It can be pretty challenging for parents to find the lowest car insurance for high school and college students. Student car insurance rates can be excessively high, especially for males under the age of 25. Not all insurance companies will give lower rates for this age group, but if you do your homework and shop around it can be possible to save quite a bit of money. Yes you should definitely shop around for the cheapest student car insurance, but there are other steps you should take as well to give you an edge when you ask for a quote. Find The Best Kind Of Car To Buy For Lower Rates Every insurance company bases their rates for age groups from data collected by actuaries (statisticians that collect data on accidents). These actuaries compile information that tells them the age of drivers involved in accidents and the types of cars they were driving. They use this data to determine the risk factor for certain people of certain ages. Insurance for young drivers is high because they tend to get more tickets and are involved in more accidents than older more experienced drivers. One of the criteria they look at is the type of car that a person drives. If a younger student driver is driving a sporty car, like a two door coupe with a stick shift of a certain model, the rates for that driver with that car will be higher. The reason is that statistically that type of car is involved in more accidents than a four door sedan. Also, however, a large sedan may have high rates because they are known to be used in street races more often. The best way to determine which car to buy for a student driver, find out from two or three insurance companies what the rates would be for that type of car. If you buy a sporty car, then your rates are going to be higher, just because that style of car is more often in accidents. Find An Older Car In Good Condition A good way to save hundreds of dollars on insurance coverage is to purchase an older car for your teenage or college student. If you can find a good, dependable car for a few thousand dollars that you can pay cash for, you can get liability coverage only and save a lot of money. If you already have an older car that you can hand down to your student driver, do it. These older cars are much cheaper to insure and you only need to have liability coverage to satisfy the state requirements for insurance. Of course if the car is damaged in an accident, your insurance company will not cover the repairs but in the long run it can be cheaper to pay for the repairs yourself or replace the car than it would be to pay the exorbitant cost of full coverage insurance for a newer car. And of course if your student driver was at fault, the insurance company will cover the damages to the other person's car and personal injury. Of course your student may not be thrilled about the prospects of buying the hand-me-down family sedan, but it makes sense financially and should be a serious consideration. Your College Student May Not Need A Car When our son went to college, he lived on campus and everything he needed was on campus. We decided that he did not need his own car during his freshman year. And he did just fine without one. Not only did it save us a ton of money on insurance but also on gas, car maintenance and peace of mind. If your college student is at college without a car, let your insurance company know and ask them to adjust their rates so that the student can still drive when they are home for breaks. Your student car insurance rates will be considerably lower.
Please Rate this Article 5 out of 54 out of 53 out of 52 out of 51 out of 5
Not yet Rated
