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This week while driving down the road my 14-year-old-almost-soon-to-be-driving-yikes-son asked out of the blue if you would have to call the insurance company or police if you were in an accident that involved only your own car and no one else.
Y’all, why does he ask stuff like that? Is it to make this already-going-to-be-crazy-when-he-drives-momma worry a year sooner about his driving future?
I have no idea where that question came from, but it started a big conversation as we drove along. We’ve always done all we can to keep our car insurance premium low (meaning our deductible is usually high), and in general avoid claiming minor incidents to our home or automobile to reduce the chance of our insurance premiums going up.
We explained that by not having accidents and keeping a good driving record without any tickets, your car insurance costs can be reduced. We then let him know that we fully expect him to keep that same plan in mind for himself. (Just figure the kid will also be fully bubble-wrapped before he’s given keys to the car.) 😉
Have you looked at ways to save on your car insurance? If you’ve got a teenager who’ll be driving soon (ugh?) ~ or if you’re just hoping to eek out an extra penny by getting the best price on car insurance for yourself, here are a few tips to help keep you saving:
- Consider a plan with a high deductible. If you’ve got an Emergency Fund in place, you should be able to handle the cost of a higher deductible if you ever are in an accident, and your premium will be reduced. (Do you have an Emergency Fund and written budget? If not, get started.)
- Pay your car insurance bill twice a year rather than in monthly payments. This won’t save you a ton of money, but most insurance companies charge a small fee for making monthly payments. If you’re able, pay your insurance bill in lump sums twice a year to save more.
- Before purchasing a new car, contact your insurance agency to find out if your insurance will be higher on one kind of car than another. Certain car models have lower insurance rates, so you’ll want to consider purchasing a car that offers the best insurance prices.
- Bundle your insurance savings. By using the same provider for all your insurance needs, you’ll save more on your home and car insurance.
- Ask your current insurance provider if you’re getting the best price. A phone call to your insurance provider is free, and it may be that there are savings that you can get just for asking. Take a minute to check in and make sure you’re getting all the discounts you can (a five minute phone call may save you a few dollars!)
- Make sure you’re getting the best coverage available at the right price. There are so many different companies that offer car insurance, however you can contact an Endorsed Local Provider through Dave Ramsey’s ELP program, to find an insurance professional in your area who will make sure you’re getting the right coverage for your family at the best price. They’ll look at your insurance needs (for both home and auto insurance), and make sure you’re getting the very best insurance coverage by searching policy prices and coverage options from several different companies for you.
This is a sponsored by Dave Ramsey’s Endorsed Local Providers, however all opinions are (of course!) my own.
My son is fifteen so I know what you mean. I am not looking forward to getting auto insurance for a teen driver but it has to be done – probably within the next year. I can’t believe how time flies.
To answer your son’s question, Yes, you have to call the police if you have an accident and you are the only 1 involved. We had that situation happen with one of your teen drivers, and after sitting and waiting 1 hr for a tow truck, the driver told us we could not move the vehicle until the police came. So we waited anther hour for police, and other tow truck driver.
The accident did total the vehicle and our insurance went up. We were so thankful that our child was unharmed and learned a lot from having to pay for 1/2 of the replacement vehicle, but not being allowed to drive it.
So glad your son was okay Dee! And goodness I can’t imagine how stressful that would have been to have to wait another hour. I’m sure they learned a lot from that experience, and know it had to be frustrating to have your insurance go up but so glad that he was safe!
Laurie be thankful that he is thinking about it. At least you know he’s wondering what to do IF an accident happens instead of living in a dream world thinking that nothing is going to happen to him. I had to make my daughter get her license. She did not want to drive.
She was so paranoid about having an accident (so was I) But I finally told her if it happens it just happens. All you can do is drive the best you can and pay attention to the other drivers.
And OMG I thought I was going to pass out when we got our first insurance bill. Her insurance was double what the insurance on my new car was. We did keep full coverage on her car because its still in great shape. It would have been crazy for us to drop it down to liability. We gave her our old car so it’s paid for so all we have is the insurance bill. It’s not too bad if you divide it into 12 months. (Especially if you say it real fast. LOL)
I’m so not ready for those days Kim – he just turned 14 but I know it’s right around the corner! But you’re so right – a little fear is not a bad thing at all ~ I know I’ll be covering him in prayer every time he leaves the house (I already do that a little now, but my whole day may be spend praying!)
Buy older cars off Craigslist so you don’t have to carry full coverage!
Great tip Jim! I keep telling my kids that they’ll be driving my minivan ’til it hits 500,000 miles 🙂
A big discount for young drivers is a good student discount, make sure they keep a 3.0 or better & provide recent report card to your agent.
Let insurance company know if you have vehicles driven just for pleasure we have two vehicles we save quite a bit on under 8000 and 5000 miles a year versus standard 12-15000. Saves quite a bit on premiums.
Thanks for sharing Janie – great tip (I didn’t know that!)