For many who have kids, the thought of adding a teenager to their car insurance is something they definately don’t look forwad to. It’s inevitable that kids will grow up, and in order to get along in todays world they will have to get behind the wheel. Traditionaly adding a teenager to your car insurance has been quite expensive but lately it has become a little less shocking.
An anual study by Insurancequotes.com has found that rates for adding a teenager though still substantially higher have been coming down over the last few years. Back in 2013 you could expect your rates to go up as much as 85% when you added a teenager to your auto insurance policy, today that figure is at around 78%.
Insurance companies use a vast array of metrics to calculate rates for insuring drivers but there are some more obvious reasons that may be the causing the lower rates. Some factors may be safer automobile technology, a dip in the number of teenagers getting driver’s licenses and the continued impact of “graduated” driving programs, which place restrictions on new drivers until they gain more experience on the road.
It’s not to say that it’s no longer expensive to add a teenager to your insurance, it is. Teenagers still offer a much higher risk, and it can still be quite a shock when you add them but there are some things that can help soften the blow.
It could pay off to set rules and spend time driving with teenagers and coaching them along, even after they pass their driver’s license tests.Good grades at school can help in some cases, some insurers offered discounts for students who get good grades. Get your teenagers involved in researching the safety and price of a new car, as a way of teaching them lessons about budgeting, and emphasizing the need for safe driving habits.