Whether you’re a teen who has never driven and insured a car before, or the parent of a teen who is just planning to drive for the first time, there is much to know about purchasing auto insurance for teen or first-time drivers. Being educated on the insurance buying process will save you time, effort and money throughout the transaction.

1. If you are not adding a vehicle, the new teen driver usually needs to be rated as a primary driver on one of the family vehicles.  A special form is required by the state to obtain individual license.  
2. Your insurance rates will typically increase when a new driver or teen driver is added to a policy. Find out if you qualify for any auto insurance discounts in your area, such as a Good Student Discount or Safe Driver programs.
3. Talk with your teenager about safe driving, as well as how traffic violations will affect your rates.
4. If you are buying a new vehicle, you may want to consider which vehicles get the lowest rates.
5. Consider getting a Personal Umbrella Policy  in the event you or your teen driver accidentally injures someone or damages their property, you could be sued.

Common facts:  It’s usually cheaper to add your teen driver to the family plan versus buying separate auto insurance:

The teen shares in the savings you get for things like owning a home, being married, having an established credit history and having a safer driving record.

The teen receives a break on your rate with the family’s loyalty or long term discounts.

It costs less to insure when the rate is split across other cars than it would be to insure it by itself.