Did your teenager recently become a licensed driver? If you plan to add your child to your car insurance policy, it’s important that you know how this will affect your insurance rates.
If you need help finding cheap car insurance for teens and young drivers, click here to view the results of our quote comparison study. Read on to learn the answers to seven FAQs about car insurance for teens:
1. How Expensive Is Car Insurance for Teenage Drivers?
It should come as no surprise that car insurance is more expensive for young drivers. This is mostly because inexperienced motorists are statistically more likely to be involved in accidents. In general, you can expect your car insurance to increase by about 150 percent if you add a teenage driver to your plan.
Car insurance rates increase by about 150% when parents add teens to their policy.
2. Why Is Car Insurance for Teens So Expensive?
Teen drivers are considered risker than adult drivers for several reasons. First, they’re inexperienced, so they’re more likely to make mistakes that lead to accidents. They’re also less capable of identifying dangerous situations when behind the wheel, which reduces their ability to avoid hazards. Teenagers – especially male teenagers – are also more likely than the average driver to get into a fatal car crash.
3. How Do You Add Your Teenage Driver to Your Insurance Policy?
When your teenager gets his or her license, the first thing you need to do is call your insurance company. An agent will let you know how much more you can expect to pay per month, and you can determine if you need to switch to a new provider.
Many insurance companies will allow you to add your teen to your policy when he or she has a learner’s permit without increasing your premium. Once your child transitions to a full license, though, your rates will most likely increase. Ask your insurance provider if this is an option they offer.
4. What Will Happen to Your Insurance Rate If Your Teen Gets a Speeding Ticket?
If your teen gets a speeding ticket, your insurance rate will probably go up. However, many states offer safe driving programs designed to improve a teen’s skills behind the wheel. Participating in such a program may help you avoid premium hikes. Talk to your insurance company or your state’s DMV about this option.
5. What Will Happen to Your Insurance Rate If Your Teen Gets in an Accident?
Insurance companies treat accidents more seriously than speeding tickets and other moving violations. If your teenager was involved in a collision, your rate will almost certainly increase unless you have accident forgiveness insurance. Your insurance provider could even choose to cancel your insurance or your teenager’s insurance.
6. Can Teenage Drivers Have Their Own Car Insurance?
It is entirely possible to insure a teenage driver separately from the other drivers in your household; however, if your children are under 18 years old, you are still legally responsible for them and will be liable if they injure somebody in an accident. Contact your insurance company to discuss the pros and cons of insuring your teenage driver separately.
7. Are There Discounts Available for Teenage Drivers?
Many auto insurance providers offer special discounts for teen drivers. Your child could be eligible for a discount by maintaining good grades, agreeing to have their driving monitored electronically, or taking a safe-driving course.