While you may be proud of your teenager for passing the milestone of getting their license, you may also cringe at the possibility of seeing your car insurance premiums go through the roof. If so, use the tips below to see if you can reduce the cost of covering your teen while they are driving either your or their vehicle.
1. Have Your Teen Take a Safe Driving Class
One way you may be able to help reduce the cost of covering your teenager is to have them take a safe driving class. Some insurance companies reward the desire to learn how to drive safely by taking a percentage off of the premium cost.
When selecting a class for your teen, first ask the insurance company if they recommend any particular courses. If not, try to find one that not only teaches safe driving but also caters to new teenage drivers.
2. Encourage Your Teenager to Make Good Grades
Another thing you can do to keep the insurance costs down is to encourage your teenager to make good grades. While good grades can help your teen get into better schools after high school, they can also lower the premium on their insurance.
While companies may differ slightly with their requirements, they typically give discounts for students who keep an A or B average in school. These good grades reflect your teen's dedication to being responsible for their school work and will, therefore, drive more responsibly and maturely.
3. Ask about an Electronic Monitor
While speaking with your insurance agent, ask them if they offer a discount program associated with an electronic monitor. With this program, a monitor is installed in your teenager's vehicle and keeps track of how well they are driving.
The premise behind this monitor is that your teenager will drive better if they know that you and the insurance company are keeping tabs on how fast they are going or if they are breaking any traffic laws. Because these monitors encourage safer driving, the insurance company may then offer discounts after seeing that your teenager is driving in a responsible and safe manner
The above tips represent only a few ways you may be able to save money on your teenager's auto insurance premium. Speak with your car insurance agent for additional information, as well as find out if they have any special programs for covering teens and young adults.