Even if your teen follows all the rules, vehicle insurance is a major cost for teen drivers and their families. The increase in your insurance bill can range from several hundred dollars to several thousand dollars a year.

Some factors that affect costs are within your control, while others reflect an objective assessment of increased risk from having a teen at the wheel:

* Gender: Males have more accidents than females so they cost more to insure.

* Residence: Rates are higher where repair costs are higher or accidents are more frequent.

* Grades: Good-student discounts granted to teen drivers who maintain a B average or better can reduce rates by 10% to 25%.

* Type of vehicle: More expensive vehicles, sporty models known for speed, sport utility vehicles, and vehicles that perform poorly in crash tests cost more to insure.

* Operator status: If you have more than one vehicle, ask your agent which vehicle costs less to insure for teen drivers and designate the teen as the “principal operator” of that vehicle.

* Insurance coverage and limits: Consider dropping collision and comprehensive insurance coverage on older vehicles. Increasing the deductible also can reduce the costs, but you’ll pay more if the vehicle is damaged or destroyed.

* Driving record: Teens who get speeding tickets or are involved in accidents will cost more to insure. When that happens, consider moving the teen driver and vehicle to a subsidiary company that specializes in coverage for high-risk drivers.