Factors Driving Up Teen Vehicle Insurance Costs
When a teenager first gets their license they’re often filled to the brim with excitement, eager to explore the open road; meanwhile, their parents nervously chew on their fingernails. But before they can jump behind the wheel, like most drivers, they need to be insured. Teens may be alarmed to find out, however, that insurance rates for young adults are often considerably higher than other age groups. This is because people from the age of 16 to 19 are often considered high risk drivers, and are more likely to be involved in an vehicle accident than any other category of people.
If rates are higher when purchasing car insurance for teenagers it is simply because statistics show that they are considerably more dangerous while driving. In 2009 roughly 3,000 teenagers in the United States between the ages of 15 and 19 were killed, while over 350,000 others were treated in emergency rooms for injuries sustained from vehicle accidents. Young drivers ages 15-24 account for nearly 30% of the total cost of vehicle related injuries among males, amounting to nearly $19 billion dollars, and nearly 28% of total medical costs from vehicle related injuries among females, which is about $7 billion dollars. Teenagers are also far less likely to wear seat belts than adults, and in 2008 roughly 3 of every 4 youths killed in an vehicle accident as a result of drinking and driving was not wearing the proper restraints. Insurers will often asses all of these risks when calculating premiums, and with these statistics it is obvious why rates are increased for younger drivers.
Wednesday, Feb. 16th 2011 6:50 PM at 6:50 pm
A motorist with a higher potential for danger might be able to find suitably cheaper coverage by utilizing the same research techniques as any other motorist. Doing a thorough quote comparison could give a vehicle owner the opportunity to gauge the range of prices which are available, as well as the knowledge of which particular companies may cater to drivers with elevated risks. In order to aid in searching for coverage despite one’s record, there are certain state departments such as the Texas Department of Insurance which release guides detailing how to obtain auto insurance for high risk drivers in order to ensure that all drivers are still given the option of obtaining coverage. Although more effort may be required in finding a provider that offers cheap policies to riskier motorists, doing so is still entirely possible.
A motorist might be able to secure a cheap rate by choosing to purchase insurance from a company which focuses on drivers that are considered risky to insure. These companies often cater to motorists with poor driving records, young or new drivers, and people with bad credit who may not be able to find coverage elsewhere. In the event that a provider simply cannot be found, there are some states which have an assigned risk system which means that a motorist may be assigned to a company by the state. Being labeled with having a high probability of being involved in an accident does not mean that one is doomed to have an expensive policy or is entirely unable to find the proper coverage; it simply means that in order to find a company which would be willing to take on such a motorist may be more difficult. Through various quote comparisons, research, and a fair amount of effort, these motorists may be capable of finding cheap car coverage.