Smart Auto Insurance Blog

Once a child turns 16 and they receive their license they must be covered by auto insurance and that usually occurs by a parent placing them on their policy.  When a teen has divorced parents and has multiple residences, auto insurance coverage can get a little tricky according to the article “Auto Insurance Coverage for Teen Drivers With Divorced Parents” by LVRJ.com.

Auto insurance companies and states have different policies when it comes to covering additional drivers in a household so it’s important to contact your insurer to see how to proceed.  Chances are, if you have a child who has access to driving cars at both parent’s homes then both parents will need to add the child to their policy.  The article says that some auto insurance companies will advise divorced parents that whoever has custody during the school year should add the child onto their policy.  Both parents are encouraged to contact their insurer to see how the requirements may be different.

Auto insurance is a requirement for all drivers and this is often glossed over by new drivers.  Regardless of who adds the child to the policy, there should be a united front on rules while driving.  Prohibit cell phone use and texting when in the car, limit the number of passengers when your child is driving, strictly require seatbelts and establish a driving boundary where your child can drive at any given time.  Remaining firm on these guidelines will help your child become a safe driver and hopefully cause lower car insurance quotes for you and your family.

There are many unknown auto insurance discounts that consumers should be aware of.  The article “Little-Known Auto Insurance Discounts” found on savingadvice.com highlights some of the discounts.

Being a full time student can help you get lower auto insurance quotes.  Not only can being a student help you, but if you carry good grades, usually a B or higher, that can earn you further discounts.  Some auto insurance companies offer discounts for federal employees, members of the military, or members of various groups like AAA.

Discounts are sometimes offered to those who have the VIN number on their car window.  How you pay your bills can affect your auto insurance quote and so does where you live.  Driving less and having safer cars all can warrant you discounts on your auto insurance.  These are just a few of the variables taken into consideration when quotes are determined, but you do have control over them so it’s important to understand what factors are being considered.

Below are some helpful tips for students heading off to college for the new school year, obtained from insurance.com’s press release on prnewswire.com.  College students are always looking for ways to save money and by following these tips you are sure to save.  With 18-22 year olds paying on average $1808 for auto insurance quotes, it’s important to find other ways to save money. 

If taking your car to school, be sure to purchase a parking permit.  This is usually much more convenient than dealing with the hassel of finding appropriate parking and avoiding tickets that can add up in the long run.  Choose a car that is less expensive to insure, including smaller, used cars.  Keep your driving record clean, which will have a huge effect on your auto insurance rates.  Do your best to earn a good student discount that many auto insurance companies offer.  Be sure to manage your new credit cards wisely.  As an 18 year old you are allowed to obtain credit in just your name, but it’s crucial to make payments on time and keep debt levels down because your credit rating affects your auto insurance rates as well. 

It may seem overwhelming to fully understand the world of owning a car, but by educating yourself you will no doubt save time and money over your four years at college.