Posted on Wednesday 13 January 2016
#CarInsurance in Canada is definitely pricey, no matter which way you look at it. When talking about car insurance in particular, teen drivers are often considered to be high-risk. In fact, male drivers cost approximately 52% more than that of female drivers. But why? The vast majority believe that teenage boys are more likely to be involved in an accident versus teenage girls--though this might seem a bit gender biased. It is understandable why adding a teen driver to an existing insurance policy is so unsettling for parents. Just the mere thought of a teenager out on the roads makes some parents cringe.
The reason insurance companies are notorious for having those outrageous rates on #teendrivers , and the reason for them doing so is simply for protection. Because these drivers are inexperienced, they are clearly more at risk on the roads, and definitely the highways. The statistical evidence for an accident is stacked against this age group, even though many teen drivers won't ever be involved in an accident. Still, insurance companies believe the higher rates lower the potential claim risks and this isn't about to change any time soon. However, there is good news. Parents can save some money on their insurance here and there, at least getting some much needed relief. If you're in Canada and interested in learning exactly how you can acquire a cheaper rate with your teen added as a driver, then continue reading. Below you'll find some tips and strategies on how you just might get a more affordable rate, which can save you more money over time--as long as your teen avoids traffic citations and altercations on the roadways.
Remember, you can find ways to ease the costs of car insurance once your teen driver gets behind the wheel, so they can have some money left over to pay off those student loans. These following steps are going to give you the peace of mind you need. You'll find that some of these are far more innovative than others too -- these strategies will benefit wealthy people as much as they will young teens. It really is amazing how far technology has come, especially with regard to smart devices. You'll see what we mean in this very first tip.
Your Insurer Can Actually Track Your Teen's Driving
While it might seem a little abrasive, it is a great way to prove to your insurer you have a dependable driver. These "telematics", as the industry describes them, can plug right into a cars steering column. For example, Progressive offers technology that transmits driving data back to their database. After about 6 months you could see a sizable reduction in your car insurance (if your teen is rated a safe driver).
Use Smart Devices That Can Stand Alone, Or Be Downloadable Apps
Technology like On-star can communicate driving data as well, and many big providers recommend these. Undoubtedly, many of these smart devices have the capability of directly downloading data to the insurance providers database, as mentioned. The drivers speed can be recorded, how often and how hard they break can be noted and even what times of the day the vehicle is driven can be documented. If your provider discovers your driver is driving at the least busiest times of day, and drives carefully, you will receive a discount.
Don't forget about the good student driver discount
You can definitely save quite a bit if your student has exceptional grades and high school attendance. You see, positive behavior pays off. If your young adult is enrolled in college full-time, you might receive additional discounts to save money.
Driving School Might Be A Good Way To Save
You can enroll your teen in driving school to help lower insurance costs as well. Three visits to the school, during a 6 month period can provide huge savings for your insurance. Remember, your teen has to steer clear of traffic violations and accidents for a full year to maintain the savings. The benefits aren't limited to just saving money either. There's no better Mother's Day gift than a safe child.