If your child just obtained their driver's license, they are most likely excited about the prospect of being able to transport themselves to their destinations. In order to be able to do this, they will need to be covered by auto insurance. Many parents worry about how much it will cost to insure a new driver. While costs are definitely higher than it would be for a seasoned driver, there are still some ways that you can obtain lower rates with these discounts and incentives.
Stick With The Same Company
In most instances, adding your child to your own insurance policy will be cheaper than getting them their own. Inquire about each method when talking to your agent. It does not hurt to ask other agents for new driver rates as well. You will most likely find it better to stick with your own company, however, especially if you receive bundled rates for having homeowner's or life insurance through the same agency.
Encourage Great Study Habits
Every parent loves hearing that their child is doing well in school. Some auto insurance companies will give incentives for good grades, helping the child excel in their studies in exchange for lower rates on their insurance. Ask your insurance company if it has this program and use it to encourage your child to do well in school if they wish to drive. As soon as grades slip, you can pull them from the insurance as it will cost more money. This will help them keep on top of studies if they wish to remain a driver, saving you money in the process.
Grab Extra Driving Help
Enroll your child in a safe driver's program. Vehicle education is usually given in school, but to get additional learning experience on top of this will be favorable for knowledge and for lower insurance rates. Ask your insurance agent for a list of educational facilities the insurance company will accept a certificate from in exchange for a lower rate on your child's insurance.
Keep Safety In Mind
Placing your child in a brand new sports car will cost much more than a reliable family sedan. Check prices for insurance rates before you purchase a vehicle for your child. When selecting a vehicle, make sure it has safety features installed to reduce rates even further. Automatic braking systems or security alarms will help keep prices lower. Ask your insurance agent to install a "smart driver" feature where all maneuvers the driver makes are recorded into a computer device. The insurance agent will reward teen drivers with lower rates if they display safe driving habits while using this device.
For more information or advice, consider contacting companies like the Nelson Insurance Agency.
Share20 February 2016
When I got married, I knew that there were a few things that I needed to learn about the way the world worked. For starters, I had to figure out how insurance worked since I wanted to make the most of my life without worrying about money. I started focusing on the policies that I had in place and gradually moved towards acquiring new life insurance and the like. Having each of these coverages helped give both me and my spouse peace of mind. We both knew if something happened to me that the other would be okay. Check out this blog to learn more about insurance needs.