Young drivers are expensive to insure. Such drivers, particularly teenagers, frequently cause traffic accidents because of their lack of experience and the fact that, due to their youth, they tend to be distracted, risky drivers. If your household is about to add a new driver, make sure that he or she understands that, besides endangering themselves and others, poor driving habits can result in higher premiums or a canceled policy. Here are some methods to help minimize the cost of a new driver:
- Think carefully about giving a young driver his or her own car. Coverage for young drivers who have full-time access to a vehicle is very expensive. Make sure you balance the considerations of convenience, cost and safety.
Don’t pursue lower premiums blindly. It’s important that your young driver is protected from the financial consequences of causing a serious accident. Further, you may need to protect yourself since you could also be sued for an accident caused by your son or daughter. You might consider getting higher limits of liability by purchasing an umbrella policy. Talk to an insurance professional about more strategies to keep your new driver affordable.