Car Insurance

I’m not complaining about car insurance and it aggravates the heck out of me that some people drive without it but I think this is funny.

When we were in Kentucky, Chad, being an under 21, unmarried driver, was paying about $2,100 per year for his insurance and that’s just liability and uninsured/underinsured coverage.

Let me insert a little story here about Chad and why he is paying his own insurance. In KY, Chad could’ve gotten his license at 16-1/2 (I think). We told him he had to make A’s and B’s and he could get his license and use one of our vehicles. Didn’t happen. Then he got to be a senior and I explained to him that I felt every kid deserved to drive a car to school his senior year. As soon as you make all A’s and B’s, you can get your license and have one of the cars. Didn’t happen. Chad is a very bright young man so I wasn’t asking him to do something that was difficult for him.

Chad graduated from high school and still didn’t have his license. I told him get a job and then you can get you license! He got a job in June after graduating in May so he got his license and we gave him Vince’s Mazda 626 to drive and Vince started driving the pickup. The one thing I said to him over and over and over: If you get a ticket or have a wreck that’s your fault, then you’re buying your own car and paying your own insurance.

Yes ma’am! He understood fully! Until . . 2 weeks into his driving adventure, he got a ticket. He was going 70 in a 55. Not just any 55 zone but on the Owensboro bypass where there were always police officers and we had talked for years about how dumb it was for people to speed on that road because there were always police officers catching speeders there.

So, Chad had the option of buying his own vehicle or buying the Mazda 626 from us which is what he did and he became responsible for paying his own insurance.

Oh . . the best part. After I calmed down from him telling me about the ticket, I asked him if the officer was nice to him. Yes. I asked him what he said. I’m going to write this up that you were going 70 but I actually clocked you going 77! Oh, thanks a lot Chad for telling me that!

Back to the story . .

When we moved to Missouri, his insurance dropped to $1,276 per year for the exact same coverage on the exact same car with the exact same driving record. He pays it annually and received his 2008 bill a few days ago. I guess the paralegal in me had to read every word on every page and noticed there was a discount available for a “B” average. I called and they asked me to fax them his grades. I faxed the grades for the previous two semesters and by having a “B” average, his rate was reduced to $840 annually but because he was eligible for the discount in May, they applied the discount retroactively and his bill went from $1,276 to $584. Amazing, huh?

And, I must give kuddos to USAA who is the insurer for the guy who hit Chad’s car in the parking lot earlier last month. They’ve been great — very nice to deal with and very prompt! His is car will be fixed as soon as the body shop can get to it.

E-mail Me!


  1. 1

    Mary says

    Both my boys had to pay some of their insurance at all times and if they ticked me off (bad grades, or in Chris’ case, tickets) they had to pay all of it.

    USAA is great – we have all our insurance with them.

  2. 2

    Leah S says

    Timely topic! I got my car insurance renewal issue today, dropped $8/month. Given that we were paying $78/month, I’ll take it! Didn’t always used to be that way, when we first got married it was a whopping $200/month. A combination of my husband’s accident going off record, me hitting my 5th year of clean driving and being with the same company for 3.5 years all contribute to our lovely rate of $70 now. I do insist on having very high coverage for my car ($300,000), so our rates will probably never reach super low prices.

    Back when I first got my license, my parents paid the insurance, and they were able to get some extra discounts because of my maddening desire to get only A’s in college (I may do well in college… but I do not like college!) and my grandfather checking the box saying that I watched a special movie for teen drivers. No, I didn’t watch the movie, but Pops knew that I was a careful driver. It sure didn’t hurt that he was also our insurance agent! πŸ˜‰

    Now my brother… I’m sure he can give Chad a run for his money. πŸ˜›

  3. 4

    Susan says

    One of my sons still doesn’t have his license at 30, because he can’t pay the insurance, and the other didn’t have a license until he was in the Navy and could pay it himself. Mean moms. =) Both of them are well past the under-25 penalty now, though. He got a great deal on this year’s insurance, that’s for sure!

  4. 5

    Evelyn aka Starfishy says

    I bet Chad is glad that Mom reads his bills! That is a great savings… I got a similar savings for taking a driver’s ed course when I 1st got my license.



  5. 6

    jillquilts says

    That’s great! When I was involved in my accident in October (not my fault, but it totaled my almost-paid-off car), the cops were the pains to work with. I had to argue with them to get to get the accident report filled out in a timely manner. I had to argue with them about where they towed my car – everyone I dealt with at the station acted as if it was my fault and my problem. They couldn’t understand why I didn’t drive the car after the accident with the airbags deployed and my going to the ER!! The cops also didn’t give me the other driver’s information so it took a week for anyone to start looking at my car to determine it’s driveability. The insurance has been nice enough – and I get a great settlement on the car! Now, I am waiting on the physical injury settlement and hoping that it will give me enough to start a fund for a machine quilting frame! πŸ™‚

    Unfortunately, the replacement car that I got is a zippy little Pontiac G6 and, after having it for 6 weeks, I have already gotten a ticket. There goes my great insurance rate! πŸ˜€

  6. 7

    Carolyn says

    Be glad you don’t live in NJ, Chad’s insurance would probably be about $4,000 a year, like my son’s is! It’s great to have the highest rates in the nation…and now we’ve got 2 kids on it, each with accidents! But, both of them pay their own insurance and get good student discounts, so it could be much worse!

  7. 8

    Tracey in CT says

    Good for you for getting the price reduced! I’m sure that Chad is greatful!

    I’ve heard good things about USAA in the past.

  8. 9

    Marilyn says

    I’ve told both my boys, “Mama, doesn’t want to know everything you did. Why do you think I was praying?” My oldest went through a time where he was well acquainted with speeding tickets. He paid for everything. His choice. He is 30 years old and has outgrown a lot of those tendencies. Not all. Our youngest went through a few months we call “wrecktember and wreckanuary”. That was when he was in college. Thank God those days are over. Now I’m talking to him about infant car seat safety.

  9. 10

    Jeanne says

    Glad to hear that Chad now has a much better insurance rate! It’s one of those things you have to have but don’t want to need. It’s amazing how different the rates are in areas.

  10. 11

    QuiltingFitzy says

    One thing worth mentioning, you might want to look at your deductables. Almost everyone has $1000 of available credit line. OK, so not everyone, and likely not a teenager, but I’m just sayin..

    Why not increase your deductable to $1000 and save your money each month? If you’re unsure, think of putting that monetary difference into a savings account and earn some interest on it!

  11. 12

    Bingo~Bonnie says

    Judy, I am so pleased to read that you set Chad a goal to meet to earn his driving privilidge. So many kids these days are so spoiled. They just assume they get to go take the test and be give a used or new car to drive at 16! and shame on their parents for doing so!

    I had to pay my own insurance since driving day 1 so I even got a job at 15 so I coudl save up and have a nest egg that way I wouldn’t just be endorsing my paycheck each week over to my mom to go towards insurance. πŸ˜‰

    I think more parents shoudl do what you did – the A/B thing! ~bonnie

  12. 13

    Tracey @ozcountryquiltingmum says

    Fabulous to get a discount for Good grades, that does not happen here…there must be a woman with teens on their board!! Tracey