How to Lower Teen Car Insurance Costs

EINSURANCE.comTM

Kids and cars can be a lethal combination. According to the Centers for Disease Control data, car crashes are the number one cause of death among U.S. teens, responsible for more than one in three teen deaths. When factored per miles driven, the same data claims that kids 16 to 19 are four times more likely to crash than adults; in 2009, 8 teens in that age group died every day as a result of vehicle accidents. And the crash rate for 16-year-olds is 15 times that of drivers aged 20 to 24. None of this is likely to deter your child from wanting to drive, but it certainly explains why car insurance for teens is so darned expensive. A teen driver can add 100% or more to your policy and that's if junior maintains a spotless driving record. Tack on a moving violation and get ready to take out a second mortgage!

Fortunately, there are things you and your teenager can do to help lower premiums.

Choosing the right ride for your teen driver can make a big difference. Your kid will want something sporty, cool and fast. You will want anything but that combination. You can compromise and find a car that makes you comfortable without damaging the kid's street creds.

The ideal vehicle will do well on all four crash test criteria: front-end and rear-end collisions; side impact; and roll-over. If you're buying used, look for models that have both front and side airbags, and anti-lock brakes.Avoid pick-up trucks, which according to the National Highway Traffic Safety Association have roll-over death rates two times higher than cars. SUVs, by the way, have come up several notches in terms of stability. Once top-heavy and roll-over prone, newer model SUVs equipped with stability control now boast 70% fewer single-vehicle roll-overs than those without that feature.

Keep the horsepower under control. A four-cylinder model will not only discourage speeding and reckless driving, it may also result in cheaper car insurance for your teen driver. Besides, putting too much power in the hands of an inexperienced teen driver is not a good idea, even if the car is rated highly in crash tests. The same caveat goes for all-wheel drive vehicles, which may give your teen a sense of over-confidence. Say no to a stick shift. An automatic transmission is less likely to challenge a young driver's skills under pressure. And make sure whatever car your teen drives has the latest safety equipment. Airbags, anti-lock brakes and automatic seat belts will keep your child safer and may qualify for insurance discounts.

Seek out savings. Many insurance companies also offer discounts for good grades, participation in driver education programs and community service like Students Against Drunk Driving.

You can take some steps to reduce the financial impact of a teen driver, too:

  • Establish and enforce basic rules like no cell phone calls or texting while driving. The National Safety Council claims 28% of all traffic accidents happen when people talk or text while driving.
  • Boost your deductible, and drop any unneeded collision and comprehensive coverage.
  • Take advantage of multi-vehicle, multi-policy, anti-theft, anti-smoking and other discounts.
  • Most important, be a good role model behind the wheel. If you're a safe driver, chances are your kid will be, too.