Buckle up...your wallet's about to take a hit.

Answer: 

$3,594 per year (about $299 per month)

Questions:

• Why might it be cheaper to add a teen to a parent's policy rather than getting a separate one?

• What are some steps a teen driver could take to help reduce their car insurance costs?

• How might getting a speeding ticket or being in an accident as a teen affect your family's insurance costs?

Here are the ready-to-go slides for this Question of the Day that you can use in your classroom.

Behind the numbers (CarInsurance.com): 

"Adding a teen to a parent's car insurance policy costs an average of $3,594 per year, or about $299 per month. That's significantly less than getting a teen their own standalone policy, which runs about $9,456 per year. The cost varies by age: a 16-year-old adds about $4,050 annually, while a 19-year-old adds about $3,105. Insurance companies charge more for teen drivers because they have less experience on the road and are statistically more likely to be involved in accidents."

About the Author

Dave Martin

Dave joins NGPF with 15 years of teaching experience in math and computer science. After joining the New York City Teaching Fellows program and earning a Master's degree in Education from Pace University, his teaching career has taken him to New York, New Jersey and a summer in the north of Ghana. Dave firmly believes that financial literacy is vital to creating well-rounded students that are prepared for a complex and highly competitive world. During what free time two young daughters will allow, Dave enjoys video games, Dungeons & Dragons, cooking, gardening, and taking naps.

More posts by Dave