<strong>Reader question:

Can I add my teen daughter to our car insurance policy while she still has her learner’s permit?

Ellen

Yes, you can, Ellen.

Most insurance companies will cover young drivers who still have not obtained their driver’s license, but the cost is steep, sometimes as much as 200% more than an adult’s. This is because the risk is high, especially with a driver who may not understand the importance of a full stop yet. Still, considering that same risk, it’s better to add your teenager than not, and the best way to go is to let the price go up on that end, but cut the costs in other ways.

• Watch the gradebook. Teenagers with good grades in school usually qualify for a discount on car insurance. It’s a good incentive for your kid to do well in school as well. What’s that? Can’t study for your test, can’t drive!
• Make them take a driver’s ed course. This takes the rate down by up to 15%.
• Make sure your insurer isn’t acting up. Some insurers will raise your rates by assigning the highest risk driver on your policy to the most expensive vehicle. This is not nice. If you catch your insurer doing that, find another one.
• Get them an older car. Sure, they may think it’s a shame, but it will save you money and might encourage them to be more careful.

Cheers,

Fashun Guadarrama