Insurance for your Teen Driver

Insurance for your Teen Driver
March 11, 2020 0 Comments

 

At Hanby Insurance, we specialize in helping you find the right insurance for your young driver. There are a lot of rumors and misconceptions out there, and we want to help put those to rest to make sure you have the best possible coverage with no added surprises should your teen driver have a claim.

Here are a few of the most common mistakes people make regarding insurance for teen drivers.

  1. I am not going to insure my kids until my insurance company makes me. This is a horrible idea, plain and simple. Most policies require that you list everyone who is of driving age on your policy. When you fail to do so, you are essentially violating the insuring agreement. if you want the best possible claims experience,  you should add your young driver to your insurance policy the minute they get a license
  2. I will buy my young driver a policy from another insurance agent so I don’t have to add them to mine.  Again, bad idea in 99% of circumstances. If your kiddo is under the age of 18, they legally cannot obtain their own insurance policy, which means you are still going to be the owner of the new policy. Any claims that occur on this policy are still going to show under your name because you’re the named insured. Buying from another agent only complicated your insurance even more, especially if the policy limits are different come claim time.
  3. I want to buy my young driver a brand-new car, but I also have an old truck I use on the weekends to run errands. Can you rate my teenager on the old truck and rate me on the new car? No. This is called rate evasion and if something happens with your young driver behind the wheel of the mustang what are you going to tell the claims adjustor? It will be obvious whose car it really is.
  4. I heard if I buy my kiddo a red car the insurance will be more expensive. Again, this is not true. Honestly, your insurance agent has no idea what color your car is.

So how can you get the best rate for your family when you have young drivers in the household?

  1. Make sure you are getting all the discounts! Most carriers offer a Trained Driver Discount for driver’s education classes, a Good Student Discount if your child has a B or better average. If you have a college student, your agent can garage the car in the appropriate county (given that it’s in the state of Texas), which can also lower the rate. If your college student does not take his/her car to college, there is also a discount for that.
  2. We suggest buying young drivers a car that you don’t have to carry comp and collision coverage on. Liability insurance and uninsured motorist coverage for a young driver is usually between $150-$200/month. When you add comprehensive and collision coverage, the cost is well over $200/month, often closer to $300.
  3. We recommend an Independent insurance agency, like ours, because we have a lot of options for young drivers and we have access to multiple insurance carriers.
  4. Make sure you teach your young driver the importance of keeping TICKETS off their record.  Have them take a defensive driving course or do deferred adjudication if they happen to get a ticket.  Accidents can’t be controlled but you can prevent tickets and the last thing your teen driver needs is an accident and a ticket on their driving record.