The following is a guest post by Sam Stockdale of the non-profit AMPM Insure Community. If you are interested in guest posting, please see our guest posting guidelines.
Purchasing inexpensive auto insurance for teenagers may be a bit tricky due to the fact that they do not have years of experience in driving their own vehicle. When you go to buy cheap auto insurance for your teenager, you will find that several companies will offer you the policy but at different rates. As such, it becomes necessary for you to shop around thoroughly when you are planning to buy auto insurance for your teen. You should compare the price and the benefits that the policy will offer your teenager when you decide to buy a particular policy. Make sure that you choose a policy that is cheap yet provides the necessary benefits that you are looking for in the policy. This will enable you to spend your dollars in the right policy.
6 Steps To Search for Inexpensive Auto Insurance for Teenagers
Giving your teenager their own automobile means purchasing a suitable auto insurance policy to secure their auto. Given below are the 6 steps to search for inexpensive auto insurance for the teenagers.
- Pay premium based on your car’s value – The premium that your teenager will have to pay on their policy depends upon the value of the car that they will be driving. So, the more expensive car you may purchase, the more premium you will have to pay on your policy. The insurance company will have to pay you more money in case you meet with an accident. Get your teen a cheap car so as to reduce the costs to as much as possible.
- Search for several auto insurance companies – You may browse through the internet and search for good auto insurance companies from whom you can buy the policy for your teenager. Collect the phone number through their website, and call up the insurance companies to obtain the needed details about them. Make it a point to compare the insurance rate between at least 5 companies so that you may be able to find a cheap policy that will fulfill your requirement.
- Look for multiple auto discounts – You might have both your own auto and a different one for your teenager that you want to insure. If you are paying the same price for insuring both your autos, you should look for multiple auto discounts that different companies offer to their customers. You should insure both the autos from the same company. This will allow you to save your hard-earned bucks which will, otherwise, go to waste by insuring them with different insurance companies.
- Purchase multi-person policies – You can get coverage for more than one person by buying multi-person policies. This enables you to not purchase multiple policies for every individual’s auto. You will also be able to save your hard-earned bucks by purchasing this policy. Thus, consider buying multi-person policies so that you can buy a cheap auto insurance plan for your teenager that you will be able to continue during your financial difficulties.
- Make the required changes in your policy – There are several ways by which you can get hold of cheap auto insurance for your teenager. So, if you really want to pay less on your policy, then you’ll have to make some modifications in your policy. Add up the theft devices to your teenager’s auto and lessen the mileage amount that is listed for yearly usage. If you have purchased life or home insurance in the past, then you may get some discount for insuring them all from the same company.
- Find a high-deductible policy – You can save a lot of money on your teenager’s insurance policy by choosing a plan that has higher deductible. This means if any accident takes place because of your teenager’s fault, then you will have to pay more for its repair. Having such a policy will help ease the main concern of the insurance company and allow you to reduce the premium to a great extent.
Purchasing cheap auto insurance means you are a smart shopper and can find the best deal for your teenager’s auto. Your main purpose in buying cheap auto insurance should be to get the needed coverage at the most affordable rate and from the right insurance provider. By following the above steps, you will be able to search for cheap auto insurance for the teenagers.
About the Author: Sam Stokdale is an ex-Insurance Agent from Arizona. He has helped many people in the past choose the right insurance policy according to their needs. He currently is associated with a non-profit community.
If you haven’t checked out Personal Capital’s FREE financial tools yet, you are seriously missing out! This super sweet software not only helps you track your spending, it’s also a great tool to help you track your net worth. Crash test your portfolio with the “Retirement Fee Analyzer,” a tool that helps you make informed decisions by exposing the fees being charged on your retirement accounts. Best of all, Personal Capital’s free financial software helps you see all of your wealth in one place! We use it. We love it. We think you will to. Learn more by reading our Personal Capital review, or get started right away by clicking below!