Are Teenagers Difficult to Insure?

Teenagers living in Birmingham, MI are required by law to carry automobile insurance. Since Michigan is a no-fault state, its policies must be structured to cover their own damages. The minimum coverage mandated is $20,000 per individual, $40,000 per accident for medical expenses, and $10,000 for property repairs or reimbursement. No-limit PIP, or personal injury protection, is also a requirement, as is $1 million in PPI, or property protection insurance, per accident. 

The CDC has stated that 16-year-old drivers have the highest crash rate of any age. This figure drops by half once a teen reaches 18. Your teenage child should always be on a plan with their parents and not obtain coverage alone. Insurance tends to decrease in price as a young driver gains experience with each subsequent birthday. According to statistical data, males are typically considered riskier to insure than females. 

You can get insurance for your teen, as policies are readily available, and it’s vital to meticulously review the list of offered discounts with your High Favor Insurance agent. Some licenses have restrictions that can reduce hazardous driving, such as limiting the evening and night hours when teens can be on the roadways unless driving to work or supervised by a licensed adult over 21. 

Report cards, such as memberships to auto clubs and the purchase of safety kits to store inside the car, can matter. The type of vehicle they choose to drive can be a major factor contributing to both their safety and the ease with which you can insure them. 

High Favor Insurance aims to keep Birmingham, MI residents adequately insured, and we work hard to tailor policies to your needs. We invite you to contact us online or call or stop by the office to get more information.