Insuring Your Teen Driver

teen driver | insuring teen driversBeing a teenager is seen by society and our culture as the stepping stone between childhood and adulthood; it is the practice ground, so to speak, for the responsibilities and hardships of real adulthood. One of the most valued ways that teens move ever so closer to adulthood is via getting their own car and learning responsibility that way. With this automatically comes the issue of whether a teen should get his own auto insurance or just be added on to his mom and dad’s policy. The parents of any teen will likely look to price as the determining factor in deciding whether or not to allow a teen to get his own policy or to stick with the parents’ policy.

Getting a Teen Insurance

First of all, the question arises of when a teen needs auto insurance. Parents might not know the following, yet in most states in the U.S., teens with a permit who are just learning to drive are instantly and automatically covered by the insurance of their parents, so long as they are under supervision while they are learning to drive, that is. In that way, this teen auto insurance is already in effect, but you must remember that this only extends to the time when a teen has a learner’s permit.

However, the day that the teen finally gets his own driver’s license is the day that this cozy arrangement actually comes to an end! As a result, when the teen does start driving under his own license, it is then high time for him to be added to the parents’ policy. It is not only possible to add the teen to the parents’ policy when he has his own license, but it is also better in a financial sense.

Does it make Financial Sense?

Does it make financial sense to have the teen added on to the parents’ auto insurance? This question can be summed up in one word: yes. It does make financial sense to add the teen to the parents’ insurance policy even when the teen has his own license because it would be more expensive if the teen would buy his own insurance policy when he starts driving.

If a teen is put onto the auto insurance of the parents, he will usually be eligible for some price breaks that will be based upon the discounts of their parents. These types of price breaks are obviously things that the teen will not normally be eligible for on his own with his own policy. Note, however, that the complete, annual premium the teen auto insurance and the parents’ policy will be greater than just one policy that includes all of the family members.

So if you are a mom or a dad and your teen is a driver already, what do you do? According to the research, you should really just add your teen to your policy, if you want to save some money, that is.

To discuss your teen driver and auto insurance, Contact Joe DiCesare.  Also, consider signing up the whole family for the Defensive Driving Class, which qualfies you for a 10% Auto Insurance Discount with the state of New York.




Photo Credit: Flickr

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