New teenage driver?

• If you are anticipating adding a new driver to your auto policy, call your agent and remember:
• If you are not adding a vehicle, the new driver usually needs to be rated as a primary driver on one of the family vehicles.
• Your insurance rates will typically increase when a new driver is added to a policy.
• When buying a new vehicle, you may want to consider which vehicles get the lowest rates.
• Consider getting a Personal Liability Umbrella Policy (PLUP). If you or your teenage driver accidentally injures someone or damages their property, you may want to increase your liability coverage, as  award damages often exceed your existing policy.
   

Talk with your teenager about safe driving, as well as how traffic violations will affect your rates. The cost of car insurance varies by insurance company and by:

• What insurance you buy—coverage and deductibles
• What kind of car you drive--generally, the more expensive the car, the more you pay.
• Where you drive--due to higher rates of vandalism, theft, and accidents, urban drivers pay more for auto insurance than those in small towns or rural areas.
• How much you drive--people who use their car for business and long-distance commuting normally pay more than those who drive less.
• Your age, sex and marital status--Accident rates are higher for all drivers under age 25, especially young males and single males.
• Your driving record--drivers who cause accidents generally must pay more than those who are accident-free for several years.
• Your credit history--credit history is a predictor of future auto insurance losses. Many insurance companies consider certain credit characteristics when determining an individual's rate.

What can I do to save money on my auto insurance?

1. If you're shopping for a car, consider how your choice will affect premiums.
2. Some insurers increase premiums for cars more susceptible to damage or occupant injury.
3. Ask about discounts for good students, insuring more than one vehicle, accident-free driving, and others.
4. If you reduce your driving mileage enough, you may lower your premiums.