Car insurance for teens is much more expensive than coverage for older, more experienced drivers because of teens' propensity to drive riskly and the relative lack of experience behind the wheel. Car insurance costs vary depending on several factors, so it's important to get several quotes to compare if you're looking for the cheapest insurance coverage for teens. These rates are for three drivers sharing a vehicle; the insurance costs of adding another vehicle to the policy for a 16-year-old driver may be even higher. This, combined with the inexperience of young drivers, makes it especially expensive to insure adolescent boys.
Insuring newly licensed drivers is expensive, says Carole Walker, executive director of the Rocky Mountain Insurance Information Association. Many insurance companies offer discounts for qualified students to teens who maintain a grade point average of 3.0 or higher in high school or college. For this reason, Bankrate analyzed the top auto insurance companies to help parents and guardians find the best car insurance for 16-year-olds. Adding an inexperienced driver to an auto insurance policy can cause your annual premiums to increase significantly.
As your young driver gains experience behind the wheel, you'll likely see your insurance rates fall. However, if the car being driven is leased or financed, the lender will require you to have full coverage, including comprehensive and collision insurance. Remember that teens can only get their own insurance policies if they are emancipated adults or if they have reached the age of majority. Your teen may be the best driver in the world, but until you prove that after years of driving without accidents, you can expect to pay more for insurance.
If you're looking for the best car insurance for 16-year-old drivers, you can consider some of the providers listed below when asking for car insurance quotes. However, since teens are inexperienced and, as a demographic group, have more accidents than experienced drivers, it's wise to have full coverage for the car your teen is driving. In addition, if your teen decides to remain insured with the USAA when they set up their own policy, they could get a family discount or a discount for the duration of the membership. For 16-year-old male drivers with their own policy, Island, North Carolina Farm Bureau, Mapfre, Erie and Auto-Owners are among the national companies with the cheapest car insurance rates.