As may already know, driving on any public street in United States or Canada requires that you have car insurance. If you have just got your driving license or you are looking to learn about car insurance for teenagers and what sort of policy you need; then, this guide about auto insurance for teenagers and beginners is a great start for you to learn.
Car type and Model
You should know that the type and model of your car affect your insurance rate. Auto insurance for teenagers and beginners will already have a higher price tag since you do not have an extensive driving experience. Therefore, if you are looking to save money on your insurance, you should select cars that are more insurance friendly. Insurance companies will charge higher rates if you drive sports cars as they feel you will be more at risk of car accident. Expensive cars will also have higher rates and they are more prone to theft. Insurance friendly cars are those that have advanced breaking systems, auto seat belts and air bags; additionally buying anti-theft device for your car will also help with lowering the rate.
Liability
The most important aspect of car insurance is having proper coverage in place so that in case of an accident and damages to the other party, you are protected. We recommended that you select liability with maximum coverage. The reason for this is that in some accidents, there are personal injuries to the parties involved and the cost of health care in addition to car and other personal damages could run in the millions. Therefore, having sufficient liability is very important
Do Not Over Insure
Having said earlier that you need to have maximum liability does not indicate that you must have full coverage or that you cannot save on your insurance premiums. If you are driving an older or less expensive car, you may not need full coverage. This is one place that you can lower your insurance rate but you should know that if anything happens to your vehicle, you need to pay out of pocket.
Deductable
If you are have a new or more expensive car and you do need coverage for your car, then you should increase your deductable. The deductable is the money that you pay out of pocket for damages to your car before the insurance coverage kicks in. If you increase your deductable say from $200 to $500 then your insurance rate will be lower. However, do not increase this too much as you need to be able to pay out of pocket in case of damages to your car in an accident.
Grades
Auto insurance for teenagers and beginners will vary based on your grades! No kidding, many insurance providers will reward good student by offering lower rates. Their reasoning is that students with better grades are considered responsible, and responsible drivers are less prone to accidents. Therefore, if you are still going through school, be sure to maintain good grades.
Parents Insurance Policy
Another smart way for you to lower your insurance is to ask your parents to include you on their insurance policy. Typically, parents have more driving experience and qualify for lower insurance rates than teenagers or beginners. Thus, if you are included on their policy, you will have to pay less on your premium.
