There are a lot of young drivers who will usually have a hard time acquiring the right type of insurance for their needs. There are a lot of young people who believe that car insurance is one of the first things that they have to pay for. This is when they would feel that they are truly “adulting.”
A lot of teenage or young drivers are perfectly happy with getting car insurance but they are not too comfortable about the fact that they would be placing their names. It can make people wonder when is the actual time that people should get car insurance? You need to know the process of getting car insurance. It will make things easier for you.
Car Insurance for Young Drivers
There are drivers who are under 25 years old who are expected to pay higher insurance rates as compared to those who are over the age of 25. Young drivers do not have a driving record yet which means that car insurance companies will have no basis of how good the young drivers can actually drive. Insurance companies would just rely on statistics to determine the type of rate that will be given to the driver. Most of the time, young drivers are given higher rates.
A young driver who does not have enough funds to pay for the car insurance yet, may choose to get car insurance under their parents’ name. This will make the insurance premium higher for the parents but it will still cost less as compared to getting a specific type of car insurance for the teenager.
Should You Purchase Your Own Car Insurance Policy or Should You Get from Your Parents?
If you are still living with your parents, you are recommended to be added to your parent’s car insurance as one of the drivers. This means that the claims that you may need can still be covered. It does not matter what vehicle you are driving as long as you have the right protection depending on your insurance policy. You may also get first-party medical coverage if in case you get involved in a car accident and you would need medical assistance. This is regardless of whatever vehicle you are using.
If in case you do not live with your parents anymore, there is no need for you to add your insurance policy to your parents. This may become more complicated in the long run. It is true that the insurance policy is bound to be expensive but it will be worth it in the future. As you grow older and you develop good driving habits, the lesser amount of money that you have to pay for your car insurance policy.
If you would like your vehicle to be added to the insurance policy, you need your vehicle to be listed as your parents’ own vehicle. If the insurance companies see that you are the sole owner of the vehicle, you will be listed as the policy holder. This means that the insurance company will set the insurance in your name.
Some people would decide to list down the name of another person as an insurance titleholder that is different from the vehicle owner. This can cause some complications in the future. A lot of insurance companies would not allow this. The insurance company should always check the name of the titleholder and match it with the name of the car owner.
Should You Add Your Parents to the Policy?
If in case you would decide that you are going to get your own insurance policy, you should add one or both of your parents in the policy too. This is recommended until such time when you are ready to start your own family. The reason why you need to add another person to your policy is to make sure that someone will be able to help you fix your policy if you get into an accident.
There are moments when you would need to leave your car behind because of various reasons. You may need to go to another university in another country. There are moments when your car may sustain some damages even when it is not being used. If no one else is listed as a part of your policy, there is no one who will fix the issues before you come back.
It will still depend on you whether you would choose to get your own policy or not. The most important thing is that you will get the right insurance in order to protect your vehicle and yourself. You can always discuss this with the car insurance agent so that you can get the policy that is perfect for your needs.