How to Get the Best Auto Insurance for Young Drivers
You’re a new driver with tons of learning ahead of you. Yet, even with your best intentions, one fender bender or red light went wrong can quickly wreak havoc on your auto insurance rates and leave you paying more than you bargained for. If you’re a young driver under the age of 25, getting suitable auto insurance coverage can be challenging.
The risk of accident or injury is greater for drivers in this age bracket than for older drivers. In fact, statistics show that a person’s risk of dying from an auto accident increases by 90% once they turn 20 years old. To make things worse, most insurance providers view this demographic as high-risk drivers and charge them higher premiums as a result.
However, there are ways to reduce these costs while maintaining coverage that protects you from all types of accidents and incidents that may happen behind the wheel. Read on to find out how:
Estimate Your Auto Insurance Needs
The first step to figuring out the best auto insurance for young drivers is to determine how much coverage you actually need. If your car is brand new, you’re probably going to need more coverage than someone who has a 15-year-old, paid-off vehicle.
Let’s take a look at some of the most important components of auto insurance. These include:
- Liability - This pays for damages you cause to another person’s property in an accident. For example, if you rear-end another driver and cause $3,000 worth of damage to their car, liability coverage would cover that cost.
- Auto Medical Expenses - If you or one of your passengers gets injured in an accident, this type of coverage pays for the medical bills associated with the injury.
Shop By Provider
Once you’ve established the essentials for your coverage, consider which insurance companies are likely to offer the best rates for your unique needs. It’s important to shop around and compare car insurance online to find the best match for your situation.
Once you’ve decided who you’d like to work with, make sure you get all the information you need before signing on the dotted line. Ask the following questions when shopping for auto insurance:
- What are the rates based on insurance?
- What are the coverage amounts of insurance?
- Are there insurance discounts I'm Eligible for her?
- What is the policy cancellation process insurance?
- How much is the monthly premium insurance?
Check For Discounts
Once you’ve found a few providers that meet your basic requirements, it’s time to check for discounts. Discounts are ways some insurance providers can reduce the cost of your premiums by offering you an incentive to select them.
There are a variety of ways to get a discount on your auto insurance as a young driver. Some of these include
- Driving records: If you have a clean driving record, you’re likely to get a discount on your insurance.
- Driving safety course: Taking a course that teaches you better driving safety can reduce your rates.
- Credit score: Your credit score may play a big role in what you end up paying for insurance.
Bundle Your Insurance
If you’re still struggling to find the right type of coverage at a price you can afford, you may want to consider bundling your policy with other types of insurance. Bundling insurance policies together is when you combine multiple types of insurance into one policy.
This is especially useful if you’re looking for cheaper rates but don’t want to give up any coverage you currently have or risk being declined for other policies.
Summing up
Auto insurance for young drivers can be tough to navigate, but it doesn’t have to be. Follow these tips to find the best coverage for your situation. Taking these steps can help you find the right coverage while saving money on your premiums. With the right coverage, you can rest easy knowing you’re protected in the event of an accident.
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