Having a learner’s permit can be very exciting for your teenager. But practicing driving skills while out on the open road has its advantages and disadvantages. Driving on the highway or in regular traffic is a good way for any new driver to learn how to be a good driver. However, it also puts your teen and other drivers at a higher risk of getting involved in an automobile accident.

Many parents wonder if they need to add their child to their car insurance plan when they only have a learner’s permit. This requirement differs between states. Your car insurance company could also impose different stipulations.

It’s important to get in touch with your insurance provider to find out more about adding your teen to your policy. Whether it turns out to be mandated or not, you can still gather some useful information about how to keep your teen safe and avoid a spike in your insurance rates.

 

When You Should Add Your Teen to your Policy

Most insurance companies will tell you that it is not required for you to add your child to your insurance policy until they are a licensed driver. Therefore, you don’t have to add your teen when they only have a learner’s permit.

However, you should let your car insurance provider know that you have a teen with a learner’s permit using your car. The company may have some specific regulations that you may not know about which could raise your rates or decrease them.

After your child has their driver’s license, it is time to get them insured. You can either put them on your policy or take out a separate plan for them. Most parents opt to add their teen to their policy because auto insurance for teens can often be quite expensive.

 

Car Insurance Rates for Teen Drivers

Teenagers are considered high-risk drivers by insurance companies and therefore adding your teen to your policy will naturally cause your rates to go up. Regardless of what company you have auto insurance through, you should prepare yourself for a significant increase in your premium, sometimes as high as $200 per month in addition to what you are already paying.

There are things that you can do whether you are adding a teen to your policy, or purchasing a separate plan for them, that will help decrease your rates. Consider the following:

 

A Second Policy Will Not Always Decrease Your Payments

In most cases, adding your teen to your car insurance will cost less than purchasing a separate policy. Although it will cause your rates to rise, you could receive a discount for multiple drivers. There are also some insurance companies that will give you a discount for adding multiple vehicles to your policy. So, if your teen has their own car, you can ask your agent about this option as well.

 

Use Common Sense When Purchasing a Car for Your Teen

Instead of buying your child their dream car, consider going with a sensible, safer option that will help keep your insurance rates low.

 

Ask Your Agent About What Coverage You Need and What You Don’t

You may not need full coverage for your teen driver, so it is a good idea to find out which coverage options you can drop and which you should keep. Dropping coverage such as collision and OTC (other-than-collision)  will help to lower your rates. You can also find out about increasing your deductible, which will help to reduce your premiums.

 

Could You Benefit from Occasional Driver Discounts?

Your rates will increase if you list your teen as the primary driver on your car insurance policy. Therefore, you should ask about adding your child as an occasional driver if they aren’t going to use the car very often.

 

Tips for Teen Drivers that can Reduce Insurance Rates

Your teen can also do their part to help lower your car insurance rates. Several major companies now offer good student discounts for teens who make good grades. Most companies consider good grades to be within the A and B average range.

Your child should also enroll in Driver’s Ed at school, even if they already know how to drive. Completing the driver’s education course will show your insurance company that they know the rules and regulations for driving in their state and most insurance providers will offer a discount for that as well.

 

To learn more about car insurance for teen drivers, contact our team at protectiveagency.com or call (877) 739-9367. Our licensed insurance agents will be happy to answer any questions you have