How much your insurance goes up after adding a teen is a question we get all the time. if you’re a parent of a teen driver, then you know it’s expensive! Let’s talk about how expensive it is and give some tips on how to lower your car insurance premium for young teen drivers.
how much does teen car insurance cost?
Adding a teen to your insurance policy can increase the price by 125-200% or $1,800-$2,600 a year. this is a lot of money! Let’s talk about why it costs so much and what you can do to help lower the amount of auto insurance you pay for your young teen driver.
Reading: How much is teen insurance
everyone says the magic age is 21. 21 is the age when rates start to drop. this is true in that rates will start to improve at this age; however, it will not be completely out of the weeds until it is 24 or 25 years old. At this age, they are older and more mature and also have many years of driving history, so the insurance company can better understand how risky they are and how likely they are. they’re going to have an accident.
start the process early, compare prices.
how much does it cost to add a 16 year old to car insurance?
As mentioned above, it can cost a lot of money to add your 16-year-old son to your car insurance. however, there are some things you can do to make sure you don’t overpay.
Take advantage of the few discounts available for young drivers.
Good Student Discount: Generally, a GPA of 3.0 or higher will qualify you for this discount. this can save you between 3% and 15%.
driver training: This discount is not available with as many insurance companies as it used to be. but it can still be a hefty discount and is still a valuable course for your young driver to take.
Monitoring app/device: Most insurance companies have the option to add a monitoring device. These devices monitor driving habits such as miles traveled, speed, harsh braking, etc. and grant discounts based on driver performance. Since a young driver does not have a driving record, this is the best way to quickly learn driving habits and adjust the insurance rate accordingly.
old car: Unless you want to pay an incredible amount for your teenager’s car insurance, don’t go buying them a new car. An older car, which doesn’t need full coverage, will be the best value car for your young driver.
how much does car insurance cost for a 17 year old?
While car insurance for a 17 year old is very expensive, it’s not as bad as for a 16 year old with no driving experience! As you get older each year, your auto insurance premiums will continue to drop. It will still be expensive for the first few years, but as you get older and establish a driving record (hopefully a good one) your rates will start to drop. there is a difference in cost between male and female drivers. let’s take a look.
how much does car insurance cost for a 17 year old woman?
It costs less to insure young female drivers than 17-year-old males. most types of insurance set their rates based on data. if a certain risk is higher, then the rates will be higher. If a certain risk is not that great, then the rates on that insurance policy will be lower. when it comes to 17-year-old females, the data shows that they are better drivers than 17-year-old males. women tend to have fewer accidents and tend to receive fewer tickets. That’s why it costs less to insure a 17-year-old woman.
how much does insurance cost for a 17 year old man?
Male drivers, especially young male drivers, tend to have higher auto insurance rates. this is simply because 17-year-old men tend to have more accidents and are riskier drivers. insurance companies know that they will most likely end up paying money for the accident the 17-year-old will have, so they charge higher rates.
how much is insurance for a 16 year old state farm?
state farm is a captive company. this means that they have a rate to offer and that’s it. sometimes they can have good rates for 16 year olds, but sometimes they can also have bad rates for auto insurance. The way to combat this problem is by using an independent broker. someone who can look at dozens of different companies and find the best rate for your 16 year old. don’t trust just one company, be sure to shop around to find the best rate. No one wants to pay more money on car insurance for their teenager than they should!
Do I have to add my teen to my insurance?
Yes, you must add all drivers of your vehicles to your auto insurance policy. There is a bad rumor out there where many agents claim that it is not necessary to add young drivers to your auto insurance policy. these agents claim that young drivers are covered by the “permissive use” clause of the insurance contract. this is completely untrue and these agents are setting these people up to have a horrible claim experience where things are covered. permissive use is for those who would be driving your vehicle who do not live in your home and do not drive your vehicle on a regular basis. If someone lives in your house or drives your car regularly (at least once a month), then they should be added to your policy as a driver. In many cases, if a teen driver crashes your vehicle and is not listed on your policy as the driver, then there would be no coverage!
Should my teen get their own insurance policy?
No, your teen driver should not get their own insurance. They must be insured under your policy. this is the case as long as they live at home and drive their car. Not only is it more cost-effective to add your teen to your auto insurance, it also ensures they have the right coverage. Getting your own auto insurance policy for your teen while living at home creates all sorts of coverage issues that can affect you when filing a claim.
compare quotes with an independent agent
every insurance company is different. some companies want certain types of policies but do not want other types of policies. so some insurance companies will have really good rates for teen drivers, because they want that kind of business, while other auto insurance companies will have really high rates for teen drivers because that kind of policy is not what they want . So until you shop around and check with many different companies, you can’t be sure you’re getting the best rates. To check rates with an independent agent, click here.