- Get good grades. Most insurance companies offer high school or college students with a B average or better a discount of up to 10%.
- Live away from home. Students at college or living at least 100 miles from their parents without a car can usually get a 5%-10% discount.
- Take an additional driving class. Although most insurance companies don’t give a discount for mandatory drivers’ed instruction, some companies will reduce premiums by 5% for teens who go to follow-up classes.
- Sign a parent-teen driving contract. Your insurer might offer up to a 5% discount if your teen agrees to follow such rules as not driving at night or with friends in the car.
- Raise your deductible. However, bear in mind that you’ll have to pay this deductible if your teen driver damages the car. If you repair every ding, you could spend a lot more than you’ll save on premiums with a higher deductible.
- Reduce or drop some coverage. If you have an older car, you might not need Comprehensive or Collision insurance. Be wary of lowering Liability limits. In most cases, it makes sense to keep Personal Injury Protection (PIP) coverage, which pays medical expenses of anyone injured in an auto accident.
- Choose a safe vehicle. The higher the safety rating of your car, the lower your premiums – and the safer your teenager will be behind the wheel.
We’d be happy to help you minimize the sticker shock of adding a teen driver. Just give us a call.