Car insurance provides financial protection from any physical or monetary damage that may come from an automobile accident or collision. Thus, it is an important tool for all drivers to have, because it can provide property, liability, and medical coverage. Purchasing insurance is imperative for all drivers, especially young drivers, who are statistically more likely to get into an accident as compared to experienced drivers. Due to these high-risk statistics, insurance packages for young drivers are very high, with average rates for male drivers (aged 17 to 22) being as high as $2,519. This makes it very difficult for young drivers to obtain car insurance policies. However, there are a few precautionary steps that can be taken by young drivers, in order to bring down insurance costs.
These steps are:
Pick a Good Car
Young drivers should use and drive a car that is sensible and has a good safety rating. The car should generally steer clear from a ‘racing boy’ image and instead, portray the driver as level-headed and rational.
If you are planning to purchase a new car, think about purchasing one that looks good for insurance companies. For example, insurance companies understand what type of cars is more likely to have problems. They also know what types of cars get stolen more. Hence, look for a car that falls on the good list of insurers. Another option is to lease a car rather than buy a new one. However, it is wise to have a complete know-how of car insurance for leased cars.
Make the Car more Secure
Adding a burglar alarm, tracking device, etc, can help bring down the insurance bill. Some cars come equipped with a number of security features, while others can be customized to become more secure.
Add a Second, Responsible Driver
Adding a responsible, sensible appearing individual as an occasional car user can help bring down the premium. It also lowers the risk if the second driver is a family member and is middle-aged i.e. appears to be level-headed and responsible.
Pass an Additional Driving Qualification
Passing extra driving courses such as the ‘Pass Plus Schemes’, can help bring down a young driver’s liability level and bring them a discount on their car insurance.
Pay Yearly, not Monthly
If you can afford you should try to pay the premium yearly in one go, rather than installments per month. Paying yearly is cheaper since you can avoid monthly interest charges.
Add Less Driving Hours
The amount of usage of your car in terms of how much you drive will also influence your insurance payment. The more you’re driving, the more you’re paying. Young drivers who cover long distances will pay more than motorists who live closer to their institute.
Other things that could influence your cost are the type of car you drive and the place where you would drive. This means that if you reside in an area where there are high chances of accidents or vandalism, eventually your insurance will cost more.
Following these relatively simple steps will help lower your car insurance costs by a substantial amount.