Car insurance for new drivers in their 20s can be pricey. Luckily, there are ways to save money on your policy. MoneyGeek partnered with GEICO to compare rates and found savings across all age groups. They found the lowest rates from 21 to 25. Getting insurance for new drivers in your 20s is no longer a parent’s privilege; the first step is finding a policy that works for you.
GEICO
GEICO offers a comprehensive array of discounts for young drivers, from a “good student” discount for a B average to a multicar discount, and a good driver discount for five years of accident-free driving. Young drivers can also save a significant amount of money with a “good driver” discount, which can lower their premiums by up to 22 percent. Getting an insurance quote can be a confusing process, but it’s possible to make sure that your insurance company offers all of the discounts that you need to get the best deal on your auto coverage.
GEICO offers a low-cost online defensive-driving course that can be completed in a matter of hours. This course includes a brief virtual test, and completing it can save you 5% to 10% on your insurance premiums. New drivers should avoid fancy sports cars as these tend to be more risky, and are therefore less expensive. Instead, opt for a basic 4-cylinder engine to reduce the risk of an accident and save money on auto insurance.
State Farm
The state farm cheap car insurance for new drivers program offers discounts for accident-free and better drivers. In some cases, you can qualify for car insurance discounts by completing a driver safety course. Ask your State Farm agent for a list of approved courses. Other discounts include owning a newer car and completing a defensive driving course. In addition, some discounts are available for vehicles that have air bags, such as a 40% discount on medical coverage.
In addition to discounts for safe driving, State Farm also offers Steer Clear and Drive Safe & Save programs that can help you save on your car insurance. Steer Clear is a driving program that rewards safe driving, and it also offers a student discount. This program also rewards safe driving habits through telematics. Both programs can save you a great deal on your car insurance. By following these programs, you can save up to 30%.
Allstate
If you are a new driver and are looking for cheap car insurance, then Allstate may be the company for you. Allstate offers three tiers of auto insurance, low, medium, and high. Low coverage is the least expensive and meets minimum requirements. Medium coverage costs around $1880 per month, while high coverage costs more, but usually has lower deductibles. Those who have good credit can get a 10% discount by meeting three criteria.
The first six months of accident-free driving will not increase your premium, but after that your premiums may increase. You can also get a safe-driving bonus check every six months. For each year that you remain accident-free, you can get a $100 reduction in your collision deductible. Of course, accidents do happen, and nobody is immune. However, by choosing to be safe, you can still get a cheap car insurance for new drivers with Allstate.
When it comes to car insurance for new drivers, Allstate is one of the most affordable options available. The average cost of a full-coverage policy from Allstate is $1,398 per year, a savings of more than a thousand dollars annually. However, if you’re looking for a policy that covers you in the event of an accident, consider enrolling in a safe driving program. The Allstate teenSMART(r) program will teach you safe driving habits and lower your teen’s risk of collisions.
Progressive
When shopping for car insurance, cost is a primary consideration. However, it’s often more important to focus on customer service and satisfaction than cost. That’s why Progressive car insurance for new drivers offers a number of discounts to encourage online document signing and streamlined processes. Aside from low rates, Progressive also offers a number of discounts to drivers who purchase multiple policies. The company’s deductible savings bank lowers policy costs every six months. The company’s large accident forgiveness feature keeps rates unchanged for drivers with a clean record.
Among insurers, Progressive ranks fifth in terms of cost, excluding Hawaii and South Carolina. While it’s a bit expensive in those states, you can expect it to be cheaper if you’re a young driver or have never had an accident. Rates for young drivers, though, can be higher than for older drivers, so it’s important to shop around to find the best deal. Overall, Progressive is one of the best choices for new drivers.
Mercury
Mercury has a 24-hour claims hotline for customers to use to report accidents and file claims. Make sure to fill out a claims checklist before you call. The customer service representative will take information about the incident and explain which parts of your policy will cover that. They will help you locate Mercury preferred body shops and can even arrange for towing and rental cars. If you live in one of the 11 states where Mercury has independent agents, you can visit a local office to get a quote.
In most states, Mercury will be cheaper than the average insurer. In some states, Mercury’s quotes are slightly higher than state median premiums. But if you’re a new driver, you shouldn’t worry. There are many companies that will offer you cheap car insurance for new drivers. You can find one online or by visiting your local branch. The process is quick and easy. Mercury also offers free quotes via email.
Allstate’s multi-policy discount
For those who already own several insurance policies, Allstate is a good option. You can get up to 30% off the cost of your auto insurance if you have several policies with the company. Allstate offers many discounts, and you may be able to save more money by bundling your auto and home insurance. However, you need to ask about multipolicy discounts. These discounts are not widely advertised, but you may be able to find a better deal if you speak with an Allstate agent.
Another option is Allstate Drivewise. This program rewards drivers who engage in safe driving habits and participate in their safety programs. In other words, drivers who drive safely and avoid speeding can get discounts on their auto insurance premiums. If you are a parent, you can take advantage of the parent discount and save on the premiums for your teen driver. It is important to note that Drivewise is only available in certain provinces.
Adding another driver to your policy
You can reduce the cost of your car insurance policy by adding another driver. However, you must be careful and understand the circumstances of adding an additional driver. While adding another driver to your cheap car insurance policy will usually mean an increased monthly premium, it may also have positive effects. For example, adding your 16-year-old to your policy could increase your monthly premium by $278. On the other hand, if you want to reduce your monthly premium, you should consider adding an older driver to your policy.
The first step in adding another driver is to get their information. Make sure they have a driver’s license, auto insurance ID, and home address. Some companies do not insure cars that are owned by different people. This is especially important if you share a residence with the other driver. Moreover, adding a child does not mean adding them to your policy if the other driver does not live with you.
Adding a teen driver to your policy
Adding a teen driver to your car insurance policy can be both challenging and exciting. Teenagers are a growing group who will soon want their own car and will be driving everything from the family sedan to their first car on their own. To help them with this transition, you should learn more about car insurance for new drivers. Here are a few tips to help you find a policy that works for your family.
First, find out how much your teenager will cost. There are many ways to save money on insurance. One option is to consider a cheap teen driver discount. Many insurers offer discounts for young drivers, including those under 21. You can also get a military discount from USAA, which has a special program for service members. This may help you get a cheaper policy, too.