Auto Insurance For Teenagers
Reader’s Question:
I have a son who will get his license in the next two month. I am just wondering if he can purchase his own auto insurance. If he cannot then at what age can he get car insurance? Is there someone who specializes in auto insurance for teenagers?
Emily
Bakersfield, CA
Usually insurance carriers permit people to buy insurance at the age of 15 or 16. But, until they are 18 years old, they are considered minors. Since a car insurance policy is a legally binding contract, usually a minor or teen cannot sign it alone otherwise, the insurance policy could be considered as void. In this case, a parent or legal guardian is required usually to sign the documentation with the minor.
Since the parents or legal guardians are responsible for the minor’s actions, it’s best to have a them sign the documents with the minor. In this way, the parents or legal guardians can make certain that the minor or teen buys enough insurance to protect their own financial interests. Once the individual turns 18 years old, s/he is responsible for his/her own actions and decisions. As a result, s/he can sign his/her own documents and contracts.
One of the best ways to lower your annual premiums is to have a higher deductible amount.. Like a $1,000, is what I carry personally.
Now, if you are a claim free and safe driver like I am, you could be saving a ton of money each year on your premiums. People fail to realize that the deductible amount is only paid when they file a claim and their insurance company pays that claim.
Female Teen Driver Car Insurance Quotes
Reader’s Question:
Will my car insurance rate be high as a new teenage motorist even though I just turned 20 years old and female? Should I shop for a free auto insurance quote online?
Camille
New York, NY
Insurance providers in most states are allowed to have their own rating system. These companies usually look at many factors when determining a car insurance rate, experience of the motorist can be once such factor. Age may also be a factor and at around age 25 insurance premiums will drop from when a motorist is 16 to 24.
If you are a newly licensed teenage driver at age 19 then your rates will be higher than others that have been driving for nearly ten years however may not be as high as a newly licensed driver at the age of 16, since you may be thought of as more mature. Maturity to an insurance providers means less likely to operate a vehicle in a reckless manner. The insurance rates will likely though still be higher than another 20 year old female that has been driving for a few years since this person has a driving history for the insurance provider to check.
I would suggest that as a new teen driver you should shop around for insurance rates quote since as noted above, different providers have different rating system.
One of the best ways to lower your annual premiums is to have a higher deductible amount.. Like a $1,000, is what I carry personally.
Now, if you are a claim free and safe driver like I am, you could be saving a ton of money each year on your premiums. People fail to realize that the deductible amount is only paid when they file a claim and their insurance company pays that claim.
Does Teen Driver Need A Credit Or Debit Card To Buy Insurance
Reader’s Question:
Hi! Im 17 and I do not have a debit account. Im planning to buy a car and insurance for it. How to I go about doing that? Thank you.
Gwen
Good question Gwen.
You may still be able to buy an insurance policy for your car even though you do not have a direct debit bank account just as long as you have the means of paying for the insurance policy in some other way.
If you buy a car insurance policy through some insurance companies accept payment in the form of: Credit Cards (Visa, MasterCard, Discover and American Express), checking account, saving account, prepaid debit card or third party. If you have chosen an insurance company where to purchase an insurance from, you may ask them about payment options that they have available, whichever is more convenient to you.
Be aware, since you are a minor. You will likely need to have a parent or legal guardian to sign the insurance papers along with you. The insurance policy is a legal contract and most states do not permit a minor to make any legal contract. This is the reason as to why, generally, it will be required of your parents or legal guardian to sign contracts along with you until you become a legal adult.
You may be able to get more information about car insurance and coverage offered from the website of these individual insurance providers. It is best to inquire first and compare prices from this companies and choose which can offer you the cheapest deal.
Goodluck!
MariCAR
Do I Have To Tell My Auto Insurance My Teen Just Got a License
Reader’s Question:
Am I obligated to inform my insurance company that my teenager son just received his license?
Rain
Thank you for asking Rain.
NY state statue may not require you to inform your insurance provider that your teenager son received his driver’s license but it likely that the terms and condition in your policy of your insurance provider may require you to notify them. Most insurance provider mandate that their policy holders inform them of all licensed members within their household.
According to the New York Department of Insurance, you should inform your insurance provider of any changes that may happen while the policy is in effect, including the addition of a licensed driver in the household.
An insurance company, by law, must change your premium if it discovers certain information (e.g. other persons operating your vehicle) that may affect the rating exposures. If the insurance provider finds out by other means that your son is a licensed driver in your household and is not listed, it could cause you problems in the future if you did not inform them.
Goodluck!
MariCAR
