It’s not always easy when you’re trying to figure out how to find the best car insurance companies for young drivers. Even auto insurance companies that market themselves as offering the lowest premiums may offer varying rates to insure different teenage drivers of the same age. So, how to find the best car insurance companies for young drivers really comes down to a lot of legwork.
Here are some points to consider.
Car insurance companies look at several factors to determine the premium to charge for a young driver. Among them are:
- Location – Premiums will generally be higher in urban areas known to have a lot of accidents, vehicle thefts, and vandalism.
- Driving record – If your teenager has less than three years of driving under his or her belt, premiums may be higher. Three years of driving experience is generally the minimum to get a good driver discount. And, of course, there should be no tickets for speeding or other moving violations in the teen’s driving record. If there are, be prepared for the premium to escalate.
- Gender – Male drivers may be charged more (they’re considered a higher risk driver) than females.
- Type of vehicle – Newer cars, sporty or sports cars, high-profile vehicles, and cars on thieves’ most-wanted lists will cost more to insure for your teenage driver.
- Coverage – Older sedans are less costly to insure – you don’t need collision insurance, for example, if the cost-to-replace the vehicle is minimal.
As for how to find the best car insurance companies for young drivers, the first step is to contact your present auto insurer. There are probably some discounts that your teenager can qualify for by being on your policy. Multi-car, multi-policy discounts may apply, as well as the aforementioned good driver discount (if your teen has a good driving record for at least three years). There’s also good student discount (proof of grades may be required).
Do a comparison search by using sites such as eSurance to get competitive quotes from several companies.
If you find companies whose quotes are reasonable and attractive, get on the telephone to ask additional questions. Are there significant price breaks for higher deductibles? If you are considering buying a car for your teen to drive, weigh and balance insurance costs for new versus used cars. Again, compare quotes between companies and always ask for as many discounts as you can get. In the end, how to find the best car insurance companies for young drivers takes time – but it can save a great deal of money and result in coverage that’s just right if done properly.
For more tips on car insurance, visit our section on car insurance where you can get additional tips and insurance quotes.