So. I have been hiding for a while because I really didn’t want to even think about how much it is going to cost once Eva starts driving. You know. Because burying your head in the sand is always helpful…
Yes. I know. They don’t really bury their heads in the sand, but that doesn’t mean I don’t…
Today I took the plunge and made a phone call to my insurance company to get the scoop on how to get the best rates for a teenage driver. I found out that it is going to cost $169.34 EVERY MONTH for Eva to drive my car. She is already an insured driver on my policy but only has her learner’s permit at this point.
Because I have been with Progressive for many years we qualify for several discounts. Here are some discounts that you should look for from your company as well:
Good Student Discount
Eva qualifies for this because she has a very high GPA. I’m not sure what the requirement it but you definitely want to check with your company to see if any of your drivers qualify for this discount.
Minor Child Discount
It’s self explanatory. But seems like a strange discount to give. Yes? Because I have been with Progressive for more than one year they are discounting Eva’s rate as a minor driver. Strange – but I will take it!
Driver’s Education Discount
Strangely enough Eva will not qualify for any discount through Progressive even if she does attend a Driver’s Ed class. Another oddity with Progressive. The rep told me that Progressive does not offer a discount for any type of driver’s education class except for those over 50. That really surprised me as I thought that it was standard for companies to offer a discount to students who took Driver’s Ed. Oh well.
Multi Car Discount
Most companies offer a discounted rate if you have more than one car insured with them. Ask to make sure that you are getting this discount if you qualify.
Progressive’s Snapshot Device
The ‘Black Box’ Discount
Not all companies offer this but it can mean significant savings so you should call them and ask. Progressive’s program is called Snapshot. They send you a small device that plugs into your car – mine plugs in underneath the steering wheel. It keeps track of things like how often you slam on the brakes, how many miles you drive, etc. Based on the information that it gathers Progressive determines the amount of discount that you are eligible for with them. When we participated I qualified for a 20% discount! You can get even larger discounts but apparently I use my brakes a little too ‘aggressively’. I might try again for the 30% savings at some point.
A few other things to keep in mind:
*The longer you stay with a company the better your rates will be. I called around to a few other places to see if they could beat Progressives rates. No one was even close. Probably because I have been with them for so long and have a decent record.
*The insurance company is automatically going to put the youngest driver in the newest car. Unfortunately (but in a great way) I have a newer car which means that the rate for Eva is higher. If we had an old junky car for her to drive the insurance rate would go down significantly. Be sure that your insurance company doesn’t assign your teen driver to your brand new Corvette if they only ever drive the ’87 Datsun…
*If you are unhappy with your company and you call around be sure to know exactly what your coverages and benefits are with the current company. It doesn’t do you any good to call other places to get a quote if you are not comparing the exact same coverages. It is worth taking an hour out of your afternoon to check and make sure that you are getting the best possible deal.
Can you help this girl? She despairs of ever getting her license…
*Every six months I call, right before my policy is up for renewal. One of their reps goes through my policy with a fine tooth comb to make sure that I am getting all of the discounts that we qualify for and generally helps me look for any way to save us money. Almost every single time they find a way to reduce my rate. This last time I called we saved about $20 a month. That’s $240 a year that we can spend on other things!
Insurance for a vehicle can be very expensive, which is one of the main reasons we have delayed getting Eva’s driver’s license. Do you know of other ways to get a better deal on insurance? If so please let me know!
I didn’t know that companies offered a tracking device for additional savings!
That was also a great tip about them matching the youngest driver to the newest car. I hate when they do things like that without even telling you. I also know that they will automatically assign every licensed driver with your address to your policy. They actually did this to my sister by adding her landlord to the policy (they didn’t use apartment numbers on their licenses)! It took her a while to fight that.