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Insuring Your Home

When we started thinking about buying a home, I realized that we had a boatload of work to do. I knew that we needed to save up a down payment, talk with a mortgage broker, and most importantly--figure out what we were doing about homeowners insurance. Fortunately, a friend of mine told me about a great insurance broker in our area who handled that kind of thing. We met with her to talk about our options, and before we knew it, we had found a policy that really melded with our budget and lifestyle. This blog is all about insuring your home.




Six Mistakes You Should Avoid When You Add Your Teen To Your Auto Insurance Policy

Adding a teenage son or daughter to your car insurance policy can be costly. However, it's essential that your teenager gets experience driving to become independent. Also, most teenagers are eager for the freedom that being able to drive on their own affords them.

Fortunately, there are quite a few things that parents can do to minimize the added costs on their insurance policy created by insuring a teenage driver. The following are six mistakes parents can avoid to make sure that adding their teen to their policy doesn't make auto insurance unaffordable:

Insuring a brand new or expensive vehicle for your teen

It's best to be practical and frugal when you're dealing with getting auto insurance coverage for your teen. The more expensive and less practical a vehicle is, the more costly it's likely to be when it comes to insurance. 

Focus on safety features rather than luxury when selecting a vehicle for your teen. Your insurance provider will decrease premium costs for every safety feature the vehicle your teen will be driving has. 

Deciding based solely on price

Price is not the only factor to consider even if you don't want to spend a lot on premiums. You need to make sure you have adequate coverage for your teen to avoid liabilities if your teen does get in an accident.

Make sure the policy you choose includes an adequate amount of liability and medical coverage so that you know everything will be paid for in the event of an accident.

Neglecting to take advantage of discounts

There are numerous discounts that teen drivers can become eligible for. For example, many auto insurance provider will give a discount if a teen has good grades. Another way to reduce costs is to have your teen go through a highway safety course. 

Listing your teenage son or daughter as a primary driver

You may be able to insure your teen as a driver without listing them as a primary driver. Chances are, your teen is not going to be driving your vehicle nearly as much as you do. You may be able to list your teen as an occasional or recreational driver to bring down your premiums. 

Purchasing collision or comprehensive coverage

One thing you can do to bring down premium costs is opt for only liability coverage and forgo collision coverage.

If your teen is driving an older vehicle that is not worth a lot of money, it may not be necessary to pay for the added expense of collision coverage. 

Not comparing various offers

Some auto insurance providers are better known for providing reasonable rates for teens on a policy than others.

You should of course check with your regular company to see if they can give you a good rate when you add your teenager. However, you should also shop around to see if another company out there can do better and help you to save some money.