To get the best rates for young car insurance buyers, shopping around is important. Prices do vary between car insurance companies, and by taking the time to get quotes from a number of providers, a young person can avoid paying more than he or she has to for this necessary coverage.
Young drivers pay higher rates for car insurance than people who have a number of years of driving experience because of a combination of lack of experience behind the wheel and a higher likelihood that they will engage in risky behavior. People who have recently been licensed are more likely to be involved in car accidents and to make claims against car insurance policies, which means they present a higher risk to an insurer.
A young person who is living with his or her parents or another licensed driver can get better rates by being added to an existing car insurance policy as an occasional driver. This is a much less expensive proposition than buying an individual policy.
Students who are able to maintain a B average or higher can qualify for a discount on their car insurance coverage from many companies. When requesting quotes for coverage, it’s important to ask whether the company offers good student discounts.
A young person who will be away at school for several months of the year and will not be driving a parent’s car during that time can also qualify for preferred rates, so parents should be sure to tell the insurance company if this scenario applies to them.