New young drivers are viewed (automatically) by auto insurance companies as higher risk due to their lack of experience. This is especially true for young males because statistically they have been shown to get in motor vehicle incidents more often than females. In order to offset the higher cost to get coverage these drivers should consider driving inexpensive vehicles. Avoiding a higher performance automobile makes sense as well in order to temper the temptation of seeing what the automobile’s capabilities are plus new drivers are less likely to be able to handle the extra power.
The car insurance definition of the day is good student discount. This is a premium reduction to those attending school and getting good marks. It is afforded to those that the insurer would consider meeting eligible criteria which could include age, type of school, if they are considered full time etc.
The news choice of the day has to do with a statistical measure on risk in the auto insurance market as far as how much is being taken on by companies. To read the story click this.
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