submitted by Rick Meyers, AAA Insurance Broker/Nichole Meyers, Richboro Office, midatlantic.com/aaa.com/Agent/NicholeMeyers
Turning 16 is a big milestone in one’s life.
Getting a drivers’ permit and license can be a right of passage and is very exciting for your teen.
For parents, this can cause some stress and even sticker shock when they see the impact on their insurance premium.
With insurance, many factors go into the rating of premiums – age and driving experience are big ones.
Here are some things to know and things you can do to combat this sticker shock:
A, B, even C average students can provide a copy of their report card to help offset the premium.
*Enrolling in a Driving School
The prices range but are typically a few hundred dollars out of pocket, but worth the initial investment.
Be mindful that not all carriers accept the same certificates!
Call your agent first before you commit to a driving program for your teen.
*Online Driving Course
Some carriers offer an online course that costs under $100 and the discount stays on the policy until the driver turns 25 years old.
The teen has to be between 16-18 years old to enroll and complete, and the earlier they complete the program the bigger the discount.
*Discount for students away at college over 100 miles
When the time comes for college, if your teen chooses a school located further from home, updating this information to your carrier can also help see a reduction in premium.
If you haven’t shopped with other carriers, this may be a good time to shop as certain carriers have better pricing for younger drivers.
A local agent can be a great resource and bonus if they are a broker, as they have the ability to shop multiple companies at once.