4 Ways to Help Your Teen Driver Save Money

When your teenager first starts driving, it is a time filled with exhilaration and joy for him or her and of mingled worry and pride for you. However, whether your teen is driving the family car or has purchased his or her own used vehicle to get around, it can be a drain on the household finances. If you want to help your teen driver save money, there are several ways you can keep your budget balanced and give your teen the freedom he or she desires as well.
 
1.     Teach Your Child Efficient Driving
Once you first teach your child the basics when they get behind the wheel, stress the importance of efficient driving. Teach them to brake and accelerate slowly, especially when driving a vehicle with standard transmission, as this will help save gas and increase the car’s overall mileage. Remind them that they can coast down hills before they begin to accelerate again, which may also help stretch their gas money.
 
2.     Limit Your Teen’s Driving Time
Limiting how much time your teen spends on the road may help reduce costs in two ways. First, it can lower the amount of gas your child will need per week, and second, limiting how far your child can drive on a daily basis may reduce the odds of him or her having an accident that results in injury and increased insurance costs. If your child works part time, encourage him or her to get rides from coworkers who work the same shifts they do in order to save on gas and reduce emissions as well.
 
3.     Look for Insurance Discounts
If you do allow your teen to have his or her own car, chances are that the insurance premiums are likely to be costly. Forbes reports that adding a male child to your insurance policy can increase your bill by over ninety percent. However, your teen may still qualify for insurance discounts that stem from getting good grades and from taking state-sponsored driving courses that focus on safety. For example, if you live in Pennsylvania, your insurance agent in Harrisburg can help you find a variety of discounts that may help you or your teen save money.
 
4.     Take Advantage of User-Based Insurance
If you want to track your teen’s driving habits, encourage them to slow down, and maybe save some money on insurance at the same time, then you might want to consider user-based insurance. With this type of policy, a device is plugged into a port in your teen’s car that monitors how far they drive, how fast, and other driving habits as well. If your teen obeys the limits set by the device, he or she may receive a small discount on their car insurance. Not only will this encourage them to drive safely, it will help them save money until their risk factors drop.
Watching your teens strike out on their own once they obtain a driver’s license is a nail-biting experience, and while it can also be an expensive one for the family, following these tips may help you keep the budget balanced with a minimal amount of effort. Remember to discuss insurance costs with your teen before he or she gets behind the wheel and give your son or daughter a complete understanding of how safe driving and policy discounts are connected.