Car insurance is required for anyone who drives a vehicle. A new driver such as a teenager will typically be listed on his parents’ auto insurance policy. Auto insurance policies can vary from insurer to insurer, so it is important to compare prices to see which company offers the better value for the price. Comparing auto insurance for new drivers is a cost-effective measure that can be done by following a few simple steps.
Obtain a price or rate quote from a couple of different insurers to compare. A price or rate quote can be obtained online at an insurers website or by visiting a local insurance agent. Be prepared to provide some basic information about the vehicle and the person being insured.
Research available coverages. Coverage on a car insurance policy can vary from insurer to insurer. Keep in mind that most states require a minimum amount of liability coverage. See what the price difference is for full coverage on each price or rate quote.
Look at the available discounts. Each insurer will have many of the same types of discounts available for car insurance policies. There should be a section on the quote for the discounts that are being applied to the premium.
Consider the cost of the policy when a different deductible is selected. A deductible can range from $250 up to $1000 or more, depending on what a person wants to pay. Select the deductible that seems appropriate and affordable for the insured person.
Find out if an insurer charges a higher premium or applies a higher rate if an insured has a ticket or a violation. Depending on the insurer, they may forgive the first minor violation before applying a higher premium rate.
Look at the billing schedule for each rate quote and see if there is a discount for paying the premium in full each year. Most insurers offer this option, but you may need to ask, if this information does not appear on the billing schedule.