I’m buying my son a car as a birthday gift for his 18th birthday. I know insurance cost for young drivers is high. Can you give me suggestions to lower the cost of auto insurance in order to save a few bucks? Thanks!
Betty
Dallas TX
According to statistics, young drivers at the age of 16-20 get into accidents more often than drivers between the ages of 30 to 60. This is why insurance premium for this age group costs so high. However, there are available discounts that can cut down the high cost. Here are some suggestions and make it a guide in order to lower young driver auto insurance cost.
1. Increase your deductible and it will decrease your insurance premiums. But be sure it won’t be too high that you can’t handle the cost that will come out of your own pocket.
2. Enroll in a driving school. It’ll make you a better driver and it will reduce your insurance premiums.
3. Install safety devices such as car alarms, seat belt and airbags. Notify your insurance agent to avail discount.
4. Look for average/cheap cars. Ignore that big type of vehicle, as a rule of thumb, bigger or more expensive cars equals high insurance cost.
5. Get good grades; it’s proven that if you’re good at school, chances are you’re a responsible person.
6. If you still live with your parents, register the car under your parents’ name and get into their auto insurance policy.
7. Having a good credit background can lower your insurance cost too. If you can pay bills on time, your insurer will mark you as a low risk when it comes to paying premiums.
8. Shop online. Get a minimum of three insurance quotes before jumping into a deal.