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How to Lower the Cost of a Teenager’s Car Insurance

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Insuring a teenage driver can be very expensive in the UK. Teen drivers are seen as high-risk by insurers due to their lack of experience behind the wheel. However, there are several ways you can reduce the cost of insuring your teenager’s car:

Choose a Lower-Risk Car

One of the biggest factors affecting a teen’s insurance rate is the make and model of the car they drive. Sports cars, high-powered vehicles, and newer cars that are expensive to repair will have much higher premiums.

Instead, look for an older, lower-powered, and inexpensive car for your teen. The Ford Fiesta, Vauxhall Corsa, and Volkswagen Polo are good options. You can browse listings of used cars for sale North Wales to give your teen some options. Stick with smaller engines of 1-1.4 litres and go for a car with a lower insurance group rating.

Add Your Teen as a Named Driver

Adding your teen as a named driver on your own policy can save you money. The insurance will be lower because you (the policyholder) are seen as a lower risk. Make sure your teen is only driving the one car you have insured them on, and that you are still the primary driver of your vehicle, to avoid inadvertently committing fraud.

Choose a Higher Voluntary Excess

By opting for a higher voluntary excess (the amount you pay towards a claim), you can lower your premiums. Most insurers will let you choose a voluntary excess of £250 to £500 or more. Going for the maximum excess your insurer allows could save you up to 15-20%. Just make sure your teen has the means to pay that excess if needed.

Take Advanced Driving Courses

Encourage your teen to take advanced driving courses such as PassPlus once they have passed their test. This shows insurers they are serious about improving their skills. Some insurers offer significant discounts for any advanced driving qualifications.

Use Telematics Insurance

With telematics or black box insurance, your teen’s driving behaviour is monitored via a device in the car. Safe driving lowers premiums over time. While costs may initially be higher, it can really help make your teen focus on driving safely and cut long-term insurance costs.

Compare Quotes Thoroughly

The insurer, policy and excess amount can make a big difference to costs. Compare as many quotes as possible to get the best deal. Websites like GoCompare, Confused.com, and MoneySupermarket can help you compare quotes quickly.

Consider Paying Annually

Most insurers charge 10-15% more if you pay monthly rather than annually. Paying the premium upfront for the whole year could mean substantial savings.

Maintain a Good Credit Rating

Insurers may check your teen’s credit file before providing a quote. Maintaining a good credit rating can help secure a lower premium. If they have little or no credit history, being added to your policy can help.

Choose a Higher Grade of Car Security

Having a Thatcham category 1 alarm and immobiliser can reduce premiums by up to 15%. Tracking devices save another 10-15%. Adding extra security measures shows insurers you are serious about protecting the vehicle.

With the right approach, you can get affordable cover for your teen. Take the time to shop around, choose the right car and policy, and encourage safe driving. By following these tips, you can get lower-cost car insurance for your teen driver.