How Young Drivers Can Save on Car Insurance

We all know the law: almost every state in the United States requires car insurance before you operate a vehicle. Although the amount of automobile insurance varies from state to state, if you don’t have it then you’re going to wish you did if you get involved in an accident or if you get pulled over by the cops for any traffic infraction.

For drivers under 25, car insurance rates are notoriously pricey. However, there are some good ways to cut your costs.

• Safety – This one is obvious but it deserves to be mentioned. If you don’t have accidents, your rates are going to be cheaper. Being under 25 and having only two accidents on your record can be enough to put you in the high risk classification. That means you’ll be paying a fortune even for minimum coverage. And, obviously, getting DUIs is a huge no-no if you want to cut your insurance costs.
• Grades – Insurance underwriters believe – and rightly so in most cases – that students who care about their grades are less likely to be the ones taking big risks at the wheel. Whether you’re in high school or college, a high GPA is usually going to cut your rates. Don’t forget to ask your agent about these discounts.
• Cheap Cars – Who doesn’t want to be driving around in a sweet ride when you’re under 25? But living the dream is going to cost you higher premiums. Those underwriters were young once and they know nicer cars bring out the risk-taker in all of us. Plus, nicer cars are going to cost more to repair and to replace when involved in car accidents.
• Double Up – Maybe you don’t only need car insurance. If you have an apartment, you’d be wise to invest in renter’s insurance to protect your belongings. Maybe you want to start early with a life insurance policy. Either way, most insurance companies offer discounts when you purchase more than one of their products.
• Take Safe Driving Classes – In some states, optional safe driving courses are being offered to people who want them. If you complete the class with flying colors, you automatically receive discounts on your automobile insurance. That’s a good deal. It’s also a good idea to brush up on those defensive driving lessons.
• Shop Around – Even though young drivers are going to pay more because of their inexperience behind the wheel and higher accident rates, you should still shop around to find the best deal possible. You might be surprised. Be careful about companies promising you low cost coverage though. You want to make sure you are buying a policy that will protect you when you need it, and sometimes these cheap policies don’t do the trick.

The best thing you can do if you are an under 25 driver is to talk to your insurance agent about how you can lower your premiums. Not only can they give you tips like the ones above but they may know of other programs or options through their company that could assist you.

Tagged as: auto insurance, automobile insurance, car insurance, cheap insurance, premiums, under 25 drivers, young drivers