How to Add a New Driver to Your Insurance Policy

You may want to add someone to your car insurance policy for many reasons. But it can affect your auto rates. Learn more about it here.
New teen driver in car

There are many reasons you may need to add another driver to your auto insurance. Marriage, teens coming of age, and in-laws moving in are just a few. Chances are, whatever the reason, someday you’ll share your policy with someone else. 

This article will help you through the process of putting another person, such as a teenager, on your policy. We’ll talk about when you should add someone and when you may not need to do it. We’ll also explain how adding another driver to your car insurance affects your premium.

When to Add Another Driver

One of the most common scenarios for adding a driver is if you have a teen of driving age. If they’re going to be driving your car frequently, you’ll want them on your policy. But there are lots of other reasons to add another person to your insurance coverage. 

You should start thinking about adding someone to your auto insurance if they drive your car a lot or live with you. Below are the most common examples of people you might add to your policy: 

  • Teenagers or young drivers living with you
  • Boyfriend, girlfriend, or spouse who will use your car often
  • Roommate or friend who lives at your address and uses your car often
  • Your parent(s) or in-laws who move into your house and use your car often

Temporary or Short-Term Coverage Is an Option

You don’t have to think about adding someone to your insurance as being permanent. Sometimes it makes sense to add someone to your policy for a short period of time. An example of this is if your teen returns from college for the summer and wants to drive. Contact an agent if you have questions about temporary drivers or coverage.

When Not to Add Another Driver

There are many cases where you’d want to add another person to your insurance. But there are also times when it isn’t worth it. If someone drives your car once or twice for a couple of errands, for instance, they’re already covered. So, adding them to your policy would likely be a waste of your time. 

If you allow a friend to use your vehicle, they probably have coverage through the “omnibus” (permissive use) clause in your insurance—if your policy includes it. In simplest terms, permissive use means that you allowed someone who’s not insured access to your car.

Adding a Teen Driver to Your Policy

Almost all kids will eventually want the ultimate symbol of freedom—driving If your child is starting to drive, you’re going to want to add them to your car insurance.

Make sure to contact your agent so that you know your state’s laws for teen driving. Sometimes, for example, you can’t add a child unless they have a driver’s license. In other cases, you could insure them when they get their learner’s permit. Therefore, it’s important to check with your insurer about specifics.

Expect to Pay More

You should note that adding a teenager could affect your premium. It’s not uncommon for companies to raise rates for families who have teen drivers.

Higher rates for teens are simply due to the bigger risk of getting in an accident they pose. Teen boys are especially at risk. The Insurance Institute for Highway Safety (IIHS) reported in 2017 that a total number of 2,019 boys aged 16 to 19 were in accidents, as opposed to 1,003 for girls of the same age.

If you want to lower your rates or keep them the same, it’s a good idea to encourage good habits behind the wheel. Teens who stay away from texting while driving and alcohol will be ahead of the game. The Insurance Information Institute (III) recommends that kids also aim to get a good student discount (B average at school) to lower their rates.

How to Add a New Driver

The best way to add a new driver to your policy is to talk to your provider. When you do, make sure that you have the information below ready to ease the process. They won’t be able to extend your coverage to anyone else without divulging some personal stats.

  • Full name
  • Date of birth
  • Gender
  • Occupation
  • Years they’ve had their license
  • Driver’s license number
  • Recent tickets or accident involvements

The Effect on Your Premium

Many factors determine your insurance rates. One of the most important is who drives your car. So, adding another driver can raise your premium. The higher the risk, the higher your rates. Teens have little driving experience and get into a lot of accidents compared to other age groups. That’s why including a teen on your policy can be so expensive

But there are also situations where another driver will barely affect your premium. For example, consider your mother-in-law who has been driving for many years with no accidents. Adding her to your policy may cost you next to nothing. But if she gets a speeding ticket or crashes the car, you’ll find yourself paying much more for insurance. 

How to Lower Rates with a New Driver

Before you add a someone to your insurance, be aware that their driving will influence your premium. A bad driving record can spike your rates. A good driver won’t impact your rates at all. Each situation is unique. If the amount you’re quoted is more than you’d like to pay after adding a family member, check with other insurers.

If you’re unhappy with your current provider and want to switch to one that does better for novice motorists, we’ve already done the research. Check out our article about the best auto insurers for new drivers before you add someone to your existing policy.

Frequently Asked Questions

Can I add someone to my car insurance?

Yes, you can. In most cases, you can have anyone you want to your car insurance. You might want to include a someone if they live in your household or use your car frequently. Note that it’s probably not a good idea to add a “high-risk” driver to your policy. This typically includes people with severe offenses, such as DUIs or reckless driving.

Should I share my policy with a roommate?

If your roommate doesn’t have car insurance or a vehicle, you should think about adding them. It’s worthwhile to make sure they have coverage if they’re going to be using your vehicle often. Borrowed cars get into accidents all the time. You’d probably be covered. But your best bet is to include everyone that regularly drives the car. Another option would be to have your roommate acquire a non-owner policy.

Why are teens so expensive to insure?

Teens are one of the riskiest groups of drivers. Males are especially risky and have higher numbers of involvements in accidents than their female counterparts. Trying to encourage good habits and using things like the student away discount can help lower your premiums.


Related Articles: