With mandatory vehicle insurance laws now applicable in most of the nation, personal auto insurance premiums have become a standard part of nearly every family's household budget. This can lead to financial pain when one or more children reach the legal driving age and must be added to their parents' auto insurance. If your household has driving-age children and you are concerned with the amount of money being spent each year on vehicle insurance, here are some tips to help you reduce your family's auto insurance premium costs. 

Rate the kids on the right vehicle

One of the easiest ways to reduce auto insurance premium costs when kids become drivers is to be selective about the vehicle they will be driving. Older, mid-range cars with good safety ratings will be less expensive for teen drivers than the family's brand-new high-performance SUV. In most cases, your child will still be covered to drive any vehicle owned by the household, but since they will be driving the less-expensive vehicle most often, insurance companies often charge less for coverage. 

Enroll teen drivers in safe driving classes or driver education

Many vehicle insurers offer lower rates on insurance coverage for teen drivers who have had some type of formal driving education. If your child's school does not offer driver education classes, look for any classes that might be offered through one of the local law enforcement agencies or through an accredited private company. 

Opt to use the tracking device 

Many insurance companies now provide an optional tracking device that is plugged into the vehicle to upload driving data, often referred to as telematics, in real time to the insurance company. Since insurance companies use this information for a variety of reasons, including research on driving habits and establishing fault in an accident, they typically offer lower premiums to induce drivers to allow the use of the tracking device. 

Notify the insurance company when the teen goes to college

Many colleges require first-year students to live on campus, making it difficult or unnecessary for them to take their vehicle with them. Parents can often save a significant amount on their car insurance premiums by notifying their insurance agent that their teen's car will be kept at their home during this time. 

Helping you save money on car insurance premiums without sacrificing coverage is an important way in which an insurance agent can assist their clients. If you would like to learn more, make an appointment to meet with a reputable insurance agent or broker soon to discuss your personal auto insurance and your options for reducing the cost of your family's policy.