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Car insurance up 137% with teens

Study: RI has the highest percentage increase in car insurance when adding a teen driver.

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On average, Rhode Island parents’ car insurance premiums increase 137% after adding a teen driver, according to a new study.

The Ocean State has the dubious distinction of having the highest percentage increase in the U.S, according to a study commissioned by insuranceQuotes, which examined the economic impact of adding a driver between ages 16-19 to a family’s existing car insurance policy. The average insurance hike in the U.S. is 82%, according to the study.

Gender and age of your children affect the increase with males bringing an average increase of 150% and females bringing an average increase of 124% in RI for married couples. See below on the right for stats for the five states with the highest premium increases after adding a teen driver.

In Massachusetts, premiums increase 74% percent when a teen driver was added to a family’s insurance while in Connecticut, they rose 94%. Hawaii has the lowest insurance rate jump at 12%. In Hawaii there are laws preventing insurance providers from considering age, gender, or length of driving experience when setting rates, according to the report, which helps to keep the premiums down.

Teens are riskier drivers

According to insuranceQuote, the CDC says that in 2016, 2,820 teens between the ages of 16 and 19 were killed behind the wheel, and 235,845 were treated in emergency rooms for motor vehicle crash injuries. “That means that six teens ages 16-19 died every day from motor vehicle injuries,” writes the CDC.

InsuranceQuote also says that the Insurance Institute for Highway Safety (IIHS) says teenagers have a crash rate per mile driven that is three times that of drivers 20 and older.

The IIHS points out that in 2013, teens represented only 7 percent of the U.S. population but accounted for 11 percent ($10 billion) of the total costs of motor vehicle injuries.

However, the numbers are improving. According to the National Highway Transportation and Safety Administration (NHTSA), fatal crashes among drivers between 15 and 20 are down 43% from the 7,493 involved in fatal crashes in 2006, according to the insuranceQuote report.

These improvements are influenced by better safety in today’s vehicles, there being fewer teenage drivers on the road, and the institution of graduated driver’s licensing programs (GDL) across the country, according to the National Safety Council’s Teen Driver Initiative.

Teen driver safety tips

insuranceQuote also offers safety tips for teen drivers. We’ve summarized them below but visit the website to get more details.

  • Parents should set a good example when driving.
  • Establish firm driving rules for teens and consistently reiterate them.
  • Ask your agent about pay-as-you-drive programs and consider onsider electronic monitoring devices.
  • Emphasize the dangers of distracted driving to teens.

Methodology

insuranceQuotes commissioned Quadrant Information Services to calculate the economic impact of adding a driver between the ages of 16 and 19 to a family’s existing auto insurance policy. Averages are based on a married and employed 45-year-old male and 45-year-old female who each drive 12,000 miles per year and have clean driving records and good credit. Policy limits include $100,000 for injury liability, $300,000 for all injuries, a $500 deductible on collision and comprehensive coverage, and uninsured motorist coverage.