Getting Off Parents' Policies - Car Insurance for Young Drivers
Whether your child is 16 or 26, you may be wondering if and when you should remove them from your auto insurance coverage. New drivers, such as teens and college students often stay on their parents' auto insurance plans, but at some point, young drivers should consider switching to their own policy. There’s no perfect time to transition a child off your family's plan, but here are a few scenarios when - and reasons why - young drivers may want to buy a car insurance policy for the first time.
When is a good time to remove your child from your car insurance policy?
- Your child no longer shares a permanent home address with you. This doesn't usually include college addresses; their college address may be considered a temporary address.
- Your child is married and/or has children. If your child is starting a family of their own, it may be beneficial for them to purchase a policy with their spouse. If both own cars, they may qualify for a multiple car discount.
- Your child can support themselves financially. If they can afford to pay for other important expenses, they can lessen the financial burden on your family by paying for their own car insurance.
Why should you consider removing your young driver from your plan?
- You could save money. Having a young driver on your auto insurance policy may increase your premium. Young drivers are typically higher risk and may be more expensive to insure. So, when your child is removed from your policy, your premium will likely decrease. Help find cheap car insurance for young drivers by looking for auto insurance discounts for being a good student, staying accident-free car or having air bag in their vehicle.
- You could encourage safe driving. Once your young driver pays for their own car insurance and possibly sees how their driving record affects their insurance rates, they may be motivated to drive safer.
- You could help your child become financially independent. If they're already paying for other expenses and have the income to buy car insurance for the first time, then allow them to take financial responsibility.
If you decide to take your child off your car insurance policy, help them research affordable auto insurance online that best suits their needs.
The provided information and safety suggestions were obtained from sources believed to be reliable and is intended for informational purposes only. Titan and its affiliates assume no liability in connection with providing it or your use of it. Your circumstances may not warrant or require some or all of the safety suggestions, and there may be additional available safety procedures that are not referenced on this webpage.