Your son has just obtained his license and with that a new found sense of freedom. Now you ask how to get cheap auto insurance for my son ? Car insurances can vary dramatically in price so read on to learn how to buy car insurance that is affordable for your teen drivers.
Because teens lack driving experience insurers consider them a high risk to insure and thus the premiums assigned are much higher than an adults insurance rates would be. There are a few things you can do to help reduce the rates you pay for your teen drivers.
First you need to stress to them how important it is for them to keep a clean driving record. That means driving safely – no speeding tickets, no traffic violations, and no accidents. Over a period of time there safe driving will be rewarded with lower premiums.
You can also reduce their rates by purchasing insurance with a higher deductible. The higher the deductible is the lower the premium is.
If you are going to be purchasing a vehicle for your teen choose a vehicle that is built well with extra safety features, and do not choose a vehicle that falls into a sports class or higher risk rating class. Be sure to check the class the vehicle falls into.
The graduated licensing laws have come into effect in most states in the USA and some provinces in Canada. The rules will vary from one location to another but the basic underlying philosophy is to restrict new drivers by limiting what their license will allow them to do.
They may be issued a full auto license such as a class 5 but there is usually a letter designation behind it to indicate they are a new driver. These new drivers have nighttime driving restrictions, vehicle occupant restrictions, and a 0 alcohol tolerance restriction to name just a few. They will also be required to take an additional test after a specific period of time to remove them from the new driver programmer.
But you’re still wondering where to get cheap auto insurance for my son? Teenage drivers can dramatically reduce the cost of insurance by purchasing a stand alone policy from an agency that specializes in providing teen insurance. A stand alone policy means they are not added as an additional driver on your insurance but rather carry their own insurance.
These insurance companies reduce their risk for insuring teens by placing certain concessions on the driving habits of them. They may require driving school, no driving after dark, or various other restrictions which allow them to keep the premiums lower for teen drivers.
The statistics for teen drivers aren’t good. A 16 year old driver is 10 times more likely to get into an accident than an adult between the ages of 30 and 59, so you can see why insurance companies are hesitant to provide good rates.
The best thing you can do for your teenager and his or her insurance rates is to teach responsibility and make them accountable. Make them earn your trust for the use of the car, and make them accountable to pay at least a portion of their insurance premiums. They can do this by working a part time job which also breeds maturity, so it’s a win-win all the way.
You and your teenager are thrilled with the new found freedom for both of you. So now you need to do your homework and research teen insurance rates so you can get them on the road. What are you waiting for?
In Chicago, owning a new car might lead to owning a higher deductible. A deductible is the amount you pay from your own pocket before the insurance company compensates the rest. Increasing your deductible from $500 to $1000 could decrease your monthly payments by as much as 30 percent. Assuming more risk factors, some instances may reduce the cost of your car insurance. If your car is worth less than $2000, you are most likely spending more on insurance than it is worth.
Policies will be affected drastically if there is no collision coverage in your policy. There are five methods to save money on your new car insurance. The cost of a six-month auto insurance policy for the same driver with same coverage varies from company to company by more than $500 in Chicago.
It is advisable not to carry excessive coverage. The insurance companies pay claims equal to a car's actual cash value or market value. The collision coverage may not help an older car that has depreciated. Consider dropping collision coverage after four years, or when the collision premium equals ten percent of the car's market value.
Rental reimbursement insurance is coverage that will pay for some or for your entire car rental expenses while your car is being repaired or until you buy a new car. There are strict limits on the extent of the coverage and moreover the policies and costs vary.
It is important to update the information that your insurance company has on fine for you, your car and your driving record. You may be eligible for a rate reduction if you have gotten married, moved to the suburbs, no longer insure a younger driver, installed an anti-theft device, or if it has been at least three years since your last violation.
New car insurance rates can vary widely by hundreds of dollars from company to company because of various claims experience, cost of doing business. Car insurance is priced to cover the costs of accidents that may happen in the future. Information about the past claims experience is used to see the future of a company.
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