8:00 - 17:00
Opening Hour: Mon - Fri
Table of Contents
Your parents spend most of their adult lives caring for you regardless of how old you are.
When you’re small, parents are there to pick you up when you fall. When you’re older, your parents might be out of sight but they’re still there to help you from afar. No matter how independent you want to be, there are still things that you depend on your parents for.
One thing that you may currently depend on your parents for is insurance coverage.
Since coverage tends to be very expensive for young drivers, many people turn to their parents right when they’re licensed so they don’t drive without insurance.
Before you assume that your parents’ auto insurance will cover you, here’s what all young adult drivers should know. Keep reading.
Am I covered under my parent’s car insurance? If you’re not, you need to make sure you’re properly covered for auto insurance. Compare rates from top companies today and get the best price by using our FREE tool above.
Does my son need insurance to drive my car? Most of the time, when someone lives in your household they need to be listed as a driver. The rules vary by company, but almost all contracts say resident relatives and other household members need to be disclosed for coverage.
Does my parent’s car insurance cover me? The rules differ for teens because of their licensing status.
The rule that applies to a teen in your home depends on whether or not they have their license. If your teen lives with you and has only their provisional permit, they may not need to be named as a driver quite yet.
Having a learners permit isn’t the same thing as having a license. Since the teen is only learning to drive, they should be covered automatically.
There are a few reasons why teens with their permits are covered without being listed.
Since they have to drive under the supervision of a parent, it only makes sense for the company to help the parent out by offering temporary protection.
Every state has different requirements surrounding how auto insurance carriers have to handle teen drivers with their permit. Some states require carriers to give the parents coverage for teens with a permit as long as they are the named insureds.
Yeah, it’s way cheaper to add a teen to their parents’ policy because teens are considered high-risk with little experience. The table below shows the annual rates for 17-year-olds who have their own policy, compared to drivers who are older with more experience.
|Companies||Married 60-Year-Old Female Rates||Married 60-Year-Old Male Rates||Married 35-Year-Old Female Rates||Married 35-Year-Old Male Rates||Single 25-Year-Old Female Rates||Single 25-Year-Old Male Rates||Single 17-Year-Old Female Rates||Single 17-Year-Old Male Rates|
The Insurance Institute for Highway Safety reports that a total of 2,476 teenagers aged 13-19 died in car accidents in 2018. Although that’s 10 percent lower than in 2017, it’s still a scary thought. Two out of three of these in 2018 were male, leading to part of why it’s so much more expensive to insure male teens.
In fact, the Center for Disease Control reports that six teens aged 16 to 19 die every day from motor vehicle crashes.
You don’t have to add your kid to your auto insurance, but there’s a huge difference in price. Other carriers allow companies to charge a small fee for extra protection. Always ask before assuming.
If you have passed the permit stage, you live in the home, and you have a license you’ll need to be listed on the policy for coverage. This is because all licensed drivers fit the household member and resident relative requirement.
Since each of these types of drivers needs to be listed, failing to name anyone in the home can be dangerous.
If you’re an adult and you own a car that is in your name, you might not need to be listed as a driver on your parents’ auto policy but you still need insurance on your car and to be disclosed to your parents’ insurance company. As a resident in the home, it’s important for the carrier to know you’re there.
It doesn’t mean that you’ll affect the rates since you’re already being charged rates with another company.
Your parents just need to tell the company that you have a car and insurance. Their agent may ask for a copy of your insurance as proof that you have coverage. As long as you can provide this you’ll be named as a deferred operator so that you don’t affect the rates.
You’ll still have coverage under your policy and your parents’ policy too if you have a loss in their car.
Enter your ZIP code below to view companies that have cheap auto insurance rates.
Secured with SHA-256 Encryption
If you are away at college, you still need to stay on your parents’ insurance. If you’re deleted from the policy, you have no protection when you borrow a friend’s car or you decide to be the designated driver at a party.
This is why you can stay on the policy even when you’re away at school without a car.
If you’re worried about how much it will cost to keep you on the policy, you shouldn’t. Since you’re away at college, you can be classified as a Student Away At School and receive a discount. Most companies require you to be at least 100 miles away.
You’ll still be covered to borrow, rent, and drive your parents’ cars when visiting home.
If you purposefully forget to list or disclose a driver in the home, it’s within the insurer’s rights to deny a claim when it’s presented.
That doesn’t always mean that the company will, but if there’s any evidence that a policyholder chose not to list a teen to save money this is probably the action that they will take.
Unless you still have your learner’s permit, you need to be added to your parents’ car insurance policy if you’ll be driving it more than occasionally. Always double-check with your insurer.
If a policyholder just forgets to disclose a driver and then there’s an accident, the company might pay the claim if the customer agrees to either add the driver or exclude them in the future.
If they are excluded, they won’t be covered for any claims after the exclusion form is signed.
If you’re not covered under your parents’ policy, buy insurance before you drive. When you’re not a dependent any longer, accidents can affect your own financial future. You don’t want a loss to affect your life for years.
We hope we’ve covered your question, “Can I use my parents car insurance?” To be sure, we’ve added some more FAQs below concerning teens and auto insurance.
Can I stay on my parents’ car insurance if I move out? How long can I be on my parents’ car insurance? You can find cheap auto insurance for college students and can even usually stay on your parents’ policy. But moving away from the house means you’re no longer a member of the household. In that case, you’ll have to buy your own auto insurance policy.
Can I be on my parents’ car insurance if the car is in my name? No. Once you purchase a car that is in your name, you have to get auto insurance in your name also. Unfortunately, you can only be on their policy if they’re listed as the owner.
Most of the time, getting married is considered a change in your financial status which disqualifies you from being on your parents’ insurance. But, if you both live at home or are both teens, you may be able to stay on parents’ auto insurance. The new spouse will need to be added to the policy if they’ll be driving.
Can my son drive my car if he is not insured? Can someone drive my car and be covered on my insurance? Though you should always check with your insurer, it’s usually okay for someone to drive your car with your permission. And this is only for occasional use. If someone else will be driving the vehicle frequently, they need to be added to the policy.
Unlike health insurance’s 26 year cut-off, auto insurance doesn’t have a set cut-off date. As long as your child is still living at home driving your car, they can still be on your policy.
If you want to drop your kid from car insurance, you certainly can, but then they’ll be liable for any damages and run the risk of being uninsured and unprotected.
Get online quotes instantly, compare rates with several different carriers, and get the protection that you need in minutes. If you need coverage for your teen driver, compare free quotes right now by entering your ZIP code below.
Auto Insurance Laws