Photo by Towfiqu barbhuiya on Unsplash
Photo by Towfiqu barbhuiya on Unsplash

Should You Add Your Teenager to Your Auto Insurance Policy?

Insurance! This is the word that can become your savior in the bad times, right? Whether you get your assets or yourself insured, it’s important to consider it. If I talk about the insurance for your assets like a car, the first thing you do before driving the car is to complete the insurance formalities. You might have insured yourself, but what if a teenager in your family is planning to drive your newly purchased car? One of the first questions probably comes to your mind is Do I have to add my teenager to my car insurance?

Let me tell you, the insurance formalities are super easy, but adding a teenager to your car insurance policy can be expensive. However, you can easily add your teens to your car Insurance policy, and I will be mentioning the details in a simplified manner.

So brace up yourself and get all the information here. Let me tell you if you will not consider the person in the automobile insurance coverage, it is considered an insurance scam. 

Photo by Towfiqu barbhuiya on Unsplash
Photo by Towfiqu barbhuiya on Unsplash

How Auto Insurance Cost is Determined

There are so many factors that need to be taken into consideration by the driver. Some of the primary factors are-

  • Your record of driving
  • Marriage status
  • Credit Record

Understandably, these things cannot be found in teenagers. So, automatically you can determine that the rates will be higher for the teenager. Other factors also need to be looked into. Whether the car you are using is new or old. If you have an expensive car, keep in mind you need to pay more. If you have the cheapest car, you are going to pay less.

Is it Necessary to Add Teens to Your Car Insurance Policy?

Well, let me tell you that adding a teenager to your car insurance is cheap and affordable. For instance, if you make a separate policy for your child, it will become expensive for you. The benefit of adding a teen to an insurance policy is as follows-

  1. As a parent, you will have full control over the insurance policy.
  2. Your car will be insured under your name.

Moreover, if you let the teenager drive the car without doing the insurance, keep in mind it is prohibited. Also, you will be facing financial penalties.

Are There Ways to Save Money on Teen Driver Car Insurance?

If you make the insurance policy for your teenager under your name, it will be less expensive compared to when you will make the policy of their own. Go through the following points-

  1. Female (teenager)  insurance coverage under a parent’s policy is equal to $1,593 a year, and $651 is the minimum coverage for the same.
  2. Male (teenager) insurance coverage under a parent’s policy equals $1,934 a year, and $769  is the minimum coverage for the same.

From the above data, you can see male teenager insurance coverage is more expensive compared to female teenagers. But compared, insurance coverage under a parent’s policy is cheap.

Below, I will be providing you with the insurance coverage price for different teens-

  1. For 16 year old teens- Max.coverage: $6,930 and MIn. coverage:$2,593.
  2. For 17 year old-teen- Max coverage: $5,836 and Min. coverage:$2,214.
  3. For 18-year-old-teen- Max. coverage: $5,189 and Min. coverage: $1,920.

Do Teenagers Get Discounts That Can Be Applied to Your Policy?

If the teenager in your home has a good academic record, there are chances to get a discount on the car insurance. Moreover, the insurance rates of the company will also vary. But in a nutshell, you can get good discount rates if the teenager in your home is a good student.

Also, if you enroll the teenager in a good driving school, there are chances that you will get a discount on car insurance. Bear in mind that auto insurance rates will vary from company to company.

What is the Best Time to Get Car Insurance for Teens?

There are no set criteria for the teenager to get insured. You can anytime do their automobile insurance policy whenever they are planning to drive. As you know, planning gives you fruitful results. So, covering the teenager under a car insurance policy is important.

However, if the teenager does not stay with you, they need to make a separate insurance policy. Whatever the situation, you must cover the teenager under a car insurance policy. 

Choose Your Policy Wisely

I hope you got the detailed information if you are planning to add any teenager under automobile insurance. Now, no matter what company you choose, you have to remember that the company is legal and trustworthy. Do the proper investigation, select the company, and get your kid insured. Every single area where you have to input your money needs to be thoroughly thought out and researched. So, do not take your kiddo’s auto insurance lightly at all.