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Car Insurance Options for Parents

Car insurance options for parents of teen drivers are the different choices we can make to keep our family car insurance policies as affordable as possible in spite of the great expense of insuring student drivers. The options you choose may depend on the specific relationship you have as a parent with your teen driver, as well as the vehicle type being insured. In states where it's required, such as Massachusetts car insurance, it's even more crucial to get a proper policy for your teen drivers. There are some different ways we could go as parents and it is good to get a rundown on your options before you have to make a decision.

Age Limits and Car Insurance

Many parents of teen drivers wonder whether age limits exist on their policy. It is a logical question and a good one to ask. We need to understand that as long as our teens are driving cars titled in the family name and are included in the family car insurance policy, they are legally covered. There are a couple of exceptions to this rule. One of them occurs when the child moves out of the house; and the other happens when he buys a vehicle of his own. But if your teen is driving the family minivan to work or to soccer practice, she is covered on the family policy.

When teens move out of the house or get their own cars, some insurance companies no longer want to include them in the original policy. Grown children of parents can still drive a parent insured car as long as they are not the title owners of the car. Some insurance companies do allow grown children living outside the house to remain on the family policy, but this normally changes in cases where the child buys a car. Specific rules on family policies can vary by company and it is smart to inquire about specific circumstances once your young drivers reach adulthood.

Adult Children as Secondary Drivers

Many families count on multi driver discounts on these family car insurance coverage policies to help them meet the cost of insurance. There are some companies that allow an adult child living away from home to drive a family car, and even be listed as a secondary driver as long as he lives near the parents. Sometimes these types of setups are the most affordable way for the whole family to be able to manage their car insurance premiums. For young drivers under the age of 25, premiums can be very high, and being listed as a secondary rather than a primary driver on a policy certainly helps the bottom line. However, parents and their adult children need to investigate the specific laws and rules where they live and the insurance company's policies on these sorts of situations to make sure they are compliant. In the case of an accident or other situation, you want to make sure there is no reason for your young driver's claim to be denied.

Often one of the caveats to adult child eligibility for continued enrollment in coverage under a parental policy is school attendance. This is actually very helpful for families sending their children to college. The cost of tuition and room and board are high enough without also having to add higher car insurance expenses. For out of state college students, insurers usually have special policy provisions whereby you can meet liability requirements for both the home state and the state in which the student is attending school.

For any of us parents and our children, the best reason to examine car insurance options for families is to save money on the cost of coverage. Teen drivers especially pay high prices for their policies because of their age and lack of experience behind the wheel. Insurance industry statistics on accident and claims rates point to teens as the highest risk age group to insure. So, as parents and as teen drivers we need to take advantage of all the help we can get saving on these expenses.

Teen Car Insurance Discounts

Probably our best asset to help save money on teen car insurance is in the form of discounts. Normally car insurance companies offer discounts for teens who are good students, for example. Good student discounts are given to teens and unmarried college students under the age of 25 who are enrolled full time in school and who maintain good grades according to the minimum standards set by the insurer (usually a B average).

Parents of young drivers need all the help they can get paying for their insurance bills and holding down the cost of a policy so that the family can afford it. You can look at all of your different car insurance options for parents for saving money, including getting multiple free quotes from local companies to find cheaper rates using our free quote tool.

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