Children not only need to know how to safely operate and maintain a vehicle, they also need to know about auto insurance. New drivers are a high-risk group for accidents, and here are five facts regarding insurance that every parent should pass along to their children before they get behind the wheel.
1. It Is Not a Luxury
First and foremost, teenage drivers need to understand that auto insurance is not a luxury or even an option. Before they ever get behind the wheel of the vehicle they must have an insurance plan in place and have proof of insurance with them at all times if they want to keep their license.
The young and budding driver should, first and foremost, be impressed with the fact that auto insurance is not optional or even a luxury but a legally compelled requirement, and one must prepare an insurance plan even before they get behind the wheel. They have to carry proof of insurance with them whenever they are on the wheel to avoid some penalties and retain driving privileges.
Getting a car insurance quote should be the very first thing that parents or young drivers do in order to find better coverage. It helps in comparing and makes quite certain if the selected policy provides good protection and stays within one’s budget. It pays to explore insurance plans upfront because it could mean saving both money and stress later on.
2. Good Grades Save Money
According to Meyer’s Insurance Ltd., one of the single biggest discounts that students will have on their insurance rates is good grades. Even extending all the way through college, some insurance providers offer continued “good student” discounts as long as the child keeps mostly As and Bs or if they pick specific classes and majors.
3. Accidents and Tickets Raise Rates
Any mistakes that are made on the road that are your child’s fault will end up costing you both in the long run. Safe drivers will slowly see their insurance rates fall while drivers with tickets and accidents on their record will find their rates go up. Tickets and accidents can often stay on a driver’s record for 5 years or longer, depending on the exact situation.
4. Now Is Not the Time For a Fast or Expensive Car
A driver’s first car is something that they will always remember, but it may not be the perfect time to head to the lot for a brand new or powerful car. Typically, the faster or more expensive the car is, the more expensive it will be to insure with a teenage driver behind the wheel.
5. Never Lie or Mislead Insurance Providers
Whether they are updating their insurance information or reporting an accident to a claims adjuster, no one should ever lie or twist the truth with their insurance providers. If they are caught, they may be completely dropped from the policy and face legal charges if an accident is taken before a judge.
Getting the keys to a car is one of the most freeing experiences for any child, but it is not a situation to take lightly. Every new driver should understand these few things about auto insurance in addition to how to stay safe while on the road.
