Ask an Agent: How Can I Save on Auto Insurance for My Teen Driver?

The Ask an Agent series answers popular questions about car insurance with expert advice from AAA Insurance agents. In this installment, agent Randy Humphreys shares ways parents can save on auto coverage for their teen drivers. 

Why are car insurance rates higher for teenage drivers?

Humphreys: When you’re 16 years old, you don’t have experience, and that’s a big cause of accidents. Texting while driving also gets them pretty bad. So does showing off while having other people in the car. 

How can teen drivers stay safe on the road?

Humphreys: I suggest both the parent and teen sign a contract that states: “I’m not going to drink and drive. I’m not going to use drugs. I’m not going to text and drive. And if I’m in trouble, I’m going to call mom or dad to come get me.”

How can I save on auto coverage for my teenager?

Humphreys: AAA offers three things for teen drivers.

One is our Good Student insurance discount for grades that accumulate 3.0 GPA or higher, which can get you a discount of up to 14.5 percent on your insurance. [Editor's note: The Good Student discount is 7.1 percent in California.]

Another one is SMARTtrek, an app that can help parents and teens learn more about their driving behavior. It monitors speeding, acceleration from a stop sign, deceleration and hard braking, and how fast they’re going around curves. Parents can say, “I saw your Speed subscore was poor this week” to start a conversation. But it’s also a way of saying, “You’re doing great on your driving this week. You’re all green [high scoring].” You’re eligible for a 10 percent discount on your auto insurance, and at your renewal it may go up to 30 percent.

The last one is teenSMART, an online class that costs about $59. It takes roughly eight hours to complete. The class is awesome. It really does educate them, and from ages 16 to 26, you may qualify for a 24 percent discount on your insurance.

With a 14.5 percent Good Student discount, a 10 percent SMARTtrek discount, and another 24 percent with teenSMART, you really start to see the ways to save with a teen driver at home! [Editor’s note: Insurance rates vary by state. Speak to your insurance agent for more details.]

About the Agent

Randy Humphreys, based in the AAA Phoenix branch, served in the United States Navy for 21 years. He joined AAA in 2012, arriving with a decade of experience as an insurance agent. Before becoming an insurance agent, he spent five years as an insurance trainer with AAA.

• Favorite vacation spot: Ireland
• Hobbies: Poker and golf
• First car: ’63 Chevy pickup
• Dream car: Yellow 2013 Corvette
• Current obsession: Steak dinners at The Capital Grille
• Best advice received: The tongue is mightier than the sword. Watch what you say and how you say it.
• Favorite book and movie: To Kill a Mockingbird
• Most admired person: My mom. Hardworking, caring, compassionate. She always had the right things to say about all situations. She truly loved life and her six kids.

How to contact AAA Insurance agent Randy Humphreys:

AAA Phoenix

742 East Glendale Ave.

Phoenix, Arizona

(602) 285-6265

Provides assistance in English.

Read more Ask an Agent articles:

• Can college-age drivers save on car insurance?
• What should I know about insuring a new car?
• How can I save on my car insurance?
• Is pay-per-mile auto insurance right for me?
• How do I talk to my aging parents about their driving?
• Does my insurance cover holiday gifts stolen from my car?
• Does the type of car I drive affect my insurance rate?