Reader’s Question:
Why do car insurance companies charge more for insurance on a teenager or a senior citizen? I’ve been shopping around for some deals here in Fort Wayne, Indiana, for both my elderly aunt and my teenage nephew and so far they all come up pretty expensive!
Ron
Fort Wayne, IN
Your right, the cost of having quality automobile insurance for both teenagers and senior citizens are significantly higher as compared to middle aged drivers. There are a number of reasons for this disparity in auto insurance costs between the age group. One of the biggest reasons, as statistics have shown, for teenagers to get charged higher auto insurance would be due to recklessness, less-developed judgment, or inexperience in driving a vehicle or on the road. Teenagers are in a very high risk of getting involved in car accidents. And for the auto insurance provider, the higher the risk of providing coverage the higher they will ask for in terms of monthly premiums to compensate for that risk.
On the other end of the age spectrum are the elderly or senior citizen drivers. The reason why they cost more to insure as well is due to the perceived liability of advancing age and degenerating ability to drive on the road, such as poorer eyesight, slower reflexes and less stamina. This is also seen by car insurance providers as an increased risk hence, the higher car insurance rate.
There are ways on how you can help your teenage nephew and elderly aunt there in Fort Wayne, Indiana to still get quality car insurance without having to pay an arm and a leg. For example, It will be less expensive to put teenagers under the same coverage as their parents as compared to getting them coverage on their own. You can enroll them in safe driving, defensive driving or driver’s education classes. You can then get discounts towards your car insurance bills as well as teaching them the skills necessary to become a safe driver.
Filed under: DUI lawyer Indiana
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