How and when to add another driver to your car insurance

Yahoo

4 days ago

As a driver and vehicle owner, car insurance is a non-negotiable. Carrying enough coverage can do more than satisfy your state's insurance requirements; you can protect your vehicle, your finances, and anyone else who drives your car regularly if you're ever involved in an accident.
If you live with another licensed driver who uses your car, your insurer will likely require you to add them to your policy. The same goes for other people who drive your car regularly. Here's what you need to know about when and how to add a driver to your car insurance.
Learn more: How does car insurance work? The basics explained.
When should you add someone to your car insurance policy?
Depending on your state and insurer, you may be required to include all licensed drivers who live with you on your car insurance policy. Beyond that, anyone who drives your vehicle on a regular basis may have to be added as well — regardless of whether you share an address or not.
If a frequent driver causes an accident while behind the wheel of your car, and they aren't listed as a driver on your policy, your insurer may not cover them. In some cases, your insurance company might go as far as canceling your policy.
Who needs to be added to a car insurance policy?
Adding a driver to your car insurance policy can ensure that you're adequately covered if someone is at fault in an accident while driving your car. That could significantly reduce your out-of-pocket costs if there's damage to your car or another driver's vehicle, or if someone is injured in the accident. It can also help cover your legal fees if someone brings a lawsuit against you.
Below are some people who may need to be added to your car insurance policy:
A new teenage driver. If your teen has recently obtained their driver's license, you'll likely be required to add them to your car insurance policy. You may have to do the same for teen drivers who obtain a learner's permit, depending on your state laws and insurance company.
A child who's away at college. If your college student gets their driver's license and lives away at school, you might add them to your insurance policy if they drive your car when they're home.
A roommate who has a driver's license. That may be a friend, family member, or significant other who moves in with you. If they're a licensed driver who lives at the same address, you'll likely need to add them to your auto insurance policy if they use your car. You might also have the option to share a joint policy, which could make your car insurance more affordable.
Someone who begins driving your car regularly. This applies to anyone who frequently borrows your vehicle, whether that's a friend, relative, caregiver, or household worker. They don't need to live with you to be added to your policy.
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How to add someone to your auto insurance
The exact process can vary depending on the insurer, but here's a general idea of what to do when adding a new driver to your car insurance.
Reach out to your car insurance company. Most allow policyholders to make the addition online or within a mobile app. You might also be able to do it over the phone.
Have the driver's information ready. Your insurance company will likely request the new driver's name, date of birth, driver's license number, and driving record.
Does adding someone to your car insurance increase the cost?
Adding anyone to your policy should increase the cost of your insurance. But the specific change in your costs will depend on the new driver's age, experience, and driving record. If they've filed previous insurance claims or received traffic tickets in the past, that could increase your premium going forward.
But in some cases, adding a new driver to your policy could make you eligible for certain car insurance discounts. That might include price breaks for the following types of drivers:
Veterans, active military service members, or federal employees
Students who maintain at least a B average
Those with a history of safe driving
Drivers who take a defensive driving course
Drivers who keep their mileage low
Homeowners
Certain alumni or professional organization members
Learn more: How to bundle home and auto insurance
When to change coverage when you add a driver
Adding a new driver may be a good time to adjust your coverage. That may involve adding optional coverage, such as comprehensive or collision insurance, or modifying your policy limits. That might make sense if:
You're adding an inexperienced driver and want stronger protection.
You're buying a new car and need to change your coverage to meet your lender's insurance requirements.
You've recently moved and need to comply with your new state's minimum insurance laws.
Learn more: How much car insurance do I need?
When should I remove someone from a policy?
Your car insurance policy isn't set in stone. Just as you can add a new driver, you can remove one as needed. You might do this if the person:
No longer lives with you or has passed away
Has stopped driving your car regularly
When removing a driver from your policy, your insurance company may request proof that the person no longer shares your address. Every insurer has its own process. It may be possible to remove a driver over the phone, online, or via a mobile app. You can get in touch with your insurance company to clarify the details.
Adding a new driver to a car insurance policy is usually a straightforward process, and in some cases, it could allow you to qualify for certain discounts. Start by contacting your insurance company to see when it might be required.
Tim Manni edited this article.