Notices

Auto Insurance - Teenage driver

Old 11-24-2015, 11:30 AM
  #1  
Admirals Club Admiral's Club Member
Thread Starter
 
Join Date: Apr 2011
Location: Palm Beach
Posts: 1,415
Default Auto Insurance - Teenage driver

My son is about to get his operators license to drive, he's going to be 17 in March. Adding him to our policy as an occasional driver to our vehicles will bump the premium up about $170 a month. I asked them to give me a quote with another vehicle, for example a 2005 Jeep Cherokee, and the premium would go up about $500 per month!

Anyone have experience with obtaining a separate policy for their teenager's car and the cost?
LWLoadie is offline  
Old 11-24-2015, 11:33 AM
  #2  
Admirals Club Admiral's Club Member
 
Join Date: Jun 2009
Location: Amongst the FL fishies
Posts: 6,793
Default

Sorry, my teenagers are now 38 and 42.
airbrush is offline  
Old 11-24-2015, 11:40 AM
  #3  
Senior MemberCaptains Club Member
 
Join Date: Jan 2004
Location: Pittsburgh, Pennsyltucky
Posts: 7,138
Default

I spent a little time research this a couple yrs ago when my son was 17. I wouldn't say it's the cheapest route, but the approach that provided the best protection imo was to keep him on my policy and maintain the umbrella policy (that I already had). Putting him on his own policy seemed a little riskier.
Brad1 is offline  
Old 11-24-2015, 11:51 AM
  #4  
Senior MemberCaptains Club Member
 
Join Date: Mar 2004
Location: Albemarle Sound, NC
Posts: 1,698
Default

Yeah he is getting the best rate on your policy and the best protection.
appfan99 is offline  
Old 11-24-2015, 11:54 AM
  #5  
Senior Member
 
Join Date: Feb 2008
Location: Panama City
Posts: 1,053
Default

It is simply not cheap to insure a new driver. Couple things:

1) Shop your insurance around to good carriers and see which one works best. I have found that Allstate sometimes is not too bad on new drivers.

2) Consider insuring him separately with a vehicle in his own name (do not put yourself on the title). If he has insurance and a vehicle in his name - that insulates you from becoming vicariously liable for any claims that he may cause.

Good luck...not looking forward to the day I have to pay for my 2 sons insurance!
jko2004 is offline  
Old 11-24-2015, 11:59 AM
  #6  
Senior MemberCaptains Club Member
 
Join Date: Oct 2004
Location: NJ & Greenport LI
Posts: 791
Default

I'm an insurance agent in NJ, so I'm not sure if things are rated different in FLA or not. Check a couple of things.... If you have the same number of vehicles as drivers, try to make sure he is listed as being the operator on the correct vehicle. Some companies will automatically put the highest rated driver (teenage son) on the highest rated vehicle even if its a vehicle he never drives (or in some cases, CAN'T drive... ie... its a manual and he doesn't know how to drive it).
Also, make sure of the coverage on that additional vehicle. $6000 a year sounds like they may have been adding it with full coverage.

To help alleviate the costs, consider bumping your physical damage deductibles. Probably won't completely offset the price, but it may help.
Strike1 is offline  
Old 11-24-2015, 12:07 PM
  #7  
Senior Member
 
Join Date: Apr 2014
Location: Atlanta / Islamorada
Posts: 1,243
Default

Originally Posted by jko2004 View Post
It is simply not cheap to insure a new driver. Couple things:

2) Consider insuring him separately with a vehicle in his own name (do not put yourself on the title). If he has insurance and a vehicle in his name - that insulates you from becoming vicariously liable for any claims that he may cause.
Not sure how this would work if he is under 18. I'm pretty sure you would still be liable if you are parent.
ChannelTwo is offline  
Old 11-24-2015, 12:17 PM
  #8  
Senior MemberCaptains Club MemberPLEDGER
 
Join Date: Aug 2001
Location: West Carolina
Posts: 21,936
Default

Originally Posted by jko2004 View Post
2) Consider insuring him separately with a vehicle in his own name (do not put yourself on the title). If he has insurance and a vehicle in his name - that insulates you from becoming vicariously liable for any claims that he may cause.
Be careful on that one. I am not an attorney but it my understanding that if he is on "family business" you could be drug into a suit. Plus, since it is a vehicle owned by or furnished to a member of your household, your insurance wouldn't cover you. Maybe an attorney here will weigh in.
Shag is online now  
Old 11-24-2015, 12:18 PM
  #9  
Admirals ClubCaptains Club Member Admiral's Club Member
 
Join Date: Oct 2002
Location: anderson, sc
Posts: 18,561
Default

I know it varies by state but that sounds VERY high to me

I know in SC anyone under 25 has higher rate of insurance and males are higher than females (state certified drivers ed and B average in school will lower rates in SC)

I have a truck, SUV, and 2 cars on our auto policy and my daughter is 22 yr old college student and one of those cars is a Corvette . We pay around $3200 per year and I carry pretty high liability limits

I can not imagine it going $500 month but then again not sure of your driving record, limits, types of vehicles and etc

I do know my agent always listed our kids on the lowest rated vehicle (they are covered on anything) and it saved a few dollars
tprice is offline  
Old 11-24-2015, 01:14 PM
  #10  
Senior Member
 
Join Date: Jan 2002
Location: Lusby, MD
Posts: 1,025
Default

When my son was a teenager (he's 21 now) he cost about $1500/year for full coverage on our 3rd car (06 Toyota Sienna) with him listed as the main driver.

It's gone down a little since he hit 21. I look forward to him graduating from college in the spring and getting off the payroll.

Last edited by Barefoot; 11-24-2015 at 01:50 PM.
Barefoot is offline  
Old 11-24-2015, 01:31 PM
  #11  
Admirals Club Admiral's Club Member
 
Join Date: Sep 2005
Location: Sandusky, OH
Posts: 507
Default

part of it is the Grand Cherokee.

we bought a 2006 Grand Cherokee for our twin boys (17 years old now). The GC is very high to insure them in for some reason even though its probably one of the safer winter vehicles that we could put them in.

They are actually now primary drivers on my 1999 Mustang Cobra Convertible as it was cheaper form them to be primary on the convertible rear wheel drive sports car than it was to have them be primary on the 2006 Grand Cherokee. Go Figure that one out.

FWIW, the insurance carrier is State Farm who I've been insured with my whole life.
cobraowner is offline  
Old 11-24-2015, 02:02 PM
  #12  
Senior Member
 
Join Date: Feb 2008
Location: Panama City
Posts: 1,053
Default

Originally Posted by ChannelTwo View Post
Not sure how this would work if he is under 18. I'm pretty sure you would still be liable if you are parent.

Hence why I said 'insulate' ..meaning it is not fool proof.

Of course, you can be sued for anything at anytime by virtually anyone. wether or not the suit is successful is another question.
jko2004 is offline  
Old 11-24-2015, 02:27 PM
  #13  
Senior MemberCaptains Club MemberPLEDGER
 
Join Date: Aug 2001
Location: West Carolina
Posts: 21,936
Default

Originally Posted by jko2004 View Post
Hence why I said 'insulate' ..meaning it is not fool proof.

Of course, you can be sued for anything at anytime by virtually anyone. wether or not the suit is successful is another question.
The problem I see is that a lot of the time the parents will have high liability limits and an umbrella but they put the car in the kid's name and buy pitifully low limits to save $$. Their high limits and umbrella are out of play if they are sued arising out of the kid's accident.

Last edited by Shag; 11-24-2015 at 02:46 PM.
Shag is online now  
Old 11-24-2015, 02:39 PM
  #14  
Senior MemberCaptains Club Member
 
Join Date: Oct 2007
Location: Davie / Islamorada
Posts: 12,264
Default

Interesting thread... Curious to see some of the answers...

I have 6 cars (2 kids cars) and about to stroke a 10k check for insurance ...

Painfull
triplenet is online now  
Old 11-24-2015, 02:40 PM
  #15  
Senior Member
 
bogue's Avatar
 
Join Date: Jun 2012
Location: Newport, NC
Posts: 4,730
Default

My son is 17 and drives an older Dodge Durango in Eastern NC and we pay $192/month. It would have been cheaper following the insurance companies suggestions for vehicles but I was not about to put him into a little Sentra type car when most of the population here drives trucks.

KNOCK WOOD

My wife and I have good driving records and so does he..
bogue is offline  
Old 11-24-2015, 02:46 PM
  #16  
Senior Member
 
Join Date: Feb 2008
Location: Panama City
Posts: 1,053
Default

Originally Posted by Shag View Post
The problem I see is that a lot of the time the parents will have high liability limits and an umbrella but they put the car in the kid's name and buy pitifully low limits to save $$. Their high limits and umbrella are out of play if they are sued due to an accident arising out of the kid's accident.
Indeed.

To the OP...Shopping around is key - make sure you compare apples-to-apples.
jko2004 is offline  
Old 11-24-2015, 03:00 PM
  #17  
Senior Member
 
Join Date: Mar 2007
Location: St Barths F.W.I.
Posts: 4,380
Default

Added two on with two new cars A3 (16) & is250 (20) State Farm went from $3K to $9K. Shopped it and found GIECO the best @ $4500 for all four cars/trucks. USAA was $12K!
BSpot is online now  
Old 11-25-2015, 05:26 PM
  #18  
Admirals Club Admiral's Club Member
 
Join Date: Nov 2007
Location: Long Island, NY
Posts: 8,356
Default

I believe it costs me an extra $50/month to have my 17 year old daughter as an additional driver on our policy - she is not the primary on any of our cars (because she at college and actually is not). We have five cars, with me as the primary driver of four of them - two are "collector cars" under limited use policies where I am the only driver; and the other three are with Geico. She drives when she is home during breaks - otherwise I use the car 1-2x week so it doesn't just sit there.
If she were the primary driver of that car, it would add another $40/month.
LI32 is online now  
Old 11-25-2015, 05:46 PM
  #19  
Senior MemberCaptains Club Member
 
Join Date: Aug 2006
Posts: 363
Default

Don't add them to the policy till insurance finds out they are driving. They will be covered regardless. This could buy you a year maybe longer, as long as they don't get a ticket or into an accident.
carolina rig is offline  
Old 11-25-2015, 05:50 PM
  #20  
Senior MemberCaptains Club MemberPLEDGER
 
Join Date: Aug 2001
Location: West Carolina
Posts: 21,936
Default

Originally Posted by carolina rig View Post
Don't add them to the policy till insurance finds out they are driving. They will be covered regardless. This could buy you a year maybe longer, as long as they don't get a ticket or into an accident.
Ain't happening in NC. DL123 (proof of insurance) is required to get a license.
Shag is online now  

Thread Tools
Search this Thread