As a new driver, finding cheap insurance for new drivers can feel like an overwhelming task. Insurance companies charge high rates to new drivers because they have no way of measuring your ability to safely operate a vehicle. New drivers are statistically more likely to get into accidents than experienced drivers; therefore, insurance companies are not willing to take a risk without charging a higher price. Don’t despair though, if you’re willing to do some research and put in the extra time to convince your insurance provider that you are a good risk you can find a better rate.
You first need to lay the groundwork to prove that you are a good risk. Insurance companies don’t believe that first time drivers are experienced enough to avoid accidents. To overcome this concern and get better rates enroll in a driving course. If insurers see that you have passed a driving course they are more likely to consider you an experienced driver and lower your rates.
Another good way to obtain better rates is to drive the right car. Check out safety rating websites that will give you the specific details on your vehicle and how safe it is compared to other vehicles. Also, research statistics in your area and nationwide to find out how often your model of vehicle is stolen. If your car has a high safety rating and low theft rate your insurance company will take that into consideration and offer you a lower rate.
Another long-term method to establishing yourself as a low risk driver and obtaining cheaper car insurance is to build up your driver rating while on another driver’s insurance. Using someone else, such as a parent or other family member, who already has a good driving record takes a little more time, but if you have the ability to do this it will help you when you are ready to buy your own insurance.
A good credit rating will also help you. Insurance companies check your credit rating when you apply for insurance. If you have good credit you are more likely to be considered a good risk.
Once you have established yourself as a low risk and are less likely to be stuck with higher rates, you can work on finding the right insurance company to fit your needs.
Your first step is to get quotes from as many insurance companies as possible. This is important because rates vary from company to company, often by hundreds of dollars. This is a relatively easy process if you use the internet to find insurance sites and get rates.
You have two options in obtaining rates. You can put together a list of insurance companies and go to their individual websites to obtain rates or you can use one of the many sites that provide you with quotes from multiple insurance companies.
The latter is the simpler choice and will save you a lot of time. You’ll only need to enter your information once and you’ll get quotes from many insurance providers in your area. A couple good websites for obtaining multiple quotes are:
At both of these sites you simply enter your vehicle information, a little information about yourself and the type of insurance you want, and then hit the submit button. These sites will then return a list of insurance providers and rates that match the information you entered.
Once you have made your decision about which company to use, you will want to find out about any additional discounts they may offer. If you are still in school and have above average grades you can get a discount. If you are an adult and are seeking more than one type of insurance (life, etc), insurance companies will offer a discount for multiple products purchased. Also, if you have multiple vehicles you can get a discount.
Obtaining cheap car insurance for new drivers is not impossible. Once you have completed the necessary requirements for establishing yourself as a good driver, you can find insurance providers who want to help you. A little research and time will help you find a rate that suits your budget.
Leave a Comment