What Are Your Car Insurance Options For Beginner Drivers?

your in controYou’re a conscientious parent and you’re trying to do the right thing. Your teenager has hit driving age and is raring to get behind the wheel of your car, but your bank account isn’t a bottomless pit, and teens can be an expensive addition to a car insurance policy. So what are the options?

If Toby the teen has his own little runabout, you probably don’t need to insure him via a family policy – and can therefore save yourself some serious cash!

With the release of the CANSTAR Car Insurance Star Ratings Report we decided to take a look at the potential savings a parent could make by telling young Toby that he can only be named on his own car’s insurance policy and not on the family car.

(Of course, Toby will still be able to legally drive Dad’s car, but given the cost implications of his having an accident as a non-nominated driver, Dad might not be too happy with him doing that!)

The comprehensive CANSTAR research – which involved analysts obtaining 19,494 quotes from 47 different providers – shows that a 52-year-old male living in the suburb of Balga, Western Australia, could save himself the considerable sum of $495* a year if he changed his car insurance policy from a Family With Young Driver to just the single, 30-59-year-old policy.

In Templestowe, Victoria, a 52-year-old male could shave $438”  off his premium just by telling Toby to go his own way – again, a considerable saving, definitely worth bearing in mind.

* Based on quotes for a Mazda 3, parked in the driveway of the home, with no hire car and an excess of $450 on the policy.

”  Based on quotes for a Mazda 3, parked in the driveway of the home, with no hire car and an excess of $625 on the policy.

 Where Toby and his Dad live can make a difference, too. As the table shows, under-25 males in New South Wales would be looking at paying, an average of $1,840 for a year’s car insurance, while a comparable policy in Tasmania would cost around $1,094 – a difference of $746!

Age group

NSW

QLD

SA

TAS

VIC

WA

Under-25 male

$1,840

$1,135

$1,299

$1,094

$1,655

$1,268

30-59 male or female

$1,074

$687

$759

$673

$887

$750

Family with young driver

$1,746

$1,057

$1,290

$1,103

$1,483

$1,145

Mature (over-60)

$1,065

$699

$767

$649

$865

$743

Source: CANSTAR

Neither Toby nor Dad can argue with the figures, which just goes to show it pays to check your policy, and your options, carefully.

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