Back-to-School Season: Is Your Teen or College Driver Properly Covered?

The backpacks are packed, the dorm room is set up and your teenager is behind the wheel more than ever. Be sure the car they’re depending on has a solid auto insurance policy that can help you recover quickly if the unexpected happens.

What Changes When a Teen Gets Behind the Wheel?

Adding a teen driver to your household policy is one of the most common triggers for a coverage review, and for good reason. Young drivers statistically have higher accident rates than experienced drivers, and your existing policy limits may not stretch far enough if a serious accident occurs. Subsequently, adding a teen or college driver to your policy may cause your rates to increase.

Scenarios That Catch Parents Off Guard

A few situations tend to surprise families during the back-to-school rush:

• Your teen takes the family car to college out of state, and you are unsure whether your policy follows the vehicle or the driver. In general, auto insurance follows the vehicle, meaning coverage travels with the car as long as the driver has permission to use it, though your teen should remain listed on your policy. Check with your agent to confirm how your specific policy handles out-of-state use.
• A college student living in a dorm occasionally borrows a roommate’s car. In most cases, the car owner’s policy would be the primary coverage under permissive use, not the student’s parents’ policy, though this applies to occasional, not habitual, use. Your agent can clarify whether your student has any secondary coverage in this situation.
• A part-time job requires your teen to drive for work purposes, which may not be covered under a personal auto policy. Personal auto policies typically exclude business use of a vehicle, so if the job involves driving for work, such as making deliveries or transporting goods, your teen may need a business-use endorsement or separate commercial coverage.

Coverage Worth Reviewing Before the School Year Starts

Collision and comprehensive coverage can financially protect the vehicle itself, which typically matters more if your teen drives a newer car. Liability coverage may provide financial support if your teen causes an accident and is usually required by law. Uninsured/underinsured motorist coverage may help with accidents caused by a driver who lacks liability insurance. Ask your agent which of these applies to your teen’s specific situation.

Contact Our Team

Contact Ison Insurance Agency, Inc today to help review your current policy, identify any coverage gaps and find suitable auto insurance options in West Liberty, KY.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.