There are several questions surround teenage drivers, when or how to get them insurance, and how your rates as a parent may be affected. So, to clarify any questions about teen driving and teen insurance, we’ve compiled a list of commonly asked questions. Have a question that we haven’t listed? Fill out a contact form or call our office and speak directly with an agent about your concerns,
- Do I have to add my teen driver to my insurance policy?
If your teen is a licensed driver, not a permit holder, then they will need to either be added to your policy or carry their own insurance. Most insurance companies will require you to provide the name of all licensed drivers in your household.
- Do permit drivers need insurance in Florida?
Permit drivers, or teens with a learner’s permit, are not required to carry insurance in Florida so long as they are driving under the supervision of a licensed adult over the age of 21.
- When should I add my teen to my policy? The day they get their license?
As soon as your teen graduates from a learner’s permit to a full-fledged driver’s license, they will need to be covered under insurance (either under your policy or a new policy of their own). Florida requires all licensed drivers to carry the minimum coverage of $10,000 Personal Injury Protection (PIP) coverage and $10,000 Property Damage Liability coverage.
- Will my insurance rates go up if I add my teenager?
It is likely that your insurance rate will increase when adding a new teenage driver. This is because teens have a higher risk of getting into an accident than older, more experienced drivers. The type of vehicle and coverage levels you select for your teen will also impact the premium. Your teen may qualify for some discounts for being a good student or for taking a driver’s education course.
If you are planning to add a teenage driver to your policy, shop around. Other insurance companies may provide a better rate (or give better discounts) than your current provider. Also, if you are adding a car along with the teen driver, you may get an additional multi-car discount.
- Is it cheaper to get a teenager their own policy?
It wouldn’t hurt to shop for multiple plans to find the best rates for your teenage driver. In addition to looking at plans where you add your child to your policy, check stand-alone plans for just your teen. They may not be able to get as good of a rate without you, however, because of your driving experience or other discounts you qualify for such as multi-car or multi-plan (home, renters, life, and car insurance)
- How can a teen driver get better insurance rates?
Teenagers have higher insurance rates because of their age and inexperience. There are ways, however, for your teen to save on insurance. Having good grades (usually a “B” or higher grade average) or the successfully completion an approved driver’s education course are some of the most common discounts available for teenage drivers.
Insurance rates are also calculated by the distance the car is commonly driven (e.g. the distance from home to school or work), how often the car is driven, and the type of car that is driven. If your child has to drive far for school, insurance rates may be higher. Also, sports cars, trucks, and SUVs are going to have higher insurance rates (especially for teens).
- When do insurance premiums typically drop?
Typically, after the age of 25, insurance premiums tend to go down until the age of 70. If you have any tickets or accidents on your driving record, the rates will go up until the statute of limitations runs out and the ticket or accident is cleared from your driving record.
It is important that you discuss driving safely with your teen. Statistically they are already at a higher risk for being involved in an accident and driving poorly can not only increase your insurance premiums now but can affect your teen into their adulthood.
- If my teen goes away to school, do I have to keep them on my insurance?
Depending on your carrier, you may have to keep your teen on your insurance if they reside at home during the summer months. If the vehicle will be kept primarily on school campus or an off-campus housing, be sure to update your carrier with this new address. On the up side, if your child goes to school within a certain distance from your home, they may qualify for an additional resident student discount.
Of course, once your child goes off to college, you should re-evaluate your (and their) insurance coverage. Your child may get better or equivalent rates with their own policy or may need more or less coverage depending on where they are going to school.
- Does my teen qualify for a good driver discount?
Most car insurance companies offer this discount for drivers under the age of 25, who are enrolled in school full-time, and who have a grade point average of a “B” (or 3.0). If your teen driver meets these qualifications, be sure to let your agent know. Proof of grade point average or enrollment may be required.
- Does my teen need the same coverage that I have?
Your teen will need, at a minimum, the Florida state law requirement of $10,000 Personal Injury Protection (PIP) insurance and $10,000 Property Damage Liability coverage. It is recommended to purchase additional coverage since teens are more likely to be involved in an accident than an older, more experience driver. If your teen driver is leasing a vehicle or got a loan to purchase a vehicle then comprehensive or collision insurance coverage may be required by the car loan servicer.
- What if I don’t tell my insurance carrier about my teen driver?
There can be serious repercussions if you do not notify your insurance company of your licensed teenage driver, especially if they were to get into an accident while they are driving. Your insurance company may deny a claim for coverage which would leave you responsible for the cost of the accident, including any personal injuries or property damage. Also, Florida state law requires all licensed drivers to carry a minimum of $10,000 Personal Injury Protection (PIP) insurance and $10,000 Property Damage Liability coverage. You or your teen driver may get into legal trouble for not carrying the legally required minimum insurance coverage.
If your insurance does accept the claim, they may have you pay the cost of what the premiums would have been had your teen been properly added to the insurance. Depending on how much time has passed since your teen got their license, this could be a significant payment owed.