Can an 18 year old/college student stay on parents auto insurance?
I'm 17 (turning 18 in 8 months) and my parents are extremely hesitant about letting me get a car because of the insurance going up. I'm testing for my license in a few weeks (After almost two years of them putting it off...) I'll be getting a safe, four door car, probably a 2001 Chevy Malibu. I'll get the good grades discount, and i already took a defensive driving course online which will get me another 10% off, and I have a steady job and decent savings account and would be able to pay them the difference in insurance every month. They still aren't going for it. So first question, anyone have some tips for me to get them to cool down about this? I'll be taking college classes at our local tech while I'm still in high school, and then I'll be going to that school full time after graduation. My parents work opposite shifts and can't take me to all my classes constantly. I need a car, not just for independence, but for practicality. That brings me to my second question, once I turn 18 and am a full time college student, will I still be able to be on their insurance? Will that change if I move out? Thanks!
Did your parents pay your car insurance when you were a teenager?
I don’t know exact numbers, but when my parents added me to their insurance they told me that their insurance rates almost doubled just because of me, even with my “good student” and “safe driver” discounts. They said the only reason they let me drive in high school was because I went to an out of district school for the IB program and they didn’t want to go out of their way to drop me off and pick me up every school day. This didn’t really mean anything to me at the time because I was just a kid who never paid a recurring bill in his life yet. All I knew was that I was able to drive, yay!Then my brother became old enough to drive, but my parents wouldn’t let him get his license because his school was within walking distance, so why would he ever need to drive? When we went on to college, he still didn’t have his license because my mom worked at his school, so they would just car pool together. Then my mom left that job so now he had an actual reason to drive. My parents transferred my car’s title to me and made me get my own insurance so that they could add my brother without their insurance costs skyrocketing again.I thought that was fair, “my parents aren’t rich and driving is a luxury”, I thought to myself. I signed up for insurance and it ended up being about $110 a month for minimal coverage with my good student and safe driver discounts just to drive my 12 year old Honda around. I was a college student at this time living off of $200 a month after rent before I had to pay for my own insurance. Gas was about $40 a tank at the time too.My friends asked me why I had to pay for my own insurance, but they also drove BMWs, Lexus’, or other brand new cars too - so they probably wouldn’t have really understood anyway if I did tell them.
I'm a teenage girl wanting to get a motorcycle!?
I had a very similar problem. I'm 22, female, 5'1", and my mother was very uneasy when I told her I wanted to get a scooter/motorcycle. My mother asked her coworker (aka neighbor), since he rides a motorcycle, to convince me not to get one. But, he ended up convincing her to let me get one. My father was not as against it since he has a small passion for bikes, and realizes him I'm an adult. Back to the topic, a ninja 250 is a great bike for us, especially since we're more on the petite side. If it's still too high for you, the bike can be lowered up to 3 inches, so that's not a problem there. In fact, any bike can be lowered. They are also great on gas and most would agree that they are pretty affordable. I'm getting my black 08 ninja 250 in the next month. As for scooters, I'd say they are more "dangerous" since they have a smaller wheelbase i.e. hit a bump, you'll feel it more than on something that has a larger wheelbase. The way I see it, everything in the world is "dangerous". It's not the vehicle itself that is the danger, it is the drivers. Just do your research and maybe your parents will see that you are really serious about wanting one. Plus, gas prices are KILLER! I don't think it's your age that makes it reasonable to get a motorcycle, it's your knowledge and maturity level. You seem to have both. Also, I highly recommend an MSF safety course. You will not only learn how to ride, but how to ride safely. Hope this helps!
Will it be cheaper if I move my car insurance under my parents?
This questions is a bit confusing. I can’t tell from the details if you are a youthful operator who has purchased a car and driving it, or if you are someone older who has kindly purchased a vehicle for your parents. I’ll take a stab at both scenarios.Youthful Operator who purchased the Vehicle:If you are a driver under the age of 25 and still living at home, it will almost always be less expensive to insure a car under your parents policy. There are exceptions (like when mom and dads credit and driving history are atrocious) where it might be less on your own, but in most situations, mom and dad’s policy will be a great place to insure your vehicle until you move out of the house or turn 25.Why?Insurance Score:Mom and Dad generally have established credit and thus a better insurance score. For more information on what an insurance score is, see this post.Multi-Car Discount:Mom and dad’s policy will result in the additional vehicle receiving a multi-car discount. This can save up to 20% off the premium immediately.Other Discounts:If mom and dad have a good history with their insurance carrier, you may benefit from other discounts they qualify for such as: accident free, accident forgiveness, loyalty discounts, homeowner or multi-policy discounts, etc. Any and all of these perks can add up.Older Operator purchasing a vehicle for your older Parents:If you live in different households, the insurance carrier and your state’s motor vehicle statues are likely going to require that you insure the vehicles:for the household where the vehicle is going to be garagedand the household where the primary operator residesWhy? Auto insurance policy language specifically extends and defines “insured” status to those listed on the policy and refers to members of the family and household.Learning the following is your next step.The insurance carrier’s underwriting guidelinesInsurable interest of the insured to the vehicle and how that corresponds to physical damage coverageThe Motor Vehicle laws of your stateThe best path to gain understanding of the above is to contact your company agent or representative. They should be able to provide specific insight and solutions to your questions.
How does car insurance for teens work? What do I do?
Howdy Kyle,I’m sorry for your situation.There are two things in play here: premiums and protection.Unfortunately, as a teen driver, your rates are 2–3 x more expensive than they will be when you are 30. There are all sorts of statistics to explain why that is so, but ultimately it is what it is.My guess is that your dad has seen the increase in his premium and isn’t happy. Your mom is concerned what is going to happen to her premiums if she adds you, and wants you to get your own policy.Insurance premiums vary based upon a number of factors, but let’s just look at two, the car and the liability limit. Makes sense that it costs more to insure a Porsche than a beater, right? Liability is the part of the policy where you protect yourself from being sued by me if you injure me or hit MY car.Since liability protects you and your finances from me, you look at how much you have to lose. I’m making an assumption here, but you might have a checking account and some savings, but probably not much more. Your mom and dad have homes, retirement accounts and other financial assets. They have a lot more to protect.So if you are on a policy by yourself, you can buy a lower liability limit, because you don’t have a lot to protect. If you are driving a 2015 BMW, you will still pay a lot for the coverage that fixes your car. Less if you drive an Accord, less still if it is a 1996 Taurus (because you might not even insure to fix your own car).So it might be cheaper for you to get our own policy.But there is one more important thing to think about. If your mom or dad bought the car for you , or even helped you pay for it, they are responsible (liable) for you having the car. So if you hit me and I am seriously injured, and your insurance policy doesn’t have enough to pay me, I can legally go after your dad if he bought you that BMW. So he probably should keep you on his policy even if he doesn’t like the premium.Finally, whether you are on your dad or moms policy, you can help out with the premiums, which might be the best station all around.Hope that helps, and thanks of the chance to A2A.
Does a teen need car insurance if they have a license but don't drive?
U.S. Answer. This type of question can get very convoluted. It would can be better answered as two different questions:Does a teen need their own car insurance policy if they are licensed but don’t drive?Does a teen need to be rated or listed on a car insurance policy if they have a license but don’t drive?It is a common misconception that car insurance follows the car, not the driver.To a degree, it is true that car insurance follows the car.But… car insurance also follows the “insured” which in essence means the household.The terms “insured”, “you” and “family member” are sprinkled throughout auto insurance contracts and can extend coverage to those people defined by those terms even when they are in another person’s vehicle.By way of an example, here is a snippet of an ISO Auto Insurance policy’s definition of the term “family member”.“Family member” is used for every major coverage part in the typical US auto insurance policy. That fact is in large part why teens are rated on the households auto insurance policy. And… it is why this type of question gets so confused.So let’s break it down:Does a teen need their own car insurance policy if they are licensed but don’t drive?No. A teen doesn’t need an insurance policy unless they are provided a vehicle which they wish to insure.Does a teen need to be rated or listed on a car insurance policy if they have a license but don’t drive?If the teen is a member of a household that has an auto insurance policy the short answer is most likely - yes.If the teen doesn’t drive, why have a license? Most states will issue some form of ID without the privilege of driving. The removal of the right to drive should do away with any requirement of the teen being added as a driver on the household’s auto policy.Wait, you meant the teen only drives once in a while? That represents an exposure for which any insurance company will want to charge. Why? The statistics of teen driving accidents speak for themselves: Teen Drivers: Get the FactsThere are exceptions and nuances related to this question that would be too long to go into on this answer.If you take exception to the requirements in your specific situation, a discussion with your agent or company representative is in order.If you find that your current company is rigid or unwilling to address your circumstances, it may be time to talk to an Independent Insurance Agent to see if another company is able to address your concerns.
Will my car insurance increase if my 16 year old gets a license?
For a simple answer, yes.Here’s why:When it comes to car insurance for young drivers, most parents take the easier, and far more common, approach of adding a teen to their policy. For one thing, it's likely to be cheaper. Insurers base premiums on several factors, including the experience and driving record of the policy holder. A 16-year-old won't have that, which means higher rates. Also, as Gusner points out, the teen won't be eligible for rate reductions the parent may qualify for, including multi-vehicle, multi-policy (where car and home policies are bundled) and loyalty discounts. Still, adding a 16-year-old driver to your policy still means a significant hike in your rates. Every situation is different, but to get a an idea of what you can expect to pay, Car Insurance - Compare Car Insurance Quotes and Save compared rates in 10 zip codes in each state. The family profile we used owned a 2014 Honda Accord driven by a 40-year old man buying full coverage. Then we added a 16-year old teen to the policy. Here's what happened:The average household's car insurance bill rose 152 percent.A teenage boy was more expensive. The average bill rose 176 percent, compared with 129 percent for teenage girls.Despite the high cost to insure a teen, comparing car insurance quotes will save you money. Each insurer uses its own method for calculating what you pay, so prices for the same policy can vary significantly. For example, when adding a 16-year-old girl to your policy in Sacramento, California ZIP 95829, you can save $4,706 by comparing rates. That’s the difference between the highest ($7,267) and the lowest ($2,559) rates among six insurers for the same neighborhood.Source: Car insurance for a 16-year-old | CarInsurance.com
Did you let you teen get a driver's license?
One of my friends just told me that she won't let her teen get a license until after she is 18 because of the costs involved. The driver's training course is several hundred dolllars and to insure the teen was almost and extra 400.00 a month. In addition, until the age of 18 they would have to be worried about losing everything if their daughter were to get into an accident since ultimately the parents are financially responsible in a teen auto accident and you could lose your home (her insurance agent warned her about this). We will be facing the same decision. We will have two teens in the house who will want to drive. What experience have you had with the cost involved with your teen having a license? Did you decide not to let them have one?