Car insurance can be an exorbitant expense, especially for a young driver. A young adult who gets their license is automatically looked at, by insurance companies, as a potential liability. Without a driving record, lack of time on the road and the experience of driving young adults are more prone to accidents and traffic infractions. While insurance can be expensive there are ways to get cheap insurance for young drivers. The trick to gaining cheap insurance is to know how to shop for insurance, to be informed about what discounts apply to the driver, and finally to consider all variables in the insurance purchasing process.
Cheap car insurance for young drivers
is often garnered through incentive programs offered by insurance companies. There are several companies that offer young drivers discounts if they have good grades. The good grade discount applies to both high school and college students. A young adult who shows a greater propensity towards responsibility through good grades is considered a lower risk to insurance companies and thus are afforded cheaper insurance rates. Any young driver shopping for young driver insurance
should ask a company about good grade discounts. The driver will simply have to provide a current transcript to be eligible for the discount. In most cases high school grades or college grades from an accredited institution is acceptable.Safe Driver programs are offered both online and in person across most states and at high schools. The programs teach young drivers how to safely operate a vehicle, how to drive defensively, and how to avoid the pitfalls that many young drivers fall into. Once the program is completed most young drivers can reduce their car insurance rate by 20%. Similar discounts are offered to students who do not drive often, or who live away from the place in which their car is located. Young drivers who only drive to and from school and activities would likely qualify for “low-mileage” discounts which can take an average insurance rate to cheap insurance for young drivers.Young drivers should also shop around and consider all their insurance options before settling on an insurance company. Insurance, just like other business, is competitive and insurance companies will often come in with cheap insurance for young drivers if they feel the risk is worth the business. Many websites offer data for multiple insurance agencies. An informed young driver can easily and quickly garner a cheaper rate simply by looking around. Many agencies will also offer cheap insurance for young adults if they own their car outright. If this is an option most young drivers should try to own their car outright before getting insurance. A cheaper car, or one that does not have a lien on it, is considered a much safer bet to insurance companies.
Car insurance, while an annoyance, is a necessity in every driver’s life, especially those who are newly licensed or young. Young drivers are a high risk group for insurance companies and thus are often saddled with high premiums, but following a few simple tricks and steps can make the entire process of buying insurance stress free, and you might just safe a bunch of money on your car insurance rate.