4 Mistakes To Avoid When Adding A Teen Driver To Your Auto Insurance Policy
Posted on: 26 February 2017
Getting a drivers license is a right of passage for a teenager, and most teens are excited about getting behind the wheel. But as a parent, you may not be so happy to see how much your auto insurance premiums shoot up when you add a teen driver to your policy. If you have a teen who will be driving soon and needs to be added to your policy, avoid the following mistakes:
Not Asking for Discounts
Many auto insurance companies offer a variety of discounts, but you may need to ask for them. A discount is commonly given to teen drivers who maintain a certain grade point average-- make sure you inquire to see if your child's grades qualify. You may also be able to keep your auto premium prices down by bundling your auto, homeowners, and life insurance for a substantial discount.
Failing to Insist on Drivers Ed
A lot of parents spend a substantial amount of time teaching their teen children how to drive safely. But a formal drivers ed class should not be replaced by lessons from mom and dad. It is a very good idea for your child to enroll in a semester of drivers ed in school or through a private company that offers a driver's safety course for new drivers. In addition to giving your child extra practice behind the wheel, successfully completing a drivers ed course can result in a large discount on your premiums when you add you teen to the policy. Just make sure you send in a copy of a certificate of completion or a report card showing a passing grade.
Letting Your Teen Drive the Wrong Car
The more expensive a car is to replace, the higher the insurance premiums will be. If you have several vehicles in your household, avoid adding your teen as a driver to the newest, most expensive vehicles. It is best to list your teen as a driver on the oldest, least valuable car you have. If your teen will have his or her own car, it is best to buy a sedan that is several years old and includes as many safety features as possible.
Forgetting to Ask About Accident Forgiveness
A lot of insurance companies now offer accident forgiveness, meaning that one incident won't cause your premiums to skyrocket. Inexperienced teen drivers may cause some dents or damage, so having a policy with an accident forgiveness clause can save a lot of money in the long run. For more information about keeping your auto insurance premiums to a minimum, talk with an agent at a company like Wolf Insurance Agency.
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