3 Never Fail Strategies For The Most Affordable Teenage Car Insurance
Posted on September 22nd, 2011
One type of insurance clients who often battle to get the lowest car insurance quotes are teenagers. Insurance premiums for teenagers can be as high as three to four times those of an adult person, especially where the teenage driver lacks driving experience.
Typically, a teenage driver will battle to get affordable car insurance through the teen years until around the age of 25 at which point things begin to normalize. The reasons for the unreasonably high premiums are not very hard to find.
To begin with, the lack of driving experience coupled with the young age poses a very high risk for most insurance companies. In addition, insurance claim statistics show that the bulk of accidents are concentrated to people between the ages of 17 and 25 years of age.
However, there is definitely something that can be done to ensure affordable car insurance for teenage drivers. Lets look at a few of the strategies that can turn the situation around in a positive manner.
The starting point to low teenage car insurance is to ensure that the teen driver gets a vehicle with a very low engine capacity. Insurance companies know very well that a high performance vehicle in the hands of a teenage driver is bad news.
Infact, some insurance companies will deny cover to a person who is under 25 years of age who drives a vehicle with an engine capacity of above 1.8 litres.
So, it is abundantly clear that the focus in purchasing a vehicle for a teenage driver should be confined to engine capacities of 1.6cc and below. The lower the engine capacity, the better the insurance rate.
Closely related to the above factor is the need to purchase a vehicle with inexpensive replacement parts. The bulk of insurance claims revolve around collision damage and this has a very huge impact on the premiums.
A car with expensive replacement parts will attract very high premiums even if its levels of theft are low. This is because vehicle theft only accounts for less than 10 percent of vehicle claims.
Generally, a car that is cheap to buy will also have cheap replacement parts. Additionally, if car components have to be imported, you can also be certain that the parts will be expensive.
Now, the above two factors will go a long way in ensuring low car insurance premiums for teen drivers.
Another key strategy for low teenage car insurance is to get as many quotes as one can possibly get. Insurance companies look at the same risk differently which explains the huge variance in premiums. The differences in premiums from one insurance company to the next can be as much as 30 to 40 percent.
The implications for a teenage driver are very clear. Get as many quotations from different insurance companies as you possibly can. This is your ticket to low car insurance premiums. With the advent if insurance comparison sites, it is now very easy to get a multitude of quotations on the internet in no time at all.
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Tags: Car Insurance, Insurance
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