Teen auto insurance

[EarlyWood]

Is this good or should I keep shopping?
$817.00 per year with Geico, no collision, discount for good grades

[MOHSHSIHd]

Thats around what I paid as a teen, but with collision and lots of cars with the same company.

[Grange]

I've never found Geico to be the cheapest insurance. If you're looking for cheap contact a independant agent. For a while the cheapest I found was AAA.

[Hugh Conway]

what are you driving and where do you live?

[TNKen]

Depends on the limits of coverage. You really need something in excess of $100k in liability coverage, with at least $5k in med pay, with good UIM coverage.

[EarlyWood]

I'm not the teen. He'll be driving a '93 Suby Loyale in Vt.
Adding him to my policy, I was told teens can't get their own until 18.
.. will check coverage limits
thanks

[advres]

unless things have changed in the last 13 years, they most certainly can get their own insurance. It will be a lot more expensive for them though. And also, you probably don't want to put them on your insurance if you have a perfect driving record. Even if you trust them, remember you could pay on your end for their mistakes for years.

[Nathan Explosion]

I dated a girl in high school who crashed her Eclipse three times (okay, well, one time she ran it through about 8 inches of water at 40 mph and blew water through the intake). By the end of all of this she was paying ~$2500 a year.

[timvwcom]

My humble suggestions...

DO NOT list teen as the primary/only driver for a vehicle unless you have to. List them as an "occasional driver" on the oldest cheapest of the vehicles you have insured with your family plan. My agent has helped give me the different options and pricing with my teen drivers, and the above always seems to be the lowest cost. Can I assume the title for the vehicle is in your name not the teens?

[advres]

my parents mentality:

rents: You want a car to drive around?
me: yup
rents: buy it yourself
me: what about insurance?
rents: get it yourself
me: gas?
rents: you have a job, buy it yourself

That was when I started respecting money and the decisions I made. Did it work? Not entirely, but it helped.

[EarlyWood]

I gifted him the car and registered in his name about two hours ago.
The insurance is still up in the air but I told Geico he'd be the primary driver. It's not too late for me to shop and/or change things..
If I'm doing something stupid, tell me now

[timvwcom]

I gifted him the car and registered in his name about two hours ago.
The insurance is still up in the air but I told Geico he'd be the primary driver. It's not too late for me to shop and/or change things..
If I'm doing something stupid, tell me now

You are doing something stupid. Satisfied?

[snowsprite]

One of the most common desires of teenagers is acquiring his or her own car. And when they truly deserve it, they do get one. Of course, before you can allow your son or daughter to drive on their own, they must first meet the required age to secure a license. In most cases, being able to secure a license means one thing for teenagers - freedom!

Once you've got your teens their cars, the next thing that you must think about is car insurance. One of the first and most important considerations is the price of the insurance premium. Most insurers charge higher premiums for auto insurance for teenagers. This is because these companies see most teen drivers as being more reckless and accident-prone than adults.

Fortunately, there are ways in which you can lessen the charges for your teenager's car insurance. These factors might help you get a better deal in the future.

1. A spotless driving record. It is essential that you emphasize the importance of observing traffic laws and of having a clean driving record to your teenager. This means that they should avoid speeding tickets and other such traffic violations at all costs. And, while accidents do happen, being more aware can minimize the incidence of one happening. A clean driving record will be awarded with lower premium payments.

2. Look for auto insurance with a greater deductible. The premium payment is usually less for auto insurance that covers a higher deductible.

3. A car endowed with more safety features. It would be more beneficial to get your child a car that has a lot of advanced safety features. Avoid vehicles that fall under the higher hazard ranking class.

4. Follow license restrictions. Teenage drivers need to stick to the restrictions and guidelines that their licenses specify.

5. Get a stand-alone policy. With this kind of policy, your child will be responsible for his own insurance. As a new driver, he will only be allowed daylight driving, a certificate from a driving school, and the like.

As a parent, the most appropriate thing for you to do is to inculcate the value of responsibility in them. Make them accountable for whatever happens to their car. They can even work part-time so that they can pay for one-half of their premium.

Cheap Auto Insurance provides detailed information on Cheap Auto Insurance, Cheap Auto Insurance For New Drivers, Cheap Auto Insurance Online, Cheap Auto Insurance Quotes and more. Cheap Auto Insurance is affiliated with Affordable Insurance Info.

Article Source: http://EzineArticles.com/?expert=Jennifer_Bailey

[EarlyWood]

I hear what advres is saying and I want it to be that way..but it's not
Tim, I need more specifics
Just heard a bunch of info about umbrella "policies and riders"
appreciate this info...keep it coming cause I have to go to a Bday thing



edit Jezus that was quick Spritey

okbye

[snowsprite]

http://wiki.answers.com/Q/Why_do_you...drive_your_car

Why do you have to add your child to your car insurance policy if they never drive your car?
In: Auto Insurance
Answer
If the child is a lisenced driver living in your household, the insurance company assumes that he will drive the car. It is possible to have an exclusion added to the policy (more likely to be the company's decision after the minor has had 3 or 4 claims) that states the child will not drive it. If you have this exclusion, there is NO COVERAGE IF THE KID IS DRIVING, so don't even let him back it out of the garage.

Answer
In a nut shell, because they do not believe that the child won't ever drive the car, and actuarial experience bears out that they are right. Odds are that sooner or later most parents will let the child drive the car "just this one time...". As mentioned above, most states allow insurers to exclude an operator from coverage and thereby reduce the premium accordingly, but be aware that if the child is the operator in an accident of significant proportions, your financial life could be profoundly effected. In other words, if he/she seriously injures or kills someone, and you are found liable, well.... let's just say it won't be pretty. Think VERY carefully before selecting this option. If he/she is not living in your household (and has a legal address elsewhere but the car is NOT pricipally kept there), none of the above applies. As long as they are licensed and operating the vehicle with your permission (and do NOT do so on a regular and frequent basis), there would be coverage.

Answer
You are required to add a child to the policy because almost every policy is a family policy, in that every resident relative is covered to drive your vehicles contractually whether or not they are listed as an operator on the policy. See your Definitions section of the contract for 'insured driver'. What that means is that the company is legally on the hook for paying if they drive or not, so they are deffinitely going to collect the premium for it. A NDE (Named Driver Exclusion) is a possibility, but be warned: these are usually underwriting decisions by the company (We'll nonrenew you unless you sign this NDE for your son who has had 4 accidents in the past 3 years.) so if you ASK for an NDE and one is applied, it will still be considered generally as though the company asked you to have one when you want it to come off. In that the company may NOT WANT to take it off, may have some guidelines (no accidents/tickets in past 3 years for example) for when one can come off.

[snowsprite]

Umbrella Policies

Umbrella insurance protection is usually one of the last insurance products a consumer buys. I understand the reasoning. A family budget is stretched thin and we often feel "insurance poor".

But what happens if you or a family member (such as a teen driver) is involved in an auto crash that injures others? Do you have high bodiliy injury limits under your auto insurance policy? What if the other person is disabled or killed? If you calculate a person's worth on that basis, I bet 99% of insurance buying consumers have too little protection under their auto policy.

An umbrella policy goes hand in hand with an auto insurance policy and home insurance policy and costs about $350 or less annually for $1,000,000 protection. This premium varies bases on other factors (if you own rental properties, have recreational vehicles, teen driver's).

If you have too little bodily injury protection under your auto policy, then what? Do you sell your home? Have 25% of your wages garnished for the next 15 years? Cash out a 401k, IRA or something else?

When you buy an umbrella insurance policy keep in mind that you are protecting your assets and income.

Be especially careful when you have teen drivers on your auto policy. Teenagers have more accidents than all the other age groups combined. Consider increasing your deductibles on your auto insurance policy and home insurance policy.

Consider if you have an auto insurance policy or home insurance policy with a $500 deductible and you have a $750 claim. Are you going to file a claim for the $250 difference or pay the entire $750 out of pocket to keep the claim off your record? Many people will pay it out of pocket. If this is you, consider increasing your deductibles.

Gary Brown is principal owner of Choice Insurance of Arizona. He has been serving Arizona residents for car insurance and home insurance for nearly 14 years. Find more insurance and financial information at Car Insurance Flagstaff / Yuma Insurance

[timvwcom]

Early... No inside info. Call the Insurance Co back and talk it thru, "what if the car was in my name vs teens?" "What is rate difference with teen as primary driver vs occasional? (if posible)... Report back.

[fish]

shit I was paying $3720 a year when I was 19 and all I had was speeding tickets + 1 fender bender. driving a 4x4 SUV got me bad. Believe me, I was shopping around too. I only pay $512 a year now, same vehicle.

[hutash]

My advice is to find a good independent insurance agent. You may pay a little more, but if you get a good one they will make things happen when you have problems with the insurance company. Notice I said "when", not "if". It is just a matter of time. My agent makes sure we list my daughter as an occasional driver, et cetera. A good agent will save you time, money and headaches. I have been with mine for 20 years now.

[Steven S. Dallas]

shit I was paying $3720 a year when I was 19 and all I had was speeding tickets + 1 fender bender. driving a 4x4 SUV got me bad. Believe me, I was shopping around too. I only pay $512 a year now, same vehicle.

You sure it wasn't the speeding tickets, the fender bender, and your age?

I was under the impression that kid drivers, while expensive to insure, only got really expensive once they had a moving violation.

[krp8128]

1st step, put the car in your name. 2nd step, list him as an "Occasional Driver".

I got my license shortly after I turned 16 in 2002. Drove a '93 Nissan SE-R (title in dad's name), had liability on that. Under my parents policy, I was also listed on a 98' Malibu (full coverage) and a 2000 3/4 ton Silverado (full coverage). I paid about $800/year with good student and multiple car discounts.

Since then I have had a clean record, and 3 other vehicles. The least I paid was $730/year when I was on the 98' Malibu, 2002 Silverado and 04' Malibu, all comprehensive coverage. Right now I'm sitting at about $780, on 2 04' Malibus and the truck, all with comprehensive coverage. I'm 22 and going to an out of state college. I put 25k miles on my car last year.

Put the title in your name, list him as an occasional driver (they'll never know the difference). Tell him that he is paying whatever increase your policy incurs. Also tell him that if he is ever in an accident that is his fault, or if he gets any moving violations, he will be on his own for a policy. Show him a quote of what that will cost, and I bet he is a much more careful driver.

This only works if you've raised him to be independent and not live of handouts from you, the parent.

[BigDaddy]

Highly recommend the $1,000,000 liability. In Mass, the basic policy falls so short of reality, so you have to up your limits to have any reasonable coverage. Not sure how it is in VT, but look into it. You don't want a retainer on your salary the rest of your life.

[snowsprite]

Glad you agree Big Daddy. I can't stress that umbrella policy thing enough.

I did a stint as a paralegal about a decade ago and saw a few families financially ruined by insufficient insurance policies...an ambulance-chasing lawyer can do a lot of damage to the unsuspecting regular joe!

Sprite

[TNKen]

Umbrella's afford cheap coverage for catastrophic events. The other big thing you want to make sure is covered in an umbrella is Uninsured/Underinsured motorist coverage. Here in rural East Tennessee, I would guess that more than half the drivers have no insurance or the minimum $25k policy. Get in a seious accident with one of these nimrods at fault and see how you feel about having only $25k of insurance available.

Point, make sure the umbrella also provides UIM coverage in addition to liabillity.

[EarlyWood]

Motivation for registering the car in his own name was I felt if I wiped my hands of the car, having his own name on the registration rather than daddie's is something I hope will instill some type of pride or sense of responsibility even though, yes indeed, I bought this thing specifically for him two years ago, kept it in storage. Ya know, when he's pulling that registration out and showing it to the cop..i don't want my name on it
I'll be talking again to the insurance company before I sign off on everything. Thanks for all of this advice. My eyes have been opened.