How Teen Drivers Can Help Save on Car Insurance

Adding a teen driver to your auto insurance policy is an exciting milestone, but it often comes with higher insurance costs. Because teens have less driving experience and are statistically more likely to be involved in an accident, insurance companies usually view them as higher-risk drivers. 

The good news is that there are several ways families may be able to offset some of the increased costs. From taking advantage of available discounts to encouraging safe driving habits, parents and teens can find opportunities to save while maintaining the coverage they need. 

If you are adding a teen to your auto insurance policy, reach out to Farm Bureau to see what saving opportunities are available. 

Why Is Teen Car Insurance More Expensive?

Teen car insurance typically costs more because teen drivers have less experience behind the wheel, making them more likely to be involved in accidents than older, more experienced drivers. For insurance companies the increased risk often translates to higher premiums when a teen is added to a policy. However, not every teen driver will pay the same rate. 

Insurance costs can also be influenced by factors such as the vehicle being driven, where your family lives and the teen’s driving history. Understanding what impacts insurance rates can help families make decisions and identify opportunities to manage the increased cost. 

Best Ways to Save on Car Insurance for Teens

While adding a teen driver often increases insurance costs, taking advantage of available discounts and encouraging safe driving habits can help make coverage more affordable. Here are a few ways to help you save:

• Ask about good student discounts. Many insurers offer discounts for teens who maintain good grades. Farm Bureau’s Good Student Discount can help your teen driver save if they maintain a “B” average or higher!
• Complete driver education or defensive driving courses. Approved courses can help teens build safe driving skills that can qualify them for additional savings. Completing our Young Driver Safety Program may qualify your teen for the Safe Young Driver Discount.
• Maintain a clean driving record. Avoiding accidents, speeding tickets and other violations can help keep insurance rates lower over time. 
• Consider safe-driving or usage-based programs. Some insurers offer programs that monitor driving habits, such as speed, braking and mileage. Enrolling in our Driveology^® program could lead to insurance discounts. 
• Explore multi-car or bundling discounts. Families may be able to save on their insurance premium by insuring multiple vehicles on the same policy or bundling their auto insurance with other policies, such as home or renters insurance. 

While every situation is different, exploring available discounts and savings opportunities can help families find the right balance between coverage and costs.

Choose the Right Car for Your Teen

The vehicle your teen drives can play a big role in insurance costs. Factors like the car’s value, repair costs and safety features can all affect premiums. Before buying a vehicle, consider checking with your insurance agent for quotes on specific makes or models. Comparing costs ahead of time can help families choose a vehicle that’s safe and affordable to insure. 

Review Your Policy as Your Teen’s Needs Change

As your child’s driving habits and needs change, it’s a good idea to review your auto coverage. Whether they are getting their own vehicle, heading to college or driving more or less than they used to, life changes may affect the coverage that’s right for your family. Regular policy reviews, or a SuperCheck^® can help you uncover discounts you may qualify for, and your insurance agent can help ensure your coverage is meeting your family’s needs. 

Find Ways to Save on Teen Car Insurance

Adding a teen driver doesn’t have to break your budget. Connect with Farm Bureau to learn about discounts and coverage options that might be right for you and your teen driver.