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Defensive driving classes go beyond the basics taught in driver’s education by having motorists learn how to drive in hazardous conditions, anticipate dangerous situations and avoid accidents. The best part? The cost is usually only $25 to $75 and you’ll typically snag a discount of five to 15 percent for three years. Note, however, that insurer and state law requirements for these discounts vary a great deal. For example, 21st Century Insurance offers a discount to drivers under the age of 21 who take a state approved defensive driver course but with Esurance the discount is not age-based and is available to all drivers in New York, New Jersey, North Dakota, Georgia and Oklahoma.
Federal research shows people are driving more -- the average miles driven per year is on the rise -- and more motorists on the road means more accidents. The cost to repair newer model cars with high-tech safety devices and sensor technology is also increasing, as are medical costs for injuries. And don’t forget about the hurricane and hail damage from recent severe weather storms. Insurers are passing on some of these higher expenses to you in the form of higher car insurance rates to recoup their losses.
Liberty mutual $3,266/year ($272/month) To get these figures, we averaged rates for 40-year-olds with one recent at-fault crash and the typical "full coverage" insurance. Your rates will remain high for three to five years after you cause an accident or have a moving violation. If you fall into this category, be sure to shop for new insurance rates just after the three-year and five-year anniversaries of your infraction.
Typically, adding a teen driver to their parents' policy will be a cheaper alternative to getting a teen a car insurance policy on their own. The person most affected in this case is the parent, who is taking on a significant risk by adding a new, teen driver to their policy. As a result, insurance companies will increase their yearly payments. Nonetheless, the increase is still far less than the yearly price of getting a teen their own insurance.
The numbers go up quickly for subsequent convictions. If you are caught driving without insurance for an additional time, you will be fined between $350 and $1000. And you will still have to pay that additional $250 surcharge on your license for at least three years. There’s more. Repeat offenders also risk having their license revoked and their vehicle impounded. If that happens, you will face a long hard (and expensive) battle to get your license reinstated and your car back.