It’s well-known that auto insurance rates are higher for teens. Because teens have little to no driving experience, they’re among the highest risk groups for traffic violations and accidents. While higher premiums may seem unfair, here are five ways for teens to save money on auto insurance.
1. Join Your Parent’s Policy
Technically, you don’t actually need your own car insurance policy. You’ll save a lot more money by joining your parent’s policy, as well as bundling all household cars together.
2. Make Good Grades
If you consistently earn a B average or higher, you may qualify for a good student discount. Good students are generally more responsible, making them a lower risk to insure. However, to qualify for this discount, you will need a copy of your report card as proof.
3. Buy a Safe Car
You don’t need a fast ride to enjoy your new driving privilege. While it may be boring, buying a sedan with high safety ratings and features helps lower the rates on your auto insurance.
4. Take Driver’s Ed
Some states don’t require driver’s education, but completing the course is a good way to save money on your auto insurance. These courses are designed to teach you the rules of the road in your given state, as well as give you valuable driving experience. Usually, auto insurance providers offer an additional discount for taking an extra driver training course, assuming it’s one approved by the provider.
5. Drive Safe
If your driving record is less than stellar, insurance providers see you as a bigger risk than drivers with clean records. Your driving record includes every traffic violation and any accident you’re involved in. These incidents could appear on your driving record for six years or more, and they play a large role in determining your auto insurance rates. Therefore, driving safe and keeping your record free from any traffic violations and accidents helps keep your auto insurance premiums lower.