Car insurance for young drivers has always been a hot topic. You’ve probably read stories in the press about people being quoted astronomical sums of money to insure their first car.
It doesn’t have to be like that, there are a number of ways young drivers can reduce the cost of their car insurance and I’ll look at these in more detail below.
Pass Plus
Many insurers will offer a lower price for young driver’s car insurance if you’ve successfully completed the Pass Plus driving course after passing your test.
You have to pay for this and it covers driving in more detail and in different conditions than your ordinary lessons would have.
There are two main benefits of this; firstly your car insurance quotes are likely to be cheaper and secondly, you will become a safer driver by completing the Pass Plus course.
Choice Of Vehicle
While you may want to get a powerful first car to impress your friends, it’s really not a good idea when it comes to car insurance.
In order to get a cheaper car insurance quote, you should get yourself a small car with a not so powerful engine in order to reduce your risk of having an accident.
If you’re going on the car insurance of a family member initially, again it’s best to choose the least powerful vehicle of any you have to choose from.
Smartbox
Smartbox is a small device which uses GPS technology to track how well (or otherwise) a particular car is being driven.
If you have a Smartbox fitted, your car insurance company will be able to assess your driving style over a period of time. If you’ve been driving sensibly your car insurance payments will come down, and if you’ve been reckless, they will go up.
The frequency of how often your driving is assessed may vary between car insurance companies when you have a Smartbox fitted.
Drive Sensibly
Driving sensibly in the first year of your car insurance is a good way to lower your premiums for future years.
The older you get without making any car insurance claims, the less you will pay as you build up your no claims discount over time.
Driving sensibly will also save you money on fuel which is another driving expense you’ll want to keep to a minimum.
Follow these four tips for young drivers to ensure you benefit from cheaper car insurance premiums after you get over the hurdle of passing your test.
Author Info: Mauneel Desai is a financial expert who is currently working in Edward Jones finance company. You can follow him for regular finance updates.
