Generally car insurance will put premiums on young drivers insurance which raises the cost of insuring a new driver higher than experienced driver. Statistics indicate that majority of road accidents involve drivers in the age bracket of 17 to 25 years. This means that drivers under the age of 25 are more likely to cause accidents than those above 25 years of age. Young drivers are therefore considered high risk and insurance premiums are calculated to cater for such risk.
The average insurance rates for teenage drivers is also higher because they have not had the opportunity to have a no claims bonus with time. Even though you cannot escape the higher premiums for youngsters, there are ways that can help you lessen the cost to obtain cheapest insurance for young drivers.
One of the key determinants of the cost of insurance of a vehicle is its price. As a beginner, you can try purchasing a reasonably low priced car or even a second hand vehicle for your first car. The lower the cost of your vehicle the less it will incur in insurance cost.
Consider a small engine car because the size of the engine is proportional to the cost of insuring. It is important that you shun high performance and fast vehicles. Such vehicles are considered high risk by insurance and incur more cost to insure. You should go for smaller vehicles and this will significantly save you the cost of young drivers insurance.
Attend Pass Plus Training Program
To save the cost of Young drivers insurance, it is advisable that you attend the pass plus training program. A good number of insurance companies will offer a twenty percent discount on young drivers insurance if you have completed this training successfully. There are six lessons in the program where the instructor continually asses your driving skills during the course and there is no test on completion. This tends to guarantee the insurance company that you are better and well trained driver who is not likely to cause an accident.
Pay for what you need
To minimize the cost of young drivers insurance you can opt for a third party policy which is the minimum car cover that is legally acceptable to drive on the road. This is the minimum cover you can get and is the cheapest. The downside is that premium is limited to covering damages to third party involved in an accident. Third party neither covers you nor your vehicle in case of damages. Any passenger in your vehicle is not covered either.
Avoid monthly payments
For many young people, it is not pocket friendly to pay the annual cost of young drivers insurance on a monthly basis. However, in order to save cost you should consider paying your insurance on annual basis. Monthly payments seem easy to manage, but the overall cost incurred with monthly payments surpasses the annual payment by a significant margin. You can therefore save on cost and get best insurance for teen drivers by opting for annual payments instead of monthly.
Another way to save on the young drivers insurance is by building an excess into the policy. An excess is whereby you commit to pay the initial part of a claim up to an agreed maximum. The excess can be a small amount, but generally, the larger the excess you commit to the less costly your premium should be. Agreeing to an excess means you are sharing the risk and is a good indication that you are committed to avoiding accidents.
Do not do modifications
If you own your own car, avoid the temptation of modifying it. Any modification can significantly raise the cost of young drivers insurance. Non-standard parts such as alloys and spoilers tend to decrease the stability of your car while driving. Such modifications are not favored by insurers and end up inflating auto insurance for a teenager.
Consider Telematics/ Black Box/ Pay as you go car insurance
This type of insurance offers young drivers insurance premium based on your driving styles. A device called a black box is fitted in your car and monitors your driving style. Some of the parameters monitored by the black box include speed, distance traveled and the time during the night or day that you are on the road. How you brake, negotiate corners and the kind or roads that you use are all assessed to come up with a driving profile of how you drive. Your driving profile is then graded to determine the cost of insurance.
You can reduce the cost of young drivers insurance by driving fewer miles on more secure roads. You can also do so by limiting yourself to driving during the day. Policies based on black box are charged on monthly basis. This means that the insurer can adjust the cost to favor better driving or punish risky drivers.
Add a named driver to the insurance policy
This can lessen the cost of young drivers insurance for your car. The named driver should be older with more experience in driving. Take caution to avoid fronting which is illegal. Fronting occurs when the younger driver is actually the main driver instead of the experienced driver. Insurance can deny you claims in case of fronting.
This can be tedious if you have to walk around from one insurance office to another. Fortunately, you can do your research online to find the best priced young drivers insurance policy. There are even sites that bring together various insurance on one platform. This is handy and will help you compare the prices offered by the various insurers. Some insurance companies will offer some percentage discounts to attract new customers. Today you can easily request for insurance quotations online. Most insurance companies will respond by sending you a quotation to your email within a day. Some websites have online calculators that make it easy for you to calculate your insurance. This is based on your car and other parameters that affect the cost of young drivers insurance.