Adding Teenagers to Car Insurance: What You Need to Know

Adding a teenager to your car insurance policy can seem like a daunting task, but it doesn’t have to be. It’s important to understand the process and the potential impact on your premiums. Here’s what you need to know.

Why is Adding a Teenager to Your Car Insurance Policy Important?

When you add a teenager to your car insurance policy, you’re ensuring that they’re covered in the event of an accident. This is important because teenagers are statistically more likely to get into accidents than other age groups. According to the CDC, the risk of motor vehicle crashes is higher among 16-19 year olds than any other age group.

Not only that, but if your teenager drives your car and gets into an accident, you could be held liable for damages. This means that if you don’t have adequate insurance coverage, you could be on the hook for thousands of dollars in repairs and medical bills.

How Will Adding a Teenager to Your Car Insurance Policy Affect Your Premiums?

Adding a teenager to your car insurance policy will almost certainly increase your premiums. Insurance companies base their premiums on risk, and teenagers are considered high-risk drivers. They’re inexperienced, more likely to take risks while driving, and statistically more likely to get into accidents.

The exact amount that your premiums will increase depends on a variety of factors, such as your insurance company, your location, your driving history, and your teenager’s driving record. However, you can expect to pay significantly more for your car insurance once you add a teenager to your policy.

What Can You Do to Lower Your Premiums?

While adding a teenager to your car insurance policy will almost certainly increase your premiums, there are a few things you can do to lower the cost:

FAQ

How old do you have to be to be added to a car insurance policy?

It varies by insurance company, but most companies will allow you to add a teenager to your policy once they get their driver’s license. Some companies may require your teenager to be at least 16 years old.

Do you have to add a teenager to your car insurance policy?

In most cases, yes. If your teenager lives with you and drives your car, they need to be covered by your insurance policy. If they get into an accident and aren’t covered by insurance, you could be held liable for damages.

Will adding a teenager to my car insurance policy affect my other coverage?

Adding a teenager to your car insurance policy shouldn’t affect your other coverage, such as your home insurance or life insurance. However, it never hurts to check with your insurance company to make sure.

What if my teenager has their own car?

If your teenager has their own car, they’ll need to have their own insurance policy. However, if they occasionally drive your car, they should still be covered by your insurance policy.

What if my teenager goes away to college?

If your teenager goes away to college and doesn’t take a car with them, you may be able to remove them from your car insurance policy. However, if they’ll be driving a car while they’re away, they’ll need to be covered by insurance.

Conclusion

Adding a teenager to your car insurance policy can be expensive, but it’s necessary to ensure that they’re covered in the event of an accident. By understanding the process and taking steps to lower your premiums, you can make the transition smoother and more affordable. Remember to always check with your insurance company to make sure you have adequate coverage.