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Ok, my 18 year old wants to buy moms 96 Eldo. He is leaving for the Marines in June. On Ice around that time I guess. But anyhow, for someone who knows.

Is it smarter to leave the car in Moms name insurance wise, OR transfer it into his name and let it run under our policy. I guess implications for doing both. Thought I ask here as If I ask my insurance co they would know what I was up to. He heee. ANyone sell insurance or had this experience reply. Ohio by the way. He has had one speeding ticket.

Mike

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He can only have it in mom's name if there is 2 or less cars on your insurance policy such that you put mom as the principle driver. It is much cheaper this way. If you all have your own cars, then he's has no choice but to insure it in his name either in your policy or his own.

One ticket on his record will raise his insurance about $400 more per year. Tickets are very expensive and it takes 3 years to come off his record. I'm fortunate to have a perfect record after driving for 10 years.

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Considering the question from the liability standpoint, rather than from cost, it would be much better to put the car in his name. If he has an accident while it's in mom's name, mom is liable for any judgement in excess of the insurance; and since she's more collectable than son, she'll definitely be named in any suit.

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If your car is paid for not having collision and comp will save you a bunch of money. I put my 22 year old on the Eldorado an it was pretty cheap for a young driver. I drove the Eldo and he drove my honda. When you have as many cars in the household as drivers every driver has to be assigned to a car, so I put the kid on the car that didn't have full coverage and it was a better rate.

Jeff

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Considering the question from the liability standpoint, rather than from cost, it would be much better to put the car in his name. If he has an accident while it's in mom's name, mom is liable for any judgement in excess of the insurance; and since she's more collectable than son, she'll definitely be named in any suit.

I'm inclined to agree with Dasher. If you're going to add your son to your policy make sure you have enough coverage. I'm assuming that most people have lower coverage then they really should have(ex. 25,000/50,000 or 50,000/100,000). A middle income family should probably have at least 100,000/300,000 coverage. Accidents are expensive and if you hurt someone 50,000 doesn't go very far today. That might barely cover the hospital stay. The rest comes out of your pocket. Law suits and all.

When I was a teen my parents made a deal with me that seemed fair. They put me on their policy and if I got a speeding ticket or any traffic violation that increased the insurance then I had to make up the difference. That way I was accountable for my actions. Something any teen can understand.

"Burns" rubber

" I've never considered myself to be all that conservative, but it seems the more liberal some people get the more conservative I become. "

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If he is in the service tell him to call USAA Insurance in San Antonio TX to get a quote, they only sell to Military types. They have been around forever (1922) so they are a stable company. I hear it is a great deal, too bad my 6 years in the Guard doesn't qualify, The Web Site is https://www.lc.usaa.com/inet/ent_logon/Logon

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Talk to your insurance company because you're not hiding anything, and their job is to sell you insurance at the best price possible. If you are trying to hide something from the insurance company, what you would be doing is committing a fradulant act. In addition to no undestanding why one would commit insruance fraud to save 50 bucks a year, I cannot understand why one would even bother with insruance if they intended to commit fraud because they will not honor claims with agreeements that are a fraudulant act.

There are all kinds of options: The care doesn't have to be in his name, and he can have a policy, and the car can be in his name and he can be included in your policy. You can also get satellite policies, with his policy being symathetic on the rates based on yours.

I wouldn't recomend anyone to have an adult child as a member of an insurance policy. They are adults with adult responsibilies, so parents shouldn't shoulder the child's latent negligence.

(I'm really hard core about this and , first, let me explain: When I was 18, I had a small string of ticktes; as a result, my parents' had to drop me or the policy would be canceled. They dropped me, but my mother insisted that they find a new carrier. I was assigned in MAIF Maryland Automobile Insurance Fund, a subsudized high risk group. In 1977, I was paying $1,900 a year for minimum liability--just because I got a few tickets. I learned my lesson well, and I have to adopt my father's perspective in the matter: If you cannot afford insurance, you cannot afford to drive. In other words, if he cannot afford his own policy, he cannot afford to drive.)

Liabilty, as already pointed out, is the best reson to have your son on his own policy. In law suits, the plantiff goes after whoever has the most assets. You want enough coverage so that it equals or exceeds your total assest. (I carry 300/500/300 with a million dollar blanket, provided by my combined home/auto/boat insurance.) But you don't want an amount that exceeds your net worth because it's an blank check in the advent of a law suit. If you shoulder your son's responsibility, you also shoulder his freinds responsibilities. If he and his buddies are out riding around, and one of his freinds drives, YOU WILL SHOULDER the responsiblity if something happens.

Another thing: Never drop comp, even on a vehicle worth a few thousand dollars. Comp is dirt cheap--the less value of the vehicle, the less expensive--and it pays major dividends if you ever need it.

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  • 1 month later...

I am paying $2000 for liabilty only! It is nuts how much teenagers have to pay for insurance here. Most peoples insurance is more than there car. People have 2 and 3 hundred dollor cars and are paying close to 3500 a year just for insurance. :angry:

IMPORT CRUSHER

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I am paying $2000 for liabilty only! It is nuts how much teenagers have to pay for insurance here. Most peoples insurance is more than there car. People have 2 and 3 hundred dollor cars and are paying close to 3500 a year just for insurance. :angry:

I know exactly what you mean i'm paying 1850 for my insurence but I know people that pay like 3000 dollars for a pontiac sunfire that all rusted out lol!

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Defending Northstar perf a qtr mile at a time!!!!

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I know exactly what you mean i'm paying 1850 for my insurence but I know people that pay like 3000 dollars for a pontiac sunfire that all rusted out lol!

Maybe you should get some quotes from other companies. I am first driver on my '93 STS and pay $950 CAD/year (~800USD). I'm 19 with one ticket. That is only liability, and I assume the minumum by law ($200k).

Insurance for me to be 1st driver on our truck (2004 F150) is actually only $900/year but collision adds almost $2000. And that is why I am 1st driver only on the sts haha

-Chris

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I know exactly what you mean i'm paying 1850 for my insurence but I know people that pay like 3000 dollars for a pontiac sunfire that all rusted out lol!

Maybe you should get some quotes from other companies. I am first driver on my '93 STS and pay $950 CAD/year (~800USD). I'm 19 with one ticket. That is only liability, and I assume the minumum by law ($200k).

Insurance for me to be 1st driver on our truck (2004 F150) is actually only $900/year but collision adds almost $2000. And that is why I am 1st driver only on the sts haha

Innsurence may be different were you live you guys can't even get your full licence till your like 17 or 18 can you I think my'n will go down when i;m 19 but trust me thats the best rate I can get and thats through my dads company benifets!!!!!! Theres no were cheaper! B)

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Defending Northstar perf a qtr mile at a time!!!!

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I know exactly what you mean i'm paying 1850 for my insurence but I know people that pay like 3000 dollars for a pontiac sunfire that all rusted out lol!

Maybe you should get some quotes from other companies. I am first driver on my '93 STS and pay $950 CAD/year (~800USD). I'm 19 with one ticket. That is only liability, and I assume the minumum by law ($200k).

Insurance for me to be 1st driver on our truck (2004 F150) is actually only $900/year but collision adds almost $2000. And that is why I am 1st driver only on the sts haha

Innsurence may be different were you live you guys can't even get your full licence till your like 17 or 18 can you I think my'n will go down when i;m 19 but trust me thats the best rate I can get and thats through my dads company benifets!!!!!! Theres no were cheaper! B)

Oh ya and by first driver you mean that your the driver of the car right not your paernts? Cause my car is only under my name my parents have nothing to do with it! If I was under my parents name it would be 700$ a year.

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Defending Northstar perf a qtr mile at a time!!!!

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