Oh boy, your teen reached driving age.
Now, you have to contend with nerve-wracking driving lessons and the fun doesn't end once they earn their license. Wait until you see that first insurance bill. You'll be saying "Oh boy" or a more colorful derivative.
Your teen driver is expensive thanks in part to the risk they represent to insurance companies. Teen drivers are the segment most likely to have an accident.
Therefore, to lower your insurance bill for them, you must show the insurance company your teen isn't a risky prospect. Here's how you do this.
Take a Driving Course
Enroll your teen in a safe driving course. Upon completion, take the certificate and send it to your insurance company, who could discount your policy thanks to your teen's initiative. Not only does it lower your insurance premium, it provides your teen with an invaluable experience they can use to build confidence when taking to the road.
Limit Miles Driven
Driving like most activities is a game of chance. The more you drive the higher the odds of you being involved in an accident. This amplifies with teen drivers, who have no situational awareness due to their lack of experience.
Building experience is important, but it's also vital to balance experience and miles driven especially at the start. If your teen drives fewer miles it can also discount your insurance rate.
Participate in a Safe Driving Program
Many insurance companies have safe driving programs, where you install a device that monitors your driving behaviors. Based on these behaviors, you can earn substantial discounts—to the tune of up to 40% in some instances.
The same applies to teens. If they drive safely by refraining from speeding, limit their miles driven and more, you could receive a discount for the safe behaviors they employ.
Earn Good Grades
Your teen's good grades can lower your insurance bill. Ask your insurance provider if they have a good grades discount.
Normally, this is where your teen carries an A-B average with all their classes. It's another way to reward their good behavior and save you money. Therefore, if your current insurance company doesn't offer a discount, find one who does.
NEXT: WHAT FAMILY CAR FITS PREVIOUS GENERATIONS, AND WHAT FITS THE 21ST CENTURY FAMILY?
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