According to the UAE Road Transport Authority, motor insurance is critical for driving a car in the UAE, irrespective of your age and driving experience. While it is compulsory to buy third-party insurance in the UAE, drivers can secure themselves and their vehicles more efficiently with a comprehensive plan. The premiums for various car insurance plans may differ due to a variety of factors. Among those factors, the driver’s age is crucial for deciding the cost of car insurance in the UAE.
Young drivers with teenage car insurance in UAE tend to pay 20-30% extra premium compared to an experienced driver. Several reasons for the same include their driving experience and the risk they possess to the insurer. The following article provides details about teenage car insurance, its importance and ways to lower the premium cost.
What is Teenage Car Insurance?
Teenage car insurance in UAE is similar to a comprehensive motor insurance plan, except the policyholder, in this case, is a teenager (young driver). As a parent, the safety of your child is of utmost importance. Buying teenage car insurance secures your child on the roads and give you peace of mind.
If your child is driving your insured car and has his driving license, you don’t need to buy him teenage insurance. However, in case of an accident, you would have to pay 10% of the expenses from your pocket. If your teenager owns a car, he will require teenage car insurance and needs to pay the premium. The cost of car insurance in such cases is higher. You can search online for various options to get the best teenage insurance plan in UAE.
Reasons Why Teenage Car Insurance in the UAE are Costlier
Teenagers usually carry more risk to the insurer and are prone to an accident because of a lesser driving experience. Several other reasons for the higher premiums are as follows.
Various data and surveys have shown that teenagers are involved in more accidents than experienced drivers. The insurer reduces the risk by charging a higher premium.
Since teenagers are single, they tend to drive less responsibly than a person with dependents. A lone driver is open to taking risks on the roads and can invite accidents. Therefore, insurance companies increase the cost of insurance.
Teenagers are not eligible for most of the insurance offers/discounts. For example, experienced drivers who didn’t file a claim in the previous year can avail of no claim discount. Teenagers being new to car insurance, can’t opt for such discounts and end up paying more.
Teenagers are more likely to use mobile phones and other gadgets while driving. Such distractions can cause accidents. Thus, they possess more risk to the insurer and pay more for the insurance premium. Moreover, the biggest reason for road accidents in UAE is driver’s distraction.
Due to the lack of driving experience, they may not efficiently control their vehicles during emergencies and are susceptible to accidents to a greater extent.
Statistically, teenagers don’t wear seatbelts often. An accident can be fatal in such cases, so the insurance companies offset this risk by increasing the cost of insurance.
The insurance company may consider some personal and lifestyle habits of the teenager before disclosing the quote. It can also increase the premium costs considerably.
How Can You Reduce the Cost of Teenage Car Insurance in the UAE?
Young drivers are less likely to buy a car on their own, so parents can take some measures to reduce the cost of teenage car insurance in UAE. Here are a few things they can do.
Enrolling your teenager in a driving course - You can reduce the cost of teenage car insurance in UAE by enrolling your teenager in professional driving courses. It helps them gain road and driving experience and the course certifications help you bring down the insurance cost.
Buy them an old car - Old cars have several insurance benefits. The first and foremost benefit is the insurance cost. For old cars, the insurance cost is much lower as compared to a new one. Additionally, repair and replacements for old cars are readily available that further reduces the insurance premium. Also, it is easier to scrap an old car that has been involved in a fatal accident without going heavy on your pocket.
Lump sum Insurance Payment - Several car insurance companies in the UAE offer car insurance discounts if you make a lump sum payment instead of instalments. You can easily search for an insurer with such a discount online. After you find the best teenage car insurance, pay in full and reduce your insurance cost.
Compare various car insurance options - Comparing quotes from different companies is always beneficial. It helps in getting the best car insurance in UAE. However, before starting your research, define your protection requirement and budget, as it will help you find the best deals specifically as per your needs.
Assist them to drive with safety - Assisting them to drive with safety and following all the traffic rules will maintain a better driving record. The insurance companies consider prior accidents and driving records while offering the quote.
Nothing is better than driving responsibly; it secures your teenager and provides you with mental peace.
Teenage car insurance in UAE is the best way of securing your teenage driver. This insurance is costly as compared to comprehensive car insurance. However, there are several ways, as mentioned above, which can help you bring down the premium cost. Before buying teenager car insurance, consider the various car insurance options available in UAE and choose the best option as per your needs.
To resolve your insurance-related queries, you can always reach out to our support team.
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