Save On Auto Insurance: Take Driver's Ed

Auto insurance can be expensive, especially for new and young drivers, who are considered high-risk due to their lack of road experience. One way to reduce insurance costs is to take a driving school course, which can lead to significant savings. Driving school courses provide a combination of classroom and practical on-road education, teaching essential driving skills and safety techniques. These courses can help young drivers gain confidence behind the wheel and pass their driving tests. Additionally, insurance providers may offer discounts of up to 10%, or even higher, for completing these courses. The savings can be substantial, potentially amounting to thousands of dollars per year for young drivers. However, it's important to check with insurance companies beforehand to confirm the availability and amount of any discounts offered.

Defensive driving courses can reduce insurance rates

Defensive driving courses are designed to go beyond the basics taught in standard driver education programs. They emphasize skills that help drivers avoid accidents and dangerous situations by educating them on collision prevention and encouraging courteous and cooperative driving. These courses can be taken online, in a classroom, or even behind the wheel, making them accessible to a wide range of learners.

The cost of defensive driving courses varies, typically ranging from $15 to $100, with most online courses priced between $20 and $40. The investment in these courses is often quickly offset by the insurance discounts they unlock. For example, if you spend $40 on a course and receive a 10% insurance discount, you would save almost $170 in the first year alone. Over three years, you would save over $500.

It's important to note that not all insurance companies offer defensive driving discounts, and the availability and amount of the discount may vary by state and age group. Before enrolling in a course, it's essential to check with your insurance provider to confirm your eligibility and understand their specific requirements, such as minimum course hours and state certification.

In addition to the financial benefits, defensive driving courses can also help improve your driving skills, increase your awareness of dangerous situations, and encourage safer driving behaviors. This can lead to fewer accidents and a better driving record, further contributing to lower insurance costs over time.

Overall, defensive driving courses offer a great opportunity to reduce your insurance rates and become a safer, more confident driver. The knowledge and skills gained from these courses can help keep you and others safe on the road, making the investment well worth it.

Young drivers can save money with driver's ed

Driver's ed. is a formal series of lessons that provide new drivers with classroom instruction and practical on-road education. The curriculum includes a review of traffic rules, vehicle handling techniques, laws about licensing and vehicle documentation procedures, and other information that any driver would find useful.

In some states, driver's ed. is mandatory for new drivers, and complying with these requirements can lower insurance rates. Even in places where it is not required, insurance companies may offer discounts to young drivers who have completed driver's ed. These discounts can be as high as 10% but can vary depending on the insurance company and other factors such as age and location. In some cases, driver's ed. can help young drivers advance more quickly through graduated licensing systems, reducing the amount of time they pay higher insurance rates.

In addition to the financial benefits, driver's ed. can also help improve safety on the road. Young drivers who have completed driver's ed. are less likely to be involved in accidents, which can help keep insurance rates low in the long run.

When choosing a driving school, it is important to consider the specific details of the program, such as the length of the course, the cost, and the times when the course is held. It is also worth checking with your insurance company to see if they offer discounts for completing driver's ed. and ensuring that the driving school is approved by the relevant authorities.

Driving school graduates can get cheaper insurance

Direct car insurance discounts start at about 5% and can be as high as 20% for some qualified drivers. The discount you receive will be based on your age, where you live, and your driving record. Young drivers are often eligible for a discount of about 10% on their car insurance rate for completing driver's education courses.

In Ontario, Canada, a new driver who successfully completes an approved driver's education course can expect to save anywhere from 20% to 30% on their insurance, which is roughly the equivalent of having 3 years of driving experience and license history versus 1 year.

The average cost of attending driving school is $600, but prices can range from $600 to $2,000. While it is possible to shop around to find a cheaper driving school, this cost should be considered an investment towards getting cheaper car insurance.

For example, a 17-year-old driver would receive average car insurance rates of $6,870 per year without driving school and $5,181 per year with driving school. This would result in yearly savings of $1,689. Over a three-year period, a 17-year-old driver would save around $5,067.

In addition to the financial benefits, driving school can help new drivers feel more confident when driving a vehicle and better understand the concepts required to pass driving tests.

Safe driving discounts for older adults

Safe driving is a challenging task, especially for older adults. With age, several factors, including reduced vision, impaired hearing, slower reflexes, and worsening health conditions, can impact one's ability to drive safely. However, there are ways to maintain and improve driving skills, and some insurance companies even offer discounts to older adults who take steps to ensure their safety on the road. Here are some safe driving tips and potential discounts for older adults:

Tips for Safe Driving:

• Stay Healthy and Active: Maintaining physical health and flexibility can help older adults improve their driving abilities. Regular exercise and sufficient sleep can enhance their strength, coordination, and alertness, which are crucial for driving.
• Choose the Right Vehicle: Older adults, especially those with arthritis or joint and muscle stiffness, may benefit from driving a car with automatic transmission, power steering, and power brakes. Newer cars with backup cameras and sensors can also make parking and manoeuvring easier.
• Keep Windows and Headlights Clean: Senior drivers should ensure their vehicles' windows and headlights are clean to improve visibility and safety. Regular maintenance is also essential to keep their cars in good working order.
• Avoid Distracted Driving: Refrain from using phones, texting, or adjusting GPS while driving. Eating, drinking, or smoking in the car can also be distracting. It's best to focus entirely on the road to ensure safe driving.
• Plan Routes and Avoid Uncomfortable Situations: Older adults should consider driving during daylight hours, avoiding busy highways, and staying off the road in bad weather. Planning routes in advance and sticking to familiar areas can also help them feel more comfortable and confident.
• Defensive Driving Courses: Enrolling in defensive driving courses, such as those offered by the American Automobile Association (AAA) and AARP, can help refresh driving skills, knowledge of road rules, and hazard awareness. These courses may also lead to discounts on auto insurance rates.
• Defensive Driving Course Discounts: Completing a state-approved defensive driving course can result in significant savings on car insurance for older adults. Organizations like AARP, AAA, and the National Safety Council offer classes specifically designed for mature drivers.
• Clean Driving Record Discounts: Insurance companies often reward drivers with good driving records. Staying accident-free for an extended period can lead to substantial discounts on insurance premiums.
• Military and Federal Government Discounts: Active-duty and retired military personnel and federal government employees are often eligible for auto insurance discounts. These discounts are typically applied directly by the insurance company and can range from 12% to 15%.
• Multiple Policy Discounts: Older adults who have multiple insurance policies, such as home and auto insurance with the same company, may qualify for bundled policy discounts.
• Retired Government Employee Discounts: Seniors who were employed by the government may be eligible for special discounts on their car insurance.

It's important to note that insurance discounts may vary by state and insurance provider. Older adults should contact their insurance companies to inquire about specific discounts available to them and understand the requirements to qualify for these discounts. Safe driving practices not only help older adults maintain their independence but also contribute to overall road safety.

Discounts for good grades and student status

Many insurance companies offer discounts to students who can demonstrate good academic performance. These good student discounts can help offset the high cost of insuring a new driver and are typically available to high school and college students who can provide proof of their grades.

Requirements for Good Student Discounts

To qualify for a good student discount, insurance companies usually require students to be under a certain age (often 25) and enrolled full-time in high school or college. Additionally, students typically need to maintain a minimum grade point average (GPA) of a B or 3.0, or be in the top 20% of their class. Proof of academic performance, such as a school transcript or report card, is generally required to receive the discount.

Amount of Discount

The amount of the good student discount varies depending on the insurance company. Discounts can range from 4% to 25%, with an average of around 12.5% to 14%. Some companies, like Allstate, offer larger discounts of up to 20%, while others, like State Farm, offer smaller discounts but have cheaper overall insurance rates.

Other Ways for Students to Save on Car Insurance

In addition to good student discounts, there are other ways for students to save on car insurance. Many insurance providers offer discounts for students who complete driver education or defensive driving courses. These courses can provide new drivers with valuable skills and help reduce their insurance rates. Students who are going to school away from home and won't have access to a vehicle may also qualify for an away-at-school discount. Additionally, students can often save money by being added to a parent's insurance policy rather than having their own policy.

Frequently asked questions