The Cost of Car Insurance for a 16 Year Old

Insuring a 16-year old can be expensive unless you keep a few things in mind. Teenage drivers lack the experience of older drivers, therefore their insurance rates are more than the rates of a driver who is 25 years or older, as teens are considered high-risk drivers. While it is true that rates will be slightly more, many factors can determine the rates that will be paid, and it is possible to get an affordable rate for an insurance policy for a 16 year old.

Drivers in Canada are required to carry auto insurance on their vehicle in order to operate a vehicle. Of course the best way to ensure that you are getting a quality insurance policy at the best possible price is by comparing rates. Comparing premiums is quick and easy to do, and can help you find the best available rates for insurance no matter what age you happen to be.

Including a Teenager on a Parent’s Insurance Policy

Adding the teen to your car insurance policy can make the premiums more affordable. The teen will still be covered, however, adding them to a parent’s policy will find rates that can be as much as 40% lower than starting their own policy. The amount of the parent’s policy will increase, but it will be less than starting a policy strictly for your son or daughter.

The type of vehicle being driven is another important factor in the premium amounts. Luxury and sports cars are always more to insure, and those with larger engines cost more. An economy car should be sufficient enough for a 16 year old driver, and will also mean lower rates for car insurance. It should also be noted that males will pay more than females for their automobile insurance. Males are statistically involved in more accidents than females, therefore increasing their rates.

Finding Car Insurance Discounts for Teenagers

Teens who participate in a driver’s education course may also be entitled to discounts on their policies. Taking a driving course is one way to show responsibility for driving, and car insurance companies will offer discounts for teens who take advantage of these courses. Good grades can also be very valuable to a 16 year old when it comes time to insure a vehicle. Studies show that teens who have good grades are also better drivers and more responsible on the road. Many companies offer generous discounts for those 16 year old students who maintain above average grades.

It may not be possible to get out of this world rates for a 16 year old driver, but following these tips can surely help ease some of the costs of insuring them. These tips are the best ways to get the most affordable rates available for teen drivers.