So, your teen is about to mark a major milestone by hitting the road for the first time. As exciting as this is, it’s also a crucial time to focus on auto insurance. For teens or new drivers, having the right coverage is not just a legal requirement but a key factor in driving safely. This guide will walk you through what you need to know about car insurance for teen drivers, like first-time driving tips and adding your teen to an existing policy.
Do I have to add my teenage driver to my insurance?
If you’re an established driver and already have auto insurance, you can add your teenager to your policy. Though it’s not always required, certain state laws and insurance companies will need your teenager to join your existing policy. If your teen is driving your car and not their own, they’ll need to be covered under your policy to make sure that any potential accidents or damage can be addressed.
If not required by your state, adding your teen to your insurance is still beneficial because it can be more economical than buying a separate policy. Insurance providers generally offer family plans that provide coverage for all drivers in the household including new teen drivers. This not only saves money but keeps coverage simple.
In addition to adding teens to your policy, you’ll need to notify your insurer as soon as they start driving. Communicating with your insurance provider can help you and your teen stay compliant with your insurance agreement.
How much does teen car insurance cost?
Teen driver insurance is known for being more expensive than insurance for more experienced drivers. On average, premiums for teens can be two to three times higher than those for adults. This higher cost is primarily due to the increased risk associated with young drivers. Insurance companies see teens as a higher risk due to their inexperience behind the wheel, which can translate to higher premiums.
However, there are several strategies you can use to manage and potentially reduce first time driver insurance:
- Good student discount: Many insurance companies offer discounts for students who maintain steady grades. This discount acknowledges that responsible students are more likely to be more responsible drivers.
- Safe driving course discount: Completing an official driver safety course can sometimes lead to a discount on your premium. These courses teach defensive driving techniques and safety tips, which can help make your teen a more cautious driver.
- Multi-car discount: If a teen has their own car, you may be eligible for a multiple car discount. Putting all your vehicles on one policy is usually cheaper than buying separate policies for individual cars.
What coverage should teen drivers have?
When selecting insurance coverage for a teen driver, it’s important to understand the different types available and what they can cover. Here’s a breakdown of various insurance options to consider:
- Liability coverage: This is the most basic and essential type of insurance. It can cover damage to other people and their vehicle if your teen is found to be at fault in an accident. Most states have liability coverage requirements, so it’s likely you’ll start with this coverage as a minimum.
- Collision coverage: This type of insurance covers damage to your own vehicle resulting from a collision, regardless of who is at fault. For a new driver, this coverage is particularly important as they are more likely to be involved in accidents.
- Comprehensive coverage: Comprehensive insurance covers non-collision-related damage, such as theft, vandalism, or natural disasters.
- Uninsured/underinsured motorist coverage: This coverage can help if you or your teen is involved in an accident with a driver who doesn’t have adequate insurance.
- Medical payments coverage: This insurance helps cover medical expenses for injuries sustained in an accident, regardless of who is at fault.
While it may be tempting to opt for the minimum required coverage to save on premiums, providing more coverage can lead to a better outcome for a teen or new driver.
How to get insurance for teens
Getting insurance for a teen driver involves several factors. Here are some crucial steps to help you navigate the process:
- Gather necessary documents: To get started, you’ll need a few key documents. These typically include your driver’s license, vehicle registration, and details about your car like make, model, and year. You’ll also need your teen’s driving record, which may include their learner’s permit or driver’s license.
- Get quotes: Contact different insurance providers to get quotes for adding your teen to your policy. You can contact an agent at Infinity Insurance Agency, Inc. or get a free quote online.
- Choose coverage: Based on the quotes you receive, choose the coverage that best fits your needs and budget. Consider higher coverage limits since teens and new drivers aren’t as experienced and are more likely to be in an accident.
- Work with your insurance agent: An insurance agent can help you understand the details of your policy and can help you find the best possible coverage for your teen.
- Review and adjust: Once you’ve selected a policy, review it carefully to make sure all the information is correct, and that the coverage meets your needs. Regularly review your policy, especially if there are changes in your teen’s driving habits or if they get a new vehicle.
Highway driving tips for new drivers
While having the right insurance is crucial, practicing safe driving habits is equally as important. Here are some highway driving tips and general safety tools to help your teen driver navigate the open road:
- Maintain your focus: Distractions, such as phone use or loud music, can impair driving. Encourage your teen to stay focused on the road and avoid any distractions while driving.
- Be aware of aggressive drivers: It’s important to remain calm and avoid reacting to aggressive drivers. Teach your teen to stay cool and collected to dodge road rage.
- Look ahead and behind: Encourage your teen to scan the road ahead and behind them frequently. This helps them anticipate potential hazards and make informed driving decisions.
- Use turn signals: Proper use of turn signals is crucial for communicating intentions to other drivers. Remind your teen to use their signals well in advance of any turns or lane changes.
- Use the right lane except to pass: Teach your teen to stay in the right lane except when overtaking other vehicles. This helps maintain a smooth flow of traffic and reduces the risk of accidents.
- Practice in good weather: New drivers should practice driving in good weather conditions until they feel comfortable. This allows them to build confidence and skills before tackling more challenging driving conditions like rain and fog.
FAQs
Do you need auto insurance with a learner's permit?
In most cases, you do need insurance if your teen is driving with a learner’s permit. In certain states like Illinois, it’s required for young people with permits to have the state’s minimum liability coverage. If your teen is driving a family vehicle, it's likely you can extend your coverage to them, but make sure you call your insurance company to list them on your policy.
Why are insurance rates higher for teens and new drivers?
Insurance rates are higher for teens due to their inexperience and the increased risk of accidents. Statistically, young drivers are more likely to be involved in crashes, which is why insurers charge higher premiums to offset this risk.
When do teen insurance rates start to decrease?
As teens reach their 20s, drivers will generally start to see their rates decrease. Rates typically drop as drivers gain more experience and have a clean driving record. Other factors like good grades and safe driving habits can also contribute to lower premiums.
Call Infinity Insurance Agency to get a quote
Ready to get started with insuring your teen driver? Contact IIA today at 1-855-478-3705 to get a personalized quote and to help you explore policy options for your family. Our experienced agents are here to help you find the right coverage at the best price, so call us today!