Here’s some good news about insurance. Your teen won’t need it until licensed and driving without you or an instructor in the car. Once your teen gets a learner’s permit, you’ll want to talk to your insurance agent about costs and other issues involved in adding your teen to your policy. Most families do this by adding the teen to their existing auto insurance policy. You could also use this as a time to comparison shop to find the best insurance option for the whole family and your vehicles.
Saving Money on Insurance
Because the risk of a crash is significantly higher for young drivers, particularly during the first year of driving, your teen’s insurance rate likely will be higher than your own. In this phase of the preparing-to-drive process, you may want to consider these strategies to keep your family’s costs down:
Insurance Requirements in New York
All New York drivers are required to have insurance at the minimum levels of $25,000 per person for bodily injury; $50,000 per collision for bodily injury; $50,000/$100,000 for death for one or two persons, respectively, in one accident; and $10,000 property damage caused by one accident. Insurance companies in New York determine rates on factors such as your driving record, how long you’ve been a licensed driver, how much you drive, where you live and what you drive.
Learn about insurance available through AAA for teen drivers and their families.