Student rates

How your student’s report card could save you money on car insurance – FOX13 News Memphis

WATCH: FOX13 SURVEY: How your student’s report card could save you money on car insurance WATCH: FOX13 SURVEY: How your student’s report card could save you money on car insurance

MID-SOUTH — Residents of the Mid-South are experiencing record gas prices, rising grocery costs and, in some cases, rising rents. Parents with a new teen driver could see another item increase in price, their auto insurance.

Most auto insurance policies go up in price when a parent adds a new teen driver. This happens because the driver has no experience. FOX13 survey sought to find ways for South Central residents to save money on their car insurance.

One way is for parents to save their teen’s report card.

FOX13 discovered that most car insurance companies like Allstate, Nationwide, State Farm and Geico offer a Good Student discount if the teen has maintained a 3.0 GPA or B average.

The amount a parent can save depends on the insurance company and your current policy rate.

With Allstate and Nationwide, parents can save up to 10% with a Good Student discount. With Geico, parents can save up to 15%, and with State Farm, parents can save up to 25% with a Good Student discount. Additionally, companies like Allstate and Nationwide allow customers to double their discounts.

Cynthia Scales, owner of Allstate Insurance, tells FOX13 how parents can double the discount.

“The other discount they can have at the same time is called the Drivewise discount,” Scales said. “This Drivewise discount can range from 0-25%.”

Drivewise discounts require teen drivers to download the Drivewise app. The app then tracks the driving habits of teenagers. The better the ride, the more money parents can save.

Nationwide has a similar discount. Ephlin Insurance Group agent Christine Adams tells FOX13 how their clients can double their discount.

“The multi-police discount will be there, good student discount if they’re a good student, multi-car, depending on the driver ratio,” Adams said.

State Farm is a little different. State Farm allows customers to combine up to three discounts to save money.

There’s the Good Student discount and their Steer Clear discount, which require students to complete an online training course, log a certain amount of driving hours, and receive mentorship from friends or family. to get the discount. Then teenagers can get a third discount if they take a driving course.

State Farm Insurance agent Misty Rosser-White tells FOX13 that in addition to saving money, college students can become more confident in their driving.

“It also gives the student a bit more confidence while riding,” Rosser-White said.

FOX13 also spoke to John Thomas, a parent who decided to make his son wait to get his driver’s license. Thomas tells FOX13 that he kept his son waiting to make sure he was ready to face the Memphis drivers.

“We wanted to make sure he was ready, that he was mature enough, and that’s why we waited,” Thomas said.

During the waiting period, Thomas tells FOX13 that he and his wife made sure to point out some things to their son and reiterate some rules of the road.

“When we were driving, we were pointing things out to him, paying attention to certain things, what the rules were like in case the traffic lights were out,” Thomas said.

Thomas started so early because he knows how crazy Memphis drivers can be. He didn’t want his son to be influenced by the behavior of other younger drivers.

“Some of them see how some of these other drivers are, and they may think it’s okay to drive 70 miles per hour on Poplar weaving through traffic, and it’s not,” Thomas said.

Thomas tells FOX13 that his son has a good student discount from his insurance company. This saves her just over $50 every six months. Thomas says he was also aware of the car he bought for his son, knowing that the make and model can also increase his insurance rate.

“I knew I wasn’t going to put it in a sports car, so I wasn’t really worried about it being very expensive in the Arcadia,” Thomas said.

If you think your insurance policy is still too expensive, there may be other factors to consider. Watch everyone’s driver’s story on politics.

Does anyone have tickets? How many? Have any of the drivers had any accidents? These are all factors that can increase your insurance rate. FOX13 Investigates also discovered that where you live can impact the amount of your car insurance.

Nationwide insurance agent Christine Adams tells FOX13 that if you live in an area with a lot of uninsured drivers, it can increase your insurance rate.

“The insurance company knows we’ll likely have to pay an uninsured motorist claim if you have this coverage,” Adams said.

FOX13 Investigates also uncovered another problem: a large number of South Central drivers do not have insurance.

A 2021 study by the Insurance Information Institute found that the three Mid-South states ranked in the top 10 for most uninsured drivers. Mississippi came in at number 1, with 29.4% of uninsured drivers. Tennessee ranks 3rd with 23.7% uninsured drivers and Arkansas 8th with 19.3% uninsured drivers.

You can read the full study here.