Luckily, here are 7 tips on how to get cheap insurance for young drivers:
1) Compare prices.
Just like with any other product or service, you need to do comparison shopping to find the very best in car insurance for young drivers. Since young drivers are considered to be a liability, shopping around will help you find companies that are more youth-friendly. In fact, there are some insurance companies, such as Swinton's Young Driver Insurance and Only Young Drivers, that cater specifically to young drivers.
Even if you find an insurance company you like, do not be afraid to try and negotiate lower prices. Since the insurance industry is very competitive, there are many companies that will fight to gain your business. Checking with your current provider before potentially switching can also save you money on car insurance.
2) Add a more experienced driver to the policy.
If you are a youth, having a more experienced driver will help reduce the rates. However, under no circumstance should you ever name the more experienced driver as the main driver when it is actually you. Such a trick can cause your insurance company to void any claims or your policy if something should happen.
3) Choose a cheap and safe car to drive.
To get the best rates, it is highly recommended to choose a cheap and safe car to insure. If your car is cheap, it will cost less to repair or replace, so you will experience lower rates. Additionally, if your vehicle has a small engine and great safety features, you will also benefit from lower rates.
Most youths may be tempted to get showier cars to impress their friends. However, insuring high performance vehicles can actually cause insurance rates to increase sharply. Whenever you can, it is recommended to avoid kits and modified or imported cars.
4) Choose your coverage options wisely.
Depending on your needs, there may be coverage options that you can opt out of. If the vehicle is older and does not hold much value, dropping coverage options can make the policy cheaper. However, if you opt out of comprehensive coverage and the car is stolen, you will need to pay for the incident out of your own pocket.
5) Combine policies.
If you insure multiple vehicles (owned by family or household members) with the same firm, you will likely receive a discount. Additionally, if a youth's parents hold other insurance policies with the same firm, such as home or life insurance, the rates for car insurance could drop.
6) Consider installing a black box.
A block box is used to monitor how you drive to determine how safe of a driver you are. When installed in a youth's vehicle, it will monitor braking, acceleration, cornering, and time of driving. Every 90 days, the device will charge for insurance while applying loadings and discounts.
Depending on the youth's driving habits, using such a device could potentially cause a policy to be cancelled (due to poor driving habits). However, the device can also benefit good drivers and allow them to save hundreds on their car insurance.
7) Monitor mileage use.
If you do not intend to drive your vehicle around much, you may be able to take advantage of low mileage policies. However, youths can make such a habit even easier by opting to install a tracking device in their vehicles.
The tracking device simply monitors how many miles you drive to best determine how you should be charged. For example, many companies offer “pay as you drive” schemes that benefit drivers that drive their vehicles less. However, many schemes still allow for drivers to purchase more miles as needed.
When using a tracking device, it is important that youths avoid driving between 11PM and 5AM since it will cost more per mile during this time period.
With these 7 tips on how to get cheap insurance for young drivers, you will be able to enjoy a cheaper policy.