6 Ways Parents Can Save Money on Auto Insurance

When you have teen drivers in your house, cheap car insurance is often hard to come by, but that doesn’t mean it’s impossible. Now that your teen is old enough to drive, you will need to update your car insurance policy to include him or her. Fortunately, there are ways to avoid paying outrageous fees thanks to some cheap car insurance tricks and tips.

One way to lower your car insurance rates is to encourage your teen to get good grades in school. Many companies offer cheap car insurance rates for honor roll students. Make it a point to stay on top of your teen so you can ensure they are doing good in school.

Assist with homework and help your teen study for tests and quizzes. Not only will you be providing you teen with a better, brighter future, you’ll also be saving money on cheap car insurance.

Another way to save money on your policy is by purchasing your teen a reliable used vehicle. Newer cars and sports cars often mean higher premium rates. You and your teen need to discuss a budget for a used car and stick to it. Shop around rather than purchasing the first vehicle you find.

Make sure the vehicle meets safety standards before you buy it. Also, call your insurance company and ask what the rates will be to insure the vehicle. You will quickly find that older cars often equal cheap car insurance.

Encourage your teen to practice safe driving. In many cases, an insurance company will lower rates if your teen proves him or herself to be a safe, reliable driver. You will quickly find that teens who follow the rules of the road are capable of obtaining cheap car insurance compared to parents of teens who break the rules of the road.

As it currently stands, automobile accidents are the number one cause of death among American teenagers between 15 and 19 years old. In other words, by encouraging your teen to obey traffic laws, you are promoting their safety while allowing yourself to obtain cheap car insurance.

Enroll your child in a driver’s education course. Companies will often provide cheap car insurance to teenagers who have completed a safe driving course. Contact your local insurance company to find out if there are specific courses your teen needs to complete in order to qualify for cheap car insurance rates.

Once your teenager heads off to college, he or she may be entitled to cheap car insurance. Car insurance companies often lower rates as your teen ages, so make sure you check in with your company often to find out about lowering your rates when your teen has a birthday.

Assign your teenager a specific car. If you, your spouse, and your teenager each have your own vehicle, you will need to specify who drives each one. If you do not assign your teenager to a specific vehicle, an insurance company may wrongly assume that your teen is driving a more expensive or newer vehicle, which can raise your insurance rates.

Obtaining affordable car insurance is entirely possible despite having a teen driver under your roof. Fortunately, each one of these tips and tricks will put you on the path toward lowering your monthly rates.