Cheapest Auto Insurance for Teenagers

Written by Michael Browne

Cheap Auto Insurance for Teenagers

For teenagers, one of the proudest days of their lives is when they get their driver's license. For parents of teenagers, that day is one of the scariest, not just because car accidents are the number one killer of teen-aged drivers, but because of the expense of insuring a teenager. Fortunately, there are a few ways to mitigate that expense.

These things have a direct impact on the cost of an insurance premium:

  • Defensive Driving Courses: Over and above the driver's education class required to get a license, defensive driving courses teach teens - and adults - how to handle challenging road conditions. Successful completion of such a course generally earns you a discount of up to 3% that lasts for up to three years, at which point the class can be repeated. As an added benefit, take one of these classes with your teen.
  • Good Grades: As long as a teenager is a full-time student (and this includes college), they'll earn a discount for maintaining good grades. Most insurers require a minimum of a B average.
  • Raise the Deductible: Making the deductible $1,000 instead of $500 can save up to 15% on the auto insurance premium.
  • Put Your Teen on Your Policy: While older college students should be getting insurance in their own names as soon after graduation as possible, your younger teen driver's insurance will be less expensive if they're added as an additional driver on your policy.

In addition to the above tips, there are things you can do as a parent to help absorb the cost of insuring your teen driver, like requiring your son or daughter to contribute to the cost of their coverage, and making sure they follow all the restrictions on their licenses, like not driving after curfew, never using phones or PDAs behind the wheel, and limiting the number of passengers in their cars.

Auto insurance for teenagers is never going to be truly cheap, but by being safety conscious and doing everything possible to lower the premium, you can make it cheaper.