April 30, 2012

Special Insurance Riders That Can Affect Teen Drivers

Teen drivers are notoriously at risk for driving. Affordable car insurance is nearly impossible because of the statistics working against them. While teens can save money by going onto the policy of their parents, it's also important to look at some of the special insurance riders some insurance companies offer that can impact teens behind the wheel.

Many insurance companies around the country offer various insurance riders that can be added to the policy. These can actually help to maintain affordable car insurance, even though the premium will go up incrementally based on the number of special riders that are chosen for the policy.

One of the best riders that can be added is forgiveness of an at-fault accident. Drivers will have accident protection on the first time they are found at fault for an accident of any size. This will prevent the insurance from going up after the accident hits the person's driving record. With teen drivers on the policy, this can be vital to keep the costs low.

Another rider that can affect teen drivers is the uninsured motorist. This will add protection in the event of a driver getting involved in an accident with someone who is either uninsured or underinsured. This can save a significant amount of money.

Statistics show that teen drivers are involved in more accidents than any other age group on the road. Most of this is attributed to the fact that they are new to the road. They haven't developed their sense of awareness on the roads as much as drivers who have been on the road for 10 or 20 years. When a teen is involved in an accident for the first time, the already expensive auto insurance can increase significantly.

Any special insurance riders that can be added to protect the financial security of a family should be considered. Some companies will offer a family protection coverage that covers injury or death of individuals that were in the car when hit by an uninsured motorist. This covers hit and runs as well.

Even adding liability coverage can be a good idea. There are state minimums to be concerned with in terms of personal and property protection. However, if an accident is bad enough, the coverage may not be enough. For example, if a teen were to hit property and cause $10,000 worth of damage and coverage is only $5,000, the teen or parents would then be financially responsible for the difference.

Car insurance needs to be analyzed more when there are teens on the policy. They are going to drive premiums up; however, riders can be added to offer some financial protection and security.