Before one purchases a car, one should understand many things about the car. Responsible driving does not mean just understanding and following traffic rules. It also means know your Car Insurance or Auto Insurance. The person must select the best Auto Insurance at the lowest possible Cost.

This is more relevant when you purchase a car for your teenager. The Insurance Cost for a Teenager driven car is pretty high. This is known to every one. But, Insurance being a compulsory payment, there is no escape from it. The only thing one can do is to reduce the Insurance Cost.

Considering the fact that the car is driven by the teenager where chances of accidents are high, it is advisable that Comprehensive Insurance is taken. This is because; a Comprehensive Insurance takes care of most of the aspects of damages including damages for the occupants or the person on the road and even the object on the road which is damaged. But, a Comprehensive Insurance costs more. But, there are other avenues where savings can be made.

1. Responsible driving: Advise the teenager to be more cautious in driving. Tell him to drive with responsibility. Advise him to follow the traffic rules. Tell him that if he is careless and gets involved in accident, it would cost the family heavily, both in terms of money and the worry. Also, tell him that he has good driving record; the family is benefited because his Insurance Cost reduces.

2. Good Students: A good student is eligible for discount in Insurance Cost. For this, he has to secure the required grade in his school career. The grades are prescribed by the Insurance Company. He has to produce the required certificates to the Insurers.

3. Lump sum payment: Some parents opt for monthly payment of premiums. It would be advantageous if the premium is paid in one lump sum. For such payments, the Insurer offers discount on Insurance Cost.

4. Deductibles: Choose higher deductibles. Higher the deductibles, lower is the Insurance Cost. Deductible is the payment you offer to make in case of happening of a contingency. For example, if the cost of repair is $1000 and you offer to pay $250, the Insurer pays the balance $750. So, your deductible is $250.

5. Compare the rates: Before you zero in on any insurer, compare the rate quoted by various insurers. Take the help of a professional Insurance Agent and then decide about the Insurer.