Having a teen driver is scary enough, having to insure them at insanely high rates make the whole downright terrifying.
Equifax Personal Finance Blogger Linda Rey has been talking about auto insurance all month. This week she wrote about insuring a teen driver and how to find discounts. Tune in to the site tomorrow to real my real estate blog.
After all the soccer games, cheerleading practices, recitals, etc., it’s convenient to have one (or ten) fewer errands to run yourself. A teenage driver may be helpful, but the statistics on teen accidents are alarming. If you allow your teen to become a licensed driver, you may have sticker shock when you see the premium charge of adding a teen driver to an auto policy.
However, there are discounts that can help minimize the auto insurance premium increase you’ll pay. Here are some guidelines for ensuring you get a good price on a family auto insurance plan:
- Consider a car that has various safety features, such as antilock brakes and daytime running lights and an alarm system. Consumer Reports recently appeared on the CBS “Early Show” to demonstrate safe cars for teens and seniors.
- Find out if your child is eligible for the good student discount. Typically, insurance companies like to see your child pull at least a B average.
- Get an annual policy rather than a monthly or six-month policy term.
- Don’t wait until the last minute to set up a new policy or renew an existing policy. Some carriers will offer a discount for giving several days’ advance notice.
For the full blog, including more tips on finding great discounts (including ways to save if your child is a college student) go here: http://insurance.equifax.com/2010/09/insuring-teenage-drivers-and-earning.html