Whether on their parents' policy or on one of their own, young drivers will often pay more for their insurance than older, more experienced drivers. There are many ways to save money and lower insurance premiums. A few of the options are simply common sense, but others will require a bit of work. In the long run, each one is a valuable tool that will help them save money.
Here are a few ways to save on insurance as a young driver.
1. Comparison Shop
Comparison shopping is one of the most beneficial ways of saving money on car insurance
. It's the best way to find out what policies are available and which agencies are most likely to do what it takes to find a policy that will provide the driver with everything they will need. Ideally, you should look at three to five policies before making a decision. Taking a day or two to go over each policy can also be helpful.
2. Look for Discounts
Young drivers can choose from several discounts. If they are already on their own, they may have a renters policy. Bundling policies together will offer discounts that can make monthly premiums more manageable and easy to work into a budget. Another popular discount is the good student discount that will remain in place as long as the student continues to receive good grades. Taking a defensive driver course will also provide a discount for a young driver.
3. Drive Safely
As a young driver with less experience, learning how to drive safely is the key to earning a safe driving discount. The more experience a young driver earns, the better off they will be. Maintaining a clean driving record with no tickets or accidents is the best way to earn safe driving discounts. As a young driver, one of the best ways to maintain a safe driving record is to maintain your vehicle properly. Everything needs to be in good working order at all times.
4. Find Ways to Build Credit
Building credit will also help a young driver earn the insurer's trust. Individuals who are able to establish a positive credit rating, especially at a young age, will reap the rewards in terms of discounts and lower insurance premiums. Apply for a secured credit card or small personal loan. Either of these will help young drivers build a line of credit that will help them lower their insurance premiums.
5. Try Unconventional Forms of Car Insurance
If a young driver doesn't travel far or only uses their vehicle sporadically, they may be able to earn a lower premium by choosing a nontraditional form of auto insurance. Pay by the mile or usage-based insurance is more affordable because you only pay for what you use. Moreover, nontraditional policies are ideal for students who have very little time behind the wheel and will give them some time to build their credit and overall experience.
Saving money on auto insurance
is something everyone strives for. At Kneller Insurance Agency
, our agents can help you find the best policies at the most affordable prices. Contact us
today to learn more.