Saving Money On Car Insurance With A Teenage Driver

By: Barry Brenner

Are you paying a fortune to insure your teenage driver? You
really don't have to.

Some car insurance companies will charge you for your teenage
driver when they turn sixteen. Some won't. Call your carrier
ahead of time to find out what their policy is.

The most costly coverage on your auto insurance policy is the
collision coverage. Collision coverage covers damage to your
vehicle when it is involved in an at-fault accident. I.e. you
hit someone or something. New drivers, no matter what age, are
rated higher and cost more due to their lack of driving
experience.

To save on the cost of the collision coverage on a new driver,
consider purchasing a used vehicle that cost between one
thousand five hundred and three thousand five hundred dollars.
Make sure that it is mechanically sound for your driving needs.
If you want to cover this vehicle for theft and vandalism, you
can purchase comprehensive coverage. Instead of purchasing
collision coverage on this vehicle, purchase uninsured motorist
property damage coverage.

Uninsured motorist property damage coverage protects your
vehicle for up to a limited amount if an uninsured motorist hits
it and you can identify the driver and the vehicle. That way if
anyone hits you, even if they have no insurance, your vehicle
will be repaired or you will receive payment from your insurance
company for the fair market value of the vehicle. Some insurance
companies include a deductible with this coverage. Your savings
could be anywhere from five hundred to two thousand dollars per
year for your first three years of driving. How much does that
add up to after three years?

When my daughter turned sixteen this year, I was faced with this
dilemma. I own a 2002 Honda Accord and a 2003 Mitsubishi Lancer.
My auto insurance carrier wanted to increase my premium by two
thousand dollars every six months to add her onto the policy.

I bought her a 1970 Plymouth, in good mechanical condition, and
found a different top insurance company that charged me $642.00
every six months for the Plymouth with her on the policy. This
policy came with permissive driving as a standard feature. This
means that any other car she drove, including my other cars,
were covered by this policy.

After I purchased the policy on the Plymouth, I was then able to
add her onto my current policy for my Honda and Mitsubishi as a
not rated driver without any additional cost. If she causes an
accident while driving my Honda or Mitsubishi, the policy on the
Plymouth would come first with its' coverage's. Then my current
policy would come second, if necessary.

My current carrier wanted $1,200.00 every six months if I added
the 1970 Plymouth and my daughter onto the policy. So I ended up
saving over $1,100.00 a year on my car insurance.

About the author:
Barry Brenner is a licensed auto insurance agent with extensive
experience selling car insurance. You can visit his popular
website at: http://www.cheapcarinsurancequotetips.com