Teen daughter getting license - insurance?

[berettafan]

So rates have gone through the roof over the past several years. Just got a preliminary quote from State Farm for my 16yo daughter and it is 160/mo for a 2015 x5 my neighbors offered to us for cheap with me as main driver vs 370/mo with her as primary driver on the car.

Do we have any insurance people here who have some insight on if any other cars would be much cheaper and how best to handle this? kbb on the bmw is like $8k so I'd think that isn't a big impact.

Car has 150k miles but we can get it for $5k. My insurance guy tells me shopping rates too much can impact our own rates so I'm a bit hesitant to start playing with different vehicle options.

Current thinking is I'll have to be primary on that car (not that I mind it as a commuter) and she will just have access to it when needed.

Thoughts on this? Has anyone found an absolutely dirt cheap to insure vehicle for a teen girl?

[Alan A]

Insurance and cheap don’t live in the same book, let alone the same sentence.

My rate tripled when we added #1 to the policy. State assigned risk would have been 10k for the absolute minimum coverage and the broker swapped stuff around to get the cheapest mix to keep it to tripling.

[masraum]

Good luck is the only thing that I can offer.

[ramonesfreak]

If it makes you feel any better, I am paying $132 per month with Nationwide. I’m 53. Never had an accident. Never even a speeding ticket. Never a claim except windshield replacements. My brother is my agent and my father my agent before that since 1988.

Probably no more dangerous driver on the road than a 16 year old so….doesnt seem out of line to me.

[id10t]

Be glad you don't have a son. FWIW my daughter (just turned 25, so she's off the insurance at end of year) is costing about as much as my wife and I do with State Farm. My son doubled the bill.

[billybek]

Originally Posted by id10t

Be glad you don't have a son. FWIW my daughter (just turned 25, so she's off the insurance at end of year) is costing about as much as my wife and I do with State Farm. My son doubled the bill.

Here, insuring our 17 y/o son as a new driver doubled our total insurance bill.

[faverymi]

My 16 y/o kid was 8k on my old Cayenne

Bought a Subaru. 3k for liability insurance only.

It's all about teenagers liability

[LWJ]

So I made my living selling insurance to businesses, not private people. Similar, but my expertise isn't where you are asking.

I have three children. It is expensive. The cost is in the LIABILTY that is incurred with a young driver. A different car will make almost zero difference on the rates is my best guess. My son just got off my plan. Yay. He is 23. My daughter is shown to be driving my F250 diesel - a joke! But it was the cheapest car for her to drive. Call your agent and pick their brain. There are often ways to negotiate the system to reduce costs. I don't have any idea about SF. They are a pretty good company.

[Rick Lee]

When I turned 17, USAA offered discounts for good report cards and having done drivers ed.

[Brian 162]

My friends daughter is a new driver and in the same boat.if they buy her a car the insurance cost is around $4,000 a year.

[berettafan]

Ugh. Do have a son as well but he’s almost off payroll and I really don’t recall his insurance being g that bad. Definitely not terrible now. It’s pretty shocking how much rates have gone up in last few years.

[908/930]

Do they still have group rates for car insurance down there? I would expect that X5 to be in a fairly high rate. Find something that is not crashed very often.

[Alan A]

No it’s not an offshoot of England and their god awful you are insured so no one else can drive stupidity, let alone the we penalize you if you have more than a liter of throbbing power under the hood insanity.

The car is - until you insure a teen - almost irrelevant. As was already said, it’s all liability.

I already said it tripled when we added #1. That’s slightly disingenuous - it did triple, but we added a car. Without that a double is probably closer. I now pay close to $1000 a month for 3 vehicles. Before adding his it was about $300. We have high limits.

For an extra smack in the mouth our umbrella policy cost also tripled.

OP - IANAL so this is worth what you paid for it - but if a family member buys, registers a vehicle and insures it at a different address (cough cough grandparents) then the kid can ‘borrow’ it and drive it without limit. Ours aren’t around or I’d have given it serious consideration.

[brainz01]

Originally Posted by billybek

Here, insuring our 17 y/o son as a new driver doubled our total insurance bill.

Same here

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[KFC911]

Have you considered paying for a fancy wedding instead ?

I bought a new CJ5 when I was 17 .... parents' kept it/me on their insurance policy... to make that happen.

Young male's insurance rates should be absolutely astronomical .... yep!

There it is ... the truth

[Rick Lee]

Originally Posted by Alan A

OP - IANAL so this is worth what you paid for it - but if a family member buys, registers a vehicle and insures it at a different address (cough cough grandparents) then the kid can ‘borrow’ it and drive it without limit. Ours aren’t around or I’d have given it serious consideration.

Ha. When I was in high school, my GF's brother's car was registered to their grandfather, a Korean War vet. This kid was a star athlete, IIRC, went to Notre Dame on a baseball scholarship, but had a handicapped plate and got much lower insurance rates because of his grandfather being the registered owner. I don't even think his grandfather was still driving then.

[Alan A]

One other one that - as you age out - you might not be aware of (happened to the in-laws so i had a chat with the broker about it) was that if a spouse shuffles off the coil and you tell your insurance company your rate will go up dramatically.

Apparently married people are lower risk than single...

Yet another kick in the 'nads from the ghouls at the managed risk factory.

[greglepore]

Originally Posted by berettafan

. My insurance guy tells me shopping rates too much can impact our own rates so I'm a bit hesitant to start playing with different vehicle options.

Huh? Shopping rates meaning running different vehicles by them? C'mon. That's either a lazy agent or actionable behavior.

[911 Rod]

$160/month doesn't look that bad considering.

[Cajundaddy]

BMW X5?? That is a fairly powerful car with high cost to repair WHEN she dings it up. For the lowest insurance rates find a low powered vanilla sled. Toyota Camry, Honda Accord, Ford Focus, Chevy Malibu? If you just want the X5, pony up the extra cash for insurance.