Risk & Business Magazine General Insurance Services - Fall 2020 - Page 30

TEEN DRIVER BY: KATELYN WISSER, PERSONAL RISK ADVISOR GENERAL INSURANCE SERVICE How To Drive Down Auto Rates While Insuring A Teen Driver If you are the parent of a teenager who is getting ready to climb behind the steering wheel, insuring your new driver can be an expensive endeavor. Teens and young adults often face hefty auto insurance premiums because, statistically, they are more likely to get into car accidents. The Department of Motor Vehicles reports that the crash rate for those between the ages of 16-19 is 2.7 times greater than that of the average driver. I’ve gathered some helpful tips to help you keep your premiums as low as possible and your teen safe and accident free. ADD YOUR TEEN TO YOUR AUTO POLICY Rather than setting up an independent policy for your teen driver, consider adding him or her as an additional driver on your auto insurance policy. Also, if you have more than one vehicle, keep costs down by designating which vehicle your child will be driving. DEDUCTIBLE CONSIDERATIONS Auto deductibles typically range from $250 to $1,000. By upping your deductible and using your insurance for big repairs, you can significantly reduce your premium. ASK FOR THE GOOD STUDENT DISCOUNT If your teenager maintains at least a 3.0 grade point average (GPA), he or she typically qualifies for a rate discount. The Journal of Accident Analysis and Prevention found in a recent study that 30