Do you have a child that is going to be driving soon, and are planning on paying for their insurance? If so, you'll want to know the following things before you get started.
Notify Your Insurance Company That Your Child Has A Permit
It's always a good idea to let your insurance company know when your child has a learner's permit. Many people do not do this because they are afraid that their insurance rates are going to go up, but not likely to happen. You'll want your insurance company to know so that they can be prepared for when they get their license, and you'll be covered for accidents that may be caused while you are teaching them to drive.
Ask Your Insurance Company For An Estimate To Add Your Child
When you notify your insurance company that your child has a permit, it is also a good time to start asking questions about how much it will cost to add your child to your existing insurance policy. This will get you prepared for what the rates could be, and give you a heads up on if you need to start shopping around.
The insurance company is not going to give you an exact price that can be locked in at this point, because your child is not a legal driver. However, this is the time to ask because they don't want to scare you away as a customer. They may not want to give you a high estimate for fear that you'll start looking at other providers. You should be able to get an estimate from your insurance provider about how much it costs to add your child to your insurance policy. If you can't even get an estimate, this is a red flag to start shopping around.
Add Your Child As A Driver To The Least Expensive Vehicle
There is no way around the fact that insurance for a new driver is expensive. That's why you'll want to find ways to lower the premiums that you pay. The best plan is to add your child as a driver to your least expensive vehicle, which is going to have the lowest risk to your insurance company. If your child were to total the car, the insurance company would be paying far less than if they are a driver of a fancy car.
Ask About A Good Grade Discount
If your child is a good student, it's worth asking about good grade discounts to see how that impacts their premiums. Having good grades shows that they are responsible at a young age, and it will reflect on the premiums that you pay. Just be prepared to show proof of their grades.
Speak to an agent to learn more about auto insurance.