You are adding your teen to your car insurance. The statement is many people’s greatest fears. It’s the moment they’ve dreaded coming because of the stress it brings on. Though the high costs are inevitable, there are ways to decrease them, and you shouldn’t have to endure it for too long.
We pride ourselves on our transparency. So, here it is: your rates will go up. Below you can see the average percent increase by state. Please note. This percentage is dependent on your state and sometimes the teen’s gender. Teenage males are often more expensive to insure.
The averages for Delmarva according to this study:
Maryland- 178 percent (average: roughly a $2,700 rate increase)
Delaware- 145 percent (average: roughly a $2,600 rate increase)
Virginia- 199 percent (average: roughly a $2,000 rate increase)
The reason the costs are so steep is that many insurers find them riskier. Past statistics have shown teens are more likely to file a claim. Also, please note that these percentages are the average percent increase for adding a 16-year old driver. As your driver gets older, you can expect reductions to their rates.
We know that isn’t what you want to hear, but there are options available to reduce the cost of adding a teenager to your car insurance.
Tip number one is shopping around and comparing several policies. Shopping with independent insurance agents can help get you quotes from multiple carriers quicker and with more ease. Such agents are typically experts at navigating quotes and policies so they can also help you compare benefits and details that may be of further benefit to you.
Tip number two is exploring different discount options. Multiple carriers offer rate reductions for students. Qualifications for these discounts can include maintaining a certain GPA or completing a carrier approved safe driving course. If you have a college student who lives more than 100 miles away from home without a vehicle, you may also receive a discount as they may not be around to use the car as often.
Tip number three is strategically buying your teen’s car. Some cars are more expensive to insure than others. This decision could have a considerable influence on how significantly your rate increases when you add your teen. It might be time to pass down the family minivan! When searching for your teen’s first car, you want something larger in size and slower. Their safety will also save your wallet!
Tip number four is to review the guidelines set by your policy. There’s no need to start paying when you don’t need to. Check with your carrier to see what their rules are as they vary from each other. Being aware of these guidelines can help you know what expenses to expect and when.
This information is scary and nerve-wracking, but we are here to help. Our experts at Avery Hall can guide you every step of the way. Contact us to receive a free quote today.