How to Get Cheap Young Driver Car Insurance

Getting a driving license is an important step in life. Unfortunately learning to drive can be an expensive business.

A provisional license will set you back £50 for a start. Depending on where you live, an hour’s driving tuition will cost between £20 and £30 per hour and you’ll probably need a few dozen of these. Getting tested will cost you in the region of £100 – if you pass first time.

Estimates vary but it’s quite likely that the average learner driver will end up spending well in excess of £1,000 in pursuit of their driving license. That’s a lot of money when you are 17.

Using a family members car is an excellent way to get some crucial practice hours under your belt so it’s not surprising that more and more learner drivers take up the option of learner driver insurance. Learner driver insurance allows the learner to hold their own insurance policy, freeing them up to get the valuable practise they need without risking the owners policy, no claims bonus, excess and premiums.

It can still be an expensive business though, so following our guide to cheap young driver insurance can help you to get out on the road without breaking the bank.

  • If you’re lucky enough to have the choice and a car of your own, make sure you choose a car in a low insurance group. It’s obvious and basic, but it’s also the single most important thing you can do to get the premium down. The BMWs, Audis and Porsches will have to wait I am afraid, for now small is beautiful.
  • If you are lucky enough to get a car of your own, resist the temptation to modify it. Non-standard parts like alloys and spoilers can actually make the car less stable to drive and are not looked on favourably by insurers.
  • It pays to opt for the highest excess you think you could reasonably afford. Increasing the excess on your policy reduces the exposure of your insurer, you simply pay more of any damage incurred and the insurer pays less. It’s another simple, basic step that can significantly reduce the cost of your policy so think carefully about your excess.
  • Finally – ask an expert. Insuring a learner driver is more complex than standard driver insurance, the risks are higher and the rating factors more complicated. You need a competitive policy that’s uniquely tailored to your individual needs and circumstances. It pays to take your business to a specialist broker who can guide you through the intricacies of cheap young driver insurance.

Learning to drive does not have to cost the earth if you take a few sensible precautions and speak to the right people. Getting learner driver insurance is a great way to gain the practice, confidence and skills you need to pass your test first time so follow these simple steps and best of luck!

A Step-By-Step Reduction of Your Car Insurance Premium

That is why we wait for the sale season, use discount coupons or shop online – all in an effort to bring down our expenses. What about our car insurance premium? Is there a way to bring it down too?

We care about it. That’s we’ve made this step-by-step guide on reducing car insurance premium.

Car Insurance Premium – Saving VS Coverage

Your car insurance premium is always a considerable sum no matter how cheap your car was in terms of its cost. Being a mandatory requirement (the Motor Vehicles Act mandates a car insurance cover), the cost is unavoidable.

Thus, it is with a heavy heart that we part with our money when buying or renewing our car insurance plan.

It is possible to customize the premium amount of your car insurance policy to some extent. The idea is to not miss out on future coverage in the race of reducing premium costs for the present.

Step 1 – Determine the optimal Insured Declared Value (IDV) of your car.

The IDV of your car is in effect the maximum Sum Assured of your car insurance plan. It is the amount (calculated as the car’s market price minus the depreciation) which is payable to you if your car is stolen or your car is damaged beyond repairs.

As is obvious, the premium rate is determined on the quoted IDV. The IDV varies across insurers and so does the premium rate. The option to select the IDV is solely on you. This chosen IDV should be optimal. Too high and you unnecessarily pay a higher premium, too low and you get a small claim. A balance must be reached and an optimal level of IDV should be selected.

For selecting the optimal IDV, you can deduct the depreciation rates standardized by IRDA from the car’s market price.

Vehicle’s age Rate of depreciation

Less than 6 months 5%

6 months to 1 year 15%

1-2 years 20%

2-3 years 30%

3-4 years 40%

4-5 years 50%

Assess your IDV as per your car’s age and settle on the optimal level.

Step 2 – Consider the coverage available.

Once you have identified the IDV, look at the coverage provided by various plans. Usually a comprehensive policy has two coverage parts – third party cover and own damage cover. Also, there might be riders available which allow you to customize your plan and enhance the coverage. Special consideration should be given to such riders as adding them would increase the premium incidence.

Riders should be chosen based on your requirements. For instance, a zero depreciation cover works wonders for newer cars while an engine protect rider is helpful if monsoons causes water-logging problems in your locality and endangers your car’s engine. Cut down the frills but opt for riders which pertain to your requirement and you can substantially lower the premium.

Step 3 – Assess the optimal premium based on the cover.

The premium for a third party cover is fixed by the IRDA. It is the own damage premium which varies across insurers and is fixed on the IDV of the car. Riders too increase the premium. So, compare the different premium quotes on two parameters – the computed IDV and any additional rider benefits.

Step 4 – Utilize policy discounts and accumulated No Claim Bonus (NCB).

If you are transferring your insurance plan to a new car or renewing your car insurance plan, you can reduce your premium if you have any accumulated NCB in your previous policy. NCB is allowed if the policyholder does not make any claims in the last year. This NCB lowers the premium.

For those who are buying a new car insurance plan, there might be discounts in a policy which should be explored for reducing the premium.

Step 5 – Portability

Blindly sticking to one insurance policy when other plans are offering a lower premium for the same level of coverage is foolish. You should constantly review your car insurance plan on each renewal and if a cheaper substitute is found you should port your policy and enjoy lower premiums.

Following these steps would definitely result in a much lower premium than you were originally charged. This little nugget of wisdom is, therefore, sure to make your pockets and consequently you happy.

This Guide would help you reducing Car Insurance Premium, Optimally!

Cheap Insurance – New Driver

Cheap insurance for a new driver can be found most efficiently by searching online. You will generally be quoted a higher rate if you phone a local agent or if you phone a toll-free number at a large insurance company. This is because it costs the insurance company more to hire and train people than it does to simply use computers.

The cheapest method for an insurance company to quote rates is by utilizing an online, automated system. So, many times an automated system will provide a lower rate quote to a new driver because it is cheaper for the insurance company to pay for computers than for people.

Many automobile insurance companies exist to offer cheap insurance. New drivers and people on tight budgets are targeted by these companies. Insurance rates can vary by hundreds of dollars, not only between companies, but also within the same company. Obtaining cheap insurance for a new driver can be accomplished if you ask enough of the right questions. For example:

1. Is your new driver a good student? If so, you will want to ask about cheap insurance for good students.

2. You might be able to get cheap insurance for your new driver that has completed a safe driver program or a defensive driving course… sometimes up to 15%. If you have a new driver who has successfully completed one of these, you will want to inquire about a discount. Insurance companies know that a new driver who takes these courses reduce their chances of having an accident by 50%.

3. Some companies offer cheap insurance to a new driver who has successfully completed a drivers education class. These discounts (sometimes up to 10%) can apply to bodily injury, property damage, medical payments, personal injury, and comprehensive/collision coverage. Again, you simply need to ask about the discount.

4. Other issues to consider when looking for cheap insurance for a new driver include driving “Safe Cars” (these will be listed on the company’s Safe Car List). Also, driving cars equipped with daytime running lights, stability control, four wheel drive/all wheel drive / on-demand all wheel drive, traction control, anti-lock brakes, tracking unit/theft recovery unit, active or passive anti-theft devices, and air bags.

NOTE: If you are not sure which safety features are on the vehicle for your new driver, keep reading and you will discover where to find a complete list of the safety features for your vehicle(s).

Rates for auto insurance can vary by hundreds of dollars between companies, so it pays to shop around. Online searches are generally the best method of locating cheap insurance. New driver issues (like those discussed above) can be addressed effectively through most online automated systems.

Cheap Young Driver Insurance – Easy With a Free Car Insurance Quote

Cheap young driver insurance is possible. However, you should realize that as a new and young driver will have to pay more than older more experienced drivers. Nevertheless, there are many things you can do to help you to pay as little as possible for coverage.

Many people wants to learn how to drive and to have their own car that’s why many people go to driving school to get a driver’s license especially young drivers. When your children turn 18 they wanted to have their own driver’s license. So you send them to driving school and when they have their license the next big step to take is to get drivers insurance so they will be allowed to drive around your town.

But most insurance gives higher premiums on young and new drivers in their insurance that makes it really expensive for most of the families who have young drivers. That’s why most of them don’t get drivers insurance, but there are some who are patient enough to find cheap young driver insurance. You can look on the internet or in your local state insurance companies for affordable car insurance for young and inexperienced drivers.

The reason why insurance companies’ gives high premium on young driver’s insurance is because young drivers are presumed to be prone to accidents for statistic shows that they are more aggressive than experience drivers. Here are some tips for you in how to find cheap new driver insurance.

Having drivers insurance is very important especially for young drivers since they don’t have any experience on the road yet they are prone to be in an accident. Having drivers insurance protects you in case an unexpected accident happens on the road.

You have to do some research first and gain some knowledge about the importance of having drivers insurance. You should also know the necessary and important things that will be off help to you when problem comes.

Decide where you want to search for a cheap young driver insurance, do you prefer to search in your local state of in the internet. It would take time and effort if you decide to search in your local state by calling the insurance companies or by going to their establishments and getting some insurance quotes. If you decide to search on the net then you would save some time and effort for you need to go out of your house you just need to sit in front of your computer and let your fingers do the searching for you.

Since the reason why insurance companies give high premium rate for new drivers is because they don’t trust the driving skills of these drivers and they believe young and inexperienced drivers are prone to get caught in an accident on the road then there are also some ways on how to lower your rate.

One of these ways are letting young drivers take some safety driving lessons or driving rules program in this lessons they will be taught on how to drive safely on the road and teach you to protect yourself from being one of the casualties.

Accidents could happened anytime and at any day they don’t give you any warning on when they would happened that is why it is better to prepare yourself from the unexpected future on the road.