Having a teenager listed on a policy can be very expensive. Often it can increase the premium as much as twice. That is why people may be eager to drop them off their auto insurance as soon as they can. But, it may be too early to do so if the child still has access to parent’s car and still considered living with them.
Even a child is away most of the time studying in a different town he/she will come back home at school breaks and want to use the vehicle. That is why it is not wise to drop them from parents’ policies. It may not be allowed if they are still registered living together.
Usually, companies want every driver living with you to be included. Usually a college student’s residence is still considered to be parents’ address, unless they moved their license, vehicle registration, bills and other correspondence to a different address and hardly visiting home. This may be the case if they are in a different state on the other side of the country. Then, it may be safe to assume that they aren’t living with parents. In that case, you may have no reason to keep them on and this may be accepted by the company.
Also, you may be able to exclude a high risk driver in your house with some carriers and in some states. Even then, it may be required that they have their own car and coverage.
However, many carriers offer special rate reductions when a teenager is (at least 100 miles) away at college most of the time. This is only logical since the risks associated with youngsters are reduced with the limited usage now that they spend most of their time at a different town.
Get a few quotes at next renewal to make the most of such discounts. Insuring a teenage driver can be expensive and therefore any savings you can get could be large enough to switch. So, don’t pass on them if you want to lower premium.
You should only drop children off your policy when they leave home for good. Otherwise, it is best to try to get as much discount as possible and let them be included. Having no history will make it harder for a youngster to find affordable quotes when the time comes to buy own policy. This will help them in that time too.
Sometimes, it may be safer to keep children covered even after they leave home, especially if they haven’t moved far away and still drive your automobile. You can insure a driver who doesn’t live with you.
If they are old enough and have good records it may not cost much to keep them as listed. So, consider the use of vehicle and costs carefully to make the right choice.
Listed and occasional drivers are different and the coverage afforded to them can be different too. Once someone is included there is no doubt that he/she is protected.
If in doubt always choose the safest option.
You shouldn’t give up on essential protection. That isn’t how you reduce premium. There are many ways of saving money and a few of them may have nothing to do with the current problems you are facing. So, put them aside for a while and concentrate on how you can get some discounts. You should take advantage of them instead.
Remember that shopping around for the cheapest rates can yield enough savings to even offset the cost of insuring a teenager. This is one of the most effective, fastest and easiest way of achieving lower prices. Why not get a few quotes right here and see if there are more competitive companies for people with offsprings of age.