The day has finally come – your teenager is ready to get their driver’s license. They’ve been eagerly anticipating the long-awaited day for ages. You as the parent are a bit more anxious about your kid hitting the road on their own. You’re worried about their safety, of course, and you’re also wondering about how to get teen car insurance in Alabama. You want to make sure that your child has the best car insurance to protect them, but you’ve also heard that it can be very expensive to insure a teenager. We’ve got seven tips for getting teen car insurance – without spending a fortune.
7 tips for getting teen auto insurance in Birmingham:
1. Add your teen driver to your own auto insurance policy.
Adding your teenager to your auto insurance policy instead of taking out a new policy can help you manage the cost of teen auto insurance. If you have a good driving record, that can help you save money on your teen’s auto insurance. Insuring a teenager by opening up a whole new policy can get super expensive because teenagers don’t have a lot of experience and they tend to act a little recklessly. (Crash rates are high for the teenage/young adult age group.) That’s why teen car insurance can be so expensive.
2. Raise your deductible.
Your deductible is the amount you agree to pay if you have a claim. You pay the deductible, the insurance company pays the rest. There’s a relationship between your deductible and your premium: the higher your deductible, the lower your insurance rates. That’s because you’re less likely to file a small claim.
So, if you evaluate your finances and find that you could comfortably afford to raise your deductible, you could get a lower premium for your teen driver. However, you don’t want to raise it so much that it would be a burden to pay. You have to consider what’s financially doable for you.
3. Look into discounts for teen drivers.
Discounts are spectacular. They allow you to save money on insurance just by meeting certain qualifications.
Here are a few discounts to consider:
- Good Student: If your student has good grades, they could be eligible for a “Good Student Discount.” A good student is seen as being more responsible…and therefore less likely to file a claim.
- Away at college: If your student is heading to college, your insurance company may offer a discount if the school is more than a certain number of miles away from home and your student isn’t bringing a car. That way you’ve still got them covered for when they’re home on breaks, but you have a lower rate since they won’t be driving as much.
- Driver’s Ed: Some insurance companies offer a discount if your student completes a drivers’ ed class or driver safety class that they approve.
Those are just 3 discounts to think about. Check with your agent to see if these or any other discounts could apply to your teenager.
Save money on auto insurance for your teenager.
4. Choose a safe, trustworthy vehicle.
The car your kid drives has an effect on their teen car insurance rates. While your young charge might beg and beg for their dream car (which is, of course, very fast and sporty) you’ll probably be better off choosing a safe, reliable used car that’s preferably built like a tank.
If you’ve already got a safe car that you’re going to let your teen drive, great! So long as it’s safe and in good shape, you’re good. As far as your insurance rates go, the car should ideally be four-doored and more than five years old.
Pro tip: Keep the car in your name and only name one car for your teen to drive.
5. Send your teenagers to drivers’ ed.
There are many reasons to have your teenager do driver’s ed.
- You could get a discount on your rates if they complete an approved driver’s ed class.
- Driver’s ed will teach them to be a safe driver, which will help them avoid accidents. Not only will your teen learn good driving habits so they won’t get hurt, they’ll avoid seeing a rate increase due to tickets or accidents.
6. Pay for minor damages out-of-pocket.
“Well, you see, Mom and Dad, there was this pole…and I didn’t see it…”
Should a minor mishap happen with the car – a bump, dent, scrape – you may want to consider paying out-of-pocket to repair it rather than using your collision insurance. First of all, you have to consider your deductible and whether it would even be worth it to file the claim. Then you have to consider the effect that filing minor claims on your insurance can have on your rates. In general, claims aren’t great for your premium.
7. Set a good example and talk about safe driving.
Be sure to be a good role model as a driver. Your teenager is observing you and learning from you. Set a good example by taking care to drive safely.
You can also outline your expectations for your teenager. Let them know that speeding, not obeying traffic laws, texting and driving, and not wearing a seatbelt are not acceptable. Now, you don’t have to be all “I-am-scary-parent” about it, but outlining your expectations with a grown-up conversation will help your teenager understand that driving is a lot of responsibility – and it’s a responsibility that they should take seriously.
8. Shop around.
If it’s still going to be too expensive even with adding your teenager to your policy and you’re thinking it’s time to change insurance companies, do some shopping. Get multiple quotes so you can compare pricing and coverage options – don’t just settle for the first semi-reasonable quote that you find. You have to consider the company and the coverages offered by the policy, too – not just pricing. That way you can choose the best option and the best coverage for teen car insurance.
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Need some help with shopping? We can help. Our insurance experts can get you multiple quotes for your Alabama auto insurance so that you don’t have to spend ages on the computer or on the phone. We’re pros at helping drivers save money on car insurance. Get started with your quotes by filling out our quote form or giving us a call today.