Yes, it’s possible to get affordable car insurance for teenage drivers, and with the right approach, you can save significantly. Although premiums for young drivers are typically 50–100% higher than for older drivers, there are multiple ways to reduce the cost.
Insure on the Spot at 773-202-5060 can guide you through the process of finding the best discounts and coverage for your teenage driver.
What Car Insurance Discounts Can Teen Drivers Get?
Insurance companies offer a variety of discounts specifically for teenage drivers to help offset the high costs of coverage. These discounts can add up quickly, significantly lowering premiums:
- Good Student Discount: Teens with good grades often qualify for discounts. Insurers typically require at least a B average (3.0 GPA) to qualify. Some companies, like State Farm, offer savings of up to 25% for full-time students with a 3.0 GPA or higher. This discount can continue through college until the teen turns 25, as long as they maintain good grades.
- Driver’s Education Discount: Teens who complete an approved driver’s education course can earn a discount. Courses teach safe driving practices, and companies like State Farm and Geico reward this training. The savings are usually 5–15% and apply once the course is completed.
- Safe Driving Apps and Telematics Discounts: Many insurers offer telematics programs that track driving habits. Programs like Allstate’s Drivewise and Progressive’s Snapshot monitor things like speed and braking. Teens who exhibit safe driving habits can earn discounts of up to 30% over time.
- Student “Away at School” Discount: If your teen is away at college and doesn’t take a car with them, you could qualify for a distant student discount. This discount typically applies when the student is more than 100 miles away and doesn’t have access to the insured vehicle. Discounts can range from 10% to 30%.
- Low Mileage Discount: If your teen drives under a certain number of miles annually (typically 7,500–10,000 miles), they may qualify for a low-mileage discount. This is particularly beneficial for teens who only use the car for school or local trips.
- Multi-Car and Bundling Discounts: Adding your teen to your existing policy is usually cheaper than having a separate one. Most insurers offer multi-car discounts, which can lower premiums by 10–25% for insuring more than one vehicle on the same policy. Additionally, bundling auto insurance with homeowners’ or renters’ insurance can further reduce costs.
How Do You Qualify for Teen Driver Discounts?
Each discount comes with specific qualifications, and it’s important to know how to qualify for them:
- Good Student Discount: Your teen must maintain a B average or higher, and you’ll need to provide proof of their grades (e.g., report cards or transcripts). This discount can be applied as long as your teen stays a full-time student under 25 years old.
- Driver’s Education Discount: Complete a state-approved driver’s education course. The course must include both classroom and behind-the-wheel instruction. Once completed, you’ll need to submit the certificate to your insurer.
- Safe Driving Apps and Telematics Discounts: To qualify, your teen must sign up for a telematics program offered by your insurer. The program will track driving habits, and discounts are based on the teen’s driving behavior over a set period.
- Student “Away at School” Discount: The student must attend a school at least 100 miles away and not have a car on campus. Provide proof of enrollment and the school’s address to qualify.
- Low Mileage Discount: Simply report your teen’s annual mileage to your insurer. If they drive less than the specified threshold, you may qualify for a discount.
Additional Tips to Lower the Cost of Insuring a Teenager
Beyond discounts, here are some effective strategies to further reduce car insurance costs for your teen:
- Choose the Right Car for Your Teen: The vehicle your teen drives can significantly impact the premium. Opt for a safe, reliable vehicle with modern safety features like airbags and anti-lock brakes. Avoid high-performance cars, as they come with higher premiums.
- Raise Your Deductibles: Increasing your deductible can lower your premium. For example, raising the deductible from $250 to $500 could reduce your premium by 10–20%. Just ensure you have the funds to cover the deductible if an accident occurs.
- Designate the Teen as an Occasional Driver: If your teen shares a family car, ensure they are listed as an occasional driver on the policy. This reduces the premium because they aren’t the primary driver.
- Maintain a Clean Driving Record: Encourage your teen to avoid accidents and traffic tickets. A clean driving record helps keep premiums low and allows you to retain discounts over time.
- Shop Around and Compare Quotes: Different insurers offer different rates for teen drivers. Be sure to compare quotes from multiple companies and ask about the discounts your teen qualifies for.
Frequently Asked Questions: Teen Driver Insurance
Q: What car insurance discounts can teenage drivers get?
A: Teen drivers can qualify for discounts such as Good Student, Driver’s Education, Safe Driving Apps (Telematics), Student Away at School, and Low Mileage Discounts. Bundling policies and adding multiple cars to a policy can also lead to savings.
Q: How does a Good Student discount work and what are the requirements?
A: A Good Student discount rewards teens who maintain a B average or higher. You’ll need to provide proof of their grades each term. Discounts can range from 10% to 25% off the premium.
Q: Will taking a driver’s ed or defensive driving course lower my teen’s insurance?
A: Yes, many insurers offer discounts for completing a certified driver’s education course. The discount typically ranges from 5–15%.
Q: What is a “student away at school” discount?
A: This discount applies when a teen attends school more than 100 miles away and doesn’t have a car. It can reduce premiums by 10% to 30%, depending on the insurer.
Q: How do safe driving apps or telematics programs help save money for teen drivers?
A: Telematics programs track driving behavior like speed and braking. Teens who drive safely can earn discounts of up to 30% over time.
Q: Is there a discount if my teen doesn’t drive very much?
A: Yes, if your teen drives under a certain mileage threshold, you may qualify for a low-mileage discount. Some insurers also offer pay-per-mile insurance.
Get a Quote Today!
For personalized help finding all the teen driver discounts you qualify for, call Insure on the Spot at 773-202-5060. Our team of experts is here to help you secure the best car insurance coverage at the best price for your teenage driver. Call us today or get a free quote online!