Reducing Car Insurance for Young Drivers
Save Money On Auto Insurance
Get All of the Information
The first step in attaining automobile insurance at the best rate for your new driver is to get all of the information. Call your current automobile insurance agent and get all of the information and write it down. If your home is insured through the same company, you should be receiving a discount already. If not, you may want to see about using the same insurance company for both to reduce your rates.
Compare your current rates with other insurance companies rates. Check with at least two other companies so that you can get a better picture of how fair the rates are that your current insurance company is giving you.
Types of Automobile Insurance Coverage
- Types of Auto Insurance Coverage - State Farm
Find the auto insurance policy and coverage options that are right for you. Learn about the most common types of auto insurance coverage & get answers to all your questions.
Insurance Discounts to Inquire About
All insurance companies offer discounts. Below is a list of discounts that you should inquire about when purchasing automobile insurance for your new driver.
You can bundle your home, auto, and life insurance and save up to 25%.
You may be able to share your discounts with other members of your household with a Family Plan.
Accident free discount
You may be able to save up to 10% if you have at least 5 years of safe driving.
Good student discount
You can get up to a 15% auto insurance discount when your teen earns a B average or above. The insurance company will look at your teen's most recent gradepoint average. This can amount to up to to a couple hundred dollars a year.
Farm Bureau discount
You can save up to 7% in certain states when you join the Farm Bureau, whether you live near a farm or not.
Defensive driving discount
If you complete an approved driver safety course, you may be able to save up to 10%. In some states, you may have to be over age 55 to participate.
You may be able to earn a discount when your car has an anti-theft device installed.
This is true for most bills. You can save when you sign up for paperless billing and pay your bill online.
You may be able to save up to 10% on your auto insurance if you are a member of a partner business or organization.
Types of Coverage Will Impact Your Rates
You will want to consider whether to get comprehensive and collision coverage with liability or just liabilty coverage for your teen.
Comprehensive and collision coverage will cover collision with another vehicle, collision with an object, a vehicle rollover, as well as damage or loss include by fire, wind, hail, flood, vandalism, theft, or hitting an animal.
Liability coverage will cover damage to another person's vehicle or injuring someone if your teen is legally responsible. The two categories liability insurance falls under are bodily injury and property damage. Liability insurance alone will cost much less than the accompanying comprehensive and colliision coverage, but it will not cover damage to your own car.