Cutting Young Drivers a Break: Saving Big on Auto Insurance Before You Turn 25

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It seems that 25 is the magic number when it comes to getting insurance companies to drop high insurance premiums. During the beginning years of a new motorist's driving career, auto-insurance premiums are often higher than those of more established and experienced drivers. This can make it hard for young drivers to afford the cars that they really want to drive and make it more difficult for them to manage their car-maintenance bills. Thankfully, younger motorists on a mission to stretch their paychecks can get a few small breaks on auto insurance that really add up.

1. Maintain a Great Credit Score—Did you know that automobile-insurance companies do a thorough background check on drivers who request rate-comparison quotes? Even though it may only take you a few minutes to receive an accurate auto-coverage quote, the amount of information an insurance provider can unearth on your driving history, credit score, and even your criminal record is startling. If you have a decent credit rating and plan to build a more balanced portfolio of credit accounts, your auto-insurance premiums may begin to diminish.

2. Drive an Older Car—Newer, fancier, faster cars are more expensive to insure because they are most likely to be involved in collisions, and they are also much costlier to repair. You may not be able to drive the sports car of your dreams and get a low automobile insurance rate as a young driver, but at least you can reduce your monthly car bills. After you do this, when you are able to afford to drive a brand-new car, you will be a little wiser, and your insurance company may give you a bigger reduction on your auto-insurance policy.

3. Ask Your Insurance Broker for Assistance—A lot of people go out and purchase auto-insurance policies, but they don't always consult with brokers that can lead them to the innovative auto-insurance companies with policy-writing procedures that are in the best interest of younger motorists. Although statistics do show that younger drivers are involved in more car collisions than drivers from other age groups, sometimes you can work around this. Locate a local auto-insurance broker that may be able to aid you in lowering your car-insurance premiums. You can also look into reducing what you pay for other insurance products as well. 

4. Carpool to Work—If you are a young working professional, and you commute regularly to your place of employment, carpooling might lead to a reduction in auto bills. Consider buying a car with a friend or roommate so that you can share the costs, or run a carpool where all of the riders help out by handing you cash in exchange for a daily lift to work.

Talk to companies like Plumer Insurance Agency to compare rates.