How Come Young Adults Seem To Raise Insurance Coverage Rates
Statistics have shown that teenagers are more likely to be involved in car accidents than their adult counterparts
. This is usually down to the teenagers making errors of judgment when driving. Teenagers are also more likely to exceed the speed limits more than adults too. It is facts like these that have driven the cost of insurance policies that involve the addition of a teenager through the roof so to speak.The cost of family insurance policies can vary depending on which state you live in. The average cost of the family insurance [policy can be anywhere in the region of $1,800.00 per year. The sad thing is that when you decide to add a teenager onto this policy you will definitely se the cost increase. The amount of the increase can be as little as 50% or as high as 200% of the original cost of the policy.
This may seem a little harsh on the policy holder but unfortunately many insurance companies see teenage drivers in the category of high risk drivers and as such set higher insurance rate for them. When you look at the statistics for car accidents you can see where the companies get this idea from. But all is not lost because if you are looking for an insurance policy and have a teenager to be added then there are ways to get discounts on your policy.
If the teenager on the policy has attained good grades from his or her school then the insurance company could look on them favorably. This is because the insurance companies believe that these students will be more responsible when they are driving. This usually means that the insurance companies will give discounts to these teenagers. It is thought that teenagers who attend traffic school will get fewer tickets than those who do not attend it because they will adhere to the traffic regulations. This in turn will mean that their premiums will effectively be lower for their insurance.
Finally you could make sure that the car they choose is not a flashy sports car but a practical car. Insurance companies look at sports cars as enticing the teenagers to go faster and that will also push up the insurance premiums.
The deductible you sign up for can make a huge difference to the amount your insurance costs every month. The deductible simply means how much you'll have to pay for repairs before the insurance company pays out. If your deductible is $100, for example, and repairs cost $300, you'll have to pay $100 and the insurance will then pay for the rest. It's important to think about this carefully - only go with a deductible you can really afford and that makes financial sense.
Unfortunately it can be time consuming to find the cheapest new driver auto insurance quotes, but it'll be well worth the time you take for the money you'll save. There are now plenty of websites available designed to help make insurance comparison easier, letting you enter in all of your details and comparing at a glance which company suits you best.
The truth is that no one insurance policy will be best for everybody, this is why it's important to do your own research and not just rely on what a friend did, for example. So many factors can impact how much you pay for new driver auto insurance, so get out there and start comparing to find the best deals.
How Come Young Adults Seem To Raise Insurance Coverage Rates
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