Is My Teen Driver Insured Under My Policy?
Auto insurance is a big consideration when making arrangements for a teenager to get behind the wheel of a vehicle. Many parents are confused as to whether their teen driver is insured under their car insurance policy automatically or whether they must make the changes themselves.
It’s Not Automatic
When an auto insurance policy is issued the parameters are very strict and must be observed carefully or risk cancellation of the policy. One of the biggest mistakes parents can make is by simply assuming that their teen will be covered by their existing auto insurance policy.
Coverage is usually issued based on the identities and driving histories of the people specified on the policy when it is signed, as well as other factors such as the vehicle(s) being listed. If a teen driver gets behind the wheel of a vehicle that is covered in the policy, they are not necessarily covered unless you have automatic inclusion.
Automatic Inclusion
Some states and insurers have what is called automatic driver inclusion, where any licensed driver over the age of 27at a given legal address is included on the policy. However, this is the exception and not the rule and doesn’t apply to teen drivers due to the age limit. Consult with the issuing insurance agency to verify the status of the policy prior to authorizing a teen to drive.
More frequently, teens are specifically excluded from auto insurance policies. This means the policyholder must list the child, and their monthly premiums will likely increase because of the inexperienced driver.
Impact of Teen Drivers on Policies – How Do I Cut Costs?
Because teen drivers have unproven driving histories, statistics proving that they are more irresponsible on the road than older drivers, and generally pose more risk to car insurance companies, they will automatically have higher car insurance rates.
In order to minimize the impact on the overall policy, get discounts, and save money on their insurance premiums, parents should only authorize their children to drive certain, “safer” vehicles which are less expensive to insure. Encouraging teens to earn premium reductions through good grades and attendance in driving education and safety courses is also a good idea.
Also, parents should consider comparing car insurance quotes online to learn about the pros and cons of teen car insurance, rates, and policy coverage before determining whether their current car insurance company is providing the best, affordable rates and coverage.
Other ways to get cheaper car insurance include the following:
Getting Free Car Insurance Quotes Online
Insuring a teen driver on an auto insurance policy can be costly, and finding a better, cheaper policy that meets all the family’s coverage needs may require some research.
By entering your 5-digit zip code, MyCarInsuranceRates.com offers consumers car insurance quote comparisons online. Compare the best auto insurance companies in the country, like Nationwide, Allstate, GEICO, Progressive, 21st Century Insurance, Liberty Mutual, State Farm, Farmers, AAA, and AARP, and find the best, cheap auto insurance available in the market.
Enter your zip code to find a cheap car insurance quote now on coverage for your teen driver.
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