Teens & Insurance Costs

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How a Teen Affects your Insurance Costs

Unfortunately, there is no way to avoid the steep price spike that accompanies adding a teen driver to your policy. Because of their inexperience, teenagers have a much greater chance of being involved in an accident than do other, more experienced drivers. For that reason, the cost to insure a teenage driver is significantly higher. In reality, adding a teenager could mean a premium increase of anywhere from 50 to 100 percent. However, there are some actions you and your teen can take to offset that price increase.

Good Grades Help Save

Students with a GPA of 3.0 or higher qualify for a Good Student Discount.

Teens with their Own Cars Pay More

A teen's accessibility to a vehicle also impacts price, so you may want to weigh those options when deciding to provide a car for your teen's use.

  • If your teen has a vehicle available for his use at all times, the premium will be much higher than if he sometimes gets to drive your car.
  • When it's time for college, if your teen goes more than 100 miles away to school and doesn't take a car, your premium will decrease.

Cost-Saving Measures

Make sure you are taking advantage of all other cost-saving options available, not just those that apply to teen drivers:

  • Choose higher deductibles: You can effectively cut your insurance costs by choosing the highest deductibles you can afford.
  • Set up EFT payments: You can avoid extra charges by selecting billing options that don't include service fees (like electronic funds transfer)
  • Get a package policy: Packaging your home and auto insurance on a single policy provides additional discounts on your premium.

More tips to help you save!

When should a new driver be added to my policy?

  • All youthful relatives of the named insured or spouse who are residents of the household and have a valid current driver's license are considered operators.
  • A valid driver's license includes a temporary driver's or learner's permit when the permit allows the holder of the permit to operate a motor vehicle without in-car supervision. Therefore a driver is NOT considered an operator and does NOT have to be added to the policy until his or her license/permit allows him or her to drive alone.
  • Any resident relative (related by blood, marriage or adoption) is considered an "insured" and therefore provided basic coverage such as bodily injury, property damage and medical payments. Physical damage coverages are also available for the use of an auto listed on the policy or a non-owned auto. These coverages are provided without stipulation of being licensed.*
  • A newly licensed driver may be eligible for discounts such as the Defensive Driving Course Discount, Driver Training Discount, Good Student Discount, Resident Student Discount and Family Discount. Check with your agent for details.

*Restrictions and exclusions vary by state, including for uninsured motorists coverage. A driver not listed on the policy may have only basic coverages. Check with your Westfield independent agent to verify the coverages afforded under your policy.

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