Many people worry about the insurance cost of teen drivers, but not the dangers of not adding a child driver to your insurance. It’s understandable since teenage drivers have a higher risk of:
- Speeding
- Driving distracted
- Not using seatbelts
- Alcohol or substance use
- Vehicle crashes
With the high cost of teenager car insurance, it might be tempting to “hide” them from the insurer. However, avoiding paying for a teen driver’s insurance could hurt you in the long run.
Your Car Insurance Company Could Deny Your Claim
Not adding a driver to the policy could invalidate the contract’s provisions.
Filing a claim after an uninsured young driver has had an accident could result in a denial if you did not add them to your policy.
Not only will you have paid an insurance premium, but now you’ll be footing the bill to repair the car and pay for any medical bills out of pocket.
You Might Lose Discounts
A car insurance company that determines an uninsured child was driving the car could disqualify you from discounts you had previously:
- Safe driver discount
- Accident free or speeding ticket free discount
- No claims history discount
Your insurance record could be flagged as a high-risk driver for allowing a teen driver to operate a vehicle when they should have been covered.
You Might Have to Pay Back Payments
Suppose you allowed a teen driver to begin using your vehicle without adding them to your policy. In that case, the insurance company might require you to pay up.
A child who received their license two months ago should be insured. However, by not adding them to the policy, the insurer could require you to pay back premiums to cover the child for the past two months.
In that situation, the insurance company will likely require back payments in lump sums to keep your coverage in good order.
You Could Risk Losing Your Auto Insurance Policy
On the other hand, if you refuse to pay any back payments due or otherwise violate the terms of the policy, the insurer might be within their rights to cancel your policy. Similarly, they could notify you that they will not renew it at the end of the term.
Losing your auto insurance policy for not covering a young driver puts you at risk of not being able to get another car insurance coverage. A new insurer that sees another insurance company dropping your coverage is less likely to offer you a new policy.
How to Put Your Teenager on Insurance
Fortunately, adding a young driver to your policy may qualify you for new discounts and savings you weren’t eligible for previously:
- Good student
- Distant student away at college
- Safe driving course
- Low mileage
- Safety features on teen’s car
- Telematics that monitor the vehicle’s speed, distance traveled, and brake pressure.
Winstead Insurance has helped thousands of customers add their teenage drivers to their policies. Let us help you find the lowest rate so you get peace of mind knowing you’re covered.
Call 410.398.6700 to get a quote today.
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