How Children Affect Car Insurance Rates

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    Surprisingly, having children can affect car insurance rates. More often than not, it can lower your rate without you even knowing it. A lot depends on your insurance company. Some companies feel that drivers of young children tend to be safer drivers because they are transporting their family. Other companies feel that these same children might be distracting and put the drivers at risk for accidents. However, indirectly your insurance costs will probably improve because of changes you will make in your life because of your family. Here's why safe driving affects your car insurance rates, why newer vehicles tend to have lower rates, why a multiple insurance discount can lower rates even more, and why your rates may sneak up again while you have teenage drivers in the house.

    Safe driving

    If your insurance company is one that considers married individuals with children as safer drivers, you can expect to see lower rates. Several insurance companies feel parents or people who transport babies and children tend to drive more carefully, are more apt to obey traffic laws, and pay closer attention to their surroundings.
    When you get married or start a family, you can ask your insurance company if they can look at your policy to see if they can make any adjustments. You can also shop around and see if you can get a better rate from a company that will take these factors into consideration.

    Newer vehicles

    Often people associate newer vehicles with higher insurance rates, but this is not always the case. Newer vehicles tend to have more safety features, such as anti-lock brakes, rearview cameras, airbags, backup warning systems, and front impact warning signals. Because they are new, they have less of a chance of breaking down.
    Also, you will probably buy a new van or SUV if you have children, due to the need of a larger vehicle. These types of vehicles tend to withstand damage from accidents better, making repairs less costly. This can equate to lower insurance premiums.

    Multiple insurance discount

    As you get married and have a family, your children will affect your car insurance rates indirectly because you will probably carry multiple types of coverage by your insurance company. By doing so, you will be eligible for a multiple insurance discount. You will probably have at least two cars, home or renter’s insurance, and life insurance policies. This can add up to a significant savings.

    Exception: teenage drivers

    The one definite exception to having children and lower car insurance rates is having teenage drivers in your household. Anyone old enough to drive that lives in your house must be listed on your insurance policy. If your teenage driver is a male, the increase will be even higher. It does not matter if your teenager driver owns a car or not, he or she must be covered by your policy.
    Ways to help reduce the increase in cost includes good student discounts and driving school. If your teenager driver maintains good grades and completes an approved and accredited driving course, you may get a discount from your insurance company.
    Indirectly, children affect car insurance rates in several different ways. Most of the time, reasons like safe driving, having a newer vehicle, and qualifying for a multiple insurance discount may lower rates. However, sometimes a reason like adding a teenage driver will increase your insurance costs. It is important to speak with your insurance company to make sure your policy takes into consideration all your life factors and you are getting the best rate possible.

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