Your teen's most anticipated event may be a parent's most worrisome. Unfortunately, teen drivers account for a disproportionate amount of auto accidents. As a parent of a high schooler, I have witnessed too many accidents in the school parking lot alone. One way we can protect our teen drivers is to see that they are adequately insured. Here are some steps parents can take. Your teen gets his/her permit:
- Call your insurance company to list your permit-holding teen on your policy.
- You will probably not see a change in your premiums until your teen obtains a driver's license. For this reason, although it may be unpopular choice with your teen, encourage your teen to keep his/her permit with its stricter driving requirements until you feel they are ready for a driver's license.
Your teen gets his/her license:
- Call your insurance company for a quote on adding your teen to your current policy.
- Obtain a quote from a separate insurance company for an individual policy just for your teen. There are many online quotations available.
Minimum Liability Insurance Requirements for your teen:
- Property Damage Liability Insurance - covers damage to another person's vehicle in an auto accident
- Bodily Injury Liability Insurance - covers injuries suffered by another person in an auto accident
Additional Coverage for your teen:
- Collision Insurance - coverage for damages to your vehicle during an auto accident
- Comprehensive Insurance - coverage for damages to your vehicle due to theft, vandalism or natural disasters
- Uninsured or Underinsured Motorist coverage - coverage for damages if involved in an auto accident with a person who has no or not enough insurance
- Personal Injury Protection - coverage for medical payments not covered by another driver's liability coverage
Talking with your teen about not only his/her safety but also their financial responsibility to the family will help open a dialogue about this next phase in their life.