afford them when an accident occurs.
• Allow your teenager to join you on your vehicle insurance.
• Ask your insurance company if they offer safe driver discounts and programs for teens.
Some insurance companies will give your teenager a monitoring device that can help you lower their insurance rates if they drive safely.
Final Thoughts
Purchasing insurance coverage for your teenager can be troublesome because insurance companies charge more for young drivers. However, you can minimize these costs by finding an affordable insurance company, asking about safe driver programs, and adding your new teenager to your coverage.
You should give your teenager comprehensive, uninsured/underinsured motorist, liability, and collision coverage to keep them safe on the road.