You’ve gotten your license and now it’s nothing but the open road ahead of you. Whether you’re seeing friends, taking road trips, or just having the convenience of not needing to ask your mom and dad for rides anymore, you finally have the liberty to drive a car like an adult. But this newfound liberty isn’t without a con. This con is the major cost of car insurance young people are subjected to based on lack of experience, questionable decision-making and overall driving skill level.
But we’re making it sound worse than it is, just follow these tips to getting car insurance when you’re a student and you’ll be cruising down easy street.
Ask for Discounts
There are definitely discounts to be had when it comes to most or all auto insurance policies these days. Aside from the good student discount, you could look to see if your insurer offers any new discounts or ones unique to their business. After all, auto insurance is a competitive market and insurers need to get creative to acquire and retain business.
You could also take a defensive driving course to knock some cash off of your bill, or install a portable GPS system that many companies offer so they can track when and how you actually drive. Your insurance company may even offer some sort of layup credit that knocks some of the premium off of the bill if you’re only driving occasionally as a student. The bottom line is that discounts are getting bigger and more diverse all the time as competition in the marketplace soars. So if you take the time to find out what discounts there are available, you could potentially be saving a significant amount of money.
Don’t Get Your Own Car
The biggest mistake that so many young drivers make is to go out and get their own car right off the bat. The first thing that you need to think of is whether or not a car is practical, let alone necessary. If a student is going to spend the majority of their day in the classroom, then the only real need they have for the car and driving would be nights and weekends. This would be the opportune time for a family to continue using the car as a family car throughout the day, and then in the evenings the car would be open for you to use. It may sound like a frugal idea, but the second an an additional car is added to a policy, you (the student) is going to be treated and charged like a full time driver.
Instead of wasting all of that potential money on having to pay for an additional car and the premium associated with a full time student driver, it might make sense to rethink your options. You don’t want to pay extra just to have a vehicle sitting in a parking lot all day. One of the most important topics out there today can be summarized into a few key points. However, you do need to think about what the actual numbers are. Will the savings of not getting an extra car be worth the overall hassle?
When it comes to the often-discussed concept of student car insurance, saving money is most families’ chief motivation. Times are tough and money is tight, and if you aren’t going to get the best value out of your insurance by having the car parked all day, then maybe getting an additional car is not the best idea.
Only Carry Liability
If you happen to get your own car as a student driver, then start them off in something they can handle. No one said you have to get them a beater on its last wheels and won’t make it another few miles let alone another season. However, if you get a gently used quality car with low miles you could be paying a small fortune and a price that rivals a new car when you think about overall value.
If you’re going to spend the first few years only using the car occasionally and don’t need something on a daily basis, then why not get a car that is in the twilight of its drivable life? If you do this and only wind up paying a few hundred or a few thousand on the car, then you won’t have to worry about carrying comprehensive coverage. That alone could save you hundreds per year. Furthermore, if the car is old enough and cheap enough, and you ever do get in an accident, you can walk away without even needing to worry about a deductible. Either way, your rates are sure to go down.
There may be things that make your situation unique, so be sure to cater your strategy to what makes sense for you. But keeping the above in mind will certainly save you a considerable amount when it comes to student car insurance.
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