Why Is Car Insurance So High For Teenagers?
One of the most challenging things for parents in this day and age is keeping up with all of the costs associated with their teenager driving. Buying a car is one thing, but then you have to worry about the taxes and most importantly, the car insurance. But why is car insurance so high for teenagers in today’s driving world? Why are young drivers held hostage by the insurance companies?
The car insurance risks of inexperience
To put it mildly, teenage drivers just don’t have the experience that older drivers have. The thing about driving is that you gain expertise only when you have some of those experiences. Older drivers have pretty much seen it all, whether it is driving tough conditions or having to react to potential disasters. Because teenage drivers don’t have this sort of experience handling tough situations, they are a much bigger risk to insurance companies.
Teenage drivers and distractions
Though most would not admit it, teenagers are much more apt to distractions when they are driving. Car insurance companies have run the numbers, and they know that teen drivers use their cell phones more often, they eat in the car more often, and they are much more likely to be paying attention to something other than the road. Distracted driving is one of the leading causes of accidents around the world, so the insurance providers have to compensate for that risk with higher rates.
The statistics don’t lie
The car insurance business is a very cut and dry one. They work with numbers and the numbers tell them exactly how much they must charge in order to cover the risks. Statistics have shown that, for whatever reason, teenage drivers get in more accidents than older drivers. For this reason, they are required to provide higher rates.
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