Car Insurance Advice for Young Drivers

One of the biggest days in any teen’s life is the day they get their driver’s license. But with that tiny piece of plastic arrive huge responsibilities. One of those responsibilities is auto insurance. Every newly licensed driver must arrange for adequate auto coverage.

But car insurance for teen drivers can be very expensive. Teen drivers are considered high risk drivers due to their inexperience, which means they can expect to pay high rates for their insurance premiums. Don?t let that stop you from earning your driver?s license, though. With careful planning, teen drivers can find ways to save money on car insurance.

The first thing a teen driver needs to do is to get several quotes. These quotes should come from licensed insurance providers. Different companies define teenage risk in different ways, which means one company may charge you a lot while another company may only charge you a little. There is a lot of competition in the insurance trade, and an insurer who knows you are talking to a competitor, might, just might, be willing and able to offer you a lower premium. But you have to ask, and you have to be willing to negotiate. Fortunately, the Internet makes doing insurance research and shopping for premiums a lot easier than it used to be.

Also, if you have not already done so, look into taking basic driver ed or defensive driving. Passing these courses shows insurance companies that you are serious about safe driving, and allows them to lower you risk level when assessing your driving record for computing your insurance premium. Talk to a licensed agent about what courses are available that qualify you for an insurance discount.

Ask your agent if your company offers discounts to good students or students belonging to a club or organization. See if they extend a discount if your parents belong to a club or organization. Inquire about other possible discounts. This is where it’s helpful to check on the net before you see your agent.

Another way to get a discount on your auto premiums is bundling. If your parents insure their lives or home, sometimes the insurance company will bundle all your policies and give you a great price break. This discount may apply not just to your policy, but to the home and life policies, too. And see whether the insurance company offers lower premiums to households that have multiple drivers or own multiple cars. This is another good way to lower insurance costs.

If you are a newly licensed teen driver or will earn your driver?s license soon, contact a qualified insurance provider. They can answer whatever questions you may have about car insurance, examine your specific situation closely and make insurance recommendations so that you are properly insured and protected behind the wheel. It will take some time, effort and research, but you could end up saving a lot of money on your insurance premiums, which makes the investment worth it.

Tom Martens is the content syndication coordinator for Carinsurancesa.co.za. South Arica?s leading car insurance portal.