Teen Car Insurance

There are certain rites of passage for teenagers and young adults. Some include reaching milestone birthdays – the Quinceanera, the Sweet 16 party, the 18th or 21st years. Others are represented by certain accomplishments – getting a part-time job, high school graduation, acceptance to college or university, to name a few. One of the most liberating (and sometimes the most nerve-wracking) experiences is learning to drive.

Most parents encourage their teen to get behind the wheel to teach responsibility and contribute to some personal freedom. Others view a driver's license as a necessity. The teen is then expected to contribute to the successful functioning of the family household – running errands, providing transportation for siblings, maintaining their own extra-curricular schedules and more. Teens that drive absorb the task from their parents – creating much needed relief in the stressful lives of many overburdened families.

However, becoming a licensed driver is a costly venture. Driver education and training courses, testing and licensing fees and more, ultimately lead to another expense – teen auto insurance. Whether a teen will own and operate their own vehicle or drive a family car, obtaining the first auto insurance teen driver quotations can be a shocking experience. Teen car insurance is costly – in some cases at a premium of 50-100% over an adult rate.

There are many ways that teens and their parents can pare down the cost of teen driver car insurance. First and foremost, ensure that the teen receives accredited driver training. Courses are viewed as an unnecessary expense by many but, in reality, they can significantly affect the cost of insurance. Car insurance rates are dictated by the amount of statistical risk involved. Properly trained drivers are believed to be at less risk on the road than those who have been taught by friends or family. If the teen is female, she will typically benefit by lower insurance cost than her male counterpart. Also, teens should be encouraged to maintain the best grades possible. Students with a grade average of B or higher may benefit by discounts for being good at school. There is believed to be a strong correlation between good teen students and good teen drivers. Those who do well in school are believed to be less reckless, less likely to take unnecessary risks behind the wheel. This impacts their car insurance.

Another way to cultivate a good teen driver is to include him or her in the financial aspects of their driving. Teach a teen about the cost of insurance – including the cost of being an irresponsible driver. Involve them in the process of researching and obtaining teen car insurance and, if possible, make them responsible for full or partial payment of the premium. A teen that must part with their money to be able to drive is, theoretically, going to be more responsible on the road.

Finally, be aware of the age at which the insurance provider determines the teen to be an adult. In general, this will be somewhere in the area of 23 to 25 years old. Not only age but marital status can affect the cost of insurance. Married drivers are also viewed as less of a risk. So, as the teen continues to pass these milestones, stay current with the insurance company. Teen auto insurance does become much less of a financial hardship with time, experience and a solid driving record.