New drivers are considered high risk by insurance companies because of their inexperience.
However, there are ways on how you could look and pay the best auto insurance rate even though there are restrictions.
Let us start with what car to buy for your teen.
The type, make and model of a car affect the insurance rate.
Sports and luxury cars have higher premiums compared with family cars.
With this in mind, you could purchase a car which is safe and economical.
Here are some tips on how you could lower the insurance rate for your son or daughter's car.
1.
Multiple policies.
If you already have an insurance policy for your car or for the family's car, try using the same insurance provider.
Insurance companies would usually give discounts or deductions for those who have multiple policies with them.
2.
Enroll your child on a safety driving class.
Insurance companies would often give discounts to those who took these driving courses.
These classes teach drivers about safety measures to be taken while driving and what should be avoided, like alcohol.
There are schools that offer these courses.
There are also private institutions which offer the same classes for a higher fee.
3.
There are also insurance companies who offer academic discounts to student drivers.
If they perform well on school, then they could get a discount.
Their report cards are considered as a sign of being responsible.
Getting a lower mark on the reports card, though could immediately affect the insurance rate.
4.
Use online auto insurance comparison to look for the best rate possible for your new driver.
Keep in mind though, that rates are not the only deciding factor.
Consider the benefits and the extent of the coverage also.