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By Susan Willis
Every teenage boy starts dreaming of buying his first car at least a few years before he is of driving age. For a teenage boy, car ownership means freedom. It means being cool. And, it means having fun.
For parents of teenagers who ready to buy their first car, it seems like a mixed blessing. On the one hand, there is the excitement and pride the parents feel that their child is slowly become an adult, with car ownership representing another milestone toward adulthood. On the other hand, the parent of a teen who is about to buy an automobile may be feeling concerned about their child’s safety – and maybe even about losing a bit of control over this young person’s life.
And then there is the question of car insurance. There are two main reasons to buy car insurance for your teenager:
1. It is required by law; 2. It is the right thing to do.
As someone shopping for car insurance for a young person, your challenge will be walking the line between buying enough car insurance while getting the cheapest insurance possible.
Here are 3 tips on getting the cheapest car insurance for a teenage boy:
Tip #1: At Minimum You Need Liability Insurance
Minimum requirements for automobile insurance vary by state. But, in most or all cases, you will at the very least need to purchase liability insurance. Liability insurance covers the other party’s property and medical expenses should you be responsible for an auto accident. Usually, the minimum requirements for liability insurance will be listed as in the following format: 25/50/25. In this case, this would mean $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $25,000 for vehicle damage coverage per accident. (Be sure to check online for your state’s minimum requirements). Remember, buying the minimum amount of insurance required by your state may not be enough in your case. Take into account the area you live in, the value of your car, and even your family’s net worth (in case of a potential future lawsuit after an accident) when determining the amount of your liability coverage.
Tip #2: Consider A Higher Deductible For Comprehensive & Collision
In most cases, teenage boys do not purchase new cars. Rather, they favor whatever they can afford, which is usually a used car. While going used may not be the teenage boy’s top choice for a type of car, buying used does have its advantages. By having a less-expensive car, the teenage boy may be in a better position to elect a higher deductible* on their insurance.
A deductible is simply the amount you pay “out of pocket” after an accident that is your own fault or if you experience road damage. The more you are willing to pay out of pocket, the lower your comprehensive (which covers non-accident-related damage and theft) and collision (which covers your car if you cause an accident) insurance will be. Going higher on the deductible may make sense for a cheaper car – especially one in which you may not mind getting a few small dings in now and then.
Tip #3: Shop At Least 5 Insurance Companies To Get Best Rates
Many people rush out to buy car insurance for their teenagers by adding them to their own policies. This is not always the best option, however. In fact, whenever someone in the family is getting new car insurance for the first time, it is a good idea to shop around first.
It is smart to find at least 5 new auto insurance companies online and apply to at least 3 of them. This is the best way to increase your chances of securing the best rate, since having more choices is always better than having fewer. Insurance company rates can vary quite a bit from one to the next, so be sure not to skip this step.
Follow these 3 tips to find the cheapest car insurance for a teenage boy.
About the Author: Find a list of the cheapest car insurance providers at: Cheapest Car Insurance for Teenagers.
Source: isnare.com
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